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  • FIRST POST
    • obay
    • By obay 17th Mar 17, 6:15 AM
    • 310Posts
    • 191Thanks
    obay
    does house value rise?
    • #1
    • 17th Mar 17, 6:15 AM
    does house value rise? 17th Mar 17 at 6:15 AM
    we brought our house for £178k back in november, and we're currently sitting at a £148k mortgage, my wife doesn't like the house much for obvious reasons, we've had to do a lot of stuff we didn't want to do.

    the house had a broken roof(water leaking in the bedroom), 25 year old boiler, damp and mould issues, no insulation, dodgy electric that got condemned a few months ago, and genuinely not a great property to be in.

    we've now repaired and replaced everything in this house and brought it up to a good standard, IE we have gone around, removed all damp issues and mould replaced boiler, etc.

    There is a retail park opening up about 3 minutes down the road, the other end of town, the estate agent reckoned that within the next year or so, the house pricing will go up to over £250k...

    the house features the biggest garden on the street, new windows and doors also (new 'k-glass' windows)

    do you think we've retained value or has it reduced? do you think the house will be good for FTB? as that what I was hoping for because we got 'doped' into buying it as FTB.... and we are regretting this purchase now.
    1/12/16 - £152,599.00
Page 2
    • Davesnave
    • By Davesnave 17th Mar 17, 9:56 AM
    • 22,641 Posts
    • 87,535 Thanks
    Davesnave
    Maybe that depends on whether the money spent could be recovered. Often it cant.....

    That's the thing about quite a few houses - one can't recover all the money put into doing work on them. .
    Originally posted by moneyistooshorttomention
    The decision to buy, to do the work and choosing the level to which it is done is always the purchaser's.

    Therefore, it's wrong to try and pin the blame for that on anyone else.

    We've walked away from houses when the figures didn't stack-up. On this one, we had advice so that we knew what we could spend sensibly before starting renovations.

    A few of our friends are trapped in houses they can't sell and re-coup what they spent, so they rattle around in them rather than down-size. It was their choice. Like the OP, all they ever saw was prices rising rapidly. Well, since 2007 they haven't really done so here.
    'A society grows great when old men plant trees whose shade they'll never sit in.'
    • Tyler119
    • By Tyler119 17th Mar 17, 10:16 AM
    • 313 Posts
    • 122 Thanks
    Tyler119
    How big is the retail park to create 3500 jobs! The size required would make me wonder about the traffic conditions going forward.

    In time the wife may feel totally different about the house in a year or so. Our house was bought for a very reduced price, due to needing every doing, and I mean everything! We added a two storey extension, had a few contractors attempt to screw us over on money and at one point I couldnt go into the property for 2 months due to the stress. However we now live in the house and could not be happier with it. The work we did increased the value and the value of houses around us are also selling at a increased percentage over what we spent on work.

    Time sometimes is what is needed, as someone else said here, another property will only come with fresh issues.
    • Out, Vile Jelly
    • By Out, Vile Jelly 17th Mar 17, 10:28 AM
    • 3,424 Posts
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    Out, Vile Jelly
    I'm puzzled as to why you bought a house which needed so much work, most of which (old boiler, old electrics, damp) should have been obvious from your survey?

    If you move you'll have to pay stamp duty and various other costs. And then you still might have to replace a boiler!
    They are an EYESORES!!!!
    • cjdavies
    • By cjdavies 17th Mar 17, 1:30 PM
    • 2,400 Posts
    • 2,265 Thanks
    cjdavies
    House prices can go up or down, 2007 for example.
    Last edited by cjdavies; 17-03-2017 at 1:34 PM.
    • moneyistooshorttomention
    • By moneyistooshorttomention 17th Mar 17, 2:07 PM
    • 12,865 Posts
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    moneyistooshorttomention
    I'm puzzled as to why you bought a house which needed so much work, most of which (old boiler, old electrics, damp) should have been obvious from your survey?

    If you move you'll have to pay stamp duty and various other costs. And then you still might have to replace a boiler!
    Originally posted by Out, Vile Jelly
    Maybe the location is one that currently doesnt have that many houses for sale - and so it was "best of a bad lot". We aren't all in cities/fast-moving/etc type environment - and there'll be loads more along for sale soon. It is quite a shock to find how little is available for sale in any given location outside a fast-moving city.

    In a smaller location then there won't be many for sale at any given time and one has to either buy "best of a bad lot" or hang on and wait indefinitely and hope for something better to come to market.
    ploughing my own furrow...the rain begins with a single drop...

    #I'mWithNoel
    • glasgowdan
    • By glasgowdan 17th Mar 17, 2:42 PM
    • 2,262 Posts
    • 2,509 Thanks
    glasgowdan
    I'm not in a fast moving city and there are loads of houses going up for sale in the area. They're selling V quickly, it's a vibrant market. I can't say if prices are going up or down but I do often see prices that make me shake my head, then shake again 3 days later when they're under offer!
    • cashbackproblems
    • By cashbackproblems 17th Mar 17, 2:47 PM
    • 1,675 Posts
    • 640 Thanks
    cashbackproblems
    The economy is more important to house price values not a lick of paint. And its unlikely the next 2-5 years being anything spectacular with interest raise rises, brexit, inflation, landlords selling due to tax changes etc. So you could get a fall quite likely
    • lincroft1710
    • By lincroft1710 17th Mar 17, 3:05 PM
    • 9,426 Posts
    • 7,395 Thanks
    lincroft1710
    A lot of house pricing at the moment in our area are selling for £210kish. So I think the potential is there, my wife doesn't like the house because of all the improvements we've had to do in a short space of time! So I think she is looking for an exit when the 2 years fix is over with our current mortgage provider..

    I think the estate agent is right, with the potential of around 3500 new jobs to the area, I think it could be worth 250?
    Originally posted by obay
    3500 possible jobs seems far too many for just a retail park. In any case unless this is in a town with a huge unemployment problem, such a massive job creation is likely to be accompanied by an equally large housebuilding exercise.

    As you have to wait 2 years before you can move, enjoy your refurbished home and see if prices do start to rise. Also remember it can cost £10,000 to move house.
    • moneyistooshorttomention
    • By moneyistooshorttomention 17th Mar 17, 3:20 PM
    • 12,865 Posts
    • 35,333 Thanks
    moneyistooshorttomention
    3500 possible jobs seems far too many for just a retail park. In any case unless this is in a town with a huge unemployment problem, such a massive job creation is likely to be accompanied by an equally large housebuilding exercise.

    As you have to wait 2 years before you can move, enjoy your refurbished home and see if prices do start to rise. Also remember it can cost £10,000 to move house.
    Originally posted by lincroft1710
    It was around £9,000 for me to move house pretty recently - ie pretty much what I'd anticipated in that respect. That was moving from a starter terrace house in my own area to a detached house in better area in current location (that cost me a cheaper price).

    But - yes that does sound like one heck of a lot of jobs to expect to have created. I'm not used to seeing figures that high for job creation.

    For right now - Aberystwyth is about to have a Marks & Spencer shop right now (3 storey - so think it might be my own definition of standard size - at last!) and it is going to create 150 new jobs I gather (though I'm not sure how many of them are going to be full-time in fact). One (reasonable - I think?) size shop. Now multiply that up by however many retail outlets and it does still sound like a rather optimistic number of jobs to create at once.

    EDIT: Quick google says 35,000 square feet in size - for comparison purposes.
    Last edited by moneyistooshorttomention; 17-03-2017 at 3:23 PM.
    ploughing my own furrow...the rain begins with a single drop...

    #I'mWithNoel
    • lincroft1710
    • By lincroft1710 17th Mar 17, 3:25 PM
    • 9,426 Posts
    • 7,395 Thanks
    lincroft1710

    Aberystwyth is about to have a Marks & Spencer shop right now (3 storey - so think it might be my own definition of standard size - at last!) and it is going to create 150 new jobs I gather (though I'm not sure how many of them are going to be full-time in fact)
    Originally posted by moneyistooshorttomention
    I would guess (and I stress guess) 50% or more would be part time
    • obay
    • By obay 18th Mar 17, 7:06 AM
    • 310 Posts
    • 191 Thanks
    obay
    3500 possible jobs seems far too many for just a retail park. In any case unless this is in a town with a huge unemployment problem, such a massive job creation is likely to be accompanied by an equally large housebuilding exercise.

    As you have to wait 2 years before you can move, enjoy your refurbished home and see if prices do start to rise. Also remember it can cost £10,000 to move house.
    Originally posted by lincroft1710
    It's 35 acas of land they're developing on so, it's quite big! it's something to look forward to as it'll be closer then the nearest facility we have now! I cannot wait.

    I love and thank everyone for the replies, it's great to see so much feedback on this.

    I am hoping my wife changes her mind!
    1/12/16 - £152,599.00
    • martindow
    • By martindow 18th Mar 17, 10:48 AM
    • 7,085 Posts
    • 3,916 Thanks
    martindow
    Get a new Mrs, will be cheaper than changing house :-)
    Originally posted by JP1978
    Changing a Mrs can be very expensive. I'd get a house that she liked for an easier life.

    Why are you assuming that a retail park will increase the value of houses? I would think that it as likely to decrease values with increased traffic and lorries delivering at all hours.
    • Crashy Time
    • By Crashy Time 18th Mar 17, 11:30 AM
    • 4,413 Posts
    • 2,028 Thanks
    Crashy Time
    we brought our house for £178k back in november, and we're currently sitting at a £148k mortgage, my wife doesn't like the house much for obvious reasons, we've had to do a lot of stuff we didn't want to do.

    the house had a broken roof(water leaking in the bedroom), 25 year old boiler, damp and mould issues, no insulation, dodgy electric that got condemned a few months ago, and genuinely not a great property to be in.

    we've now repaired and replaced everything in this house and brought it up to a good standard, IE we have gone around, removed all damp issues and mould replaced boiler, etc.

    There is a retail park opening up about 3 minutes down the road, the other end of town, the estate agent reckoned that within the next year or so, the house pricing will go up to over £250k...

    the house features the biggest garden on the street, new windows and doors also (new 'k-glass' windows)

    do you think we've retained value or has it reduced? do you think the house will be good for FTB? as that what I was hoping for because we got 'doped' into buying it as FTB.... and we are regretting this purchase now.
    Originally posted by obay

    I would take everything the EA says with a pinch of salt, if interest rates start rising house prices will start falling.
    • vw100
    • By vw100 18th Mar 17, 8:58 PM
    • 101 Posts
    • 48 Thanks
    vw100
    I would be worried about the traffic and the pollution that comes along being a near retail park especially around busy shopping times like xmas.
    • dave2
    • By dave2 19th Mar 17, 2:30 PM
    • 261 Posts
    • 134 Thanks
    dave2
    I don't quite understand why it is "obvious" your wife doesn't like the house much since it is presumably now (with all the improvements you have made) quite a nice house to live in?
    Originally posted by MobileSaver
    He says it was unexpected; sometimes people get a run of bad news on something and lose faith in it, associate it with bad memories. I imagine she is waiting on something else to go wrong.
    • AlexMac
    • By AlexMac 19th Mar 17, 3:20 PM
    • 1,857 Posts
    • 1,629 Thanks
    AlexMac
    Returning to the original Q...

    while no-one here seems to rate Zoopla, I'm quite impressed by the "value data and graphs" on the "house prices" tabs, which accurately reflect the way the market has moved in recent years in the areas I know best...

    which is, that after several years of steady recovery and price-rises since the falls in 2008 from a peak in 2007, increasess have flattened out in the past 12 months, and in a couple of areas, lost a tiny %.

    But your home isn't an investment like the FTSE... so as regards your response...
    ...I love and thank everyone for the replies, it's great to see so much feedback on this.

    I am hoping my wife changes her mind!
    Originally posted by obay
    ...I'd not be looking to spend another £10k to move again after only 6 months.
    In fact, look on the bright side. You've just come through the most miserable part of the year, during which time you were living in a building site. Or at least part of the time with cold and damp, a dodgy boiler and holes in the roof?

    As George Harrison sang "It's been a long, cold, lonely winter"...
    but
    ..."Here comes the sun"!
    • lincroft1710
    • By lincroft1710 19th Mar 17, 3:34 PM
    • 9,426 Posts
    • 7,395 Thanks
    lincroft1710
    We have a retail park about 2 miles, probably similar acreage, the vast majority of which is car parking and access road. Parking is vast but still difficult to find space at weekends and traffic to and from causes congestion problems. Apart from managers and the few stores which have salespersons on wage plus commission, most employees will be on National Minimum Wage or just above and many will be part time.

    If the proposed development goes ahead I cannot see hordes of people wanting (or able) to buy close to it.
    • Davesnave
    • By Davesnave 19th Mar 17, 7:01 PM
    • 22,641 Posts
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    Davesnave
    Apart from managers and the few stores which have salespersons on wage plus commission, most employees will be on National Minimum Wage or just above and many will be part time.
    Originally posted by lincroft1710
    The people with the better paid jobs may not want to live 'over the shop.'

    My daughter manages an outlet store in a not-so-great town's retail park, but she lives 35 miles away in Bristol. Although she's in that store now, it might be a different one next year, so it makes no sense to re-locate there.
    'A society grows great when old men plant trees whose shade they'll never sit in.'
    • Crashy Time
    • By Crashy Time 20th Mar 17, 10:59 AM
    • 4,413 Posts
    • 2,028 Thanks
    Crashy Time
    The economy is more important to house price values not a lick of paint. And its unlikely the next 2-5 years being anything spectacular with interest raise rises, brexit, inflation, landlords selling due to tax changes etc. So you could get a fall quite likely
    Originally posted by cashbackproblems

    Yes, people are looking at size, location and probably their own shrinking budget.
    • westernpromise
    • By westernpromise 20th Mar 17, 12:15 PM
    • 2,921 Posts
    • 3,461 Thanks
    westernpromise
    we brought our house
    Originally posted by obay
    Where did you bring it from? That sounds expensive.

    back in november, and...my wife doesn't like the house much for obvious reasons
    What were the reasons that were not obvious in November 2016 but are obvious now? In what way has the house changed since you fetched it away?

    the house had a broken roof(water leaking in the bedroom), 25 year old boiler, damp and mould issues, no insulation, dodgy electric that got condemned a few months ago, and genuinely not a great property to be in.
    Neither you nor your surveyor noticed any of this?

    do you think we've retained value or has it reduced?
    Your horizon of 4 months to look for inflationary gains is ridiculously short.

    What you have done has probably made it possible to sell it at all. In the condition it was apparently in when you bought it should have gone for a substantial discount.
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