London Has Peaked

Crashy_Time

lisyloo wrote: »

It's still very likely to work out cheaper than renting over the longer term.
I agree there are better times to buy than others, but waiting 17 years is a no-no for most women.



I guess I should consider myself lucky then having found a fabulous home, but most people do move and take their equity with them. The transactional costs aren't a major issue unless you are highly mobile (in which case buying may not work for you). Thanks for your good wishes. The risks are pretty small now we've effectively paid for it and have no mortgage to pay.

The idea of "equity" is going to be revised after this bubble has blown up. Frankly, I have heard all the stuff on here about why it is better to buy, and I am still not impressed. Good job most of the posters here seem to be minted and won`t be affected too much.

lisyloo

The idea of "equity" is going to be revised after this bubble has blown up.

To be perfectly honest - I hope you are right about lower prices as I do think lower house prices would benefit society as a whole. However many of us will still have equity. My house is unlikely to be worth zero, so I will have equity.

Frankly, I have heard all the stuff on here about why it is better to buy, and I am still not impressed.

Really? Don't you see tremendous value in 45 years not paying any mortgage or rent? (whether you move of stay in the same house)
I don't think many people would deny that's a tremendous advantage.

Good job most of the posters here seem to be minted and won`t be affected too much.

People who have a reasonable amount of equity won't be affected and those who've already seen tremendous HPI will only see that reduced from tremendous to very good.
You're absolutely right that negative equity is a risk in the initial years and if you pick out the bad years then yes it can go wrong. I'm not someone who will deny the risks that exist.

chucknorris

Crashy_Time wrote: »

How long will it be worth 380k though?

I only care what it will be worth when I sell it, and it will be worth much more than £380k then (in 10 to 20 years from now). But in real terms I would take £380k plus inflation.


But you seem to be missing the point, I was replying to your post, where you were saying that there wouldn't be any HPI from 2008.

mystic_trev

chucknorris wrote: »

I only care what it will be worth when I sell it, and it will be worth much more than £380k then (in 10 to 20 years from now).

Naaaaah, you're wrong Chuck. You should have done what Crashy did and invest in a Jar of Magic beans

padington

Crashy_Time wrote: »

If that is the case why can`t the City be left to market forces instead of being propped up by the taxpayer, why is the "best" idea many Londoners have had recently been signing up for an I.O mortgage? If London is such a hub of innovation and ideas why is it such an overinflated Ponzi just dying to burst!

London is the most influential capital of the world according to Forbes.

There are more American banks in London than New York

There are more technology and information workers in London and the South East than the whole of California.

London is the world most popular destination for Forign visitors

London also now has an incredibly thriving film industry.

It's also considered the capital of education, finance culture.

i think it's doing just fine.

Crashy_Time

padington wrote: »

London is the most influential capital of the world according to Forbes.

Thhere are more American banks in London than New York

There are more technology and information workers in London and the South East than the whole of California.

London is the world most popular destination for Forign visitors

London also now has an incredibly thriving film industry.

It's also considered the capital of education, finance culture.

i think it's doing just fine.

You didn`t answer any of my questions :rotfl: So anyone in trouble with their big bubble mortgage can just get a part in the next crap gangster flick they are filming down the docks :T

hpifever

I hope these people lose their homes.

Phil_Spencer

Desirable areas will still be desirable, possibly at slightly lower prices. Flats in blocks will be hit hardest.

Crashy_Time

Phil_Spencer wrote: »

Desirable areas will still be desirable, possibly at slightly lower prices. Flats in blocks will be hit hardest.

Flats in blocks will still just be flats in blocks, but it is ALL a bubble, desirable and non -desirable, a true cluster f*uck if you ask me :rotfl: Past caring how much money people lose now, they can just default and let the banks (taxpayer) suck it up, no one will go hungry and the world will still turn.

hpifever

http://www.dailymail.co.uk/tvshowbiz/article-1169915/Location-Location-Location-star-Phil-Spencers-property-firm-went-bust-owing-500-000.html

The "property expert"