OH MY GOODNESS - the house price crash hits home!

Pobby

Harry_Powell wrote: »

True, and being so rigid in an opinion can really impact you financially. In both shares and house buying, I've seen people so entrenched in their views on what an individual share price or average house price should be that they flat refuse to buy or sell when all other facts tell them too, resulting in them missing out completely.

I think it has been a very poor decade to " plan " very much. Lose and carefree lending ( the likes never seen before ). A housing market that raced away, leaving many, myself included, perplexed as the changed lending criteria created a massive bubble.

We were told how well the economy was performing and yet we have seen a very lack lustre performance in equities by and large over the 10 years.

Now we are in strange waters, the economy supported artificial and drastic actions.

Tbh, for many years I thought we would see a crash, I really did. However I don`t know any more. I really have no idea where all this is leading.

lostinrates

re those asking for links, I don't give them either, if its a house we still may be considering or ones that I am ''aware'' of what was happening behind the scenes. The kind of information that would make the tale interesting would also be either to revelationary about the people who have lived in them/damage prospects of their sales/purchases etc or leave a nice trail to where we eventally go.

Anecdotals is all we can really offer, and none of the information, bar the stats produced by named organisations etc are really reliable (with in their limits).

chucky

lostinrates wrote: »

re those asking for links, I don't give them either

there's a big difference - you're consistent and honest with your anecdotal information

carolt

Wow - can't believe there've been this many responses already - I only posted it last thing last night.

To clarify:

1. I'm not going to post a link, as I only live round the corner.
2. julieq, if I'd bought that house, I wouldn't have saved a penny in rent - the mortgage interest costs were actually higher than the rent.
3. I'm not interested in buying it now, at any price, as - as I've explained elsewhere ad infinitum - we're planning to move areas for school reasons, and will not be buying anywhere before 2011 at the earliest.

Thank you all for your kind interest in my situation.


chucky - you need to re-read the thread you posted a link to, as you appear to be posting garbage related to it.

silvercar

I've found the link (I knew where to look, carolt looking not that far away from me).

The house is cash buyers only because the kitchen has been totally ripped out, even the kitchen sink!. You would never get a mortgage on a property with no kitchen.

Even if carolt wanted it, there would be considerable costs in refitting, new kitchen, electrics, carpets, fireplace... plus a cash buyer means obtaining a mortgage would be impossible.

I would expect this price reduction given its current state and unmortgageability, irrespective of any HPC.

PS similar properties in decent condition are on at 10-15% more than this ones' price in 2006, not that they will necessarily achieve that, just a point of reference.

[Deleted User]

Would you consider buying it Carol? How much damage have they done to the property? If it's not too much (i.e. if the price has dropped mainly because of the crash and not because of what the current owners have done to it) it could turn out that you get the house you originally wanted at a bargain price?

I for one can understand why you're announcing the news! I would too. It's really nice when a decision, or something out of your control, turns out to be to your advantage. Especially when you were very dissapointed at the time it happend.

carolt

silvercar wrote: »

I've found the link (I knew where to look, carolt looking not that far away from me).

The house is cash buyers only because the kitchen has been totally ripped out, even the kitchen sink!. You would never get a mortgage on a property with no kitchen.

Even if carolt wanted it, there would be considerable costs in refitting, new kitchen, electrics, carpets, fireplace... plus a cash buyer means obtaining a mortgage would be impossible.

I would expect this price reduction given its current state and unmortgageability, irrespective of any HPC.

PS similar properties in decent condition are on at 10-15% more than this ones' price in 2006, not that they will necessarily achieve that, just a point of reference.

Not in that street or equivalent, silvercar.

Pricier properties may be ie those where those buying them can use existing equity to garner a good mortgage rate.

Houses aimed at first-time buyers can't afford to - the rates available to them aren't good enough.

BTW - Thanks for pointing out to the doubting thomases (or Hamishes ) that the house does actually exist and I haven't made it up. )

chucky

silvercar wrote: »

The house is cash buyers only because the kitchen has been totally ripped out, even the kitchen sink!. You would never get a mortgage on a property with no kitchen.

Even if carolt wanted it, there would be considerable costs in refitting, new kitchen, electrics, carpets, fireplace... plus a cash buyer means obtaining a mortgage would be impossible.

I would expect this price reduction given its current state and unmortgageability, irrespective of any HPC.

so it's got nothing to do with any HPC but because it's been trashed inside - the guys that stripped it obviously got good value for money then

silvercar wrote: »

PS similar properties in decent condition are on at 10-15% more than this ones' price in 2006, not that they will necessarily achieve that, just a point of reference.

interesting - how far off from peak are they?

julieq

Yes Carol, but you'd be three years closer to the end of your mortgage, at which point you stop paying. You incur those mortgage repayment costs from the point at which you buy but unlike rent they end.

So that is a net cost to you of three years of rent to offset against a notional fall in value had you trashed the house and decided to sell now. Had you stayed there until 2011 and then sold you would be 5 years into your mortgage instead of having paid rent for 5 years, you would most likely have equity, and I'm guessing you wouldn't have trashed the house.

So it seems you're probably down on the deal.

HAMISH_MCTAVISH

Spartacus_Mills wrote: »

You could contribute far more to the debate here if you did not resort to this continual ad hominems.

:rotfl:

I suggest you count the number of ad hominems in this thread..... Or any other for that matter. Most are aimed at me, to make it easier for you.:rolleyes:

By and large the only attacks I see on this forum, on either side of the debate, come from you.

.

Then to say you have selective vision would be generous. HarryPowell has posted one in this very thread. Nearlynew posts hundreds of McTittish comments a week. I don't see you jumping up and down in outrage then.

Carolt called me "clinically insane" in another thread just 7 minutes before I posted about the "men in white coats" in hers. She is one of the nastiest and most vitriolic posters on here, and worse, refuses to post any semblance of proof to back up her position.

There is no way any reasonable person could make the claims about house prices she does, and expect anyone to believe them. Narrowing down your location to a county or city is in no way identifying of who you are, and would easily shut up her critics if the indices back her up. The ONLY reason she refuses to do so, is because whe knows full well the indices will not back her up.