Housing market prices...?

Question

Does anyone think the prices in housing market will reduce in 2008

That is a good site Ryan-thanks

Answer 1

I think this is about the UK market? If so no, afraid not.

Most analysts seem to agree further growth is likely, although as interest rates hikes start to bite its not necessarily going to grow at a phenomenal pace. There are many things which underpin a housing market, from macro ecnomic conditions to local conditions... but fundamentally there is a supply and demand issue in the UK, where there simply isn't enough of the right sort of property available. Also, the buy-to-let market continues to grow significantly, which is pushing up prices as people look to invest in property and are happy to pay a premium with the promise of equity gains.

Furthermore! People seem to constantly fall back on some strange gravitational theory with house prices saying "what goes up must come down" - and suggesting inevitably they will go down again. Whilst its true the market is cyclical, and there should be times of growth and decline, there is no guarantee this will happen soon - and no gurantee that they will drop significantly. I recall my parents bought their first house for around £25k many years ago - the same property would now cost around £350k and it will never return to anything close to £25k!

Answer 2

It will probably depend on where you look. Even when the prices went down in most parts of the US, some regions were up. And that also counts for Great Britain and a lot of other countries. If it's for investment you better look at other countries like Bulgaria and Romania, both joined the European Community this year, where prices will rise with double digit % for the next 5-10 years.

Answer 3

The reinstatement value is the cost of rebuilding a property for insurance purposes. There is no ratio but it is based on: demolition and clearance of the site shoring up of neighbouring buildings rebuilding costs professional fees geographical factors type of building (flat, bungalow, 3 storey town house) Each type of building will have a cost per sq.m. based on location and construction methods and these figures are published by BCIS as a guide throughout the construction industry. The reinstatement value has no bearing on 'open market value' of a property.

Answer 4

Sooner or later, I suspect still later, these people who have not and will not acknowledge their houses just are not worth what they are asking in our current market will have to start lowering the prices. I suspect it will bleed over into 2008 BEFORE they lower prices.

Answer 5

I think it depends on where you live, if there is alot of surplus on the market yes, but say where I live no, there is very little worth buying on the market, our area values continue to rise and houses sell for what they ask and very quickly if they are not fixer uppers.

Answer 6

Prices in some areas already went down, but I think they will stay the same in the next year.

Answer 7

parts of the Las Vegas market seem to be firming and going up slightly, other parts still sliding. It really depends on what type of housing you are looking for (single family, condo, hi-rise, etc) and where (city and state) its located.

Answer 8

look around they are already reduced and keep going down . It is a shame cause alot of ppl around me are trying to sell their house and cant.

Answer 9

I hope so. Its happened every time in the past and I dont see why it shouldnt happen again. have a look at this site - housepricecrash.co.uk its a discussion forum

Answer 10

No i dont think they will reduce, more likely to stay the same.