Repos up a staggering 92% iYear on Year

Really2

Radiantsoul wrote: »

Banks are under a legal obligation to obtain the best reasonable price they can. I don't see that repossessed prices should necessarily cost more than normal ones. I used to work for LloydsTSB recoveries department and we marketed properties with a view to obtain the best price rather than the first reasonable offer. We rarely auctionned and did not accept offers below the agents valuation....

NR 30% below 07 price i know that as a fact.;)

Dont forget with an increase in repos and a strangulated credit market I think thier idea of market value may of changed in this situation.
PS EA's usualy lower valuations on repos for banks as they know they want to sell. Also their is a stigma on repo property for buyers, they are down valued for that reason also.

whathavewedone

It makes no sense for any seller to try to sell now unless they have no choice. It's nonsensical to suggest otherwise. The last 10 years have been great for selling. Now it's something any home owner with half a braincell would avoid unless they really have no choice eg elderly and can no longer manage, about to get repossessed, getting divorced, moving jobs.

Selling now when there's so much uncertainty would be bonkers. Any buyer with half a brain cell will want to insure themselves against possible future losses so if you have already priced your home 15% off peak to reflect the market rate NOW you could expect to have to take another 30% off it to secure a sale. And then you might get gazundered the day you're meant to be exchanging. Sounds fabulous. I think I'm going to put my house on the market immediately. I should be left with about 5k out of the £125k I put in when I bought in 2007. Oh wait a minute, I'll have to pay the estate agent and I haven't got anywhere else to live. Damn and it all sounded so appealing.

Only one reason why people on here think that people will be rushing to get rid of their houses (especially those nice 4 bedroom ones) in a panic and that's wishful thinking.

The HPCers want an oversupply of the nice big houses in desirable areas not ex HA/council houses/newbuild flats. I have to say I think I know which kind of properties are most likely to be repossessed first.

Eventually the market will bottom and it will be possible to buy any kind of property cheaper than you can now. But it won't happen overnight due to people clamouring to get rid of their properties in a falling market.

mbga9pgf

Radiantsoul wrote: »

Banks are under a legal obligation to obtain the best reasonable price they can. I don't see that repossessed prices should necessarily cost more than normal ones. I used to work for LloydsTSB recoveries department and we marketed properties with a view to obtain the best price rather than the first reasonable offer. We rarely auctionned and did not accept offers below the agents valuation....

That was when the bank wasnt losing 2% of the house capital each month... they were in no rush to sell and could be picky with lots of buyers and could probably make a little with rising prices. Fast-forward to 2009 we dont have the same scenario.

Really2

mbga9pgf wrote: »

That was when the bank wasnt losing 2% of the house capital each month... they were in no rush to sell and could be picky with lots of buyers and could probably make a little with rising prices. Fast-forward to 2009 we dont have the same scenario.

I agree there, that it is why it is sheer madness to sell unless forced.

mbga9pgf

well, either sell no and lose out, or wait 5 years and lose out on capital I dont see what difference it makes... If sellers can negotiate price drops up the chain then I wouldnt say it was a bad time to sell. Problem is, it is much more difficult to find a local chain when relatively speaking, there are fewer properties for sale. I see that point and its a valid one. Either way, I am quids in by waiting to buy.

Really2

mbga9pgf wrote: »

well, either sell no and lose out, or wait 5 years and lose out on capital I dont see what difference it makes... .

Lenders, No Buyers, reposessions, Recession, falgging economy etc.

I can't see why either. Why with all that going on would you not want to sell it is not likely to effect your sale price is it or the amount of time on the market.

You guys realy need to start to uncross your fingers on this one you will get cramp becuase it aint gonna happen if you want a non repo now you are going to have to wait for the bottom or for lending and transaction to go back up.

So I take it you are looking to buy now?(if not why not it is obviously a great time to buyand sell, well according to you guys;) )

Edit
Also how can you with a stright face say "banks are going to slash repo prices" then argue "good time to move though"
also you wait 5 years you can pay off 5 years in capital so if you want to move up it makes mor sense to wait
A) Because your mortgage is smaller so you can pay more off
Your asset is smaller so devaluing less in real terms against a more expensive house

WTF?_2

Really2 wrote: »

:rotfl:
So ok liquity is not an issue and it is easy to sell and buy?

They could wait in their small house untill the market is stable price drops 30% but the one they want drops 30%
Or they can do it now at 20%:rolleyes:

Add to that all of you on here said no one on earth should buy right now what is the insentive.:rolleyes:

!!!!!! you are so MSE:money: :rolleyes:

Sorry your argument is so full of holes it could hae PG written on it.
You tell people not to buy this is going on for years but you think this is a great ime to move.:rolleyes:

Sorry for all the:rolleyes: but I think !!!!!! as lost the plot if he thinks its a good sellers market out there.

It doesn't matter whether it's a good sellers market out there or not - as long as you are in equity the same reasons to move exist as before and you are able to do so (probably at less cost to yourself) - and it's people who sell and move somewhere else that drive the market.

You seem to be fixated on the idea that making a fat profit on the sale of your house is the be all and end all for sellers and is what drives the market. The people driving the core of the housing market do not move house because they are enthralled at the amount of zeroes on the cheque when they sell their house.

mbga9pgf

Because sliced repos ill drag the market down. So, I suppose the herd mentality could very quickly become, get out now as we dont know how bad this could get... just like shareholders bailing now.


Have absolutely no issue with waiting, I am aware I have commented elsewhere on here I couldnt wait much longer than a year.. well, I will correct that and say I couldnt save like we are saving now for more than a year. I think I could quite happily rent for a few more years (till the cows come home!) if prices continue to fall.

I am keeping my ear close to the ground though for the repo market, this donturn is affecting all sectors of the economy and nice character properties are just as likely to become available as sink estate homes.

As I said above, its a good time to move if you can negotiate discounts up and down the chain, which I accept is difficult at the moment.

I think the ideal situation would be 30% wiped off prices across the board, with a recovering Mortgage market. A 40% deposit I am hoping will get me quite a pretty deal once I find somewhere to buy at knockdown prices. IT is my firm belief (as you know) that this is going to carry on for some time; to this end, I am in no rush to buy.

Really2

mbga9pgf wrote: »

Have absolutely no issue with waiting, I am aware I have commented elsewhere on here I couldnt wait much longer than a year.. well, I will correct that and say I couldnt save like we are saving now for more than a year. I think I could quite happily rent for a few more years (till the cows come home!) if prices continue to fall.

I am keeping my ear close to the ground though for the repo market, this donturn is affecting all sectors of the economy and nice character properties are just as likely to become available as sink estate homes.

I think you are right to, with reduced liquidity and increasing repos this could very well be the bottom for those lucky enough to be able to buy a repo.
(please note i said repo, non repo I expect to slide until early 2010.)

Really2

!!!!!!? wrote: »

You seem to be fixated on the idea that making a fat profit on the sale of your house is the be all and end all for sellers and is what drives the market. .

No you are, I said nothing of profit (why do you want to buy at the bottom again?:rolleyes: ),
Come to think of it saying wait to sell at the bottom is hardly a "FAT PROFIT" line is it.:mad:
It is virtualy impossible to sell and difficult to get a mortgage at the moment why the hell is it a good time to sell.
You are such a TROLL.