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Is this the calm before the storm for the UK housing market

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Replies: 46
By:
chisel
When: 31 Mar 10 11:48
Irishlad

I can not disagree with you abouit London..It is absolutely**ers. I had a Solicitor client buy a 1 bed flat last year for £360000. Apparently it is now roth £400k... MAD
By:
Reagan
When: 31 Mar 10 13:04
http://www.marketoracle.co.uk/images/2009/Mar/Money-Week_clip_image001.jpg

my favourite graph.

says it all when it comes to speculating markets. I know where we stand at the moment in my view.
By:
pablo
When: 01 Apr 10 20:05
reagan

do u think we are at ' return to normal ' ?
By:
Mikaad loves MILFs
When: 02 Apr 10 03:34
Who do u think are buying all these properties in London for 400k? Bankers, foreigners/cash buyers. Nice to see our bail out money goes to overinflating the housing market again. London is away on its own, the regions are in big trouble, bognor regis aside. Chisel knows credit is short to pieces for 5 years, we need the medicine before were forced to take it by the markets.
By:
subversion
When: 02 Apr 10 06:19
indeed Mikaad. i know plenty of cash-rich HK-chinese who are piling into the London market now

they dont see the market as high, because sterling has crashed... to them, with their USD-denominated purchasing power, London property seems dirt cheap
By:
Washington Irving
When: 03 Apr 10 01:09
sub,

That sounds dangerous to me. Out of interest are they expecting property to go up or the pound to strengthen or both, because I can't see the angle, I don't think you can expect much of a rental yield? Or is this the case of too much money chasing to few assets?
By:
subversion
When: 03 Apr 10 13:44
Washington - all kinds of reasons, mainly revolving around the historic links between the HK-Chinese and the UK, very weak GBP, and easy money in HK

some, as you say, are rolling in cash from the China boom etc, and are happy to park it in any assets they can

others want buy-to-lets

still others want foreign second homes

and theres always quite a few buying flats for their kids (since many HK-Chinese send their kids to UK for education)

so they are active in pretty much the entire spectrum of the London property market, from luxury west-end pads down to student accomodation

the London property market has always attracted this kind of hot money from abroad
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