Henry Pryor on Property

When we started Pryor on Property the idea was to have a brief weekly update on the property market and provide loyal Tiscali subscribers with an insight into the tricks of the trade and a genuine report on the state of the market. What we hadn't expected was the reaction we would get and just how knowledgeable so many of you are.

As you will have noticed, at the end of each article there is an opportunity to either comment in the forum or to email me with your reaction. Thousands of people have been reading these contributions and many have become regular correspondents.

This week, we will be addressing some of the questions that we have received and sharing some of the differing views that have been expressed. It's clear that Tiscali readers are on the whole well read and an eloquent bunch although as you'd expect, not everyone agrees with me.

Property Prices

Louisa in Devon was one of many who has welcomed what she felt was my honest appraisal of the property market. She asks "I'm an unencumbered cash buyer and have been seriously looking since August 2007 for a home. Can you give me examples were property has been for sale for 6 months to a year and there has been no sale?"

I have written on a number of occasions about where to go to find this kind of information. There are many websites that provide help in how long property has been on the market. One of the best resources though is Property Snake (www.propertysnake.co.uk) who list properties that have had a price reduction. They don't cover every property but they will give you a good idea of what is being marked down.

Rupert in Surrey wrote to remind me that there are wide regional variations when it comes to price rises - and falls. He's right and as I try to point out prices may be rising in one town but falling in another. All the housing surveys have both headline figures that the newspapers will report and more detailed breakdowns which you need to read the report ot see.

HIPS

Joan emailed me earlier in the month on the subject of Home Information Packs. "Wouldn't it be helpful to the market", she said, "if there was a campaign to abolish HiPs as they aren't helping anyone and" while we were about it she thought "also there should be radical changes to the levels of Stanp Duty charged on property purchases."

Well the good news Joan is that there is a continuing campaign to abolish HiPs and a petition on the Downing Street website to allow so called 'first day marketing' has garnered over 9,000 signatures - although nearly 50,000 have signed the petition to make Jeremy Clarkson prime minister. The CML, NAEA, RICS and many others have lobbied for a change to the Stamp Duty rules but I can't see the Treasury taking a blind bit of notice.

Jobs

Several heart breaking emails came in in January following my suggestion that a slowing market would result in agents loosing their jobs. Julian wrote from Kent to say that he had been made redundant.

His employer had decided to bite the bullet and Julian and two colleagues had been made redundant. He suggested that the total in 2008 might be frightening and indeed this week a report that 4,000 agency offices might close would mean that 20,000 people could be out of work by Christmas. More than is expected to be shed by the City!

Misleading Headlines... (or "you're wrong, Henry!")

In January I also wrote about Rightmoves latest survey under the headline 'House Prices in Free fall'. Al suggested that this was perhaps a little overdone and Emna felt that my report that prices were falling by £1000 a week was a self fulfilling prophecy. "Such negative reports on tv and the like is the only thing that is making a weak market, only a year ago there was a major shortage", she says.

It's clear that Tiscali users are divided on whether articles about falling prices are the chicken or the egg. Some feel that reporting falls in prices begets falling prices and I'm the first to agree that confidence is everything in any open market.

However, I think that confidence has evaporated and the market is in turmoil. The question of whether comments like mine move a market will continue to be debated but one thing is clear. The little boy who pointed out the flaw in the Kings new wardrobe may have embarrassed those who had gone along with the illusion but he was quite correct and as Warren Buffet said, "It's only when the tide goes out that you can see who's been swimming in the buff!"

Keep the feedback coming please. I try to respond to everyone but please forgive me if I miss your contribution. Feel free to log in and leave a comment - you'll be surprised how quickly you will find another Tiscali user who will feel impelled to respond!

Share your thoughts

Do you disagree? Or agree? Let us know what you think and help shape future articles by emailing PryorOnProperty@mac.com