London house prices still crazy!

drc

What do people think about London house/flat prices?

I still think they are beyond crazy. In the area I am in (North London), an average 2 bed flat in a fairly nice area still costs well over 250k and that is normally with a short lease and nothing flash. If you want to add 99 years to the lease, expect to pay another 30k. If we wanted to buy a house we would be looking at a starting base of about 500k which I just think is nuts. So, average salary earners can expect to have to pay half a million pounds if they want a house. Anyone would think this is Beverley Hills or something :rolleyes:. What's ridiculous is that a lot of the flats that are 250k or more were easily 100k less expensive just 6 years ago. I asked an EA the other day on a viewing, what did the owners do to the property in those 6 years that justified a 100k mark up? He just said "its a very popular area and properties are in demand".

Unless house prices fall significantly in non-crime ridden parts of suburban London, most ftb's will be expected to pay over a quarter of a million pounds just for a basic 2 bed flat and I don't see many being able to do that. The only people who have that sort of money are people already on the ladder for several decades or those in really cushy jobs with great incomes.

So, what is the future for average earners who want to live in London (in a fairly decent area) who cannot afford to pay a quarter of a million for a 50sq metre 2 bed flat? It's so depressing

StevieJ

Easy, move Oooooop North It's cheaper and far more pleasant, the locals are pretty friendly in general. BTW I don't mean North London

drc

StevieJ wrote: »

Easy, move Oooooop North It's cheaper and far more pleasant, the locals are prett friendly in general.

We're actually thinking about it. I don't know what places ooop North are nice though. Wouldn't want to live too far outside London as my mam is elderly and on her own, so need to be able to get to her quickly in the event.

StevieJ

drc wrote: »

We're actually thinking about it. I don't know what places ooop North are nice though. Wouldn't want to live too far outside London as my mam is elderly and on her own, so need to be able to get to her quickly in the event.

Watford gap then

mrposhman

I live south of the river, just by wimbledon. Its definately not crime ridden and isn't a bad area. The 2 bed flats start from around £150k, I'm not really sure on the leasehold terms as I haven't really checked but you can definately find affordable houses in and around london.

Houses for obvious reasons in london are much higher but depending on your job and your available deposit there are houses out there where you don't need to go to the really undesirable areas.

Running_Horse

Stop moaning and do what I did 20 years ago. Move to the home counties. Even yesterday I met a couple from London wandering round my village, trilling about how quaint everything is, and thinking they were the first to think of the idea.

I assume in London you are competing with foreigners, city bonuses, and trust fund inheritances. Not sure what these non-crime areas in London you are talking about. But for many the first rung in the capital has long been a one bed flat in a grotty area. Why the insistence on two beds?

While I sympathise, unless things fall a lot further you are not being realistic.

GracieP

London house prices peaked in Q3 07, so about a year after most of the country. In fact they rose an average of 10% in that year. The fact is that they are falling, but they still have quite a lot further to fall. Unless you see a particularly great bargain, perhaps at auction, I wouldn't seriously consider buying right now. It will be at least another year, probably 2, before you will start to see real value.

I pay £1,150pm rent on a house which would have reached £500k 2 years ago. One sold recently for £347k at auction, but is still vastly overpriced considering the rent it could command.

drc

Running_Horse wrote: »

Stop moaning and do what I did 20 years ago. Move to the home counties. Even yesterday I met a couple from London wandering round my village, trilling about how quaint everything is, and thinking they were the first to think of the idea.

I assume in London you are competing with foreigners, city bonuses, and trust fund inheritances. Not sure what these non-crime areas in London you are talking about. But for many the first rung in the capital has long been a one bed flat in a grotty area. Why the insistence on two beds?

While I sympathise, unless things fall a lot further you are not being realistic.

We need a 2 bed as we have a child and don't want him still sleeping in our bedroom when he reaches 13:rotfl:. We are definitely going to look into the home counties though...

ukcarper

Prices in London have and will always be high that’s why so many people commute. Even in places like Cobham Surrey you can get 3 bed houses for 300k.

Running_Horse

In Kent you can buy a 3 bed village house less than a mile from Farningham Road or Longfield railway stations, for less then £150,000.

Castleman

Running_Horse wrote: »

In Kent you can buy a 3 bed village house less than a mile from Farningham Road or Longfield railway stations, for less then £150,000.

sshhhhhhhhhhh!

It's not true. don't believe him.