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

Jack_Johnson_the_acorn

ukcarper wrote: »

The jury is still out if you read back through the thread most people are not surprised asking prices are falling back but that's a completely different thing to a full scale crash and even if they fall 50% crashy will till be out of pocket.

I think we concluded that even with house prices at £0.00 , crashy would still be out of pocket, due to the amount spent paying off his LL's mortgage.

Crashy argues that renting in a HMO has afforded him a better lifestyle.... If you consider sharing a bathroom as "better"

saguk1234

Typical HPI spin!

Bubble_and_Squeak

Jack_Johnson_the_acorn wrote: »

I think we concluded that even with house prices at £0.00 , crashy would still be out of pocket, due to the amount spent paying off his LL's mortgage.

Crashy argues that renting in a HMO has afforded him a better lifestyle.... If you consider sharing a bathroom as "better"

i'm not really big on renting but i've been doing it for over 10 years
i move every 2 or 3 years into a place that has just been refurbished
everything new like its fresh from the factory
so, it is possible to get a good value and a decent lifestyle from renting

Bubble_and_Squeak

wrkactjob wrote: »

Have been monitoring a Bellway/Barratt development for 4 months...things are grinding to a slow halt now....sales enquiries are drying up and a planned second phase release has been delayed.

Must mean something and I'm not falling for the "brick shortage" tale.

which area?
seems like stupid new builds in london are no longer selling themselves off plan before the development is complete

ukcarper

Bubble_and_Squeak wrote: »

i'm not really big on renting but i've been doing it for over 10 years
i move every 2 or 3 years into a place that has just been refurbished
everything new like its fresh from the factory
so, it is possible to get a good value and a decent lifestyle from renting

I've nothing against people renting if that is what they want and if you need to move every 2 or 3 years it makes sense. But the fact remains that over the long term your housing costs will be lower if you buy.

Bubble_and_Squeak

ukcarper wrote: »

I've nothing against people renting if that is what they want and if you need to move every 2 or 3 years it makes sense. But the fact remains that over the long term your housing costs will be lower if you buy.

it really depends on many factors
the last few years have seen borrowing costs at abnormally low levels so even if you bought at the last peak you'd be better off
things could change very quickly, though
our alleged economic recovery is based on borrowed money so if the cost of servicing that debt increases we'll all be in trouble

ukcarper

Bubble_and_Squeak wrote: »

it really depends on many factors
the last few years have seen borrowing costs at abnormally low levels so even if you bought at the last peak you'd be better off
things could change very quickly, though
our alleged economic recovery is based on borrowed money so if the cost of servicing that debt increases we'll all be in trouble

Even with interest rates at normal or above and if you bought at peak over the course of a lifetime your housing cost will be lower.

Blooloo

ukcarper wrote: »

Even with interest rates at normal or above and if you bought at peak over the course of a lifetime your housing cost will be lower.

but your life style might well have been a lot worse.

for the money I am paying in rent I have been in 4 bed housing for years...the current one (6th year) has a drive in drive out driveway, 4 very large bedrooms, each as big or bigger than many living areas modern flats have these days, garage, shed and a very nice garden.

Course I could have bought and maybe had some capital gains, but been in a tidly 3 bed semi..

Some might say I am silly at having thrown money away...others are in awe of where we live...clients come in and want to know when we are selling...

so, maybe its costing me a bit..maybe it isnt...but boy, do we live better than people paying a couple of hundred less in their wonderful newbuilds.

chucknorris

Blooloo wrote: »

I see Hamish has thanked you for this little gem of advice. He obviously knows the ins and outs of your position and approves.

I wasn't offering any advice, I was merely making a statement. I think Hamish thanked me because he probably also believes that existing investment property on a low margin tracker mortgage is one of the better investments to hold at the moment. If you don't agree, where would you invest the equity if you were selling right now?

Jason74

Crashy_Time wrote: »

Is this what you'll look like when you finally realise that renting for 17 years in anticipation of a crash was the wrong move