A little Hypocrisy?

moanymoany

This is my last post (not really - I just want to be in with the in crowd).

Having relied on the house to provide part of our retirement fund I watched the market like a hawk and seeing how it was going last year we got it ready and sold in May 08. (Apologies to those who know this from previous posts).

At that time no-one was talking the market down, but it was going. Now I am interested in seeing the prices fall as it means that we have a larger retirement pot.

However, through inflation that will not be worth what it would have been before the credit crunch!

ps - gosh it's ages since anyone said 'talking the market down', interesting to see it back. Maybe it will all be over by Christmas? :idea: - or - :EasterBunat the latest?

mr.broderick

Jazzypap wrote: »

I’m very confused by certain poster’s motivations ..… all the poster’s who are waiting in eager anticipation for house prices to fall or crash to a level they feel they can step on to the ladder – would these same people be quite as keen to see house prices continue to fall once they’ve purchased a property? I would hazard a guess not; as I’m sure they would be very keen for the value of their purchase to rise as soon as they’ve bought it.

It’s virtually impossible to determine where the bottom is in any decline and before you know it you’ve either missed the boat or got your timing all wrong in purchasing and the market continues to spiral downwards. There may be a few lucky ones who time it just right e.g. buy at the bottom just as the market turns and values increase but there will be few of these.

IMO it smacks a little of hypocrisy to constantly talk the market down when waiting to buy but then talk the market up when you’ve bought, as I’m pretty sure these very same people would surely do.

Puzzled!!!

Don't think it needed its own thread, is pretty obvious.

WTF?_2

Yep - get ahead of the market, don't chase it.

Amazing the number of people who are fixated on August 2007 price levels as being the definitive market value of their house. Clearly, they don't grasp how markets work.

Plenty who could still sell now even at more than 10% off the peak buy cutting, say 20%, and still realise a pile of equity as cash but won't.

slipthru

Jazzypap wrote: »

IMO it smacks a little of hypocrisy to constantly talk the market down when waiting to buy but then talk the market up when you’ve bought, as I’m pretty sure these very same people would surely do.

Puzzled!!!

When we purchase our house we will not care if prices go up or down because we will buying it to raise our family in, not as an investment that we would like to cash in on.

House prices are stupidly over valued and unfortunately that means they need to come down. If people bought into the madness then that was their choice, it doesn't mean house prices should continue upwards to keep these people happy.

mewbie_2

Surely a user with the name of JazzyPap should be talking about hip-hop-cracy.

Maisie11

I do agree with some of the OP's comments. People make sweeping generalisations and suggest that 25-30% off the asking price is acceptable. Well not around here (South Bucks) and the area we are hoping to move to (West Oxford). I do believe that some areas will hold steady. I dont mean that they will increase but I do think that the reductions if any are nothing like some of the figures quoted by people who will never buy a house, they will always be looking for the market to drop and drop. If that happens jobs will be lost and they wont be able to afford it. There are a number of serial renters I know. Always looking for a bargain, always say they will know the property they want to buy when they see it.

Guess what - they will never do it. Sometimes life is just too short to be constantly waiting.

dopester

It’s virtually impossible to determine where the bottom is in any decline and before you know it you’ve either missed the boat or got your timing all wrong in purchasing and the market continues to spiral downwards. There may be a few lucky ones who time it just right e.g. buy at the bottom just as the market turns and values increase but there will be few of these

I'm so terrified of missing the bottom to buy a house.

History has shown it is such a delicate mission to buy in at just the right time before prices rapidly bounce to new extraordinary highs.

Let's not forget that it took six years for the market to hit bottom in the last crash and a long 11 years for prices to regain their previous peaks. Buy now and you could easily be in negative equity for a decade.

http://www.moneyweek.com/Personal-Finance/Dont-listen-to-Hazel-Blears-Dont-buy-a-house-13546.aspx

neverdespairgirl

Maisie11 wrote: »

I do agree with some of the OP's comments. People make sweeping generalisations and suggest that 25-30% off the asking price is acceptable. Well not around here (South Bucks) and the area we are hoping to move to (West Oxford). I do believe that some areas will hold steady.

Why will prices hold steady in S Bucks and W Oxon?

GDB2222

I'll just go off in wild goose mode for a moment. Forgive me, please:

"Top tip:
Always buy your clothes at ASDA - they come with your name sewn in."

Never bought clothes at ASDA, so can someone explain please?

Also MEW - what does this stand for? I guessed Mortgage Equity Withdrawal.

carolt

Maisie11 wrote: »

I do agree with some of the OP's comments. People make sweeping generalisations and suggest that 25-30% off the asking price is acceptable. Well not around here (South Bucks) and the area we are hoping to move to (West Oxford). I do believe that some areas will hold steady. I dont mean that they will increase but I do think that the reductions if any are nothing like some of the figures quoted by people who will never buy a house, they will always be looking for the market to drop and drop.

Who precisely? I post on here a lot and am not aware of any posters that suggest 20-30% off asking prices as a general rule.

I think you may be confusing the large numbers of posters who - in line with most economists, major newspapers etc etc - are expecting falls from peak prices achieved last October of 25-30% (or possibly higher) over a period of 2 years +.

This is very different from reductions from current asking prices.

FYI, national average discount achieved off asking prices is currently just a shade under 10% ie to put it less clumsy, the average house currently sells for a tiny fraction over 90% of its asking price. Obviously, as it's an average, some areas or houses will sell for more or less than that; the extent to which the house was overpriced to start with, and the desperation of the vendor will obviously affect that ratio.