House Sales Uk – Are The Special Circumstances Of The Present Financial Crisis Actually Holding Prices Up?
November 23, 2008 by admin
Filed under Real Estate
House Sales UK may appear to be in a bit of a slump, but there’s a hidden and possibly disturbing trend that might be holding prices at levels which are higher than they generally should be in the current financial situation. Paradoxically this state of affairs is all down to the way the current financial situation is hammering the big banks, their reputations and therefore their ability to raise funds and balance their books.
Just now there’s an ever growing number of individuals and Companies that buy Houses who are buying Homes just to have a safe home for their cash. These individuals and companies are cash rich. In normal times, we’d say they were fortunate to be cash rich. However, just now, being cash rich has all of a sudden become a very disquieting situation to be in.
Individuals in the UK only have the first £50,000 of their cash in a bank guaranteed by the government. Companies have no protection at all for their money at the bank. That makes them fairly keen to put their savings into something much more solid, because banks like any company can crash and disappear overnight, taking all their shareholders’ and customers’ cash with them.
Homes, conversely, can’t just disappear, and it’s completely unthinkable that their values can drop to absolute zero unless the whole western monetary system collapses. It’s true that no-one knows how far House Sales UK are away from the bottom price wise, what is absolutely sure is that the current financial situation has just about totally halted all House building. This means that it’s very likely that there’ll be a real & prolonged shortage of Homes for sale as soon as the economy picks up and confidence starts to return.
That is why there are lots of private individuals and Companies that buy Houses all trying urgently to get their “We buy Houses” message across to us all.
Their plan is to hold only just enough ready funds on hand to maintain their liquidity at a sensible level, and to spread this amongst several different Banks, so that if one fails, they’ll at least only lose part of their funds. After that, it’s very simple, they just need to sit on the Homes they’ve bought until House Sales UK prices hit the bottom, then rebound to beyond today’s price levels.
So, if you would like to sell a House fast, and you’re happy to offer a discount on the price in return for a quick sale without the need for estate agents & other fees, just call one of these companies or individuals that are advertising all over the various media, and challenge them to live up to their “We buy Houses fast” claim.




