Your house may never be worth as much again

ILW

pop_gun wrote: »

and i suppose repossessions aren't up either. what about that headline about 43% of mortgages being in arrears. maybe if we all shut our eyes and try to think really nice thoughts, it'll all go away!

lets all give it a go

I think many did just shut their eyes a couple of years ago, and the problems did go away when BoE rates fell to 0.5%.

nickj_2

chucky wrote: »

that's not in arrears though.

and that's only if rates went up?

surely it's a case of when rates go up not if - they are not going to stay this low forever

IveSeenTheLight

nickj wrote: »

surely it's a case of when rates go up not if - they are not going to stay this low forever

True, but there's nothing to say the financial situation would be different when mortgage rates increase.

Maybe there is time to resolve the equity issue.
Maybe rents will increase covering any rate rises.
There's no reference to the quantity surveyed.

Remember also that this survey is from a property share website.
Is this an indicator that there is likely to be more people sharing property. What would the impact be on rents in that situation?

chucky

nickj wrote: »

surely it's a case of when rates go up not if - they are not going to stay this low forever

the comment was that 43% of mortgages were in arrears now.

that's not even remotely true.

pop_gun wrote: »

what about that headline about 43% of mortgages being in arrears.

the article is rubbish and contradicts itself anyway.

nickj_2

ILW wrote: »

I think many did just shut their eyes a couple of years ago, and the problems did go away when BoE rates fell to 0.5%.

they didn't go away - they are still there - they've just been put on hold , probably listening to greensleeves

Losing_the_way

The title of this tread is meaningless as it could only be true if EVERYTHING would never be worth the same in real terms. Housing costs are too high in regards to earnings for far too many.

What’s obvious is that the whole property market needs to looked at so that we can never allow these problems to happen again. Let’s be honest our generation have borrowed our children’s financial future, it’s the least we can do to try to make amends

StevieJ

Losing_the_way wrote: »

The title of this tread is meaningless as it could only be true if EVERYTHING would never be worth the same in real terms. Housing costs are too high in regards to earnings for far too many.

What’s obvious is that the whole property market needs to looked at so that we can never allow these problems to happen again. Let’s be honest our generation have borrowed our children’s financial future, it’s the least we can do to try to make amends

Give me a clue, what is 'our generation' ?

Losing_the_way

Those of us on this planet at the mo.

Graham_Devon

Blacklight wrote: »

So excluding materials but including the 90% on land and 'legal fees' it was £12k?

I don't know what to say about that. £12k for land, 'legal fees' and 12 weeks labour. Was he building it in Zimbabwe?

Proof if any were needed that you really have no concept of reality.

Proof, if ever that you simply cannot read.

Graham_Devon wrote: »

I know someone who had their house built for them about 2 years ago. The land and legal fee's made up 90% of the cost at least. The actual cost to construct the house, ignoring materials, was just shy of 12k. Up in 3 months from scratch.

RenovationMan

The house I bought just a couple of months ago was originally valued at £499k (just under the next stamp duty threshold) and I reduced them down to £450k. Which figure will my house not be worth as much again, the valuation or the purchase price?

Never is a very long time and even the most informed pundits and experts seem to have trouble forecasting a year or so ahead, so I think I'm safe with my strategy of using HPI gains on this house to partially fund my pension plan.