Impending house price crash

[AtW]

“ The economic situation will hit renters the hardest, the very people who landlords make their money from. A survey of renters in the Guardian found that one in five had been forced to choose between food and bills or paying rent, while six in 10 said they had suffered financially due to the shutdown. On average, a renting household spends a third of their income on rent, so even a temporary reduction in earnings will make many unable to pay.

New research by Shelter shows that 1.7 million renters expect to lose their job in the next three months, and 23pc of those surveyed said losing their job would leave them immediately unable to pay their rent. Meanwhile, universal credit will not cover rent payments in many areas of Britain.”

Why landlords could be the catalyst for an impending house price crash

[DimPrawn]

The Guardian talking down UK house prices, talking down the economy, talking down everything here, who's have thought it....

[scooterscot]

Marvellous news. The one asset class that remains overpriced to beyond ridiculous.

[DimPrawn]

So they've printed trillions of pounds, dollars, euros, yen etc and solid asset classes will fall?

I don't think so, I would expect a big jump in prices over the next few years.

[sasguru]

I'm one of those who thinks any recession will be sharp but short-lived.
WGAS about house prices anyway (whichever country you're in)?
That's for the plebs with mortgages and/or rental landlords at the lower end of the market to worry about.

[ChimpMaster]

House prices will adjust - they will have to because there is huge macroeconomic pressure, globally. In addition, section 24 taxation (removal of interest tax deductibility) will come into full force in the 2020/21 tax year, so specifically this will be a double hit on the UK market.

But I don't expect a crash and certainly not one that is long-lived. Interest rates will be kept low due to government borrowing, and employment will eventually pick up again. In the meantime the Tory government will fund the market through its massive money supply increase, in their new role as socialist overlords.

[DealorNoDeal]

I wonder what will happen to property prices in the Spanish Costas, Algarve, Florida etc?

After 2008 they tanked big time.

[sasguru]

I wonder what will happen to property prices in the Spanish Costas, Algarve, Florida etc?

After 2008 they tanked big time.

Let's hope it happens again. Been sitting on some cash for quite some time. It may well be worthless, but it'll be useful for buying some nice villa with a pool somewhere hot.

[AtW]

The Guardian talking down UK house prices, talking down the economy, talking down everything here, who's have thought it....

That's an article from ToryGraph...

[scooterscot]

House prices will adjust - they will have to because there is huge macroeconomic pressure, globally. In addition, section 24 taxation (removal of interest tax deductibility) will come into full force in the 2020/21 tax year, so specifically this will be a double hit on the UK market.

But I don't expect a crash and certainly not one that is long-lived. Interest rates will be kept low due to government borrowing, and employment will eventually pick up again. In the meantime the Tory government will fund the market through its massive money supply increase, in their new role as socialist overlords.

Cute.