I want it!!

kriss_boy

The notion that 'A property is only worth what someone is willing to pay' just doesnt apply anymore...

Its worth as much as someone is restricted to offer!!

Looking at the property pages makes me pig sick. Theres tired old 3 bed semis in nice areas for a mere £130K. The kind of houses my girlfriend and I could settle down in and keep long term.

Our combined salary is 42K but we are youngish and work for local government/NHS at the bottom of our scales.

I just doubt we would get back what we paid for our place. pfft. Its not fair!

bristol_pilot

Have a flick through some economics textbooks. The definition of 'demand' has always been what someone is willing and able to pay. Those of us who knew that sold at the peak and rented.

kriss_boy

bristol_pilot wrote: »

Have a flick through some economics textbooks. The definition of 'demand' has always been what someone is willing and able to pay. Those of us who knew that sold at the peak and rented.

Of course but the lack of credit these days means that while someone is able to get a mortgage of £200K themselves despite the crunch, a FTB buyer cant get £85K to buy their property in order to fund the purchase!

When will all those who did sell at the peak to rent start buying again? Next year perhaps?

Surely there will come a point where all those that shut up shop will reopen for trading again soon.

mbga9pgf

wipe it soft boy.



you bought at the top of the market. No-one to blame but yourself.

Of course but the lack of credit these days means that while someone is able to get a mortgage of £200K themselves despite the crunch, a FTB buyer cant get £85K to buy their property in order to fund the purchase!

The massive expansion in credit we saw 1999-2007 has gone. And it isnt coming back. So better get used to the status-quo teary-eyes!

Perhaps people need to learn how to save. I have saved 2X my salary (before tax) in 4 years.All it takes is a little sacrifice.

PasturesNew

kriss_boy wrote: »

When will all those who did sell at the peak to rent start buying again? Next year perhaps?

I am one of them... probably not next year to be honest.

One issue is "having a job". I'd need a job before I bought a house - so I'd know where I should buy a house. There's no point buying something that turns out to be 20-30-40-50-100 miles away from where I get a job offer.

Stability is what's being waited for. Stability and confidence.

kriss_boy

mbga9pgf wrote: »

wipe it soft boy.



you bought at the top of the market. No-one to blame but yourself.

The massive expansion in credit we saw 1999-2007 has gone. And it isnt coming back. So better get used to the status-quo teary-eyes!

Perhaps people need to learn how to save. I have saved 2X my salary (before tax) in 4 years.All it takes is a little sacrifice.

Youre making likely but incorrect assumptions.

We bought in March 2008 when the market had already began to drop.

We were outbid on two identical houses in the same area, 1 at 97K and another at 93K but we refused to compete with that sort of money upon advice from our financial advisor.

We put in a cheeky offer of 84K for ours and got it.

As we speak there is another nearby in need of complete rennovation listed for 94K and it doesnt even have a garage.

We got ours valued at 90K in April of this year so we are confident we wont take a loss, we will just have to wait it out to find a buyer like everyone else.

Its funny how a lot of people here relish the possiblity of people losing thousands on their houses though. Why is that?

mbga9pgf

Its funny how a lot of people here relish the possiblity of people losing thousands on their houses though. Why is that?,

Because it was never worth the massively overinflated price in the first place perhaps?

We got ours valued at 90K in April of this year so we are confident we wont take a loss, we will just have to wait it out to find a buyer like everyone else.

you might want to take a look at the RM stats. Difference between asked for price and attainable on average is 90%. you will have to take 10% off that figure at present to gain a sale. And dont think this mini boom is going to carry on forever. Its not going to.

lostinrates

PasturesNew wrote: »

Stability is what's being waited for. Stability and confidence.

I feel exactly the same.

We would probably have gone for two/three of the properties we've seen if we felt more pressured by the market. (a market with a different sort of want for stabilty and confidence) but we've felt the pay off of owning these not quite ideal properties was the feeling that the outlook is uncertain but leaning towards us being able to buy at least equivalent properties in the near future should things change. Now we feel its only six months until our personal stabilty is confirmed/not and that the mrket would have to leap in a dramatic bound for us to be privced out of what we are now looking at, combined with forecast for improvement of personal cicumstances it seems that, for us, to be pressured now would be a rash and potentially foolhardy move. I will not deny however, that its tempting, because we would very much prefer to be settled.

leveller2911

mbga9pgf wrote: »

wipe it soft boy.



you bought at the top of the market. No-one to blame but yourself.

The massive expansion in credit we saw 1999-2007 has gone. And it isnt coming back. So better get used to the status-quo teary-eyes!

Perhaps people need to learn how to save. I have saved 2X my salary (before tax) in 4 years.All it takes is a little sacrifice.

LOL:rotfl: , made my weekend that,"wipe it soft boy".........such a way with words MB

Anyway, moving on,I would say in my area house prices have risen 300% in the last 10-12 yrs and wages have risen about 25% so the bubble couldn't go on.We were always going to have a crash and its going to be big.We didn't buy because houses were way over priced, we chose to have a life, we chose to work to live not live to work.Thats not to say we wouldn't buy, we would love to but on our terms .
House prices will not rise for a good 5 years or so purely because FTB ,s need a far bigger deposit.
For years we had people saying how much they had made on their house sale, sold it 6 months after buying and made £80k profit,blah,blah,blah.
I dont have sympathy with people who "played the game" and lost or losing,if you can't afford to lose then don't play..Sorry if thats harsh but you would be bragging to your mates if you made £80k profit....Simples, human nature I guess.

michaels

I disagree - turns out the house price crash was not about affordability declining due to the 'credit crunch' - it was all about price expectations - hence although prices here (AL postcodes) fell by 20% between Aug 07 and Jan 09 it has taken only 6 months for them to return to the peak level.

Anyone who STR'd would have to have done it at peak not to have made a loss (ignoring the extra cost of renting over paying a rock bottom mortgage)

kriss_boy

mbga9pgf wrote: »

Because it was never worth the massively overinflated price in the first place perhaps?

you might want to take a look at the RM stats. Difference between asked for price and attainable on average is 90%. you will have to take 10% off that figure at present to gain a sale. And dont think this mini boom is going to carry on forever. Its not going to.

No, based on recent sold properties in our area the estate agent reckoned we would get 90K, possibly as much as 125K if we put on a 2 bed extension that will only cost us £17/18K to do ourselves.

Im glad I didnt get caught up in the hype and walked away from a number of flats prior to buying the one I eventually got.

Instead we got a 1 bed semi with a big garden, ripe for sticking a 2 bed extension on for about 18K-just like we did with my brothers that sits on the opposite side of the road.

freakily enough on the brochure of this property, on the picture of the living room my old car can be seen parked across the road at my brothers house. Estate agent must have been valuing the place when I was visiting!