Hoping for House Price Crash- Take Note

Going4TheDream

MrRee wrote: »

A house in our street sold last week for £950,000 - they have only made a profit of £600,000 in 14 years.

It would have been a profit of £700,000 in 2007.

This is a sure fire sign that a BIG CRASH is on its way!!

HA HA HA HA HA !!!!!!!!!!!!!!

I wonder how that renter, who rented the very same house 14 years ago, is doing?

So 4 years ago it would have sold for £1.05m this week it sold for 950K... isnt that a drop of approx 10%....(or is my maths really that bad)

And in reality any one who has owned their home 14 years will no doubt have seen a huge increase in value?

So I fail to get your point?

Graham_Devon

Going4TheDream wrote: »

So 4 years ago it would have sold for £1.05m this week it sold for 950K... isnt that a drop of approx 10%....(or is my maths really that bad)

And in reality any one who has owned their home 14 years will no doubt have seen a huge increase in value?

So I fail to get your point?

Based on the other points he makes, I think his point is that todays 25-30 year old didn't buy 14 years ago when they were 11-16 years old, therefore they lost out on these kind of profits and are therefore muppets of the highest order.

MrRee_2

Graham_Devon wrote: »

Based on the other points he makes, I think his point is that todays 25-30 year old didn't buy 14 years ago when they were 11-16 years old, therefore they lost out on these kind of profits and are therefore muppets of the highest order.

More importantly ... it shows that buying - over the long term - is the best way to proceed.

The numbers don't really matter - the fact that the buyer is so much better off financially does matter ..... a lot!

Those who are 30+ and not buying in todays cheap market are bonkers IMO that's all .......

Jimmy_31

MrRee wrote: »

More importantly ... it shows that buying - over the long term - is the best way to proceed.

The numbers don't really matter - the fact that the buyer is so much better off financially does matter ..... a lot!

Those who are 30+ and not buying in todays cheap market are bonkers IMO that's all .......

Bonkers is buying during the boom if you are in a position to wait for the crash.

I waited for the crash.

Im quite happy to keep waiting.

If i had bought during the boom i would have lost thousands upon thousands of pounds over the long term.

MrRee_2

Jimmy_31 wrote: »

If i had bought during the boom i would have lost thousands upon thousands of pounds over the long term.

If you had bought in 2009 you would be UP £Thousands .......

Jimmy_31

MrRee wrote: »

If you had bought in 2009 you would be UP £Thousands .......

How, the houses around here that are selling, are selling for below 2009 prices.

The longer i wait, the more i save.

Short term and long term.

MrRee_2

There are clearly two markets then - the NW and the South .... here prices are about 15% above 2009 levels - I accept that in the NW it is still struggling and, as such, you may well be wise to wait your time.

But, don't try and judge the bottom .... you will never get it right (except by luck) - buy before the bottom if it's a purchase for the medium to long term.

SteveV2

MrRee wrote: »

A house in our street sold last week for £950,000 - they have only made a profit of £600,000 in 14 years.

I bet they are kicking themselves. Would have been quids in another 14 years.

Not really a profit either, unless they can buy their next one at 1997 prices.

Jimmy_31

MrRee wrote: »

There are clearly two markets then - the NW and the South .... here prices are about 15% above 2009 levels - I accept that in the NW it is still struggling and, as such, you may well be wise to wait your time.

But, don't try and judge the bottom .... you will never get it right (except by luck) - buy before the bottom if it's a purchase for the medium to long term.

There are more than 2 markets.

Thanks for the advice on buying a house.

Sounds like you spectacularly misjudged the bottom last time round.

MrRee_2

I missed 2009 if that's what you mean .......

When I said two markets, I meant two extremes of markets ....