Str

michaels

So we have seen the 'crash', we have seen the 'bounce' - is it again a good time to STR?

Really2

michaels wrote: »

So we have seen the 'crash', we have seen the 'bounce' - is it again a good time to STR?

Pass, I think time to STR was late 07 early last year. I think prices will drop over winter.

But you have got to add all the costs of STR (two moves etc) for it to be worth it.

chucky

michaels wrote: »

So we have seen the 'crash', we have seen the 'bounce' - is it again a good time to STR?

STR is always good and there never really is a bad time. I've done it to wait for the right property to come along. It wasn't a financially motivated decision but one of being able to move quickly when the right property came up.

STR for financial reasons is very tricky to get right IMO.

sabretoothtigger

and have already paid off 7% in the last year

impressive, thats the way to do it

Really2

sabretoothtigger wrote: »

impressive, thats the way to do it

If I did not do it in the current climate I should be shot.

donglemouse

HAMISH_MCTAVISH wrote: »

Actually, according to Nationwide, N.I. average prices have risen by 9.5% in the last quarter.

NI saw bigger than average gains, and has also seen bigger than average falls. The worst is over, even there.

as a resident of NI i'll beg to differ - perhaps you could elaborate why you hold your viewpoint, is it based on anything other than nationwides numbers for a single quarter?

as another poster mentioned transactions are very low in NI (800 house sales per quarter or thereabouts per the University of Ulster house index)

there's a pile of issues fairly unique to the market compared to the rest of the uk for example there's no shortage of land zoned for building in NI and no shortage of houses available either in most locations/types

and that's before we get into a land border with the republic of ireland which is in a mess and unlikely to be delivernig much investment in NI for the forseeable future

with so much supply, i can't see what will drive prices up in a sustainable manner and with the majority of the population in NI employed by the public sector, the employment outlook may not be good going forward

Harry_Powell

PasturesNew wrote: »

Well, looking at http://www.home.co.uk and using their figures from June 2007 to June 2009 I am £67,052 up.

To have kept that house would have cost me more than my rent too because of the extra running/maintenance costs on it. So it can easily be rounded up to £70k.

If I compare median prices, I am up by £20k.

How long is the piece of string I need?

Only 3 houses like mine sold in June 2009 in my whole town, 12 sold in 06/07, so low volumes even at the peak.

Until you buy back into the market, you haven't 'made' anything.

All you can really calculate is how much it cost you to sell your house (anything between £2056 and £5140 depending on the house's size and estate agent's take), plus how much you have gained on the interest minus how much you have lost in means-tested benefits (due to having too much money in savings).

or put simply:

gain = cost of house sale + equity savings interest - loss of benefits.

It'd be interesting to see this figure.

crusty_toenail

donglemouse wrote: »

as a resident of NI i'll beg to differ - perhaps you could elaborate why you hold your viewpoint, is it based on anything other than nationwides numbers for a single quarter?

as another poster mentioned transactions are very low in NI (800 house sales per quarter or thereabouts per the University of Ulster house index)

there's a pile of issues fairly unique to the market compared to the rest of the uk for example there's no shortage of land zoned for building in NI and no shortage of houses available either in most locations/types

and that's before we get into a land border with the republic of ireland which is in a mess and unlikely to be delivernig much investment in NI for the forseeable future

with so much supply, i can't see what will drive prices up in a sustainable manner and with the majority of the population in NI employed by the public sector, the employment outlook may not be good going forward

Well said!:T:T:T:T Agree completely

the_ash_and_the_oak

Harry_Powell wrote: »

Until you buy back into the market, you haven't 'made' anything.

All you can really calculate is how much it cost you to sell your house (anything between £2056 and £5140 depending on the house's size and estate agent's take), plus how much you have gained on the interest minus how much you have lost in means-tested benefits (due to having too much money in savings).

or put simply:

gain = cost of house sale + equity savings interest - loss of benefits.

It'd be interesting to see this figure.

not totally feeling this imo. Its far from being a given that an STR will buy back into the market at all. My gparents str at the end of 2004 - and yes the initial plan was to buy back in at some later point, w the adv of being cash buyers also. While prices continued to rise after they'd sold it might have appeared to have been a mistake (timing the top not that easy) but w rent being paid for by interest - and not having to worry about property upkeep - plus getting to live in a nicer place than before - gradually thought less and less about buying back in

sabretoothtigger

Prices didnt get back to 2004 on average did they, not much of a fall on the surface but including exchange rate changes it might be at 2004 then I guess - nice for foreigners'

There was about a 24% fall in currency last year alongside the housing 'crash'