Which Decade Was The Hardest On The Yoof For Buying A House?

zeupater

Percy1983 wrote: »

The question is how quickly will people filter through and how many will it be out of reach for and therefore will never filter through.

In the 100%+ mortgage days more or less desire=demand which caused a massive bidding war. With things as they are now those filtering through will stablise the market I would guess.

I don't think they will be a single point they all get there but it should lead to a reasonable level of demand but nothing like the previous peaks.

By all means I could be wrong, yes its still not ideal but at least this way the financially ept will get the first bite of the cherry.

Hi

Prices always move upwards when demand is high, so look at the mid 70's mid/late 80's etc. Around '86 house prices here moved +40% in 18 months, again in '88 by +100% in 12 months before falling back severely throwing many 'peak market' buyers into negative equity for almost a decade.

My advice, for what it's worth, is to go back to the 'old fashoned' way of looking at a property .... it's not an investment, it's somewhere to live. Buy when you believe you can afford it without pushing your finances too far and buy when the timing is right, not when it suits your mood ....

HTH
Z

Percy1983

00's

zeupater wrote: »

Hi

Prices always move upwards when demand is high, so look at the mid 70's mid/late 80's etc. Around '86 house prices here moved +40% in 18 months, again in '88 by +100% in 12 months before falling back severely throwing many 'peak market' buyers into negative equity for almost a decade.

My advice, for what it's worth, is to go back to the 'old fashoned' way of looking at a property .... it's not an investment, it's somewhere to live. Buy when you believe you can afford it without pushing your finances too far and buy when the timing is right, not when it suits your mood ....

HTH
Z

I agree, I guess I am getting at is how the current sensible lending is holding back demand.

I do see houses as homes and I just want a home, I am in no way looking for an investment, as I say luck seems to be on my side as I shouldn't need to stretch too much to buy due to recent events, as it is locally the family homes we have been looking at have dropped from £145k to £110k on average.

For me the right to buy is now, just need a little longer to get the deposit and I will be straight in.

zeupater

Percy1983 wrote: »

I agree, I guess I am getting at is how the current sensible lending is holding back demand .....

Hi

And that's exactly what the return to a more sensible lending strategy will always do .... it protects the lenders from their salesmen (because that's what their mortgage advisers are) & it protects many buyers from their own ambitions.

I know the changes which have been employed by the lenders are seen as being unjust or unfair by many who are looking at buying, but it is really only returning the rules to a point which they used to be not too many years ago. Self certification mortgages without audit combined with 100%+ lending was always going to cause problems when combined with lenders paying sales related bonuses, but when the strategies, checks & balances were developed by those on a performance bonus themselves what could possibly go wrong ? ....

City bankers, well they had a great deal to do with the current international financial situation and have taken probably more than their true share of blame on the effect on the housing market .... I've yet to see much finger pointing at stupidity in many other areas involving politicians, lenders, auditors, financial advisers, estate agents, builders, TV programmes and, yes it has to be said, buyers included .....

Z