Is anyone still looking at houses to buy?

tara747

Eric1 wrote: »

How about this one: If you can't save £5, you shouldn't be borrowing £100?
It is not about fairness, simply unrealistic to expect that a lender will take all the risk. Even if you find a lender who does, you will pay a very fair price for the risk

+1

adindas wrote: »

Is there any expert analysis, article to support this ?.
Your information please ???

ADINDAS

The cuts, the recession, oh and the cuts. The public sector hasn't felt any real pain yet, so wtch out when the cuts start to bite.

Lots of analysis in papers and online to support the view that prices are likely to fall a good bit further - have a browse and you'll find plenty.

HTH!

Jowo_2

I'm browsing for a house, no urgency on my part to move but I am in a good position to buy, and I agree with an earlier poster who indicates that there's not much that's tempting on the market.

Thank god for Property Bee that shows that buyers are happy to have their house on the market for years at unrealistic prices, or which show an 'under offer/available/under offer/available' pattern that shows there is something wrong with the house that the buyers won't fix even though the sales keep falling through. I'm amazed to find some properties where the buyers response to not selling them over the last two years is to ... increase the price!

Well priced houses in my area get sold very quickly so it's almost like those currently available are the dregs that are overpriced or which require substantial refurbishment (and this isn't usually reflected in the price, either).

rilou81

Eric1 wrote: »

How about this one: If you can't save £5, you shouldn't be borrowing £100?
It is not about fairness, simply unrealistic to expect that a lender will take all the risk. Even if you find a lender who does, you will pay a very fair price for the risk

edit: BTW, 3 new properties in my area/range this morning, I'm going to view one

Sorry but thats not totally true although I agree, it does not mean ALL people that cannot save 25K (which was the amount that was being discussed) should not be able to get a mortgage. I for one cannot save 25k and am lucky enough to have had a mortgage for 6 years on a much cheaper property than some people are looking at as FTB in more expensive areas.
I am in now way saying that irrisponsible lending should be brought back, I too am living in the current conditions and its not great, I blame the banks and we pick up the pieces.

I am simply stating a fact that for some people who are in their 30's for whatever reason and sturggle to save 25K or even less. People are getting married and wanting children and a family home. If the bank, the mortgage lender and the vendor are all happy with a gifted 5% and the inviduals are responsible enough to handle a mortgage I don't see why they should be looked upon as irrisponsible. I think a saving of 12K is a great saving! For a lot of my friends they pay so much more in rent than they ever would on a mortgage

This was never about people lending more than they can afford-I am totally against that!!!!!!! That would not happen now anyway. The question was about people still viewing houses over xmas time.
The 5% was brought up as an idea then the reasons its harder for some people in more expensive areas to become a FTB.

rilou81

Jowo I totally agree about property bee, I never heard of it before coming on here and its great!
We had our eye on a house for months that went down from 185k to overs around 130K. Its now gone back up to 150K.......don't understand it!!
The only thing I can thing is a point that was brought up earlier that unless you are desrerate to sell you would hold on for a better offer. I can only imagine that the house they wanted has fallen though hense the price increase x

tara747

Round here rents are still cheaper than mortgage interest payments.

brit1234

adindas wrote: »

Is there any expert analysis, article to support this ?.
Your information please ???

ADINDAS

Yes loads. I think Capital Economics and Money Week are calling falls of about 10% next year. Telegraph was calling another 20% total fall, others are calling bigger falls over the next few years. Even the Governments OBR who stated this weekn the economy was getting better predicted a 3.5% fall in house prices this year.

Far better to wait it out and save more. If you are buying ignore gifted deposits and get them to take it off the price instead.

Hundreds/thousands of pounds are coming off property prices each month. All the house price surveys are negative, have been for ages and now going negative year on year.

http://www.moneyweek.com/blog/falling-house-prices-and-quantitative-easing-qe-00288.aspx
http://www.capitaleconomics.com/services/uk_housing.php

rilou81

tara747 wrote: »

Round here rents are still cheaper than mortgage interest payments.

Swings and roundabouts, again down to areas. My rent was my mortgage doubled

paulsad

Yes no harm in looking online! But no chance us viewing till we get ours sold - wouldn't put anyone through all the cleaning up and getting their hopes up unless I was seriously in a position to buy - been there got the proverbial T shirt.

Jowo_2

Here's what I mean. By the way, this isn't my budget, but its fairly reflective of those that cost less, too.

These two properties have been on the market for 1.5 years and haven't dropped a penny in price.

http://www.rightmove.co.uk/property-for-sale/property-13056837.html
http://www.rightmove.co.uk/property-for-sale/property-13056729.html

In 2.5 years, this property has gone from 'Offers in Excess of £645,000' then to '£749,950 (Fixed Price)' and finally 'Offers in Excess of £675,000!

http://www.rightmove.co.uk/property-for-sale/property-22332080.html

In nearly 2.5 years, this property has gone from Offers in Excess of £395,000 to Fixed Price £425,000 which you could argue is a reduction since properties used to go quite a percentage over the minimim offer price but if they've not shifted it by now....

http://www.rightmove.co.uk/property-for-sale/property-22775816.html

Same with this one. It's been on the market for over 2 years and has changed from 'Offers in Excess of £279,000' to 'Offers in Region of £329,000' to 'Fixed Price £340,000'

http://www.rightmove.co.uk/property-for-sale/property-24083369.html

This one has been under offer on 4 separate occasions over the last 1.5 years. It's a lot less likely for an offer to be withdrawn in Scotland.

http://www.rightmove.co.uk/property-for-sale/property-29294435.html

Catatonia

rilou81 wrote: »

I am simply stating a fact that for some people who are in their 30's for whatever reason and sturggle to save 25K or even less. People are getting married and wanting children and a family home.

Apart from the best areas in London, I really doubt there's anywhere where you *have* to spend £250k to get a family home. I'm just using Winchester for an example again, as it's a market I know and where prices are very high. You could spend £250k or more on a 2 bed character terrace (not really a family home). Or, you could live a mile outside the city and get a 60s/70s 3 bed house for just over £200k. Or an ex-council place for £160k.

You could also move a few more miles out and get a family home for less than £150k. It's all about choices, isn't it? And if you haven't got the money, sometimes you have to make a compromise. Personally, I'd much rather have a five mile commute into work, or a less pretty house rather than go for a 95% mortgage in this market.