House Prices

caz2703

Gonna hijack this thread now you've mentioned roundabouts. i nearly had a heart attack a few years ago in Hemel Hempstead. Got to a roundabout and could see our naff hotel on the other side of the dual carriageway. All of a sudden our colleague/driver went the wrong way around the roundabout :eek: Well how was I to know it's one of those big roundabouts with all the mini ones inside it that allow you to driver anti-clockwise!!

warmhands.coldheart

caz2703 wrote: »

Gonna hijack this thread now you've mentioned roundabouts. i nearly had a heart attack a few years ago in Hemel Hempstead. Got to a roundabout and could see our naff hotel on the other side of the dual carriageway. All of a sudden our colleague/driver went the wrong way around the roundabout :eek: Well how was I to know it's one of those big roundabouts with all the mini ones inside it that allow you to driver anti-clockwise!!

Yeah I think I know the one you mean.... I've encountered a few of those I think in the UK... mind you it could also have been the same one on numerous occasions !!:rotfl:

x12yhp

I think the reality is that since our parents and grandparents days, the population has become utterly single minded about property. If they do not own their own property then they consider themselves a failure. This means that people who before would not have cared push to get onto the ladder, those who would previously have been owners now get forced to pay more to compete, the banks and government take advantage and people push beyond their means because owning a property is the end of the world....

That is why it is so much more difficult to service a property now than 30-50 years ago. On the other hand, if you take the choice not to buy and, instead, rent.... well you have much much more disposable cash than the same decision 30-50 years ago. This is really where we went wrong on the 'bubble' - people thought they could not only have the house, but also the lavish lifestyle. Frankly there is no difficulty for a decent earner in driving a porsche, going on fancy holidays, etc. But to do it in addition to the demands of modern property ownership needs one to be on a good salary, not just decent. This is why the whole mess arose, people who wouldnt accept that.

tara747

x12yhp wrote: »

I think the reality is that since our parents and grandparents days, the population has become utterly single minded about property. If they do not own their own property then they consider themselves a failure. This means that people who before would not have cared push to get onto the ladder, those who would previously have been owners now get forced to pay more to compete, the banks and government take advantage and people push beyond their means because owning a property is the end of the world....

That is why it is so much more difficult to service a property now than 30-50 years ago. On the other hand, if you take the choice not to buy and, instead, rent.... well you have much much more disposable cash than the same decision 30-50 years ago. This is really where we went wrong on the 'bubble' - people thought they could not only have the house, but also the lavish lifestyle. Frankly there is no difficulty for a decent earner in driving a porsche, going on fancy holidays, etc. But to do it in addition to the demands of modern property ownership needs one to be on a good salary, not just decent. This is why the whole mess arose, people who wouldnt accept that.

Yes, and what about all that equity withdrawal, people suddenly having 4x4s parked on the driveway and paying for them for 25 years, LOL!!!!!!!!!!!!!!!! :rotfl::rotfl::rotfl::rotfl::rotfl:

Hopefully that sort of behaviour will never happen again. The UK cannot afford another banking crisis.

x12yhp

tara747 wrote: »

Yes, and what about all that equity withdrawal, people suddenly having 4x4s parked on the driveway and paying for them for 25 years, LOL!!!!!!!!!!!!!!!! :rotfl::rotfl::rotfl::rotfl::rotfl:

Hopefully that sort of behaviour will never happen again. The UK cannot afford another banking crisis.

This is one reason I liked the idea of old tories... they accepted the rich were wealthy and that the not rich had to work. Whether they work that way now (especially with the libs) is going to be hard to judge - lets see what the emergency budget brings.

motorguy

warmhands.coldheart wrote: »

Totally agree Mypie.
The developers seem to have twigged on a bit (well at least outside of Belfast area anyway)
There are so many houses for sale around us through private sales (through estate agents) that are easily 20%~30% higher than what a developer is selling a new build around the corner for.
There is a Four Bed Detached beside us has been empty for nearly 2 years now…. Vendor has it on at £180,000. New smaller development literally 500 yards away and you can get a 4 bed NEW Build with garage, similar size rooms and garden for under £150,000.

People selling their houses really need to wake up and smell the coffee….. their prices are too high…. The developers has cottoned onto this… why haven’t they

I think the bottom line is that developers need to shift houses to stay in business.

Private individuals do not.

For example, we bought our house for £128K 6 years ago - new build 4 bed detached +garage. At the peak of the market it would maybe have hit £280K. My gut feeling is that a realistic price would have been £180K, however the estate agent who valued it said we'd need to put it on for £145K to 'get rid'. Well, sorry, but i am NOT giving the house away simply because some people cant get mortgages and others think they can buy a four bed detached for £10K more than a 3 bed semi just because some gimp in a newspaper or online tells them its a "buyers market"

So we're keeping it and renting it out for as long as it takes for the market to recover.

Certainly not giving it away.

tara747

pgilc1 wrote: »

I think the bottom line is that developers need to shift houses to stay in business.

Private individuals do not.

For example, we bought our house for £128K 6 years ago - new build 4 bed detached +garage. At the peak of the market it would maybe have hit £280K. My gut feeling is that a realistic price would have been £180K, however the estate agent who valued it said we'd need to put it on for £145K to 'get rid'. Well, sorry, but i am NOT giving the house away simply because some people cant get mortgages and others think they can buy a four bed detached for £10K more than a 3 bed semi just because some gimp in a newspaper or online tells them its a "buyers market"

So we're keeping it and renting it out for as long as it takes for the market to recover.

Certainly not giving it away.

:rotfl::rotfl::rotfl:

warmhands.coldheart

pgilc1 wrote: »

I think the bottom line is that developers need to shift houses to stay in business.

Private individuals do not.

For example, we bought our house for £128K 6 years ago - new build 4 bed detached +garage. At the peak of the market it would maybe have hit £280K. My gut feeling is that a realistic price would have been £180K, however the estate agent who valued it said we'd need to put it on for £145K to 'get rid'. Well, sorry, but i am NOT giving the house away simply because some people cant get mortgages and others think they can buy a four bed detached for £10K more than a 3 bed semi just because some gimp in a newspaper or online tells them its a "buyers market"

So we're keeping it and renting it out for as long as it takes for the market to recover.

Certainly not giving it away.

Fair enough if you don't Need to get rid of it (Obviously your not short of a penny )

All i'm saying is a lot of people will be holding onto their houses for a very long time (yourself included... again OK if you don't need the money in any hurray) as they are overpriced for the current market conditions and there's no sign of it getting any better in the near future..

warmhands.coldheart

pgilc1 wrote: »

....we bought our house for £128K 6 years ago -

... estate agent who valued it said we'd need to put it on for £145K to 'get rid'.

PS.... £145,000 - £128,000 = £17,000 profit... hardly "Giving it away"

PPS. Have you considered Capital Gains Tax on any profit after 3 year (I think) if you have bought another house which is now your Main Residence ??

motorguy

warmhands.coldheart wrote: »

PS.... £145,000 - £128,000 = £17,000 profit... hardly "Giving it away"

PPS. Have you considered Capital Gains Tax on any profit after 3 year (I think) if you have bought another house which is now your Main Residence ??

Relative to what i believe its true worth is, then yes it is. (to me anyway).

The current market price drivers at the minute seem to be lack of mortgages for first time buyers / lack of decent mortgage deals, a lot of builders selling houses off cheap to increase their cashflow and a lot of people with no urge not to pay anywhere near the asking price. I dont see why i should 'wake up and smell the coffee' when none of those scenarios are my problem.

We'll look into that closer to that timeframe and decide if its worth keeping the house beyond the point of paying capital gains on it.