Just put house up for sale...

[BertieBasset 10]

in a closed economy with no foreign trade exchange rates have no consequences...I bet you think you're the expert on everything, certainly not economics as you don't have even a basic comprehension.

 

Yes it will, it's part of why inflation exists in the first place.

 

People demand pay rises, the cost of raw materials increases (because the workers want more pay), the cost of secondary manufacturer increases (ie commodities being sold). The cycle is complete and the increased pay that was demanded buys just the same as it did before. Or to look at it the other way around money is worth less, the currency is devalued by the % that prices and wages inflated.

 

I don't know why I'm bothering to explain this, it's pretty clear that you don't understand inflation or basic economics and more to the point you don't really care.

[BertieBasset 10]

you didn't give a definition of inflation despite several requests....

 

I didn't reject it, are you slow or something? I said it's exactly the same as the definition I gave.

[numbercrunch 10]

in a closed economy with no foreign trade exchange rates have no consequences...I bet you think you're the expert on everything, certainly not economics as you don't have even a basic comprehension.

 

as you didn't reply to my question of your line of work, it seems you have some houses you are trying to sell (are you an estate agent or a developer?)

 

with your full grasp or economics, should you not have seen this crash coming?

 

i see you are trying to rent out the ones you can't sell - that must be hitting your cashflow (hope your bank manager is an understanding soul)

 

with all these factors, I won't be taking advice from you on the property market, thanks all the same.

[Cyclone 10]

in a closed economy with no foreign trade exchange rates have no consequences...I bet you think you're the expert on everything, certainly not economics as you don't have even a basic comprehension.

 

Whereas you do, and you've proven that by continually just going " you're wrong".

 

I suggest we stop this, it isn't going anywhere, it was never going anywhere from your first childish response. State your own opinion, and if you wish to argue with mine do so, but don't just keep saying "you're wrong" or "you don't understand", it doesn't help anyone and just wastes my time and everyones bandwidth.

[Cyclone 10]

Just to restate. This is what my opinion is. In which I say that inflation is barely under control (enough for BB to decide that I don't even know what inflation is apparently).

Just to back that up

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2008/06/12/bcninfla112.xml

http://www.marketoracle.co.uk/Article5149.html

There are more obviously, but 'inflation out of control' seems to be a popular headline.

Interest rates are not going to fall fast and mortgage multiples are not going to go back to 5* 100% or more.

 

The reason people aren't buying is that the mortgage situation has changed and they can't borrow as much. So if you lower your price and they see that they can afford it then you'll get viewings.

The asking price is the key thing that determines whether you'll get any interest, if it's cheap enough then someone will be interested in buying it, if it isn't then they won't. So that 'cheap enough' price is the true market value.

__________________

Normal has changed, this is the new normal. Mortgages are back to more sensible multiples, the interest rate isn't going to fall much as inflation is only barely under control and we are officially in a recession.

Market volumes will pick up again once the average selling price has fallen to the average amount that someone can borrow. And until the economy in general recovers (which could be anything from 6 months to 4 years) the upper end of the housing market will be depressed.

[BertieBasset 10]

wrong! Nothing for sale, all rented out. Keen to buy.

 

as you didn't reply to my question of your line of work, it seems you have some houses you are trying to sell (are you an estate agent or a developer?)

 

with your full grasp or economics, should you not have seen this crash coming?

 

i see you are trying to rent out the ones you can't sell - that must be hitting your cashflow (hope your bank manager is an understanding soul)

 

with all these factors, I won't be taking advice from you on the property market, thanks all the same.

[BertieBasset 10]

I've provided explanations of terms and concepts you were using very loosely. I'll let you get back to spying on the neighbours....

 

 

Whereas you do, and you've proven that by continually just going " you're wrong".

 

I suggest we stop this, it isn't going anywhere, it was never going anywhere from your first childish response. State your own opinion, and if you wish to argue with mine do so, but don't just keep saying "you're wrong" or "you don't understand", it doesn't help anyone and just wastes my time and everyones bandwidth.

[Cyclone 10]

No you haven't. You've provided a definition of inflation, which happens to be the same as the definition I used. Hardly proof that you are some economics master whereas I know nothing.

 

If you wish to continue being stupid, tell me, what was it in my original statement (posted just above for you) with reference to inflation that gave you any problems.

 

Do you disagree with my statement that "inflation is barely under control"? Do you desperately wish that you're going to be right and that interest rates will fall?

 

the interest rate isn't going to fall much as inflation is only barely under control

 

Which sparked you into a childish retort

 

you sound so sure of yourself, we should all listen up because Cyclone is here with all the answers....I don't think you even understand what inflation is!

 

Explain if you can how saying that inflation isn't under control indicates that I don't understand it.

 

And whilst we're at it, explain why sounding sure of myself upsets you.

You're not very timid yourself when putting forward your view, do you just get angry when someone disagrees?

[BertieBasset 10]

didn't you say you weren't going to reply anymore????

 

You didn't use a definition of inflation. Can't you remember what you did or didn't write?

 

Anyway how many people have been in and out of the neighbours house so far this morning....? I'm sure you'll know...

 

No you haven't. You've provided a definition of inflation, which happens to be the same as the definition I used. Hardly proof that you are some economics master whereas I know nothing.

 

If you wish to continue being stupid, tell me, what was it in my original statement (posted just above for you) with reference to inflation that gave you any problems.

 

Do you disagree with my statement that "inflation is barely under control"? Do you desperately wish that you're going to be right and that interest rates will fall?

 

 

 

Which sparked you into a childish retort

 

 

 

Explain if you can how saying that inflation isn't under control indicates that I don't understand it.

 

And whilst we're at it, explain why sounding sure of myself upsets you.

You're not very timid yourself when putting forward your view, do you just get angry when someone disagrees?

[Tomataheeed 10]

Any chance of you two settling this out of view of the rest of us ?....let us know who won though...Ta

[BertieBasset 10]

Are you going to substantiate this for example?????!

 

Cyclone quotes stats from data that can't even be collected yet, nevermind published. Classic!

 

 

and we are officially in a recession.

 

.

[Cyclone 10]

didn't you say you weren't going to reply anymore????

 

You didn't use a definition of inflation. Can't you remember what you did or didn't write?

 

Anyway how many people have been in and out of the neighbours house so far this morning....? I'm sure you'll know...

 

Avoiding the question eh, and just making little snipey remarks. Clearly a master debater.

 

You also can't read. I said I suggest that we stop this, not that I wasn't going to reply. I still suggest that we stop, but you're like a dog with a bone, you just can't let go.