Repos up a staggering 92% iYear on Year

Really2

besonders1 wrote: »

I disagree about sellers withdrawing from the market as I have seen loads of new properties appear over the past month, even though they are still priced at peak levels. I wonder whether these might be worried sellers who cant afford the mortgage hoping to be saved by a desperate buyer while they can. If you wanted a higher price for your home then it would make sense to sell sooner rather than later before the prices go right down even further and be in more negative equity with no guarantee that the prices will ever recover again.

I don't it will make much difference if sellers withdraw from the market or not if they don't need to sell as they are not selling at the high prices now anyway. If this was the case then there would be "zero" homes for sale on rightmove and estate agents would be a thing of the past, as people would only buy one house in their lifetime and die in it.

Look i am not making it up.

http://www.ft.com/cms/s/1961757c-e5b5-11dd-afe4-0000779fd2ac,Authorised=false.html?_i_location=http%3A%2F%2Fwww.ft.com%2Fcms%2Fs%2F0%2F1961757c-e5b5-11dd-afe4-0000779fd2ac.html&_i_referer=


"Supply remains constrained, according to Rightmove, as potential sellers are discouraged by the falling market. There were 43,000 new listings in the month to January 10, compared with 89,000 in the same period last year."

PS who do you think sell the repos EA's by any chance?

PPS I am still registered on rightmove and the number of emails I get on the areas I was looking at as gone from 1 email a day with multiple propertys on (last year) down to less than 1 a week.

Really2

mbga9pgf wrote: »

Wait and see!

If you have an expensive X5 on costly finance, do you stick with it when money is tight or do you downsize?

Have a look in your local 4X4 dealership and see what I mean.

Exactly the same concept.

:rotfl:
But "money is tight" would portray a forced seller.
So thanks for agreeing with me if you are not a forced seller you won't be selling.;)

Cannon_Fodder

As has been said before, Repos are not the only reason for moves.

I'm sure there was thread that listed dozens of reasons.

So, yes, the market is subdued, but there is still a moderate amount of turnover to set prices in areas.

People will start to want to move as they see their "trade-up" property come within reach. Whether they can get the mortgage or not will hold some back. If their own price has dropped, but the other has too, so what..? (they will think)

Not saying its sensible, or the right time, but will expect to see a bit of spring bounce starting...indeed my local Rightmove has gone back to early autumn levels of new entries, including some that disappeared and are now trying again.

Really2

Cannon_Fodder wrote: »

People will start to want to move as they see their "trade-up" property come within reach. Whether they can get the mortgage or not will hold some back. If their own price has dropped, but the other has too, so what..? (they will think)

.

I don't disagree with you there but not untill repos are shaken out of the market.

I have sold for years and you just don't sell if you can't compete.
If you have 20% equity what is the point of selling if a bank will sell a repo for the equiverlent to you as -30% equity.

Companies do not try to compete on loss making products there is no reason why the housing market will be any different.

chucky

Really2 wrote: »

I have sold for years and you just don't sell if you can't compete. If you have 20% equity what is the point of selling if a bank will sell a repo for the equiverlent to you as -30% equity.

some people will argue with you if that repo sold and it was the only one on the street that sold - that would be the marker price for the whole street and all similar property should be around that price.

to me that's nonsense but that is some people's view.

Cannon_Fodder

"I have sold for years" "if you can't compete." - ordinary joe bloggs does not want to "compete" - sorry, haven't been paying attention, are you a BTL landlord, do-up & sell on-er, or just for the fun of buy/sell??

When we get huge numbers of repos there may be something in it, but not yet. 13,000 in 3 months = 4000 a month = 80 per county, roughly.

In the right part of your county, at the right time you want to sell/buy...? = a long shot.

Maybe BTLs and FTBs look hard for repos and focus on the cash difference to a neighbouring house, but I just don't think your average joe public is going to choose a house/street/area, then sit around waiting for one to become repo.

People are not companies. If the repo brings someones house down in price when they want to sell, that does NOT matter if the one they want to buy has also been brought down by a similar %...

I have bought twice - houses at the price I could afford in the place I wanted - nothing was repo in the same street that month. Should I have waited for a repo? I would have missed out on 300% market rise, 225% of which is now in the bank.

chucky

Cannon_Fodder wrote: »

I have bought twice - houses at the price I could afford in the place I wanted - nothing was repo in the same street that month. Should I have waited for a repo? I would have missed out on 300% market rise, 225% of which is now in the bank.

repos are a specific market and skew numbers. maybe it's right and a good reason not to include the in some of the house price figures that come out.

Cannon_Fodder

Do we have any surveyors/valuers, who can advise if they set the "street price" on 'any sale', or ignoring repos ??

Would lenders shoot the valuers for not protecting them from the risk of further prices drops on that street, if they ignored a repo?

Really2

Cannon_Fodder wrote: »

"I have sold for years" "if you can't compete." - ordinary joe bloggs does not want to "compete" - sorry, haven't been paying attention, are you a BTL landlord, do-up & sell on-er, or just for the fun of buy/sell??
.

No Goods in general.
Sorry i am a business man.

Did you buy both times in a falling market.

whathavewedone

Not every homeowner is going to panic sell just in case they end up in negative equity. Many people have been in that position before and survived to tell the tale.

Of course some people have to move to change job, get divorced etc. I don't see hordes of people selling a house that they are happy living in however while prices are going down. Makes a bit more sense to stay put really doesn't it, given that if you were planning to stay in the house for 10-20 years the chances of losing money are lower than they would be if you sell in a falling market.