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

Blooloo

wotsthat wrote: »

Doesn't it seem odd that someone in their forties has several years living expenses in the bank but chooses to live in an HMO with a shared toilet?

judgemental.

god you are predjudiced...do you hate your tenants?

Blooloo

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 many assumptions.

you will never know the result until you cash up.

the result could vary immensely for any given period.

buy in 2008...closing period today..in Leeds..2 bed flat in the burbs...give me the calculation.

wotsthat

Crashy_Time wrote: »

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?

You think like for like calculations have a special clause where, even though outgoings are similar, you personally would save more money just because you're a renter?

It's a bit like me saying I've won £50k on the lottery and you haven't therefore buying is better than renting. Bizarre.

Crashy_Time wrote: »

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

That's you reading too much into the price tag and not looking deeper. Crashy the renter to claim victory would need Crashy the buyer to sell at around £20k off 2004 prices. I don't think there would be a problem selling:)

wotsthat

Blooloo wrote: »

so many assumptions.

you will never know the result until you cash up.

the result could vary immensely for any given period.

buy in 2008...closing period today..in Leeds..2 bed flat in the burbs...give me the calculation.

The assumptions were Crashy's not mine. Anytime soon he'll be claiming he found £5 down the back of sofa and a homeowner wouldn't have that.

Why don't you do some of the calculations for a change; can't you work an excel spreadsheet or something?

ChopperST

Crashy_Time wrote: »

1/ More than you by the sounds of things.


2/ We are in deflation, house prices are just starting to play catch up.

Have you really dropped to that level, it makes for a much more balanced argument if you can illustrate your point? I am genuinely interested.

Which measure are you using to suggest we are in a deflationary environment? RPI was last negative in 2009. CPI was last negative in the 30's?

How do you inflation proof your piles of cash?

ukcarper

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:


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

I've just had a look at rightmove again the flat that is up for £74k sold for £69k in 2006 do you think is was more or less in 2004.

ukcarper

Blooloo wrote: »

here is the whole raison d'etre for HPC...its about ordinary people being able to make choices about how they sort out their accomodation. The market has been totally financialised by leverage pushers.

Why is it a person on the London average wage of £26K cant find a place, certainly couldnt get finance, and therefore has no choice in the matter of their housing.

I could care less about the few BTL success stories, I considered it in the past myself, long before any of you entered the market, long before you could even go into a bank/building society and ask...they wouldnt have known what i was talking about.

Currently, BTL mortgages have a dishonest tax break on affordability so this immediately prices out swathes of potential buyers outbid by those that can get credit on cheaper terms, and currently unlimited by the recent mmr which owner occupiers are now subject to.

It is this outrage that HPC posters are outraged about. We love our landlords.

I lived just outside London before I first bought in the 70s I was earning a lot more than the equivalent of £26k and had to move 20 miles further out to buy.

Crashy_Time

ukcarper wrote: »

I've just had a look at rightmove again the flat that is up for £74k sold for £69k in 2006 do you think is was more or less in 2004.

http://www.rightmove.co.uk/house-prices/detail.html?country=scotland&locationIdentifier=POSTCODE%5E1071618&searchLocation=EH11+2LA&referrer=landingPage


HPI in action, poetry in motion. Or maybe not.

ukcarper

Crashy_Time wrote: »

http://www.rightmove.co.uk/house-prices/detail.html?country=scotland&locationIdentifier=POSTCODE%5E1071618&searchLocation=EH11+2LA&referrer=landingPage

The only time 81/1 is listed in sold properties is 2006 so I'm not sure what you are getting at.

Crashy_Time

ukcarper wrote: »

I've just had a look at rightmove again the flat that is up for £74k sold for £69k in 2006 do you think is was more or less in 2004.

You are really emotionally invested in HPI aren`t you?