House prices down 0.9% Nationwide report out

IveSeenTheLight

IveSeenTheLight wrote: »

Example:

Current valuation = £150,000
Equity in property = £30,000
Monthly Rental = £800
Yearly Rental = £9,600

RY = £800 * 12 / £150,000 = 6.4%

If you sold, you would only have £30,000 minus any fee's / capital gains etc.

To get a £9,600 return on the £30k, you'd need a 32% return.

It's not even as simple as that as you do have outgoings, mortgage interest, capital repayment, maintenance, factor fees, advertising etc, but many of these are tax deductable.

You really need to make the calculation on the profit against the equity in my opinion, yet still consider the long term benefits.

doire_2

Graham_Devon wrote: »

Interesting, no idea if it's anything to do with today's figures, but a girl is in tears at work here, as her buyers have just pulled out unless she can take 7k less.

One of those situations you walk into an office and find a women in tears...time to run back out.

I do feel for her, as shes now saying she will have to pull out of the place she has found. However, she could easily reduce by 7k, as the house was given to her by an uncle. However, seems from what I have heard, she won't.

Makes you wonder if this kind of news does actually effect things to this extent, as that's at least 2 sales now not going ahead because the buyer wants 7k off.

Case of again, buyers able to bargain, sellers wanting to absolute max they can get, and no one moving.

Silbey will be along to tell us in a minute his mate from round his way just sold his hosue for £50,000 over the asking price so the Nationwide report means nothing

IveSeenTheLight

Graham_Devon wrote: »

I
Case of again, buyers able to bargain, sellers wanting to absolute max they can get, and no one moving.

Sounds similar to what we saw in the last couple of years.
Cue supply reducing, blah, blah, blah.

Graham_Devon

I'll pop back over later and try and get some goss, see whats going on

System

doire wrote: »

Silbey will be along to tell us in a minute his mate from round his way just sold his hosue for £50,000 over the asking price so the Nationwide report means nothing

Oops, being a hypocrite again, go and tell off Dirk while you're at it.

phil_b_2

doire wrote: »

Silbey will be along to tell us in a minute his mate from round his way just sold his hosue for £50,000 over the asking price so the Nationwide report means nothing

Your obsession with Sibley is a bit worrying. You guys should meet up and have a beer.

Anyway, Sibley is only the bulls answer to Dirk. Both sides should be pleased to have a joker each.

phil_b_2

Joeskeppi wrote: »

Oops, being a hypocrite again, go and tell off Dirk while you're at it.

You know what? Maybe Sibley IS Dirk, and it's a bit of a jekyll/hyde thing going on.

Really2

phil_b wrote: »

You know what? Maybe Sibley IS Dirk, and it's a bit of a jekyll/hyde thing going on.

It is I posted it yesterday. I will find the quote.

Dirk_Rambo wrote: »

all hpcrash.co.uk refugees are more than welcome hear. most especialy sibeley as hes such a handsome chap

Seems a bit of an odd comment if they were not known/ sharing the same head.:)

System

I did float the idea a while ago that Dirk is actually a bull on a mission to make bears look like morons, perhaps it's Sibley behind that cunning plan!

Graham_Devon

Joeskeppi wrote: »

I did float the idea a while ago that Dirk is actually a bull on a mission to make bears look like morons, perhaps it's Sibley behind that cunning plan!

Interesting idea.

My understanding of this is the bull side of the fence need to try to make the bear side look like morons.

The bear side, just let the bull side get on with it and do that themselves