Why are posters so Obsessed with House Prices?

Exocet

Malcolm. wrote: »

Thanks Exocet! If I sleep under the bench and my colleague above it, we can just about afford to buy the bench. It feels great to finally be on the housing ladder.

Good luck getting a mortgage.

treliac

DarkFallout wrote: »

For the ones that have their own house this is probably the biggest investment and/or expense depending if they are mortgage free or not. Therefore homeowners hope that the prices will go up/up/up and they will have more equity.

Just the opposite the people that don't have their own house or want to buy something bigger and more expensive hope that the prices will go down/down/down and they will achieve their targets easier.

Not everybody's motivated entirely by their own self interests you know.

And at the end of the day, if things get too far out of sync, we all suffer. We have a govt, they're supposed to govern sensibly.... not let things get into the state they did over the last few years.

treliac

Malcolm. wrote: »

Thanks Exocet! If I sleep under the bench and my colleague above it, we can just about afford to buy the bench. It feels great to finally be on the housing ladder.

If you've just had a night on the town, let's hope he's continent.

Malcolm.

treliac wrote: »

If you've just had a night on the town, let's hope he's continent.

Arghhh! Would you like to purchase half a bench treliac? This shared ownership scheme isn't all it's cracked up to be...

treliac

Malcolm. wrote: »

Arghhh! Would you like to purchase half a bench treliac? This shared ownership scheme isn't as good all its cracked up to be...

Bags I have the top bunk

sabretoothtigger

kudos to b2b3 - cost of finance is the largest cost of housing for most

Which is why people should fix their rate for ten years while possible and the economy is relevant to house prices.


Maybe that is the answer to all debate. Stop waiting for house prices to drop while finance is still cheap.
When interest is 10% and loans have been scarce for a year or so is when your'll see the lower house prices of course you then have the catch 22 problem of likely not being able to afford it

Graham_Devon

sabretoothtigger wrote: »

Maybe that is the answer to all debate. Stop waiting for house prices to drop while finance is still cheap.

That's the same answer as over the previous 5 years.

Stop waiting, get the debt while you can before it's too late and house prices go up.

Can it be the same answer today? Stop waiting, get the debt while you can before the debt price goes up.

JonnyBravo

Malcolm. wrote: »

What's a house?

<yes - i have just returned from a night out on the town>

Posted: Yesterday, 10:44 PM

More like half a night out. Cash a bit tight eh?

sabretoothtigger

Compare it to renting costs, stop spending money on renting might make more sense. Obviously if you can rent cheaply then its not a concern, I dont think this is the case for most

borntobefree

Graham_Devon wrote: »

If people could just "buy now" we wouldn't even be having this discussion.

The issue is that people, in general, especially new families and those new to the housing market, simply cannot afford the price in the first place, regardless of the interest rate.

If people could just buy now, as you suggest, there would be no issue to talk of.

As for interest rates, again, for new people coming into the market, they are low, yes, but not majorly low...not when you base it on the last decade.

I bought in 2006, my fixed interest rate was 5.25% for 2 years, 90% LTV.

Move on 4 years....lowest base rates in 300 years. Having a look now, best fixed rate on a quick search is Yorkshire BS, 90% LTV, 4.9%.

The low base rate has only made a difference to those with current mortgages, not in a fix.

The interest rate for anyone buying now, is just 0.3% cheaper than what I bought for in 2006. So we save a tiny sum of money. Apart from the fact the fee is now £995 for the mortgage, and I didnt have a fee at all.

It's not as clear cut as you are trying to make it. Not for those buying.

Ok - so posters on this board are waiting for prices to fall as they can't afford to buy a house at current purchase prices but if interest rates rise they still won't be able to afford the monthly repayments, so maybe they just need to earn more?