First Time Buyers Stuck In Unsuitable Flats

IveSeenTheLight

PasturesNew wrote: »

I spotted a place earlier today that's just been reduced and, as I remembered it, I looked it up.

8 Sep 2006: Sold for £150k
22 Jun 2011: Sold for £59,000. It'd been rented out and I think I remember it going as virtually a repo, it needed twigs and magnolia.
22 Aug 2011: Came onto Rightmove at £99,950
6 Sep 2011: Reduced to £94,950
6 Jan 2012: Reduced to £89,950
27 Feb 2012: Reduced to £84,950

Does that count?

PL24 2NH

I seem to recall this property was discussed before
https://forums.moneysavingexpert.com/discussion/2784530

Wheezy_2

JonnyBravo wrote: »

So to break the cycle and in all honesty I'd just like to say that I paid £5k over the asking price for the house I currently live in.

lol...loser

We paid 3.5% under asking price.

But 30% off on a repo and an acre of land sounds familiar....wasn't that mba9gfp (or whatever his name was) 'bargain' also?

IveSeenTheLight

Wheezy wrote: »

lol...loser

We paid 3.5% under asking price.

But 30% off on a repo and an acre of land sounds familiar....wasn't that mba9gfp (or whatever his name was) 'bargain' also?

We managed to get 7.5% off the asking and valuation price on a recent aquisition.
Of course each property is different and affected by their unique set of circumstances.
there are a number of factors which affect each property differently.

kabayiri

vivatifosi wrote: »

Negative equity happens at a point in the cycle and will do so again. It doesn't mean people have to be stuck forever. Bradley Stoke anyone?
http://www.ft.com/cms/s/0/f3288ea8-131a-11dd-8d91-0000779fd2ac.html#axzz1nVISotOY

We were in the same position in the mid-90s house price slump.

You just take the hit if you can and move on. It's not a new phenomenon, but I suspect support from mortgage lenders is much tougher nowadays given this situation.

RenovationMan

Wheezy wrote: »

lol...loser

We paid 3.5% under asking price.

But 30% off on a repo and an acre of land sounds familiar....wasn't that mba9gfp (or whatever his name was) 'bargain' also?

I think mba9gpf (or whatever) was banned, so it makes sense if he has returned under a new name. He used to post pictures of a field and a few trees as 'proof' of his purchase.

Emy1501

In the current climate few FTB's will be interested in flats other than those who only have a 5% or those buying large flats with gardens etc. BTL isn't what it used to be and nobody has to worry about buying a pokey flat to make sure they don't miss the boat.

Most people I know buying now are in their late 20's early 30's and are thinking about kids and therefore waiting until they could afford a 2/3 bed house with a garden was better for them as there was no boat to miss.

I know at least 2 couples stuck in the flats bought 2006-2007 time with 100% deposits. All these sort of people can do is ride it out which I suspect will take at least another 5-10 years or overpay on their mortgage until they are in a position to sell.

PasturesNew

RenovationMan wrote: »

.... is not the same as a 5 bed house with an acre of land near Cheltenham. ....so you could provide an example of a 5 bed house with 1 acre of land 20 mins from Cheltenham reduced by 30% and then further reduced by 30% as it's more akin to the real house purchase made.

Just a suggestion. Makes no odds to me, I'm a disinterested bystander.

I've never been in a house in Cheltenham, nor known a house with an acre.... and 5 beds with an acre (mansion) is outside of my experience.

I should take up robbing for a living, I might get out more.

RenovationMan

PasturesNew wrote: »

I've never been in a house in Cheltenham, nor known a house with an acre.... and 5 beds with an acre (mansion) is outside of my experience.

I should take up robbing for a living, I might get out more.

From the evidence not supplied it seems that you don't need to be a bank robber in order to get a 5 bed house and 1 acre in Cheltenham. They are at 51% of their sale price (if my mathematics are correct, 30% off and then another 30% off, make a 51% reduction on the original asking price) and freely available to all.

So much for all the talk about the priced out generation. Everyone should move to Cheltenham.

PaulF81

No, you are misquoting. We paid 30% off original sale price of 450K = 72% original price. Its not in cheltenham, we are 20-30 mins outside of Chelts. to the other side of the M5. Like RM, it needed extensive renovation work although had half an acre added to the deeds after the last purchase. I dont think the valuers noticed this as the property was repo'd and put on the market by an asset management company.

If you think I am posting old bank statements you can think again, RM is more than welcome for tea and stickies though if they are ever in the area! Hamish isnt invited as a Scot, wouldnt even get a bottle of wine for inviting him round for dinner!

Some more local examples:

http://www.rightmove.co.uk/property-for-sale/property-35125781.html?premiumA=true

http://www.rightmove.co.uk/property-for-sale/property-35204678.html?premiumA=true

you can all live in pretentious Cotswold villages if you like, my village is lovely, no stuck up oxford dons and rediculous smoke free zones.

RenovationMan

PaulF81 wrote: »

No, you are misquoting. We paid 30% off original sale price of 450K = 72% original price. Its not in cheltenham, we are 20-30 mins outside of Chelts. to the other side of the M5.

If you think I am posting old bank statements you can think again, RM is more than welcome for tea and stickies though if they are ever in the area! Hamish isnt invited as a Scot, wouldnt even get a bottle of wine for inviting him round for dinner!

Ahhh, sorry I thought you said that the original property was a repo and reduced by 30% and then it was reposessed again fron the second owner and reduced by a further 30% of their purchase price when you bought it.

i.e. Original asking price = £450, reduced by 30% = £315,000. Reposessed and then further reduced by yourself by 30% = £220,500.

That'd be a substantial discount. Though your drop of £135k isn't to be sniffed at.

Thanks for the invite! We're chockie digestive lovers.