House Price CRASH WARNING - IT's Coming

Housing market crash warning. Fixed rate mortgages are now almost 6%. Current interest rates are 2.25%, so mortgage companies are now putting a 3.5% premium on a fixed rate mortgage. What does that tell you? That tells you that the mortgage lenders, the banks, feel that interest rates are going to soar. Add to that the really weak pound, which puts pressure to increase interest rates to attract overseas investment, to make the pound look more attractive. We— I've been doing, I feel like, almost daily videos on the housing market because daily it seems to change. But just think, in December the fixed rate mortgage was just over 2%, and how long ago was it that interest rates were 0.25%? And now within months, fixed rate mortgages are 6%. That is the highest it's been since, well, at least 12 years, by about 11 like 5%. It's crazy, crazy times. So look, this is not all doom and gloom, by the way, but I like to tell you what's going on. I believe in reality, and in reality, interest rates, the pressure for them to go up is significant, and that is priced into the futures, the swap rates as they call them, the predicted future interest rates and it's always the sign when the banks bang up their fixed rate mortgages. So yeah, add to that the fact that, um, we haven't had a correction since 2008. We've got a very high-priced property market right now, very difficult for first-time buyers to get in. So that all tells me that there's a big house price crash coming. Now I would love to know your thoughts on this. Number 1, do you think a house price crash is coming? Yes or no? Let me know in the comments. Number 2, if a house price crash is coming, what do you think the correction will be? Do you think it'd be 10%, 20%, 30%? So in 2008 it was 25 to 30%, and that happened within one year, much less than a year. So it was hard and fast, and that was caused by toxic loans and bad debt, basically, from the banking sector. And now we've had Brexit, pandemics, lockdowns, vaccines, we've had wars, huge inflation, massive taxation, and now the threat of soaring interest rates. So when you add all of that in, my views are it's coming very soon, and my views are it will be bigger than it was in 2008. So let me know what you think— correction, recession, or depression. So depression would be many years of negative growth or stagnation. Some people are saying 15%, 20%. Some people are saying 30% or more. I'm just going to stick my flag in the ground and say if it was nearly 30% in 2008, it's got to be more this time because there's so many more pressures in so many more areas. Um, David says he's been saying for the last 2 years 30%. David, I think if I had to make a bet, I'd agree with you. I'd say 30-35%. I wouldn't say 50%. I think that's a bit, um, too much, but I would say bigger than the last recession, which was 25-30%. Kevin thinks 40%. So it seems we're all in agreement that it's going to be pretty significant. Now, what does this mean? This means that homeowners' mortgages are going to go through the roof if they are on variable rate mortgages. Um, so people have got used to paying really low rate mortgages, maybe just the low hundreds of pounds. If you think 0.25% interest rate, um, that's going to be not many, not many pounds and pence, dollars and cents on a monthly basis. Uh, but if rates go up significantly and you end up with 6% fixed rates like you are, those mortgages that were in the low hundreds could be in the thousands. I saw someone who asked my advice today. If interest rates went up to 9%, her mortgage will be £5,500 a month. So this is the real threat, the real clear and present danger, that people's monthly repayments are going to go up significantly. So they'll be forced to sell because they won't have affordability. Um, so then when they're forced to sell, they have to sell quick, and when you sell quick, you sell cheap, and then when you sell cheap, you set the new low price, and then that becomes a self-fulfilling prophecy and prices drop. And when they drop, they usually drop hard and fast. Many of you are saying here 30% plus. Mark thinks 60%. So Tracy thinks 13% a year over the next 2 years. It seems like Rob is not the only doom-monger of Europe. It seems like many of you are, um, before. So indeed, many of us thought it might happen when the lockdown happened. I agree, Fazad. I was surprised that the housing market didn't drop, but if you think about it, there was no supply of houses to sell. So there was still more demand than supply. And then when we came out of lockdown, there was way more, um, demand than supply because there were very few houses on the market and everyone had come back, um, into the market. And then we had the stamp duty relief, and now we've had the stamp duty threshold increases. And all of these things delay it and delay it and delay it, but they only delay it, they don't avoid it. So Les has said, would I buy now? This is a good point, Les. I'm glad you've asked this because I now want to talk about opportunities and solutions. Look, I was taught by a billionaire, Andreas Panayiotou, a property billionaire— well, net worth billionaire. He said to me, look, Rob, on the way down you buy below market value, and on the way up you buy and add value. And I've always held that advice. So you can buy in any part of the market because here's the problem: Um, many people might watch this or have their own opinions and think, well, I better wait then. I better wait until the market has crashed. But I honestly did think that with the pandemic and the lockdowns, it would affect the property prices, um, worse than it did. Um, and you could end up waiting for years because the government could, um, make some intervention, or the Bank of England might not increase the rates like as predicted. So there's so many variables that you can't control. These fixed rates are being priced today based on fear of really high interest rates tomorrow, but things can happen tomorrow that can change the market. So what I would say is you want to try and buy in all parts of the cycle if you want to be an investor, if you want to be an owner of assets. Don't wait to buy property, buy property and wait. I would just buy well today, and if you think prices are going to drop, you want to buy with that in mind. So you want to make a slightly lower offer if you think prices are going to drop. But if it cash flows today and you can get that cash flow locked in— although these fixed-rate mortgages aren't very friendly at the moment— but if you can lock in a deal, um, uh, i.e., your mortgage won't go through the roof and you can lock in a profit, buy today. It's never too late to start, it's always too late to wait. So I've never really stopped buying since 2006. So what's that, 16 years? One thing I will say is when I see the market drop, I'm gonna go in hard, because once it drops, it'll happen really quickly if it's been like any other previous crashes. And if you wait for the crash, you could be Don't get ready, be ready. Don't wait, get ready now. Go and do some viewings, go and put some offers in, go and work out the average prices in your local town or city, because when the prices drop, they'll drop big. Many of you here are predicting 15 to 60% drop, and that's going to mean much higher yields, much lower purchase prices, much better investments, much more money to be made. More millionaires are made in a recession than at any other time. Observe the masses and do the opposite. Be greedy when others are fearful and fearful when others are greedy. This is, um, yeah, Rob has said if people make lower offers, that's what lowers the prices. Not necessarily, Rob. What lowers the prices is lower sale prices. Lower offers can have some impact, but it's the actual sale, lower sale price that drops the market. But yeah, um, people might put in lower offers now because of the now increase in fixed-rate mortgages and the fear of the market going down. And that becomes a self-fulfilling prophecy. It's called reflexivity, where the sentiment and emotion in the market drive the market rather than the fundamental numbers and the reality of the market. So if there's fear, fear drives the market down. If there's, you know, if we all believe that interest rates are going to go really high and prices are going to drop, that will end up— we will make that a self-fulfilling prophecy by our behaviors and actions. So the market actually reflects us, not us reflecting the market. Reflexivity, that's called. So yeah, it's very interesting times. Now look, if you'd like to learn to take advantage of this upcoming house price crash, which I think is due and gonna come and gonna be hard, if you'd like to make, manage, and multiply money, if you'd like to build assets that produce recurring income, buy property below market value, buy assets undervalued, take advantage of this massive correction, I recommend you join Rob.team. Rob.team is my digital financial education platform. It costs you less than 20 pence a day. You can cancel at any time. There's no ongoing contract, and you can learn to make, manage, and multiply money, learn how to invest in assets, learn how to get better financial education and knowledge, and learn how to take opportunity of, in, of good investment landscapes like we're moving into. Because every downside has an upside, and every stressing hides a blessing. So if you'd like to learn all of this stuff and join rob.team for less than 20 pence a day, cancel any time, no contract, go and join by opening a new window on the internet right now and typing in r-o-b dot t-e-a-m. Rob.team. I can see a lot of people going. I see when the numbers move, move the needle. So go join rob.team by typing in r-o-b team. Go join now, cost you less than a large coffee, nothing to lose. I reduced the fees right down from hundreds of dollars per course to just 20 pence a day, um, when the lockdown happened, as my way to give back. Um, the thing with free advice is it's worth every penny, but when you pay, you pay attention. So a small amount of investment will make you do the masterclasses and courses. There's the 9-module, 10-hour How to Invest series. You need this right now with the volatility of the market. This could really help you how to invest in real estate and gold and stock market and cryptos and other asset classes. 9 modules and 10 hours worth that you can get at no cost as a Rob.team member. Remember, cancel any time, no ongoing contract, content going back years since start of the lockdown, hundreds of hours worth all for less than 20 pence a day. And to join, it's really easy. You just type in rob.team, rob.team, in any web page. Go join now. Don't wait. It's never too late to start. It's always too late to wait. When all is said and done, more is said than done. I agree with Adrian in his comment. As you go and join rob.team, I'm going to answer Adrian's comment here. The toxic cocktail— that's a great phrase there, Adrian, because in the last recession of '08, we just had the toxic loans, didn't we? The bad debt from the banks. But now we've got Brexit, pandemic COVID lockdown, we've got the hundreds of billions spent on these things, um, we've got huge taxation, we've got huge inflation. Now we've got soaring interest rate rise, we've got the energy blackmail crisis. Soaring cost of living, all of this stuff. I, I love that. Well, I say I don't love the phrase, but I think it's an accurate phrase— a toxic cocktail. Um, but this is going to give great opportunity, so you've got to take your opportunity, and Rob.team will help you leverage the opportunity to build investments, to build recurring income. Courses, resources, and master classes all in Rob.team for less than 20 pence a day. Ian has said, I don't drink coffee, not saving nothing. I don't even reference the coffee anymore. Ian, you're a bit behind the eight ball. It's less than 20 pence a day, less than 20 pence a day, which has just turned to 10 pence a day because inflation. Oh, it's just turned to 5 pence a day. So go and join rob.team by typing in rob.team, rob.team, into any new web page. Um, I've got a community of many thousands of people. You get membership, get with your membership, you gain access to a WhatsApp group with me with the community where you can do Q&As. I do my Sunday sessions every Sunday. In fact, we're doing how to raise money to invest in property this coming Sunday. Perfect timing. Would you like to buy these distressed assets that are coming? These, you know, these price-corrected properties, these really good investments once the market corrects, and we're all agreeing in these comments that a correction is due. Well, if you'd like to invest in property and learn how to do that low and no money down and other people's money, We've got the How to Raise Money for Property Sunday Session Masterclass coming up in rob.team live. What happens is I do these live masterclasses myself or my millionaire mentors, and then they get put into the recording. That's why there's hundreds of hours going back years, because all the lives become a recording and then they stay. You cannot get any recordings of any of my live masterclass courses anywhere else except in rob.team. You get all the content going back. 21 Ways to Monetize Social Media Masterclass. How to Increase Your Earning Power Masterclass. How to Get Leads and Clients for Free Part 1 Masterclass. How to Get Leads and Clients for Free Part 2 Masterclass. Mindset and Money Masterclass. 9-module, 10-hour How to Invest series Masterclass. Money Saving Hackathon coming soon. All in Rob Moore. Rob.team. All of them there. Anyone around the world could join rob.team. I've got— we've got people from all countries around the world. It's digitally downloadable, and if the times are awkward for you for the lives, you can get the recordings. So what have you got to lose? Nothing. If you don't risk anything, you risk everything. So I'll see you in rob.team by typing in r-o-b dot t-e-a-m, rob.team, into a new web page, any web page. I'll see you there. Go join now, and I'll just do a quick summary while you're joining. Mortgage rates are soaring. Currently, the interest rates are 2.25%, but the new fixed-rate mortgages are 3.5% more than that. They're nearly 6%, which tells me and you that the banks fear that interest rates are going up significantly. The fears of the high rate— rates of interest rates and the weak pound and the high inflation are forcing pressure on interest rates upwards. Just what, 9 months ago a 2-year fix was 2.34%. Now it's almost 6%. The crash is coming. The depression is probably coming. There's going to be blood on the streets, but there's going to be winners because there's going to be opportunity. And I'd love to teach you how to take that opportunity. Um, but when all is said and none more is said than done, to know and not to do is not to know. So go go join rob.team. I'll see you there, and let me help you make, manage, and multiply money, start and scale a business, get better financial education and knowledge, invest into assets, better priced assets that produce recurring and multiple streams of income. It's all in rob.team. I'll see you there. Thanks for tuning in, and remember, if you don't risk anything, you risk everything. Let me know what you think in the comments. Do you think the crash is coming like I do? Many people were saying 15 to 60% crash in in the comments on this video. What do you think? Is it coming soon? And what do you think, um, the correction is going to be? Is it going to be 20%, 30%, or more? Let me know in the comments. I want you to have your say, and I'll get in the comments and let's chat. Thank you very much.