'We've reached a tipping point' Signs of house price weakness

Crashy_Time

http://www.dailymail.co.uk/news/article-2720949/Property-price-crash-happen-months-sellers-finally-outstrip-buyers-theyll-continue-rise-year.html#ixzz39yD1pEdb When the Sheeple`s Wail is hedging it`s bets, you know that the jig is nearly up.

Crashy_Time

robmatic wrote: »

I know full well the difference between legal ownership and having a charge on a property.

Meanwhile, this legal fiction that you don't believe in leaves me several hundred pounds better off than you each and every month.

How much has your flat lost in "value" since 2010?

Rota

Crashy_Time wrote: »

http://www.dailymail.co.uk/news/article-2720949/Property-price-crash-happen-months-sellers-finally-outstrip-buyers-theyll-continue-rise-year.html#ixzz39yD1pEdb When the Sheeple`s Wail is hedging it`s bets, you know that the jig is nearly up.

Not long now. Was this posted on mumsnet or did interestrateripoffdouchebag post it?

Im terrified :rotfl::rotfl:

robmatic

Crashy_Time wrote: »

How much has your flat lost in "value" since 2010?

An identical flat sold in my building 3 months ago for £5000 more than I paid for mine in 2010, so I suspect my flat hasn't lost any "value" - not that it's particularly important.

Do you guys on HPC not actually follow the housing market? Broadly speaking, prices have been rising since 2010.

wotsthat

Crashy_Time wrote: »

http://www.dailymail.co.uk/news/article-2720949/Property-price-crash-happen-months-sellers-finally-outstrip-buyers-theyll-continue-rise-year.html#ixzz39yD1pEdb When the Sheeple`s Wail is hedging it`s bets, you know that the jig is nearly up.

Out of interest what sort of price falls would tempt you to buy in?

In_For_A_Penny_2

Crashy_Time wrote: »

http://www.dailymail.co.uk/news/article-2720949/Property-price-crash-happen-months-sellers-finally-outstrip-buyers-theyll-continue-rise-year.html#ixzz39yD1pEdb

Even the headline is utterly contradictory.

saguk1234

Isnt the Daily Mail another pro HPI nutter?

Rota

wotsthat wrote: »

Out of interest what sort of price falls would tempt you to buy in?

Don't expect an answer to that. They are so financially illiterate mortgages scare them to death.

Jason74

Crashy_Time wrote: »

How much has your flat lost in "value" since 2010?

Mine's gained about £110k since then. Of course, that gain means nothing to me, as the primary value of my (mortgage free) little pad is that it provides me with a comfortable place to live in an area I really like. Indeed, in a funny way, it leaves me worse off, as if I did want to buy a bigger home in the same area (and given I really like where I live, I wouldn't want to move far), the price of that will have gone up even more (probably £150k+).

But the big point, is that the value is irrelevant. I bought my flat for £92k in 2002. I've now paid off that 92k, incurring about £33k of Mortgage interest in the process. So my Maisonette has cost me £125k all in. If you want to include improvements I've made, the total rises to about £140k, and leasehold service charges bring the grand total to around £160k over 12 years.

When I bought the flat, it would have rented for about £650 per Month. It now rents for about £1,100. I can't say I know what the rental value was each year in between, but assuming roughly linear progression from the original £650 to the current £1,100, I'd have spent a total of around £126,000 renting the same property for the last 12 years.

So as of today, I'm £34,000 "down" in pure cash terms by buying rather than renting. But, compared to renting, I'm now gaining by £1,000 per Month, every Month, for life. Assuming I live for another 30 years (I'm 40 so that's a fairly modest aspiration), that will leave me £326,000 up over my lifetime before a penny of asset value is considered.. And if anything, that gain will increase rather than decrease over time.

I also have full security of tenure (with a 970 odd year lease, I don't have to worry about that in my lifetime!), and have the property kitted out just as I want it. As an aside, I also have an asset worth c£250k. But like I say, that's almost irrelevant when compared to the security and lack of future costs that owning my own home has given me. If it was still only worth the £92k I originally paid for it, I'd still be up on the deal.

So I'd love you to explain to me, how was buying in 2002 a bad plan. And given that my flat could have been bought for about £140k in 2010, I'd be interested in your thoughts on how buying it in 2010 and setting off onthe path that imho has worked so well for mecould have been considered a bad plan either.

Crashy_Time

robmatic wrote: »

An identical flat sold in my building 3 months ago for £5000 more than I paid for mine in 2010, so I suspect my flat hasn't lost any "value" - not that it's particularly important.

Do you guys on HPC not actually follow the housing market? Broadly speaking, prices have been rising since 2010.

Your flat is in Edinburgh? There is a link on this thread about a flat in Gorgie trying to sell for similar to what it went for ten years ago. Of course yours was in one of the "special" post codes if IRC?