First time buyers are coming back to the market.

mizzbiz

I don't think it's as much fear and anger that is coming out, more a sheer disbelief that anyone would want to pay (borrow) so much for a house in a falling market. Logic, to me, is to buy as low as possible for such an expensive item. I understand that people with high deposits will want to take advantage of the low interest rates. But I do feel sorry for any FTB that does meet the mortgage criteria and manages to buy at this time.

My friend and her boyfriend bought an ex-council house in November for £145k and the BF lost his job at the beginning of january. She won't lose hers as she is a teacher, but she now has to find the money for the whole mortgage for a house that they are unlikely to be able to sell for what they bought it for for a long time. We tried to talk her out of it and wait, but she just wasn' t having it that there was a problem. Needless to say she is now and thinks thay overpaid massivly for the house.

I'm not angry and scared that 40% of morgage apps are FTB's. It makes no difference to me, we have our house. Wouldn't buy one now for all the persuasion in the world though, and that's all that my comments mean. But trying to reason clearly about the general direction of economics and house prices on this forum is like sawing your kn0b off with a rusty breadknife. No matter what you say, you're labelled bitter, twisted, angry, scared. It's surreal, it really is.

tommy75

Buying in 2007 was suicide. Buying now is asking for a good beating until you die.

chucky

wow - what interesting replies to a post that mentioned no-where that house prices were not still falling.

you can still have houses been bought and sold in the property market and prices droppping. these dropping prices are an average of the country, some areas may no longer be dropping but some may have an annual decrease of 30%.

Mizzbiz you do this in everyone one of your posts - don't go by averages but worry about your own area. the house price indicies are averages that don't contain all the data (positive and negative); don't hinge your argument just on them.

as a thought, if someone does buy now how many property price drops would there be in the time that they owned the property?

as for comparing buying a property to suicide - that's a bit too extreme for me.

napoleon

Really2 wrote: »

Well according to fool.
http://www.fool.co.uk/news/property-home/mortgages/2009/01/30/the-return-of-first-time-buyers.aspx?source=uemfoleml0010038

Interesting fact was that 40% of mortgage aplications in January were FTB's.

I know this is not going to stop falls in prices but hopefuly increasing FTB's will help the market and a bit and may be a sign of better liquidity.

There's always a few muppets that don't have a clue what's going on.

b0rker

Really2 wrote: »

Interesting fact was that 40% of mortgage aplications in January were FTB's.

I have a load of mates with very large deposits saved up. A lot of wholm have been saving for a property for the past 3 years and were not far off affording one at the top of the market. Now that prices are coming down they are within reach.

The very first sign of the market levelling out and they will all be in to try and buy.

A few of them are already making moves to buy now even though we have seen very little drops in house prices in Inverness.

I suppose they are as scared of missing out now as the people who were scared into buying in 2007 at the top of the market.

Fear and the UK housing market go hand in hand.

You would have thought that we could have come up with a far more reasonable system after centuries of property ownership.

ad9898_3

b0rker wrote: »

I suppose they are as scared of missing out

I can't believe people would be 'scared' of missing out, as if we are going to go from -1%, -2% a month one day to +1%- +2% the next day. It isn't going to happen.

I'm still calling a spade a spade as far as the housing market goes, and as the regulars know on here I'm pretty much on the 'bearish' side, but to be honest my VI in the market falling has wained significantly over the past 3 weeks.

The simple reason is, I'm not staying here in the long term, I'm off to Australia when/if I lose my job. Or if I keep it I'm off in just under 4 years anyway, so I'm never going to buy here.

This country is f**ked with a capital F, we make nothing, we export very little, we import nearly everything (take a look at the Made In label on anything you buy.). I flatly refuse to bail out Gordon Brown's useless economic policies in 2-3 years time, he can forget it.

Even with prices falling here, I can still buy a 3 bed detached on an acre out there for less than a pathetic shoebox here and the economic prospects over there are much, much better.

FTB's might well be coming back to the market, one of them won't, and never will be me. This place has little or nothing going for it, and never will.

mizzbiz

chucky wrote: »

Mizzbiz you do this in everyone one of your posts - don't go by averages but worry about your own area. the house price indicies are averages that don't contain all the data (positive and negative); don't hinge your argument just on them.

Chucky, I don't think you even read my posts, as your responses to them never correspond with what is actually said. The one above is very clearly and concisely stated about something in particuar, but yet again, you miss the point. Nobody is arguing that houses dont get bought and sold in a falling market, I am simply stating the point that if you do partake in this, I think you're a nutter. End of.

Lotus-eater

ad9898 wrote: »

I can't believe people would be 'scared' of missing out, as if we are going to go from -1%, -2% a month one day to +1%- +2% the next day. It isn't going to happen.

I'm still calling a spade a spade as far as the housing market goes, and as the regulars know on here I'm pretty much on the 'bearish' side, but to be honest my VI in the market falling has wained significantly over the past 3 weeks.

The simple reason is, I'm not staying here in the long term, I'm off to Australia when/if I lose my job. Or if I keep it I'm off in just under 4 years anyway, so I'm never going to buy here.

This country is f**ked with a capital F, we make nothing, we export very little, we import nearly everything (take a look at the Made In label on anything you buy.). I flatly refuse to bail out Gordon Brown's useless economic policies in 2-3 years time, he can forget it.

Even with prices falling here, I can still buy a 3 bed detached on an acre out there for less than a pathetic shoebox here and the economic prospects over there are much, much better.

FTB's might well be coming back to the market, one of them won't, and never will be me. This place has little or nothing going for it, and never will.

Ohh it has, green fields, fish and chips, the slap of a cricket bat hitting a chav on the back of the head.

Good old blighty!

b0rker

ad9898 wrote: »

The simple reason is, I'm not staying here in the long term, I'm off to Australia when/if I lose my job. Or if I keep it I'm off in just under 4 years anyway, so I'm never going to buy here.

Sadly we don't all have that option. Or maybe we do and we are too scared of that too?

Good luck with Oz.

mewbie_2

Lotus-eater wrote: »

the slap of a cricket bat hitting a chav on the back of the head.

Surely leather on willow, unless Wisden's changed since I used to read it.