House Prices - Radio 4 Program Money Box

ess0two

mewbie wrote: »

What did you decide in the end?

50/50 at the mo,debating whether to hit the boozer for the 2nd half also.

brixham

Dan: wrote: »

House prices are rising in ALL regions of the UK.

Check out the latest Land Registry release:
http://www1.landregistry.gov.uk/assets/library/documents/hpi_0908.pdf

According to your link my area is down -0.2 and look at poor old Merthyr !

brit1234

Dan: wrote: »

Why do you assume this?

Basic calculations, probability and mortgage access.

Now if I have a large deposit over six year, a good salary and can almost reach the cheapest property at a long stretch, then being told by estate agents that prices have bottomed I tend to disbelieve. I know from friends the only people who have been able to buy are 1 with shared ownership (no deposit), 1 with shared equity (no deposit), 1 with normal property with a £60,000 gift from parents and another £20,000 saved for a 1 bed.

No first time buyer can get on with out a massive deposit, usely paid by parents or one of these government funded schemes.

Its a bit of a no brainer that prices will fall back to normal, they are still way overvalued.

Dan:_4

brixham wrote: »

According to your link my area is down -0.2 and look at poor old Merthyr !

But your region is rising.

Dan:_4

brit1234 wrote: »

Basic calculations, probability and mortgage access.

Now if I have a large deposit over six year, a good salary and can almost reach the cheapest property at a long stretch, then being told by estate agents that prices have bottomed I tend to disbelieve. I know from friends the only people who have been able to buy are 1 with shared ownership (no deposit), 1 with shared equity (no deposit), 1 with normal property with a £60,000 gift from parents and another £20,000 saved for a 1 bed.

No first time buyer can get on with out a massive deposit, usely paid by parents or one of these government funded schemes.

Just because a couple of your friends struggled to buy does not mean all FTBers are in the same position.

It is not hard work a couple to save up a 10% deposit, and this is nothing new. Sure we had 100% mortgages, shared equity schemes etc prior to 2007 but do not assume EVERY buyer required such scheme in order to buy, the majority still saved a deposit.

What do you think FTBers have been doing for the last two years while the market was crashing? Saving a deposit I would guess waiting for the right time to enter the market, it seems that time is now.

brit1234 wrote: »

Its a bit of a no brainer that prices will fall back to normal, they are still way overvalued.

'Normal' is now set at 2007 levels. Sure it will take a good few years to get back there, but it will, and everyone knows it.

Property is not overvalued.

brixham

Dan: wrote: »

But your region is rising.

Nope, just checked again and is -0.2 month and -13.7 annual.

In our wisdom a few years ago we declared independance from Devon and created the republic of Torbay !

brit1234

Dan: wrote: »

Just because a couple of your friends struggled to buy does not mean all FTBers are in the same position.

It is not hard work a couple to save up a 10% deposit, and this is nothing new. Sure we had 100% mortgages, shared equity schemes etc prior to 2007 but do not assume EVERY buyer required such scheme in order to buy, the majority still saved a deposit.

What do you think FTBers have been doing for the last two years while the market was crashing? Saving a deposit I would guess waiting for the right time to enter the market, it seems that time is now.

Please use some comon sense. I have about a 20% deposit on a good wage, now it is the lending multiples which put me out even getting to that bottom end property.

It took me 6 years to save that deposit and costs, it can not be done overnight. I'm sure you are making up about the majority saving these 25% deposits.

Yes there will be a few first time buyers on a higher wage maybe in the city, but in genral I have a higher wage than most.

Dan: wrote: »

'Normal' is now set at 2007 levels. Sure it will take a good few years to get back there, but it will, and everyone knows it.

Property is not overvalued.

Since when was 6-7 times normal salaries the historical average, this is either a joke or you are deluded. Go back and check your facts.

shakerbaby

brixham wrote: »

Nope, just checked again and is -0.2 month and -13.7 annual.

In our wisdom a few years ago we declared independance from Devon and created the republic of Torbay !

I think Dan knows where you live better than yourself. Maybe he's been visiting Mrs Brixham. :eek:

brixham

shakerbaby wrote: »

I think Dan knows where you live better than yourself. Maybe he's been visiting Mrs Brixham. :eek:

I am Mrs Brixham so if he has it passed me by

mbga9pgf

I think FP was a little over pessemistic. I can see prices in 2014 being 5-10% below MAX, I can easily see nominal prices being level for a lot longer than he anticipates though. Another drop followed by stagnation.