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

Crashy_Time

ukcarper wrote: »

Yet you have still spent almost 3x the mortgage interest you would have paid if you had bought the flat you linked to.

Only due to unprecedented intervention, and that can change. What about the actual mortgage principle?

ukcarper

Crashy_Time wrote: »

Ok, I`ll humour you. I bet muppets piling into BTL in Edinburgh in 1997 putting their flats on the market at 350 p.m didn`t think that 17 years later they would be putting their flats on the market at....Drum Roll....425 p.m! Big wow.

That flat is not as nice as the one that was £45k in 2002, if he had paid that (probably less in 1997) his mortgage interest would be about £170 a month so I expect he's quite happy.

ukcarper

Crashy_Time wrote: »

Only due to unprecedented intervention, and that can change. What about the actual mortgage principle?

That's just luck like you continually finding below market price flats.

ukcarper

Crashy_Time wrote: »

Only due to unprecedented intervention, and that can change. What about the actual mortgage principle?

If he had bought on a 17 year repayment his payments would be £320 and he would now own flat outright.

khards

ukcarper wrote: »

That's just luck like you continually finding below market price flats.

What is market price? What someone is willing and able to pay?

Jack_Johnson_the_acorn

Crashy_Time wrote: »

I asked you if you think the value of your house is affected by sale prices for similar houses in the area. It is a very simple question, do you believe the value is affected, yes or no.


Of course buying two very different houses at two different prices doesn`t mean houses are decreasing in value, but I explained in another post why my rent has not gone anywhere in 17 years. This is just a fact, I may have been lucky, found landlords that knew how to get long term tenants, whatever, but the figures stand, no amount of your nonsense posting changes that.

Originally Posted by Crashy Time View Post
If someone in your street sells for less than you paid, and the houses are similar, that is the new value of your house, you have no control over the process.

That's what you typed word for word..... So you didn't ask me a question....

Now you're asking a question which is quite different to what you asserted as fact before....:rotfl:

Before you stated If someone in your street sells for less than you paid, and the houses are similar, that is the new value of your house, you have no control

I assume that you realize this is absolutely false and hence why you have changed to has an effect on value.

Quite a difference!!!

To answer ......The value of a house is what someone is willing to pay for it..... Of course a shockingly low price on the same street would cause concerns. But would in no way dictate the price of all similar houses on that street.:)

Crashy_Time

ukcarper wrote: »

That flat is not as nice as the one that was £45k in 2002, if he had paid that (probably less in 1997) his mortgage interest would be about £170 a month so I expect he's quite happy.

Only if he is getting tenants, remember you are in for full council tax after six months empty I think it is, that adds £100 a month. Then there are general repairs and security issues if it is empty. Pre Edinburgh rental flats I owned property not far from Hamish, and because I had moved to Glasgow rented it out, mainly to people I knew. Absolute nightmare, complaints from neighbours every time I went up there, and you could see the deterioration in the house as people just partied away with no vested interest in keeping it in good order.

Crashy_Time

Jack_Johnson_the_acorn wrote: »

Originally Posted by Crashy Time View Post
If someone in your street sells for less than you paid, and the houses are similar, that is the new value of your house, you have no control over the process.

That's what you typed word for word..... So you didn't ask me a question....

Now you're asking a question which is quite different to what you asserted as fact before....:rotfl:

Before you stated If someone in your street sells for less than you paid, and the houses are similar, that is the new value of your house, you have no control

I assume that you realize this is absolutely false and hence why you have changed to has an effect on value.

Quite a difference!!!

To answer ......The value of a house is what someone is willing to pay for it..... Of course a shockingly low price on the same street would cause concerns. But would in no way dictate the price of all similar houses on that street.:)

Ok, we are probably meeting somewhere in the middle on that one, but IMO the UK has become a nation of people who think that their house/street/postcode is "special", and somehow immune to market forces.

ukcarper

khards wrote: »

What is market price? What someone is willing and able to pay?

The price most people are paying.

Crashy_Time

ukcarper wrote: »

The price most people are paying.

Don`t you mean borrowing?