Are we in a bubble market?
#17
Re: Are we in a bubble market?
Why don't I do even better and move up north and commute? I hear you can get a 4-bedder in the Toon for under 100k....
I suppose one of the benefits of the booming market is that it's pushed people into places like Shoreditch, Stoke Newington and Hackney and points further east, bringing rapid gentrification with them.
The other downside is that the working classes have been priced out of their old habitual neighbourhoods just as the middle classes are being priced out of their old habitual neighbourhoods and the merely rich out of Kensington. You're right, why cry for someone forced to buy in Hackney because he can't afford Islington, but at least he can still buy *something*. The real losers are the working/lower middle classes who simply cannot afford the kind of property they might have grown up in through the early 1990s as they simply can't afford to buy anything in London anymore.
What's also really quite remarkable is how rapidly London property prices have escalated. Certain boroughs are reporting a 30% year to year increase in the past year alone.
I suppose one of the benefits of the booming market is that it's pushed people into places like Shoreditch, Stoke Newington and Hackney and points further east, bringing rapid gentrification with them.
The other downside is that the working classes have been priced out of their old habitual neighbourhoods just as the middle classes are being priced out of their old habitual neighbourhoods and the merely rich out of Kensington. You're right, why cry for someone forced to buy in Hackney because he can't afford Islington, but at least he can still buy *something*. The real losers are the working/lower middle classes who simply cannot afford the kind of property they might have grown up in through the early 1990s as they simply can't afford to buy anything in London anymore.
What's also really quite remarkable is how rapidly London property prices have escalated. Certain boroughs are reporting a 30% year to year increase in the past year alone.
What gets my goat a little is when someone complains about a place costing more than a million pounds. You have nothing to complain about. If you are sincere in your post above then you should go and live in East Ham and donate the 800k to several deserving families.
#18
Lost in BE Cyberspace
Joined: Jul 2007
Posts: 13,553
Re: Are we in a bubble market?
Interesting..........
......... that when the OP asked about a 'bubble market', most people assumed he was talking about house prices. I suspect we are in for something much more dramatic, and much more broadly-based, and across a number of sectors, industries and asset types.........
......... that when the OP asked about a 'bubble market', most people assumed he was talking about house prices. I suspect we are in for something much more dramatic, and much more broadly-based, and across a number of sectors, industries and asset types.........
#19
Account Closed
Joined: Feb 2011
Posts: 0
Re: Are we in a bubble market?
Is that what you would do?
#20
Re: Are we in a bubble market?
Interesting..........
......... that when the OP asked about a 'bubble market', most people assumed he was talking about house prices. I suspect we are in for something much more dramatic, and much more broadly-based, and across a number of sectors, industries and asset types.........
......... that when the OP asked about a 'bubble market', most people assumed he was talking about house prices. I suspect we are in for something much more dramatic, and much more broadly-based, and across a number of sectors, industries and asset types.........
#23
Re: Are we in a bubble market?
I wasn't moaning about what I could/couldn't buy for a million quid and then in the very next post say how bad it was for the poor people.
I do my bit, but no I wouldn't, I am far too busy brunching, and racking up huge debts, I reckon I can carry on for another month or two before my midnight flit.
I do my bit, but no I wouldn't, I am far too busy brunching, and racking up huge debts, I reckon I can carry on for another month or two before my midnight flit.
#24
Account Closed
Joined: Feb 2011
Posts: 0
Re: Are we in a bubble market?
I wasn't moaning about what I could/couldn't buy for a million quid and then in the very next post say how bad it was for the poor people.
I do my bit, but no I wouldn't, I am far too busy brunching, and racking up huge debts, I reckon I can carry on for another month or two before my midnight flit.
I do my bit, but no I wouldn't, I am far too busy brunching, and racking up huge debts, I reckon I can carry on for another month or two before my midnight flit.
As you were.
#26
Re: Are we in a bubble market?
Just over a month ago Richard Buxton, the new chief of Old Mutual, went on record to say that he essentially thought markets (specifically the UK) were poised for a decade of strong returns averaging 7%. A number of other prominent investment folk agreed with him.
I have kept the article about this from The Times. I don't think everything is doom and gloom, but I did find their comments curious in that it's rare to find such positive comments from people in the industry when many are forecasting bad times to come.
Views on many Western investment markets are positive for the next year from most fund managers right now.
As with everything, time will tell.
I have kept the article about this from The Times. I don't think everything is doom and gloom, but I did find their comments curious in that it's rare to find such positive comments from people in the industry when many are forecasting bad times to come.
Views on many Western investment markets are positive for the next year from most fund managers right now.
As with everything, time will tell.
#27
Re: Are we in a bubble market?
Just over a month ago Richard Buxton, the new chief of Old Mutual, went on record to say that he essentially thought markets (specifically the UK) were poised for a decade of strong returns averaging 7%. A number of other prominent investment folk agreed with him.
I have kept the article about this from The Times. I don't think everything is doom and gloom, but I did find their comments curious in that it's rare to find such positive comments from people in the industry when many are forecasting bad times to come.
Views on many Western investment markets are positive for the next year from most fund managers right now.
As with everything, time will tell.
I have kept the article about this from The Times. I don't think everything is doom and gloom, but I did find their comments curious in that it's rare to find such positive comments from people in the industry when many are forecasting bad times to come.
Views on many Western investment markets are positive for the next year from most fund managers right now.
As with everything, time will tell.
#28
Re: Are we in a bubble market?
Though essentially, inflation adjusted, wages in major developed countries have been falling for about a decade now and it's never bothered our economic outlook before.
Interesting thoughts on the QE effects on asset classes, however I'm not convinced central banks will stop or push rates without some inflation and with populations aging and everyone still playing the ZIRP game.
Interesting thoughts on the QE effects on asset classes, however I'm not convinced central banks will stop or push rates without some inflation and with populations aging and everyone still playing the ZIRP game.