better to buy now (or soonish), than at the bottom of the market

Really2

JayScottGreenspan wrote: »

A very good point, IMO.

It is a good point but it is the ease of negotiating the discount.

You could get an extra 10% off on top of that 10% on the way down.

Put purch's view is the safest.

Dithering_Dad

Really2 wrote: »

It is a good point but it is the ease of negotiating the discount.

You could get an extra 10% off on top of that 10% on the way down.

You'll never know you bought 10% from the bottom until we're 20% up the other side. It's not like we can just look down from our living room windows and see how much further the house has to fall before it hits the bottom.

There is no guarantee that any gains will be sustained. They may go up one year and then back down the next two.

penguine

I find it hard to understand why people think house prices are going to plummet then suddenly shoot back up. House prices are not inseparable from the wider economy -- they're an integral part of it. We've had a massive economic boom based on unsustainable debt, so anyone who thinks prices will shoot back up again is in effect saying that we're going to have another ridiculous boom right after the economy is finished collapsing.

besonders1

I agree, there is only one way the prices are going and that is down. The scariest thing about it is how serious it has got in the past 3 months. I wonder where will people find the money to rush out and buy all the cheap houses from if they don't have jobs. I certainly wouldn't envy trying to sell a house now though, if I had been left a home through inheritance, I would reduce it right down to 50% to secure a fast sale before its value goes right down the pan.

Really2

I think some missread some of us calling the bottom. We are not we are just pointing out you are more likely buy below the "bottom price" (some do as dont forget prices are based on averages) than on the way up.(who sells for less than market value on a rising market?)

We are just saying buying before the bottom may work out slightly better taking in to account IR rates discount etc, that is all.
After all -0.1% is a drop ,12 months of that might not be the bottom but it could be a lot cheaper than renting at that time.

wymondham

The 'bottom' will be reached when confidence comes back - people start to feel more secure in their homes/jobs and more optomistic etc... this all looks such a long way off at present as things are getting worse by the day .... anyone who thinks we are even close to the bottom yet is in a world of their own....

Really2

wymondham wrote: »

The 'bottom' will be reached when confidence comes back - people start to feel more secure in their homes/jobs and more optomistic etc... this all looks such a long way off at present as things are getting worse by the day .... anyone who thinks we are even close to the bottom yet is in a world of their own....

I dont think any one in the post has.

wymondham

Really2 wrote: »

I dont think any one in the post has.

The OP was giving reasons to buy now...



sorry, just re-read my posts - complete pants please ignore... long day!

kai666

purch wrote: »

Personally I'd rather buy (anything) 10% above the bottom in the way up, rather than 10% above the bottom on the way down !!!

surely if you get anything 10% above the bottom of the market it removes all negotiation in price, as the seller will simply wait for the next person to come along to offer more, especially if prices continue to rise

jamtart6

i think some of what the OP might be true. It is all dependent on personal circumstances too. We're FTBs with a decent deposit (all the EA's looked at us like scum until we told them the size of our deposit, then they demanded to know where we got it from...err hmmm robbed a bank or just saved?! eejit!) anyway, we've kept an eye on houses in the area we want to buy, and one came up for £30k less than all the others in the area.

We worked out that we could live on 1 wage if one of us got made redundant, the mortgage is £100 per month cheaper than renting the same sized house.

We arent looking to move for at least 10 years (maybe never! - we could stay there)

we got a 5 year fixed, so if prices do plummet, we'll have hopefully paid a large chunk off the mortgage in 5 years to avoid the 'evaporating equity trap' when we come to remortgage.

We're happy ...so i think in the right circumstances it might be ok to buy