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

chucknorris

Crashy_Time wrote: »

A bit like the HPI dream then?

Not really, because that dream came true for us.

Crashy_Time

chucknorris wrote: »

Not really, because that dream came true for us.

:rotfl:
GO Chucknorris!

Crashy_Time

ChopperST wrote: »

You must have a very kind hearted landlord!

Well make that 8 landlords, and no, they were just taking what the market would allow. In Edinburgh it is either price realistically or go without tenants I`m afraid.

wotsthat

Crashy_Time wrote: »

They need to actually SELL the flat to get at the 24k, doesn`t that seem a little....obvious? And as many people have not saved during the last ten years or so, instead relying on ever increasing HPI to bail them out in the future, it is very unlikely that they will be better off than me.

Yes you'd need to sell the flat - that's the scenario you suggested don't forget. If you did though you'd have £24k in your back pocket on top of all your other savings.

I really don't see what other people's savings habits have got to do with calculating the difference between Crashy the buyer and Crashy the renter.

wotsthat

Crashy_Time wrote: »

But my rent averages out at 350 p.m, your calculation gives mortgage payments of 393 p.m, and they still can`t sell the flat for no increase in price over ten years :rotfl:

Crashy, you're clutching at straws. You're talking about paying £5k less in rent vs £24k equity when selling. Plus that flat's probably much nicer than where you're living now. And you're pretending the flat can't be sold.

Crashy_Time wrote: »

Without the massive interventions and rate cuts your calculations could never even come close to my costs?

The interest rate used flatters your position so I doubt that's true.

Crashy_Time

wotsthat wrote: »

Yes you'd need to sell the flat - that's the scenario you suggested don't forget. If you did though you'd have £24k in your back pocket on top of all your other savings.

I really don't see what other people's savings habits have got to do with calculating the difference between Crashy the buyer and Crashy the renter.

Well Crashy the potential buyer in 2004 didn`t believe in endless HPI, and he was right, while Crashy the renter probably saved harder than people who did?

Crashy_Time

wotsthat wrote: »

Crashy, you're clutching at straws. You're talking about paying £5k less in rent vs £24k equity when selling. Plus that flat's probably much nicer than where you're living now. And you're pretending the flat can't be sold.



The interest rate used flatters your position so I doubt that's true.

So putting it on the market at the ten years ago price implies there has been no problem with selling it?

Philuk

ChopperST wrote: »

More good news crashy, oh wait...

The breakdown of the rent annual change actually shows a small drop for central London while the greater London strongly increases. this tend to confirm the recent rebalance observed among investors reallocating their capital to the periphery where they can get more value than the now over value prime London. Interesting to see where this goes in the next 6 months.

Crashy_Time

Joeskeppi wrote: »

His rent has only gone up £50 but he's moved into progressively worse accommodation.

On the plus side an HMO in Scotland is a low as it goes.

No, wrong again, this flat is nearly identical in size to the 350 p.m one in the late 90`s, but gets more light, is quieter (block half empty) and is in much better condition inside. Last time I lived in an HMO was around 1998, unless you include an 800k house in the same street as Fred Goodwin (the only problem was the scum you had to live next to) Why don`t you learn to read before trying to post Joeskeppi?

Blooloo

chucknorris wrote: »

Not really, because that dream came true for us.

so far.

Anyone would think winning was what everyone in the BTL game has done.

Its what mortgage sellers want you to beleive.

Its what the housing market course sellers want you to beleive.

It isnt true for many..

but dont mention that...its going to jinx the market.

clearly, pricing everyone out of the market but a favoured few is going to raise a few hackles, bust a few banks...but who cares..some people got wealthy...some shot themselves and their families, who cares.