House prices to rise...........

brian_723

I have no doubt house prices will rise .But that could be in ten years time or next month no one really knows .I think there is real effort from the government with bad schemes like shared ownership propping up prices and record low interest rates .I can understand supporting home owners to stay in their homes but creating a bubble for first time buyers is not good for anyone .how can the economy grow if all our income is paying for our mortgages which is what will happen if prices go up in the near future .

LisbonLaura

Sibley wrote: »

The irony is prices will rise.

I'm still looking for the long fundamentals to support this Sibley.
Are you party to some hidden evidence?
I really would like to know before I buy back in.

illgetthere

Ultimately the only factor that will cause house prices to drop is forced selling. unless you really have to sell quickly and have to sell at a 'lower' price, perhaps due to debt etc, then i don't think a crash will ever happen.

The reason for this (i think) is due to the fact that it would come hard for people to accept that a house that was worth 180k a few years ago is only worth 150k now if you are serious about selling. Instead, people will sit tight and force house prices to stay at their current levels.

I wouldn't market my property for 20% less at the moment as i would 'hope' that house prices will rise again in the future. i'm sure a lot of others would think that way too...

stalemate.

the.ciscokid

illgetthere wrote: »

Ultimately the only factor that will cause house prices to drop is forced selling. unless you really have to sell quickly and have to sell at a 'lower' price, perhaps due to debt etc, then i don't think a crash will ever happen.

The reason for this (i think) is due to the fact that it would come hard for people to accept that a house that was worth 180k a few years ago is only worth 150k now if you are serious about selling. Instead, people will sit tight and force house prices to stay at their current levels.

I wouldn't market my property for 20% less at the moment as i would 'hope' that house prices will rise again in the future. i'm sure a lot of others would think that way too...

stalemate.

You are assuming everyone has a choice, or is bothered.

e.g.

Repossession = no choice
Inheritance (family members die, and the house is left to the kids) = less bothered

If a similar house is marketed at 20% less than another in the street and sells, then that is the new market value. Assuming a mortgage lender sends a surveyor round to value a house, they are likely to check sold prices in the area, so you might not get a mortgage.

Estate agents do need to actually sell houses to make a living as well, rather than a stagnant market.... assuming you use an estate agent to sell.

There are lots of reasons why prices could drop, it isn't as simple as "people just wont sell".

illgetthere

the.ciscokid wrote: »

You are assuming everyone has a choice, or is bothered.

e.g.

Repossession = no choice
Inheritance (family members die, and the house is left to the kids) = less bothered

If a similar house is marketed at 20% less than another in the street and sells, then that is the new market value. Assuming a mortgage lender sends a surveyor round to value a house, they are likely to check sold prices in the area, so you might not get a mortgage.

Estate agents do need to actually sell houses to make a living as well, rather than a stagnant market.... assuming you use an estate agent to sell.

There are lots of reasons why prices could drop, it isn't as simple as "people just wont sell".

thats exactly what i'm saying. if you need to sell, then it has to be marketed at an attractive price. If you don't want to market your house at this (more realistic) price and can afford to wait ie no debt/repossession, then you will simply sit it out and hope for a price rise.

I own a property, i have thought about moving but i am not happy with its current valuation, therefore i feel it is worth staying and riding out this storm. if on the otherhand i am forced to sell, then i would have no choice but to market it cheaper that i hoped, as this is a more realistic valuation.

A crash or rise will depend on how many people are in each category.

LisbonLaura

illgetthere wrote: »

A crash or rise will depend on how many people are in each category.

& how much of the - mark-to-myth; shill company held; EA dumped on; repeatedly offered at auction with too-high a reserve; - property in lenders hands is finally sold off.
There is said to be a surprising amount of it.
Most of it sub-£500,000 dross though i expect, so its final release should not affect the value of my soon-to-be-bought country house in Sussex that Hamish is helping me find.....should it?

ukcarper

LisbonLaura wrote: »

& how much of the - mark-to-myth; shill company held; EA dumped on; repeatedly offered at auction with too-high a reserve; - property in lenders hands is finally sold off.
There is said to be a surprising amount of it.
Most of it sub-£500,000 dross though i expect, so its final release should not affect the value of my soon-to-be-bought country house in Sussex that Hamish is helping me find.....should it?

Could you expain to me why silver is not a bubble like any other bubble.

padington

ukcarper wrote: »

Could you expain to me why silver is not a bubble like any other bubble.

http://www.youtube.com/watch?v=3lVCtIiMveE

http://www.youtube.com/watch?v=0dRSmeFCCYM&NR=1

ukcarper

ukcarper wrote: »

Could you expain to me why silver is not a bubble like any other bubble.

I'm not sure what to make of that.

Sibley

Ultimately the only factor that will cause house prices to drop is forced selling. unless you really have to sell quickly and have to sell at a 'lower' price, perhaps due to debt etc, then i don't think a crash will ever happen.

The reason for this (i think) is due to the fact that it would come hard for people to accept that a house that was worth 180k a few years ago is only worth 150k now if you are serious about selling. Instead, people will sit tight and force house prices to stay at their current levels.

I wouldn't market my property for 20% less at the moment as i would 'hope' that house prices will rise again in the future. I'm sure a lot of others would think that way too...

stalemate.

Mate you have it right.

Unfortunately this board is mainly full of renters with a chip on their shoulder. They have tried to instigate a house price crash and failed.

Most of the comments you will recieve will be negative and suggest you knock 50% off your house price and sell to them.

However, like you I'm a homeowner. I had my house valued at £195,000 in 2007. My mortgage is peanuts and when I sell it will be for more than £195,000. I dont care if I have to wait 10 years. It will never be £190,000 unless something drastic happens to me.