Crash or Correction? UK House Prices: Bloomberg UK Show

The problem in the United Kingdom is that billionaires from all over the world launder money there by buying property. So there is nothing left for the young British or foreign people who live there! I lived in the UK for 15 years and had a miserable life, always sharing houses with strangers! Today I live in the countryside of Sweden and have an infinitely better standard of living, even though I face worse weather and higher taxes than in the United Kingdom. If I were a young British man I would immigrate to Australia, Canada or New Zealand and make my life in one of those countries. The United Kingdom is completely dominated by billionaires from the Middle East, India, Pakistan and Russia. Try to find out the origins of the majority of property owners in the United Kingdom and everything will become very clear and evident!

Crash but high interest rate !!! What the point

What twaddle - if you fight the new war with the tactics of the last war, you lose.

The issue now is BTLs, especially the explosion in the last decades.

There is already massive pressure being set of with rent hikes (and most landlords are not yet passing that on) coupled with the massive leverage on the majority of those properties.

This means - less time to adjust

Expect foreclosures to hit 8-10% in BTL in 2024 as negative equity and negative cashflow take effect

BTW: councils should be given first right of refusal on those properties

Where? it's too much intercedinism. They keep doing large mass developments. That means they're trying to dictate the schedule, labor hours, loan terms, and material costs, and selections of massive numbers of people all at once. And when they're doing that they also have a plane for moving in a more illegals. They're trying to do a mass political bribery and have you agree to the illegal towns too. That's going to create a long term class conflict. Then you have to go and fight the people they screwed over with you. That's how israel is managed.

They're crazy. You know how they had an apartheid system in south africa with british people moving into africa and the minority race being the slave class. They'll do the opposite modeling after that bringing the slave class to england saying "oh now were helping the people and improving their economic circumstances." You're going to be like france burning.

In the 1950s, a massive expansion of council houses (supply of affordable accommodation) created a huge increase in UK economic activity and massively improved the lives of working people. Not surprisingly, Bloomberg's (so called experts) make zero reference to this.

This is financial advice and I never give financial advice: DONT LEAVE DURING THE BEAR. If you don’t want to invest…learn. If you don’t want to learn…build. If you don’t want to build observe. DO SOMETHING…other than leave. There is so much opportunity here. Take advantage!

Countries need to get over themselves, your country is not special. Every country is currently dealing with large price increases in everything(housing, gas, food, insurance, utilities). Many people now take on a boarder or get more roommates, as well as working more hours every week. Also, luxuries have to be cut back(eating out, holidays, better car, new furniture, less shopping, less drinking and smoking, etc.). Life is harder, but liveable, however we are quite spoiled so some people do nothing but complain.
*A lot of people who are whining do not work, they are not severely disabled or very old, they are lazy. Jobs are available, but people either have too high an opinion of themselves or they are just plain lazy. Also, why to unemployed people have babies? If you can’t afford a child mentally, physically and FINANCIALLY, you use birth control. If you chose to get pregnant anyways, you are a selfish, lousy parent.

Why don't you go forward 100 years using current information?

i hope it crashed by 30 to 50 percent. how can rotten house in northwest london be sold for 500k to 650k?

plenty money for the boat people though eh £8 million quid a day!

Incomes are still being eroded by inflation and interest rates. The drop in disposable income hasn’t been felt yet. Affordability of new buyers and upsizers has dropped dramatically and will continue to do so. Either the gap will be filled by falling house prices or the market will stagnate for years.

unemployement? when all the jobs are 35k the price of the houses can't stay high where are the buyers? in the current market, there are no buyers.

16% gap?? 50% more likely.

It never fails to surprise just how much propaganda is perpetuated. Consider the facts - not the opinions!

Seems like a slow down. A cut in interest rate would help. Otherwise, it will become a recession.

A 10% fall in prices is a real terms 20% fall, taking account of inflation. If prices are not rising in a high inflation environment they're actually falling significantly

AI will take a lot of jobs in the next few years crash will come for sure.

Factors working against property:-
1)high interest rates.
2)unemployment risk.
3)landlord stranglehold.
4)unaffordable.
5)cost of living increases.
6)landlords selling.
The whole house of cards triggered by Brexit.

It does seem to me that housing markets in a lot of places are about 20% overvalued, beyond the most optimistic pricing. It's not as crazy as 2008, but I see a bugger correction. I think it will pick up the falling pace in November/December.

1. By then, the high loan rates will be firmly in place for a long time.
2. The new constructions actually were quite high. The materials got expensive, brought up the prices, then fell back down, but prices have stuck, and developers rushed on this gold mine. A lot of the projects they have started are just finishing construction now.
3. There hasn't been pressure for someone sitting on a finished project. Winter will bring up the heating prices, so there will be more selling pressure.
4. Currently people are already squeezed as much as they can be. With the higher heating prices in the winter, some might break and be forced to sell.
5. Technicals look like they formed a double top.
6. Fundamentals show that at about 20% lower housing prices a lot more (still wealthy, but not obscenely wealthy) will be able to afford a mortgage at these interest rates.
7. Housing seasonality will make prices fall too.
8. The free market is at a standoff. The housing prices are too high, so no one buys them, but sellers are unwilling to sell. Sellers will be under more pressure. So supply should move to where these is a demand. The way to bring up the demand is to make people want houses more, or make them richer, which both don't look like they are happening.

I am actually really confident in this drop starting September/October, going to December/January and depending on the velocity we develop it might just be a small one like (5%), or it can continue and bring the prices down 20% to where they need to be. I don't see crash as likely, but if the drop is quick and too much velocity is picked up, moves like these tend to overshoot.

20 percent of UK population is below poverty line highest in western world…now poor people can they buy homes? This is a market crash

I hope house prices completely crash, ridiculous prices for shit houses beyond absurd , £500k for a 65m2 nearly
about to collapse in London ? That`s just bullshit

Only time when houses crash is when there is a sudden disruption to supply and demand balance. For instance, 2008 they had lots of properties when lots of homeowners defaulted and had their properties repossessed. This caused a sudden boost to supply and caused house prices to drop very suddenly. This is an extreme example whereas under the current circumstances if we did have sudden repossessions like in 2008, the demand is so much higher that the impact on the supply wouldn’t be severe and the prices would only drop slightly. For as long as there are people, there will always be demand for houses

To say theres not going to be a crash is naive and not fully informed. Fiat is ending. The FED have nowhere to go. The economy is on its way down, So why wouldnt the housing market fall with it.. Just because theres a lag doesnt mean its not happening.. Why are so many landlords selling their portfolios tho?

I'm 54 and my wife and I are VERY worried about our future, gas and food prices rising daily. We have had our savings dwindle with the cost of living into the stratosphere, and we are finding it impossible to replace them. We can get by, but can't seem to get ahead. My condolences to anyone retiring in this crisis, 30 years nonstop just for a crooked system to take all you worked for.

UK became real HELL on EARTH for its citizen last 10 years, like it is not even same country it once used to be. The speed of that change is unbelievable... 14th increase of interest rates ? This will impact mortgage holders as well as renters

Prices fell 30% in the 2009 crash

20% correction minimum... rates will not fall below 3.5% again..

Both crashes and corrections are always slow punctures, panning out over several years, precisely because properties are illiquid assets and take time to sell. This time round we have the slowing factor of fixed-term, fixed-rate mortgages being far more common than they were during the 2008 and 1990 crashes, but in itself that's not enough to counter the fundamentals.

Housing has never and will never crash as demand will always surpass supply. Its a basic human need that everyone needs.

If anything it will become so expensive that it will cause serious societal issues

It is not a crash more a staged collapse, this has been planned by the Government.

16% rates or a complete collapse of the £ buying power. ooh hoices.....🙂

Define "crash". Back down to 3.5x avarage single income? I don't think so!
UK's avarage fulltime wage is £33k and the average home is currently £286k.
I bought my first house in 1991 for £35k on a £12.5k salary, and even that left me hard up for a good few years. When we get back to those equations we can say "crash", otherwise it's just a drop to something most young people STILL cannot qualify for. A drop is coming for sure, but that's all it'll be.

I hope U.K. property has 50 percent crash

I shouldn't have to pay 25 times average wage for an average house. A ridiculous amount driven up by a quarter century of 300 thousand immigrants annually. But hey at least the boomers houses are going up in value must be nice to 20k for a property and then they got all those cheap extensions using eastern european labour so now their property they rattle around in is worth half a million. Good for them, hurry up and die you disgusting cretins. First generation to sacrifice the youth to make their own lives better. Trully disgusting. They spit in the faces of war heroes who fought for this country.

Does anyone know what time the walmart on the west side of Amarillo closes today? Got a few things I want to grab after work

I love how Francine is trying to do English accent😂

Typical Bloomberg ivory tower bs. Get down here on the streets, “slow puncture” yes and it’s ignored, irreparable, and just around the corner is the unexpected world economic disaster event and flat tyres won’t stop the inevitable crash.

Let the torries buy all the homes. They're the only ones with any money.

The presenter is absolutely desperate for them to say that UK housing is going to crash. Sadly for her the data doesn’t fit her narrative.

Housing in the UK wont drop by that much we don't have enough houses for the people here. Let alone those who buy from abroad and don't live here. All you will have is cash buyers coming in and those trying to get on the ladder will have less of a chance. I had £24k for deposit which was 10% at the time around 5 years ago. No one would give me a mortgage and I feel like I've dodged a nuclear missile.

Learn from Canada. As long as you pump enough new immigrants so that there is a housing shortage and people are pushed to sleep on streets, the housing market will be fine.

The HMRC and valuers use the government ONS HPI official UK average monthly house price percentage increases. For example, the government reported a 10.8% increase in Dec 2021 but the real figures are Jan-2021 £249,690 to Dec-21 which is £268,115 which is 7.4%. To be clear my calculations include Januaries Increase that goes back to December and Decembers increase that goes back to November. I include the 12 percentage increases for 2021 but the ONS include Decembers twice. The golden rule of accounting is there are only 12 and if you include 13 you can be in serious trouble. Please comment?

House prices don't crash, they fall in line with the external forces that've already been mentioned... unemployment rising, inflation, interest rates etc... and, if you look at 89-96 and 2007 - 2014, you'll see they took a steady slide over a few years before bottoming out.

Nobody but the top 1% is buying properties over £1m

It’s basically a very rich and old people’s market.

Irrelevant

Is going to crash around 15% untill next year

The theme song to this channel sounds like some epic prate movie soundtrack.

Correction, the crash comea after a peak around 2026. 18.6 year price cycle.

never happened, until it does, that's how subprime crisis happened, clueless

Welcome London ❤

unfortunately it is on its way down, however id love to get a pint with this guy. Seems like a good guy.