Rightmove: Buying Window is next 12-18 months

HAMISH_MCTAVISH

“The next twelve to eighteen months could provide a window for those who can just meet minimum deposit and creditworthiness criteria, as affordably low rates and lower property
prices could marry up.

In addition, a period of higher inflation that outstrips flat or falling property prices makes buying even cheaper in real terms as long as your salary is going up in line with inflation.

These are the conditions that over a few years could herald a sustainable housing market recovery based on higher buyer volumes as opposed to stock shortages.

This would provide a solid foundation for the property price pendulum to swing back up, fuelled by growing household numbers, lack of newbuild and easing in mortgage availability.

As always, deposit–rich buyers will remain in the driving seat, and an increase in interest rates will keep the less creditworthy buyers from returning to the market.

If you can’t raise a beefy deposit, cheaper property prices won’t help you much”.

The buying window for the best deals was early 2009.

But interesting to see the prominent forecasters such as Miles Shipside acknowledge mortgage rationing is excuding large numbers from home ownership, and also accepting prices will start to rise markedly from 2012 onwards anyway.

Perhaps Miles has finally noticed the FTB demographic bubble that starts in 2013 and last til 2025, and is bigger than the boomer generation......

Sibley

I dont want any of the doom and gloomers buying a house in the window. I want them priced out forever.

I want to see their manky faces at my house parties all twisted up wishing they were in my shoes.
(Which are Prada actually) :rotfl:

chucknorris

HAMISH_MCTAVISH wrote: »

The buying window for the best deals was early 2009.

I don't really mind missing the bottom of the market, because last year was bad for rentals, the rental market seems to have picked up significantly now though, at least in London anyway. I'm not sure why it has picked up, maybe quite a lot of 'accidental landlords' have now sold (or selling).

HAMISH_MCTAVISH

chucknorris wrote: »

I don't really mind missing the bottom of the market, because last year was bad for rentals, the rental market seems to have picked up significantly now though, at least in London anyway. I'm not sure why it has picked up, maybe quite a lot of 'accidental landlords' have now sold (or selling).

Indeed.

Good for landlords as rents are increasing much faster than wages almost everywhere.

JonnyBravo

HAMISH_MCTAVISH wrote: »

Indeed.

Good for landlords as rents are increasing much faster than wages almost everywhere.

Seeing as wage inflation is what 1% that's not saying a lot is it?
I'm not seeing any rental inflation to speak of, mind I also didn't see the big crash in rents that supposedly happened.
Not saying it didn't, my sample is fairly small , just passing on some anecdotal.

I know everyone loves it on here.

DervProf

Sibley wrote: »

I dont want any of the doom and gloomers buying a house in the window. I want them priced out forever.

I want to see their manky faces at my house parties all twisted up wishing they were in my shoes.
(Which are Prada actually) :rotfl:

I offered to come to your parties Sibley, am I still welcome ?

If you are male, I suspect you take a size 7 shoe, is that correct ?

I base this prediction on the fact that men with small feet have to make up for it in other ways, such as driving flash cars, or boasting about their equity.

DervProf

JonnyBravo wrote: »

Seeing as wage inflation is what 1% that's not saying a lot is it?
I'm not seeing any rental inflation to speak of, mind I also didn't see the big crash in rents that supposedly happened.
Not saying it didn't, my sample is fairly small , just passing on some anecdotal.

I know everyone loves it on here.

Wage inflation is fairly low, and according to Hamish, property prices/rents are increasing. I see less money being available to spend in other areas of the economy. I suppose folk could borrow more. Oh hang on a second, the banks aren`t lending as much as they should.

chucknorris

JonnyBravo wrote: »

Seeing as wage inflation is what 1% that's not saying a lot is it?
I'm not seeing any rental inflation to speak of, mind I also didn't see the big crash in rents that supposedly happened.
Not saying it didn't, my sample is fairly small , just passing on some anecdotal.

I know everyone loves it on here.

The market has definitely moved in London, so I assume that your properties are somewhere else? In my experience the market dropped about 5-10% last year in London. I dropped the rent on 3 properties 3%, 5% and 10% from the previous year, two through re-marketing and one from an existing tenant request. However it looks like I have just rented a property at 2% over the 2008 rent.

This has also been confirmed by conversations with letting agents responding to my ad.

DervProf

Seems to me that every so often there is a "last chance to get on the ladder" headline. The thing is, a while later another "last chance" comes along.

JonnyBravo

chucknorris wrote: »

The market has definitely moved in London, so I assume that your properties are somewhere else? In my experience the market dropped about 5-10% last year in London. I dropped the rent on 3 properties 3%, 5% and 10% from the previous year, two through re-marketing and one from an existing tenant request. However it looks like I have just rented a property at 2% over the 2008 rent.

This has also been confirmed by conversations with letting agents responding to my ad.

Only one, and yes, in the Midlands.
Yeah I'd say the area saw a 5%ish drop in rents and I don't think that has gone back up really. (Haven't dropped my rent, but same tenant and still under market value, so no need)

chucky

DervProf wrote: »

Seems to me that every so often there is a "last chance to get on the ladder" headline. The thing is, a while later another "last chance" comes along.

you are right - people do say this

but it's never a bad time to buy - unless you can predict the future and know when the better or even worse times to buy are. you just don't know...