Property prices rediculous.....

martin1959

Cheeky_Monkey wrote: »

Do you have a question you would like to ask?

Gloating is such an unattractive trait

I have two children who want to buy shortly, and who will face these high prices. No...not 'gloating'....just making a statement as to how the market has gone mad.

martin1959

DTDfanBoy wrote: »

Well that's great news if you're selling up and moving into a retirement home, however if you're not chances are the property you're looking to purchase has increased by a similar percentage

We are selling chain free, as we bought our 'next move' two years ago and have been renting it out pending planning permission....The equity from the sale of our current home will pay for all the works on the new one.


The EA's feel the rise is partly due to the number of London owners selling up and moving into commuter belt (we are in Essex) and the reduction in stamp duty for properties just over £250k

franklee

martin1959 wrote: »

I have two children who want to buy shortly, and who will face these high prices. No...not 'gloating'....just making a statement as to how the market has gone mad.

That's the crazy thing. Even if you personally own two properties and so are better off with the price rise it'll still be detrimental to any children (or grandchildren) who wish to buy. Either parents (or grandparents) help them out or they add to generation rent or they postpone having their own families in order to afford to buy. Unless they are able to get really good jobs or move away.

Even being a property owner already isn't necessarily enough. Where I lived it used to be 100K to trade up from a three bed semi to a four bed detached. Now it's 200K. It means families can't move up or if they can they have to pay more stamp duty etc.

From my observations it was the new help to buy funding autumn that 2013 that inflamed a market that had been cooling over the summer. Why do so many people think that's good? They can't all be downsizing with no younger family wanting to buy.

Metranil_Vavin

Our maisonette in SE London was bought for 192k in 2005, and latest valuation is 485k.

Looks grand on paper, in reality though it means nothing as houses start at around 650k, so unless we leave London we're a bit stuffed.

Mallotum_X

breaking_free wrote: »

My landlady has just exchanged on her St Albans property (Hertfordshire).

7 months ago it was valued at £200,000. She decided to hold off selling until she was sure she wanted to move.

2 months ago she had it revalued by three agents. New price: £250,000 and she's now sold it for £245,000.

That's a 25% leap in valuation in just over half a year. Wow.

The biggest wow is that there is anything in St Albans that low, what is it, a one bed flat?

agrinnall

martin1959 wrote: »

I have two children who want to buy shortly, and who will face these high prices. No...not 'gloating'....just making a statement as to how the market has gone mad.

In which case your thread would have been better in the Debate House Prices and the Economy board (although you're by no means the only person who seems the be unable to distinguish between this board and that one).

breaking_free

Mallotum_X wrote: »

The biggest wow is that there is anything in St Albans that low, what is it, a one bed flat?

Not quite: it's a small, two unequal size bedrooms, 3rd floor flat in Sandridge. You're right that there is little available in this price range, but there are some less salubrious parts of St Albans where prices are lower (and so is the quality).

jamie11

This thread prompted me to check out one of my properties just outside the M25. Ridiculous price rise on similar properties in the area, more than doubled during the last 3 years, I agree I own them as an investment but I'd be quite satisfied to see them going for a lot less than the overheated prices they are now.

ilikecookies

DTDfanBoy wrote: »

Well that's great news if you're selling up and moving into a retirement home, however if you're not chances are the property you're looking to purchase has increased by a similar percentage

Indeed! I never understand why folks are so happy that there house has rocketed in value - 9 times out of 10 it means everyone else's has too! Also folks seem to forget that inflation applies to property too. Unless you are getting out of the market altogether or moving from a high-cost to a low-cost area it's all swings and roundabouts.

Minrich

Interest rates are the lowest they have ever been , hence borrowing is cheap , this causes the increase in prices as an extra 20 or 30k hardly costs any extra , if you can get the mortgage that is . First time buyers not being able to get a big enough loan is now a huge problem , the Help to Buy has made things worse and increased asking prices. Homes should not be used as investments , its is the occupier's HOME afterall. Prices desperately need a big correction .