House price crash?

mystic_trev

On the radio yesterday.

Fairview Homes. We'll pay your 5% deposit and your Stamp Duty too........and we'll also give you cashback!

So the House costs you nothing, you get money to go on Holiday or buy a Plasma screen TV. Then all YOU'VE got to do is pay back the mortgage! MADNESS

http://www.fairview.co.uk/general.asp?article=incentives.xml

mystic_trev

pickles110564 wrote: »

How can stupid speculators be stupid if they are making money?

The easy monies been made sometime ago. Most newbie BTL Investors are in negative gearing i.e. subsidising their tenants. This will be one of the factors to the next Crash. Speculators heading for a quick exit due to Higher Interest rates making their dream a very un-economic one!

davesgirl97

Read this article last night, whats your thoughts...

http://www.express.co.uk/posts/view/6146

poopscoop

Rick62 wrote: »

The money that speculators have made over the last 10 years has not been the result of hard work or skill, but luck. This makes a mockery of working hard at a job or at most other businesses where the chances of making significant capital are, on average, slim.

Are you saying that working hard at a job is the only way to make money? I thought investments and buying/building assets also works well?

stashmycash

homer_j wrote: »

I think its one of those evils - increase wages and it allows people to borrow more which puts people in more debt or in a position to pay more for a house so you do not actually get rid of the underlying problem which is that there is not enough housing in this country.

I think that there should be more affordable housing and things like shared ownership schemes for people who cannot get onto the housing ladder but what I have found is that people take advantage of the schemes and they inevitably help those who can already afford it rather than those that cannot.

Take a situation that I had a little while ago where someone came in for a shared ownership property that we were selling in the EA where I work and because I did not offer islamic mortgages due to not having any on my wide ranging panel of banks and building society, he just said he would pay cash for it then. That to me is not someone who cannot afford to buy a house.

I agree. My friend lives in a shared ownership property and there are several on the estae that have been bought on a shared ownership basis that are being sub let and have been for several years. A nice little earner for someone who has no morals and is preventing a genuine needy family from having a home.

mrstinchcombe

stashmycash wrote: »

A nice little earner for someone who has no morals and is preventing a genuine needy family from having a home.

Careful mate, that includes half the people that post in this forum!

CFC

kingkano wrote: »

Blame that on the growing number of 'professional' couples / house sharers etc. Basically people who arent settling for a 1 income family, instead keeping 2 or more incomes coming in. This means you can no longer buy a house with just 1 persons income.

Although having spoken to plenty of older people (45 and arounds) it has been this way for a long time. Im not sure where people get the idea a massive perfect house should be affordable on 1 person's average income??

How true. Back in the day, it was still the same, the woman needed a job of some kind to keep the family afloat when buying. I remember my childhood..mother went to work when dad was home to look after us (not sure what she did at that time, think it was in the cinema), parents never went out, dad gave up smoking to fix the old black car (Ford? Austin?) which was all he could afford and which needed a frequent crank start. I remember him swearing when he had to crank start it...it was ancient. Neither of my parents bought new clothes or lots of toys for us, there was no central heating, and there was frost on the inside of the bedroom windows in winter. We had a lodger. We had a coal fire in the back room and that was the only heating in the house. There were hardly any electric sockets, and even if there had been, we didn't have any electric goods anyway except an ancient mains radio and then later the smallest tv they could rent. We had no pocket money and they shopped wisely for food. I never even tasted pop till I was about 6 and had a small weekly sweetie bag. If we went food shopping etc I never expected anything to be bought for me or to be taken to a cafe. I remember my first cafe trip when I was about 6. I was in awe of being given a bottle of coke and was told if I wasn't well behaved I wouldn't be going again. My mother made my clothes (badly - she was rubbish). We always had a family annual holiday, on a strict budget of course.

They scrimped and saved, went without themselves and worked hard then put a back boiler central heating system in to sell the house at a better return, and then we moved to a newly built house with all the bells and whistles of central heating etc. when I was 8. After that they started getting pay rises and credit became more available and life improved enormously from a material perspective. But my parents never had a holiday abroad until we were old enough to be grown up and fend for ourselves, then we were told that this year we weren't going on holiday, but they were....

That's the reality of what it was like for an ordinary but aspirational family. That is normal.

Nowadays people want to pop out kids and move into a really nice house to do so, with mum staying at home, house completely fully furbished and nicely decorated, with central heating and all the works, while still buying nice cars and consumer goods, spend loads at Christmas and being able to take the family out for lunch and dinner and spend cash on booze for a night in/out for themselves. Plus new clothes, designer trainers, foreign holidays and all the trimmings of modern life.

Then they complain.

Nuff said.

davesgirl97

stashmycash wrote: »

I agree. My friend lives in a shared ownership property and there are several on the estae that have been bought on a shared ownership basis that are being sub let and have been for several years. A nice little earner for someone who has no morals and is preventing a genuine needy family from having a home.

I know of a couple who bought a shared ownership, and they have sub let it out and bought another house, seems to me very very unfair, surley something like this should be kept an eye on in a legal way.

davesgirl97

mrstinchcombe wrote: »

Careful mate, that includes half the people that post in this forum!

you being serious?,lol:D

kingkano

CFC wrote: »

How true. Back in the day, it was still the same, the woman needed a job of some kind to keep the family afloat when buying. I remember my childhood..mother went to work when dad was home to look after us (not sure what she did at that time, think it was in the cinema), parents never went out, dad gave up smoking to fix the old black car (Ford? Austin?) which was all he could afford and which needed a frequent crank start. I remember him swearing when he had to crank start it...it was ancient. Neither of my parents bought new clothes or lots of toys for us, there was no central heating, and there was frost on the inside of the bedroom windows in winter. We had a lodger. We had a coal fire in the back room and that was the only heating in the house. There were hardly any electric sockets, and even if there had been, we didn't have any electric goods anyway except an ancient mains radio and then later the smallest tv they could rent. We had no pocket money and they shopped wisely for food. I never even tasted pop till I was about 6 and had a small weekly sweetie bag. If we went food shopping etc I never expected anything to be bought for me or to be taken to a cafe. I remember my first cafe trip when I was about 6. I was in awe of being given a bottle of coke and was told if I wasn't well behaved I wouldn't be going again. My mother made my clothes (badly - she was rubbish). We always had a family annual holiday, on a strict budget of course.

They scrimped and saved, went without themselves and worked hard then put a back boiler central heating system in to sell the house at a better return, and then we moved to a newly built house with all the bells and whistles of central heating etc. when I was 8. After that they started getting pay rises and credit became more available and life improved enormously from a material perspective. But my parents never had a holiday abroad until we were old enough to be grown up and fend for ourselves, then we were told that this year we weren't going on holiday, but they were....

That's the reality of what it was like for an ordinary but aspirational family. That is normal.

Nowadays people want to pop out kids and move into a really nice house to do so, with mum staying at home, house completely fully furbished and nicely decorated, with central heating and all the works, while still buying nice cars and consumer goods, spend loads at Christmas and being able to take the family out for lunch and dinner and spend cash on booze for a night in/out for themselves. Plus new clothes, designer trainers, foreign holidays and all the trimmings of modern life.

Then they complain.

Nuff said.

One of the best posts I have read in a few weeks mate. I whole heartedly agree. And I have no shame in quoting it again in this post!

People keep telling my wife and myself we can't afford an expensive house and to have children in the next 2 years. How will we afford sky? a plasma tv? holidays overseas and going out every weekend? (they say) I just look at them funny and say I'm sure we'll manage.

I had a similar background to you, we were fed and clothed adequately but we certainly didnt have the luxuries of some of my friends. But it has instilled a similar ethos in me. I know I can get by if need be by cutting out things like the above.