Should we stay or should we go?

jay_w_uk

We're in our first house, now looking at potentially moving up to a bigger and better one (salary increase + baby = thoughts of bigger garden etc).

We woould be stretching slightly to do this, however, is it a good time to move, with the HIPs coming in and also the projected possible housing crash?

ie, are you better off staying put and riding the storm, or getting into a better house before the market crashes?

nollag2006

Is this the same housing price crash that has been predicted since 1995?

jay_w_uk

Yep lol,

just trying to work out worst case scenario IF it happened.

Sy it DID happen next year, would we be better off getting into a better house before it does?

I know we'd have more 'negative equity', but we wouldnt have to 'start again' once the market recovered?

nollag2006

The answer to your conundrum is simple.

If you feel the market is likely to fall – sell your flat, move into rented and wait for the oft predicted crash.

Thousands have done this at various points over the last ten years, and watched as their place on the housing ladder slipped away from them.

Tiger_greeneyes

You could always move - but not overstretch yourself should the interest rates go up. You're in your own home already - just exchange it for a slightly bigger one with slightly higher payments. If there's a crash then you'll be able sit tight and ride it out - and you'll have the extra space you need.

ravenfield

My wild guess despite not what i hope for....

judging from current behaviour of market trend, it's very unlikely there will be a crash. At most probably stay stagnant for a couple of years before further rising again. house prices are most likely to keep rising until after 2015.

Tiger_greeneyes

A couple of months ago, I moved into somewhere I would be happy to live for the next ten years and ride out any storm - if it was necessary.

It's down to personal preference at the end of the day, you have to do what you feel most comfortable with