house prices to fall by 76.4pc

[DimPrawn]

Well, that was a concise argument!! I read a very persuasive article yesterday on stamp duty. RICS has called for reductions because they believe it is exacerbating the slump, as buyers have to find almost 10,000 pounds when buying a reasonable sized house. In a falling market that is a tremendous amount of money to find and can be immediately lost by a fall in equity, whereas in a rising market increasing equity rapidly covers the outlay.

HIPS is distorting the market by reducing the availability of properties as people like myself wait for a change in government policy by the Tories which will correct the slump.

If you actually believe all of this crap you are spouting (boom was due to supply and demand, slump is due to HIPS and Tories will prevent house price falls) then you really are the latest and possibly greatest virtual village idiot we have.

[Diver]

If you actually believe all of this crap you are spouting (boom was due to supply and demand, slump is due to HIPS and Tories will prevent house price falls) then you really are the latest and possibly greatest virtual village idiot we have.

>snigger<

[Moscow Mule]

HIPS is distorting the market by reducing the availability of properties as people like myself wait for a change in government policy by the Tories which will correct the slump.

So a cost of c£500 (which can be offset if you choose the right agent) is putting you off selling a multi-hundred thousand quid asset?

[rootsnall]

If you actually believe all of this crap you are spouting (boom was due to supply and demand, slump is due to HIPS and Tories will prevent house price falls) then you really are the latest and possibly greatest virtual village idiot we have.

Thanks DP, no need for me to pen a more polite version now.

[Cyberman]

HIPS and stamp duty have little or no effect compared to the banks reviewing their lending policy.

.... but they do affect whether a potential buyer wants to buy or a potential seller wants to sell and the banks lending policy can become irrelevant as there is no market demand for their services.

[DimPrawn]

.... but they do affect whether a potential buyer wants to buy or a potential seller wants to sell and the banks lending policy can become irrelevant as there is no market demand for their services.

Oh Dear ™

[Diver]

Oh Dear ™

Er?

[Cyberman]

So a cost of c£500 (which can be offset if you choose the right agent) is putting you off selling a multi-hundred thousand quid asset?

No.... but a falling market will, when I expect the market to pick up in little over 2 years. Plus a HIP is only valid for a few months so if you do not sell in that time frame, yet more costs are incurred. Thus HIPS are deterring folk from marketing houses unless they are absolutely determined to sell. Estimates are that this has caused a fall of 25% in available houses on the market.

[Cyberman]

If you actually believe all of this crap you are spouting (boom was due to supply and demand, slump is due to HIPS and Tories will prevent house price falls) then you really are the latest and possibly greatest virtual village idiot we have.

You really are a DIM prawn !!

[Incognito]

.... but they do affect whether a potential buyer wants to buy or a potential seller wants to sell and the banks lending policy can become irrelevant as there is no market demand for their services.

The only way stamp duty is now affecting the current housing market is that the banks are not lending money unless you have a deposit. Gone are the days when you could get a 100% mortgage with the fees all added up on top. Easy credit is gone and the person at the bottom rung of the ladder has affectively been prevented from climbing up because they NOW have to find a deposit and the stamp duty. And that's down to the credit crunch now coming back to roost with a vengeance.

Suits me though, I'll just sit and wait a year then snap up a couple of more nice and cheap to add to the portfolio. (Stamp duty doesn't bother me)