Why buy – ever?

System

. Good point but has the boom finished, judging that is the problem.

If its pushing the limits of what people can borrow on a mortgage then its at least due to stall, if investors have detached it from local affordability then that is a bubble.
They say that when you start to see speculation on empty property its a warning sign

ukcarper

MatthewAinsworth wrote: »

If its pushing the limits of what people can borrow on a mortgage then its at least due to stall, if investors have detached it from local affordability then that is a bubble.
They say that when you start to see speculation on empty property its a warning sign

People have been saying that for years I couldn't see price increase that much in my area as they were already high, but they have and are still selling. Trying to judge property prices is very difficult, I wouldn't be surprised if prices stall but I wouldn't put my money on it.

System

Ukcarper - I think expectations and standards are shifting, in London you'd probably expect to need 2 decent incomes to jointly buy a 1 bed flat with another couple, one living in the lounge and one in the bedroom - that probably really is the limit- what used to require one income now requires 2, rooms that used to house 1 now house 2 or 3, and lounges are sacrificable where they used to be considered essential.


where I am on the limits of commutability you used to need 2 full incomes to buy a 3 bed house and now you'll need 2 full incomes for a 2 bed house or 3 bed flat. We are a family of 3 in a 1 bed flat, which is fine but were moving so we can have another (if its a girl she can't share a room with my son above a certain age)

ukcarper

MatthewAinsworth wrote: »

Ukcarper - I think expectations and standards are shifting, in London you'd probably expect to need 2 decent incomes to jointly buy a 1 bed flat with another couple, one living in the lounge and one in the bedroom - that probably really is the limit- what used to require one income now requires 2, rooms that used to house 1 now house 2 or 3, and lounges are sacrificable where they used to be considered essential.


where I am on the limits of commutability you used to need 2 full incomes to buy a 3 bed house and now you'll need 2 full incomes for a 2 bed house or 3 bed flat. We are a family of 3 in a 1 bed flat, which is fine but were moving so we can have another (if its a girl she can't share a room with my son above a certain age)

True but there is a shortage of properties which means only the better off need to be able to buy to maintain or increase properties. As I said I wouldn't be surprised if prices stall but I've thought that in the past and they haven't. Not saying it's a good thing just that it is extremely difficult to time the peak.