House prices....

leftieM

There's always a fair bit of debate about this on the forum so I wanted to get a few opinions.
I'm wondering if there is general acceptance that house prices are at 2005 levels, particularly from people who are trying to sell at the moment?
I'm also wondering if other people have heard that the mortgage providers' surveyors are using the LPSNI Capital Values (the figure used to calculate everyone's slice of the rates pie) to determine the value of a house and therefore the amount of money they are willing to lend for a particular house?
We're about to put some offers in on houses and I'm feeling my way in the dark a bit, despite having been a keen student of the housing market for some time!
Thanks in advance.
LM

tara747

They're probably back to 2005 prices if not below.

No idea whether banks/surveyors are using the LPS rates list for valuations, but they are being strict about deposits (rightly so imho).

I think prices will fall quite a bit further. The Executive hasn't even agreed a budget yet, VAT has yet to rise, there will be huge public sector cuts as in the rest of the UK, there is even talk of IR rises in 2011. Etc etc.

We're looking around every so often but haven't seen ANYTHING in an area we would live in that represents good value yet.

If you do make offers, make them nice and low and let us know how you get on. Good luck.

x12yhp

The market is back there but I do not believe most sellers are... A lot of the properties which I see are way above 2005 and they are also the ones that sit on the market and have no viewers.

Nevertheless, I agree with tara. With uncertainty, things could get worse so make sure that you aren't simply able to afford now, but also in the case that you were paying 6/7/8% interest rates. It might not happen but would you want to risk it?

tara747

x12yhp wrote: »

The market is back there but I do not believe most sellers are... A lot of the properties which I see are way above 2005 and they are also the ones that sit on the market and have no viewers.

Nevertheless, I agree with tara. With uncertainty, things could get worse so make sure that you aren't simply able to afford now, but also in the case that you were paying 6/7/8% interest rates. It might not happen but would you want to risk it?

+1

Also agree about the deluded sellers, it is amusing to see the variation in prices in the same street (for very similar houses)!! Those who have priced too high simply won't sell imho.

tight_arze

tara747 wrote: »

+1

Also agree about the deluded sellers, it is amusing to see the variation in prices in the same street (for very similar houses)!! Those who have priced too high simply won't sell imho.

I agree. We are looking in the north down area and lots of houses are still 40-50k over their rateable value. Think its best to wait a while longer to see what happens with the forthcoming budget.

leftieM

Maybe if we wait we'll get a better house for less. However I'm just sick of renting. It's time to buy somewhere and put down some roots. We sold a few years ago so we have gained anyway even if we don't wait for the market bottom.
We'll throw a few offers on places and see how we get on.

AlwaysWorking

tight_arze wrote: »

lots of houses are still 40-50k over their rateable value.

I would be wary of putting too much emphasis on the LPS values. Valuers had sooo many to get through that not much time could be devoted to each street, never mind each house!

As an example, my house was valued at nearly 10% more than I paid for it, ten months after the valuation date in a rapidly rising market. I put in an application to have it reassessed and spoke to the valuer by telephone (she never visited). She began the conversation by saying that she was happy with the valuation. I explained that I had bought the house late 2005 for less than they had valued it at and that I had paid the full asking price. The house was in average condition. I asked what sales evidence she had...being ex LPS I knew she had none as there had been no recent house sales in my area (not that I told her this!!). She accepted my argument immediately and amended my valuation....so now my house is valued at quite a bit less than all of the other houses in my street.

Since then I have completely revamped the house...new heating system, internal and external doors, floors, kitchen, bathroom etc. So if I was to put my house on the market, I wouldn't like to think anyone would think it was worth LPS estimate, or that it was worth less than a neighbouring property just because the LPS website shows it is!!!!!

tara747

I take no notice of LPS, UPS, RBS, AIB, propertynews or anyone else when I decide how much a house is worth. It's worth what I'm prepared to pay and not a penny more.

chipotle_2

John Lewis online.

No cashback or discount codes but Free delivery, deals to be had if you call them when buying more than 1 appliance, extended guarantees on most appliances for free (2 years when only 1 year elsewhere) and excellent customer service!

x12yhp

chipotle wrote: »

John Lewis online.

No cashback or discount codes but Free delivery, deals to be had if you call them when buying more than 1 appliance, extended guarantees on most appliances for free (2 years when only 1 year elsewhere) and excellent customer service!

Gosh, John Lewis moving into the property game...

grogdog

tight_arze wrote: »

I agree. We are looking in the north down area and lots of houses are still 40-50k over their rateable value. Think its best to wait a while longer to see what happens with the forthcoming budget.

i wouldnt take the rateable value of the property as the martket value. ours at the height was 250k and now probably around 130-140k but rateable value is 90k.