Aberdeen Flats Prices

oxter

My son is looking for a flat in Aberdeen at the moment and prices just seem to keep on rising. I'm afraid to encourage him to make a move in case the trend of falling prices being experienced in some other parts of the UK happens here, whereby he could get a better property by hanging on for a while. Any views on future trends? Might the election results affect the property market?

JanCee

oxter wrote:

I'm afraid to encourage him to make a move in case the trend of falling prices being experienced in some other parts of the UK happens here, whereby he could get a better property by hanging on for a while. Any views on future trends? Might the election results affect the property market?

Almost every query on this board ends up in an argument/discussion about whether house prices will rise or fall. Everyone thinks their own theory is correct, while the truth is nobody really knows for certain.

In the short term prices may stabilise or fall, but long term property has always been a good investment and there is still no reason to think otherwise.

littlereddevil

Don't think they will ever come down in Aberdeen

Spendless

Hi

I bought a small 2 bed MTH in 1994 as a single person. Within a year it was in neg equity and remained so for the next 6 years.

It didn't bother me, I wanted a place of my own not living with parents.

It only became a problem when I met husband and had our son. The place that was big enough for 1 was far too small for 3. We were unable to sell in 2001 and rented it out instead, and bought a bigger place. The housing boom came and I sold my place for a profit when tenants moved out 2 years later.

JanCee

Hi Spendless

Your example proves the point. In the short term prices may fall but over the long term property is a good investment. Too many people look at their homes as investments but really it's somewhere to live isn't it? Cars start to lose value as soon as you pick up the keys, but it does'nt stop people buying them.

oxter

Spendless wrote:

Hi

I bought a small 2 bed MTH in 1994 as a single person. Within a year it was in neg equity and remained so for the next 6 years.

.

I appreciate what you say about eventually going up in value, but obviously if you had been buying a year later you'd have got it much cheaper or could afford a better property. That is what makes me hesitant to encourage them at the moment. Prices are increasing here while being static or dropping in some parts of UK. It's timing that is the question. Anyone got a chrystal ball on Scottish/Aberdeen prices? Thanks to all who took the trouble to reply.

Spendless

oxter wrote:

I appreciate what you say about eventually going up in value, but obviously if you had been buying a year later you'd have got it much cheaper or could afford a better property.

It wasn't like that though. Buying a year later I'd have probably got it for £500-£1,000 less then it continued to go down. Even buying 2 years after I had would have resulted in neg equity - just not by as much. It probably hit rock bottom 4-6 years after purchasing.

Now had I waited I could have got more for my money I agree but the same thing was happening in these properties too.

oxter

Spendless wrote:

It wasn't like that though. Buying a year later I'd have probably got it for £500-£1,000 less then it continued to go down. Even buying 2 years after I had would have resulted in neg equity - just not by as much. It probably hit rock bottom 4-6 years after purchasing.

.

OK I see what you mean, and you had to have had somewhere to stay for that 4/6 years. Must have been galling though to see the value dropping all that time. Hope that experience won't be repeated in the future. Guess they'll just have to "go for it"

Spendless

oxter wrote:

Must have been galling though to see the value dropping all that time. Hope that experience won't be repeated in the future. Guess they'll just have to "go for it"

Whilst I was single it really didn't matter. My mortgage was on a discount and I'd have paid more in rent. It was also mine to decorate etc how I wished.

The problems arose once I had a hubby and baby and place was too small. We were lucky we didn't put Mr Spendless on mortgage and he bought a larger house in his name. Nowadays there are more buy to let mortgages so you probably wouldn't get same problem.

Is your son single? Would he be buying place big enough if he had a change of circs? Wife/kids?