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  • FIRST POST
    • knightstyle
    • By knightstyle 4th Feb 18, 2:03 PM
    • 4,604Posts
    • 1,699Thanks
    knightstyle
    Housing market?
    • #1
    • 4th Feb 18, 2:03 PM
    Housing market? 4th Feb 18 at 2:03 PM
    I know many say that the market is depressed but here in NE Lincs/Notts things seem to be moving fast.
    DD just sold in 8 days and friends sold/bought in 3 days! Not exchanged yet but lots of interest in each case.
    Plus our friends offered £5k over the asking to secure their dream house the same day as it came to the market.
Page 2
    • Crashy Time
    • By Crashy Time 11th Feb 18, 1:22 PM
    • 5,531 Posts
    • 2,272 Thanks
    Crashy Time
    No, generally people who understand value in housing probably have a particular talent for that or have worked really hard to improve their knowledge in the area. EA just a sales person, EAs work on being better sales people and general public usually dont understand value of many things tbh.
    Originally posted by PokerPlayer111

    The bankers played a blinder in adjusting most people`s perceptions of "value" in housing up, way up even I have to give them some credit (no pun intended) for that!
    • buggy_boy
    • By buggy_boy 11th Feb 18, 9:00 PM
    • 146 Posts
    • 91 Thanks
    buggy_boy
    "Everyone"? I seriously doubt that, if the business isn`t viable it just isn`t viable, and lenders will be tight, LTD co. or not IMO.


    "At the same time, real rents have fallen 4.4% across the UK, it claimed"


    And of course rising rates will push over-leveraged BTL out of the game before they can figure out what a LTD co. is, and of course this is what the PTB are now aiming for
    Originally posted by Crashy Time
    Thats your opinion, you have no actually knowledge of the housing market, clearly shown by the years you have been claiming a crash is coming. A business can be viable in a limited company as it is not subject to the same taxation, in fact if you do it the right way and are a 40% tax payer because of the obscure new taxation it can make the difference between the business making a loss to it making a healthy profit. That may of course change in the future but at the moment this is the case..

    Different people have different ways of raising money and I would agree for the massively in debt the days of BTL are numbered but that is a small minority.

    Where are these rate rises? all we have seen is rates return to 0.5% after a knee-jerk drop after the Brexit vote.. Carney has been promising rises for ages but every time it comes to it they find an excuse not to raise rates... Although rates will likely raise they will not be rising fast, maybe go up to 3% in the next 5 years, Any landlords that can't handle this rise have not done enough due diligence...
    • lizphilip8
    • By lizphilip8 12th Feb 18, 11:25 AM
    • 3 Posts
    • 0 Thanks
    lizphilip8
    I totally agree with Gwendo.

    Housing price varies from one location to another. My sister has a house in Cambridge. Previously she intended to buy in Peterborough. There was a huge difference in price and we believe location played a major role in that.
    • Crashy Time
    • By Crashy Time 12th Feb 18, 5:51 PM
    • 5,531 Posts
    • 2,272 Thanks
    Crashy Time
    https://www.propertyforum.com/property-in-the-uk/uk-house-prices-show-first-annual-decline-six-years.html


    They are spot on about negative press coverage affecting sentiment.
    • jimbog
    • By jimbog 12th Feb 18, 9:03 PM
    • 649 Posts
    • 1,034 Thanks
    jimbog
    I totally agree with Gwendo.

    Housing price varies from one location to another. My sister has a house in Cambridge. Previously she intended to buy in Peterborough. There was a huge difference in price and we believe location played a major role in that.
    Originally posted by lizphilip8
    Absolutely the case. Cambridge, in particular the Science Park, has a great pull on talent
    The problem with quotations on the internet is that you can never verify their authenticity - Abraham Lincoln
    • Crashy Time
    • By Crashy Time 13th Feb 18, 11:54 AM
    • 5,531 Posts
    • 2,272 Thanks
    Crashy Time
    Absolutely the case. Cambridge, in particular the Science Park, has a great pull on talent
    Originally posted by jimbog

    How is Brexit going to affect that though?
    • buggy_boy
    • By buggy_boy 13th Feb 18, 2:43 PM
    • 146 Posts
    • 91 Thanks
    buggy_boy
    How is Brexit going to affect that though?
    Originally posted by Crashy Time
    Good question, really depends on the deal, we still have no idea what it will be.. The government might decide to inject money into these sorts of areas so it might go up, on the other flip side it might go down...

    Both Cambridge and Oxford house prices are relatively high because of the universities, I don't think Brexit will stop foreign students coming to these universities... Will they be able to stay, I would hope so, in which case its unlikely to have as big of an effect on house prices in these areas as maybe other areas.
    • Crashy Time
    • By Crashy Time 13th Feb 18, 4:51 PM
    • 5,531 Posts
    • 2,272 Thanks
    Crashy Time
    Thats your opinion, you have no actually knowledge of the housing market, clearly shown by the years you have been claiming a crash is coming. A business can be viable in a limited company as it is not subject to the same taxation, in fact if you do it the right way and are a 40% tax payer because of the obscure new taxation it can make the difference between the business making a loss to it making a healthy profit. That may of course change in the future but at the moment this is the case..

    Different people have different ways of raising money and I would agree for the massively in debt the days of BTL are numbered but that is a small minority.

    Where are these rate rises? all we have seen is rates return to 0.5% after a knee-jerk drop after the Brexit vote.. Carney has been promising rises for ages but every time it comes to it they find an excuse not to raise rates... Although rates will likely raise they will not be rising fast, maybe go up to 3% in the next 5 years, Any landlords that can't handle this rise have not done enough due diligence...
    Originally posted by buggy_boy

    You don`t know this though, you are speculating, the best informed talking heads on Bloomberg don`t know this either, they are speculating, but one thing is sure all the media buzz is about rising rates now, whereas before it was about co-ordinated central bank efforts to keep rates low, that is something to take seriously if you are thinking of splashing out big debt on a property IMO. Also do you think the sorts of people who dived into BTL for a bit of tax free cash in hand rent from a mate of a mate are going to bother with the hassle of becoming a Ltd co, and put themselves on the HMRC radar by doing so? Many will sell up, and many won`t bother in the first place IMO.
    • jimbog
    • By jimbog 13th Feb 18, 5:55 PM
    • 649 Posts
    • 1,034 Thanks
    jimbog

    Both Cambridge and Oxford house prices are relatively high because of the universities, I don't think Brexit will stop foreign students coming to these universities... Will they be able to stay, I would hope so, in which case its unlikely to have as big of an effect on house prices in these areas as maybe other areas.
    Originally posted by buggy_boy
    This is very much the case - the demand for places at Oxbridge always exceeds the places available
    The problem with quotations on the internet is that you can never verify their authenticity - Abraham Lincoln
    • ognum
    • By ognum 13th Feb 18, 8:53 PM
    • 4,538 Posts
    • 6,887 Thanks
    ognum
    This is very much the case - the demand for places at Oxbridge always exceeds the places available
    Originally posted by jimbog
    Seems to me you know little about housing in Cambridge.

    Student at Cambridge University are almost wholly housed in College accommodation. That is what the college system at Cambridge’s University is for, accommodation and tutorial support.

    Housing in Cambridge I see not expensive because of the University staff, they are for the most part on average wages. The issue in Cambridge dirt isn’t the amount of property owned by the University and the Colleges.

    The high paid workers are almost all employed in High Tech, Drug development and industries base do on the Science Park or on the Addenbrookes Park.
    • buggy_boy
    • By buggy_boy 13th Feb 18, 9:05 PM
    • 146 Posts
    • 91 Thanks
    buggy_boy
    You don`t know this though, you are speculating, the best informed talking heads on Bloomberg don`t know this either, they are speculating, but one thing is sure all the media buzz is about rising rates now, whereas before it was about co-ordinated central bank efforts to keep rates low, that is something to take seriously if you are thinking of splashing out big debt on a property IMO. Also do you think the sorts of people who dived into BTL for a bit of tax free cash in hand rent from a mate of a mate are going to bother with the hassle of becoming a Ltd co, and put themselves on the HMRC radar by doing so? Many will sell up, and many won`t bother in the first place IMO.
    Originally posted by Crashy Time

    You think rates are going to suddenly shoot up then do you? yes its a guess but its an educated guess based on economic predictions and the facts the government owes loads of money so is unlikely to want to see rates rise and we have brexit coming up, its unlikely the BoE will want to see a massive jump in interest rates.

    Actually the media is talking about two rate rises this year, thats likely to be all of 0.5%, all the media reports are based on Carney's comments, however if you look back over the last few years Carney has been warning of the same thing however always finds an excuse not to raise rates.

    How many landlords get cash in hand from a mate of a mate? Where are your stats, I just can't see this being true.. buying of BTL in company structure has rocketed, buying a property in a ltd company does not put you any more in the radar of HMRC, there are more opportunities as a 40% tax payer to be tax efficient. The PRS is changing, probably for the better, the amateurs are being driven out and the risky high LTV is not going to work any more. That does not mean it is dead, people who inherit property and more professional landlords are adapting.
    • Crashy Time
    • By Crashy Time 14th Feb 18, 12:57 PM
    • 5,531 Posts
    • 2,272 Thanks
    Crashy Time
    Seems to me you know little about housing in Cambridge.

    Student at Cambridge University are almost wholly housed in College accommodation. That is what the college system at Cambridge’s University is for, accommodation and tutorial support.

    Housing in Cambridge I see not expensive because of the University staff, they are for the most part on average wages. The issue in Cambridge dirt isn’t the amount of property owned by the University and the Colleges.

    The high paid workers are almost all employed in High Tech, Drug development and industries base do on the Science Park or on the Addenbrookes Park.
    Originally posted by ognum

    Yep, and add the backdrop of a credit driven property bubble and these "super desirable" places to live and work shoot up in price, both Cambridge and Oxford markets could turn very quickly IMO.
    • Crashy Time
    • By Crashy Time 14th Feb 18, 1:03 PM
    • 5,531 Posts
    • 2,272 Thanks
    Crashy Time
    You think rates are going to suddenly shoot up then do you? yes its a guess but its an educated guess based on economic predictions and the facts the government owes loads of money so is unlikely to want to see rates rise and we have brexit coming up, its unlikely the BoE will want to see a massive jump in interest rates.

    Actually the media is talking about two rate rises this year, thats likely to be all of 0.5%, all the media reports are based on Carney's comments, however if you look back over the last few years Carney has been warning of the same thing however always finds an excuse not to raise rates.

    How many landlords get cash in hand from a mate of a mate? Where are your stats, I just can't see this being true.. buying of BTL in company structure has rocketed, buying a property in a ltd company does not put you any more in the radar of HMRC, there are more opportunities as a 40% tax payer to be tax efficient. The PRS is changing, probably for the better, the amateurs are being driven out and the risky high LTV is not going to work any more. That does not mean it is dead, people who inherit property and more professional landlords are adapting.
    Originally posted by buggy_boy

    That is not how global currency/bond markets work though is it, or no country would ever be in trouble with it`s debt or even suffer a downturn if they could just hold rates low forever? It`s obvious the BOE don`t WANT rates to spike up, neither do masses of over-indebted UK residents, but that doesn`t mean rates CAN`T jump up does it?
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