Property Advice in Aberdeen...

saver1986

Hey, I've just got a graduate job in Aberdeen which will be starting in summer 09. Buying a property is something I'm seriously considering doing. I've seen a few threads on Scottish property and apologies for pigeon holing it further to Aberdeen, but some advice would be great.

I've read posts of those with property in Aberdeen (mitchaa)at the moment have made profits as recently as this year, and with Aberdeen being quite buyout with the oil industry, when will be the best time to buy - when are best predictions for the market to bottom out?

I'd be looking to get a 1 bedroom flat, around £100k, and at the moment I have a 10% deposit, but until June I will be making money and targeting a 25% deposit.

Also what would be the benifits of not getting a mortgage and paying outright in terms of negotiating a price (+timeframe) ?

IveSeenTheLight

saver1986 wrote: »

Hey, I've just got a graduate job in Aberdeen which will be starting in summer 09. Buying a property is something I'm seriously considering doing. I've seen a few threads on Scottish property and apologies for pigeon holing it further to Aberdeen, but some advice would be great.

I've read posts of those with property in Aberdeen (mitchaa)at the moment have made profits as recently as this year, and with Aberdeen being quite buyout with the oil industry, when will be the best time to buy - when are best predictions for the market to bottom out?

I'd be looking to get a 1 bedroom flat, around £100k, and at the moment I have a 10% deposit, but until June I will be making money and targeting a 25% deposit.

Also what would be the benifits of not getting a mortgage and paying outright in terms of negotiating a price (+timeframe) ?

As your not from the area, sound advice would be to move here and rent for 6 months. It's always good to know you will settle in the area as I know some who don't settle in different areas.

Then while your in Aberdeen, you can research the market and area you want.

Start the research now.
www.aspc.co.uk is a great website for buying or renting in the Aberdeen area

P.S. Recent reports are showing house prices in Aberdeen are also dropping so there is no immediate rush to buy

dopester

There is this group of people, who for a hobby, go in to many an abandoned / empty property, all over the UK, for an explore.

In every review I've read, they've been respectful with their exploring, taking care not to damage anything nor take anything.

http://www.28dayslater.co.uk/forums/index.php

They do have rules.

Some of the photos they take though... in many instances the buildings are like suspended in time... with newspapers or posters for concerts or just the machinery, even valuable property, all telling a story. Staff cards with redundancy information from previous recessions.. updated with "suicide".

Some of these places I go to can be very dangerous and unsafe. I always use the correct equipment required and I never go alone. A bit of common sense is also essential! I never cause damage to a site, nor do I “break and enter"!!
There is always a way in....

A few examples from Aberdeen below (for ISTL and Mitchaa), but their site is worth a look around, because it just shows how time and changes in the economy can play out.

St.Claire's Convent, Aberdeen. REPORT 24/11/08
http://www.28dayslater.co.uk/forums/showthread.php?t=34846

First of all, this place has been abandoned for two years.
TWO YEARS and it's literally on my doorstep.
Why the hell did i not know about it until a few days ago!!
I guess it's just a secret lying at the top of a hill....

Jumpin Jaks Nightclub, Aberdeen REPORT 3.12.08
http://www.28dayslater.co.uk/forums/showthread.php?t=35126

Richards Textiles, Broadford Works, Aberdeen - REPORT - 08.09.07
http://www.28dayslater.co.uk/forums/showthread.php?t=19812

Brux Lodge, Aberdeen. [The house with a secret].22.10.08 ARCHIVED
http://www.28dayslater.co.uk/forums/showthread.php?t=33875

Old Residential School, Aberdeen. 20.09.08 ARCHIVED
http://www.28dayslater.co.uk/forums/showthread.php?t=33046n

IveSeenTheLight

dopester wrote: »

A few examples from Aberdeen below (for ISTL and Mitchaa),

Thanks I'll have a read at the weekend.
Businesses can go bust anywhere including Aberdeen.
If I recall Jumping Jaks for example was replaced by chicago Rock and is still going.

Getting back on topic though, I notice that Aberdeen and Aberdeenshire posted higher prices in October than they were in September according to the Registers of Scotland Executive Agency.

Compare the months here

http://www.ros.gov.uk/pdfs/la_sept08.pdf

http://www.ros.gov.uk/pdfs/la_oct08.pdf

Aberdeen 1 month positive
Aberdeenshire 2 months consecutive positive
Both YoY still down about 2%

Still early doors and could swing back to monthly negatives, but could also mean something else of course

MrDT

dopester wrote: »

There is this group of people, who for a hobby, go in to many an abandoned / empty property, all over the UK, for an explore.

Been planning an UrbEx expedition to a local decommissioned WW1 ammunition store for months but never got round to it.

Did you hear about the french urban explorers that built a fully functioning cinema beneath Paris? :rotfl:

(offtopic as hell sorry...)

mitchaa

saver1986 wrote: »

Hey, I've just got a graduate job in Aberdeen which will be starting in summer 09. Buying a property is something I'm seriously considering doing. I've seen a few threads on Scottish property and apologies for pigeon holing it further to Aberdeen, but some advice would be great.

I've read posts of those with property in Aberdeen (mitchaa)at the moment have made profits as recently as this year, and with Aberdeen being quite buyout with the oil industry, when will be the best time to buy - when are best predictions for the market to bottom out?

I'd be looking to get a 1 bedroom flat, around £100k, and at the moment I have a 10% deposit, but until June I will be making money and targeting a 25% deposit.

Also what would be the benifits of not getting a mortgage and paying outright in terms of negotiating a price (+timeframe) ?

Apologies my signature is a tad misleading, dont take too much notice of it, it's purely meant to ruffle feathers amongst the doom and gloom crew. Saying that, the figures in it are 100% factual, its just that i haven't actually sold hence only paper profits.

Aberdeen is a tricky area, i have not seen any real drops in house prices and there are still some stupidly overpriced houses, 1/2bed city apartments well in excess of £200k. There are lots of new builds going up at the moment and there are lots that are lying empty as they are priced ridiculously high.

I would not be buying, the market is volatile and some houses in Aberdeen do need to drop by a hell of a lot. The rental market in Aberdeen is very strong, and very high priced for what you get. A nice 2 bed flat may cost you easily £800-1000pcm in rental, move out to the outskirts and it may only cost you £500-650

I dont think you'll find much in the centre for £100k, if you do find 1, bear in mind that 1/2 bed flats if there is a serious crash will probably suffer the hardest.

SandC

Loving that forum!

SandC

dopester wrote: »

There is this group of people, who for a hobby, go in to many an abandoned / empty property, all over the UK, for an explore.

In every review I've read, they've been respectful with their exploring, taking care not to damage anything nor take anything.

http://www.28dayslater.co.uk/forums/index.php

They do have rules.

Some of the photos they take though... in many instances the buildings are like suspended in time... with newspapers or posters for concerts or just the machinery, even valuable property, all telling a story. Staff cards with redundancy information from previous recessions.. updated with "suicide".

A few examples from Aberdeen below (for ISTL and Mitchaa), but their site is worth a look around, because it just shows how time and changes in the economy can play out.

St.Claire's Convent, Aberdeen. REPORT 24/11/08
http://www.28dayslater.co.uk/forums/showthread.php?t=34846
Jumpin Jaks Nightclub, Aberdeen REPORT 3.12.08
http://www.28dayslater.co.uk/forums/showthread.php?t=35126

Richards Textiles, Broadford Works, Aberdeen - REPORT - 08.09.07
http://www.28dayslater.co.uk/forums/showthread.php?t=19812

Brux Lodge, Aberdeen. [The house with a secret].22.10.08 ARCHIVED
http://www.28dayslater.co.uk/forums/showthread.php?t=33875

Old Residential School, Aberdeen. 20.09.08 ARCHIVED
http://www.28dayslater.co.uk/forums/showthread.php?t=33046n

Whoops I mean loving the forum linked above!

saver1986

hey thanks for the replies, IveSeenTheLight, I'm actually from around the area, so I know Aberdeen fairly well and I fancy the Rosemount area or somewhere around the west end area of town, around Queens Road area.

There's no danger of me buying just now but when I start (June) I would much rather buy than rent so I'll keep my eye on the market and on aspc.co.uk to see whats on offer. Thanks for the advice though, but does anyone have any mortgage advice r.e. deposits - I'm sure there are some huge threads on this topic which I'm away to look for

IveSeenTheLight

saver1986 wrote: »

hey thanks for the replies, IveSeenTheLight, I'm actually from around the area, so I know Aberdeen fairly well and I fancy the Rosemount area or somewhere around the west end area of town, around Queens Road area.

There's no danger of me buying just now but when I start (June) I would much rather buy than rent so I'll keep my eye on the market and on aspc.co.uk to see whats on offer. Thanks for the advice though, but does anyone have any mortgage advice r.e. deposits - I'm sure there are some huge threads on this topic which I'm away to look for

Mortgages change daily especially when there is a change in the interest rate.
As mortgages are only quoted for 30 days and your not looking to buy until summer, best you just simply concentrate to save as muchof a deposit as you can and then assess the mortgage market when you are nearer to buying.

Good Luck

dopester

mitchaa wrote: »

Apologies my signature is a tad misleading, dont take too much notice of it, it's purely meant to ruffle feathers amongst the doom and gloom crew. Saying that, the figures in it are 100% factual, its just that i haven't actually sold hence only paper profits.

You're such a hoot mitchaa.

I love the way you say your sig is only to ruffle us who believe house prices are going to crash really hard, but it is clear you also celebrate and hold real Nationwide's stats to your very core.

I think you'll find a lot of these HPI stats will prove to be meaningless in the near future. All that was given can be taken away in a near instant as underlying economic circumstances have drastically changed and are rapidly playing out. 1 year of HPI might not be enough of a buffer as you would like to think it is.

House prices are just an opinion but the debt is real. My opinion for Aberdeen house prices is that they are so over-valued in to the realms of the Twilight-Zone.

Paper Profit (Paper Loss)

Unrealized capital gain (or capital loss) in an investment. It is calculated by comparing the market price of a security to the original purchase price. Gains or losses only become realized when the security is sold. Investors commonly justify bad investment decisions because of paper gains or losses.

Go on then. Hold real everything Nationwide's stats over the past 10+ years have led you to believe. House prices can only go up, or they can't fall beyond certain expectations.

I think you'll find even the experts who charge big fees to make predicitions - expecting inflation and money rushing to "safety" in commodities, despite the industrial world grinding in to deep recession/depression - can get their forecasts and expectations massively wrong.

guardian.co.uk, Friday 12 December 2008 12.04 GMT

Goldman Sachs has slashed its forecast for crude oil prices to just $45 a barrel next year as demand wanes - in a sharp U-turn from its prediction of a spike to $200 made earlier this year.

In May, the investment bank's energy equity team led by Arjun Murti made headlines when it predicted oil could rise to $150 to $200 a barrel within two years. Oil prices peaked at $147 a barrel in July and have fallen sharply since then as a rapidly deepening global economic downturn reduced demand for energy.