One of Mervyn King's best phrases was:
"House prices are a matter of opinion,; debt is real."
Today is not April Fool's but this story sure is. Apparently poor estate agents are complaining that valuers are being mean and undervaluing houses; and this is dampening the market.
You would have thought that, just perhaps, having a realistic valuation would give a buyer and a bank confidence. Nor should it wreck the market, but encourage sensible buying and selling.
Perhaps commission hungry estate agents would want prices to be higher? This just shows their business illiteracy. More sales as cheaper prices would make them more than fewer sales at bigger prices.
Ho Hum. UK house prices have another 20% to fall at least, subject to the potential sudden effects of Quantitative Easing. I think we will be back heading downwards long before the election.