ARRGHH. Persuade me to sit on my hands!

phil_b_2

fimonkey wrote: »

I have 31K in savings, so would be able to put a deposit of 25K, plus 4K for fee's and redecoration (and 2K kept back for emergencies).

That would mean a mortgage of £125K, at 7% repayment this would be: £893.85pm.

That is if you actually pay £150k for it. Why not offer £125k? Perhaps even less... your mortgage would shave down about £150 I think.

The way I see it is (and as many others have pointed out), if its a home which you intend to live in for at least 5 or so years, get it for a good price and can comfortably afford the mortgage then you arent doing the wrong thing buying now.

Put in a low ball offer, if it gets rejected completely and they wont budge, then hey-ho, wait till prices drop more, if it gets accepted then you have an even more affordable house and a bigger buffer against future drops. Just remember there will ALWAYS be another house like it come on the market, so dont get carried away with offers etc.

Gorgeous_George

Look at the numbers.

Take a £125K mortgage today and you will pay £883.47 at 7%.

Fast forward two years and you will still owe £121,187 (i.e., spent £21,203 to pay £3,813 off the mortgage). If house prices fall by a conservative 10% per year, your house will be worth £121.5K. You will have almost NO EQUITY and NO SAVINGS.

Buy it at your peril.

GG

lynzpower

Just hang on Fimonkey!!!

I remember you looking for those flats ages ago, and when you gave up and lets face it you were right to!

Have you looked at auctions- Iver seen some amazing prices of unsold stock at auction from dorset ( allsops) I keep an eye on the poole & bournemouth side of things. One of our freinds has just had offer accepted on garden flat in Poole, and it was 85k less than what he was looking at before Xmas. He has a growing family, and needed a home. so he bought now , but if i were him Id have hung on and gone to see whats at auction.

You never know this very house could end up there in a few months time.

LandyAndy

Woby_Tide wrote: »

http://www.rightmove.co.uk/viewdetails-21792479.rsp?pa_n=1&tr_t=buy

3 beds over near Fairmile?

That is one seriously unpleasant looking house.

ds1980

Can it just be said that if house prices fall 10% that doesn't automatically make a house worth £150k now worth £135k!!!

It could be worth £110k or it could be worth the same who knows.

We're buying at the minute and have got a great deal. I can catergorically say our house will never be worth less than what we paid for it and rent we could achieve easily covers a repayment mortgage so why wouldn't i buy?

Where im buying prices have dropped and we were v lucky to sell in april and buy back into the market 2 months later for £50k less than what we sold our pretty much identical house.

There are still houses of similar ilk to ours on at £300 - £350k (not selling mind) but because of the stamp duty threshold level we'll never los eout i don't think. People forget that if prices keep falling then buying will become cheaper than renting again. Will people still then rent?

OP if you really want it then go for it. Throw in a low offer and stop worrying. I'd rather spend 50-60% of my income on my own home than someone else's and would go to 90% if things got bad. We don't have to have alcohol, cigarettes, eat out, drive a car, buy gadgets if we don't have to. I have never ever aspired to rent a house and never will. For those taht think they can time the market well your all pretty foolish. I did but i was lucky not clever.

IveSeenTheLight

The choice is truly yours.
You believe you can afford it and its in an area you want to live in.
The price has already dropped 17% and it could drop more. How much do you think it will drop by?
Once it drops, how much competition will you be facing?

The South West is the second most unaffordable area's currently on average at 6.55 times ratio of salary to house price, therefore it leads to suggest it will correct more than the average

I'm not saying to go for it or not, but make sure you are happy and you make the decision.
It'll be no point coming back on here to say you bought and it dropped loads more or it did / didn't drop and you missed out to another buyer

guyb99

If you're not planning to sell up and move again in the next 2 years then go for it.

LearntMyLesson

Have you asked why it was SSTC and then the buyer dropped out and now another price drop. Maybe there was something expensive on the survey?

fimonkey

Woby_Tide wrote: »

http://www.rightmove.co.uk/viewdetails-21792479.rsp?pa_n=1&tr_t=buy

3 beds over near Fairmile?

That house needs a serious amount of work doing to it, it hasn't even got central heating! Otherwise, I would be snapping the hand of the nvendor, it's in the perfect place for me. If I buy at £150K then I will have no money for renovations etc

moneysavinmonkey

fimonkey wrote: »

http://www.rightmove.co.uk/viewdetails-18160288.rsp?pa_n=1&tr_t=buy

This is in the area I want to live in, and they've reduced to 150K.

I have 31K in savings, so would be able to put a deposit of 25K, plus 4K for fee's and redecoration (and 2K kept back for emergencies).

That would mean a mortgage of £125K, at 7% repayment this would be: £893.85pm.

I currently take home £1900 net per month (but about to drop to £1700 in Sept).

So I think it's affordable, and its exactly what I'm looking for, plus I could get a lodger in to help if things got tough (like hikes in energy bills etc).

PLEASE PERSUADE ME TO NOT EVEN LOOK AT IT! House prices are gonna fall further right? So even though this one's a bargain, I can get the same next year for even less, right?

So why am I ignoring these facts? Anyone got any suggestions/ideas. Should I even consider it? It'd be such a dream to own my own freehold in Christchurch, Dorset. Most of the two beds in the area are much more!

Cheers all

How much would it cost to rent a simliar property in the area - that will give you an idea of whether the asking price has fallen enough to be good value in a historic context (rather than just compared to the last crazy 7 years or boom!)