The Aberdeen House Prices & Rents thread

MatteH

Crashy_Time wrote: »

http://www.citylets.co.uk/research/reports/pdf/Citylets-Quarterly-report-q4-15.pdf?ref=reports


Rent getting cheaper as well it seems.

Aberdeen negative growth
accelerates to 15.9% YOY

:beer:

fun4everyone

Crashy_Time wrote: »

http://www.citylets.co.uk/research/reports/pdf/Citylets-Quarterly-report-q4-15.pdf?ref=reports

Rent getting cheaper as well it seems.

Yes terrible reading for Aberdeen, with proof of what has been said in this thread - Rents down near 20% and the floor falling out of the market in Aberdeen.

Average rents in Aberdeen have fallen 15.9% over the last year. With
oil prices around the $30 mark and supply from Iran now online there
is every reason to believe that the market has further to fall

Also

Aberdeen’s downward curve has steepened and falls are almost
certain to continue throughout 2016 and beyond. Average rents are now
£934 per month with average time to let lengthening to 46 days

Bluebirdman_of_Alcathays

fun4everyone wrote: »

I agree that petrol/diesel prices have been significantly slashed since this downturn started (which is of course a good thing) - but I feel that's different from the "energy companies"

http://www.thisismoney.co.uk/money/bills/article-3280673/Wholesale-energy-costs-plunge-five-year-low-no-sign-falling-bills-households-winter-beckons.html

Those guys have not passed on the significant falls in supply cost for them, which is outrageous.
QUOTE]


No, it is not outrageous.


There are plenty of other companies out there, other than the big six, most of whom have substantially lower prices. Savings of 20% are easily achievable. However, they have built into their business model, correctly, the fact that most people do not seem to miss the extra £300 they are chucking at their big 6 supplier.


If 2m people left BG tomorrow, you can bet their prices would go down.

macadamia_2

HAMISH_MCTAVISH wrote: »

Agreed.



Don't think anyone can accuse Aberdeen council of being competent.

But to correct your statement, only a very small subset of the population is being "financially crippled"... The oil industry so far has only lost about 10% of it's workforce and most of them do not even live in the area.

For the vast majority of the half a million people in Aberdeen/Aberdeenshire who do not work in O&G, the effects, so far anyway, are small and manageable.

It's certainly building up though. Family member is trying to sell house and I've been accompanying her to solicitors' offices. They are all doom and gloom. Lots of people are selling houses after only buying them within the past year or so because they've lost their jobs. Apparently they've NEVER had so many houses on the market in Aberdeen/shire at the same time before.

Cousin works in accountants office and is just holding on to her job - the oil industry affects everything here.

(Solicitor told me that lots of cheeky offers being made for houses and flats but buyers mainly holding off because they know things will be cheaper in 6 months time)

Crashy_Time

macadamia wrote: »

It's certainly building up though. Family member is trying to sell house and I've been accompanying her to solicitors' offices. They are all doom and gloom. Lots of people are selling houses after only buying them within the past year or so because they've lost their jobs. Apparently they've NEVER had so many houses on the market in Aberdeen/shire at the same time before.

Cousin works in accountants office and is just holding on to her job - the oil industry affects everything here.

(Solicitor told me that lots of cheeky offers being made for houses and flats but buyers mainly holding off because they know things will be cheaper in 6 months time)

Sounds like we will get to see an actual HPC in Aberdeen. Many will never have experienced this scenario. Interesting times.

fun4everyone

Crashy_Time wrote: »

Sounds like we will get to see an actual HPC in Aberdeen. Many will never have experienced this scenario. Interesting times.

Rents dropping 20% already pretty much is a crash imo. I think house prices will settle eventually but rents will continue to drop hard then stay firmly lower for quite a while (years), that is the crash.

westernpromise

Crashy_Time wrote: »

Not quite as uncomfortable as living under the weight of multiple highly leveraged BTL`s though.

I'm not sure I understand your point. To house yourself, you choose between buying or rent. Those are the options. I'm not aware of any third option - "multiple highly leveraged BTL`s" - being available, since letting property to other people does not house you.

baz8790

macadamia wrote: »

(Solicitor told me that lots of cheeky offers being made for houses and flats but buyers mainly holding off because they know things will be cheaper in 6 months time)

I know it sounds nasty but I really hope the prices do drop.

I work in an oilfield supply company but don't benefit from the high pay that seems to be the standard Aberdeen pay.


I was hoping to buy a flat in a few months time but the way things are looking at work I will be holding off until after the summer possibly longer if things don't improve.

I still can't understand why property is still being advertised for offers over the valuation price

CLAPTON

I guess those concerned with moral hasard will welcome a significant fall, as this will remind people there are no one way bets

westernpromise

CLAPTON wrote: »

I guess those concerned with moral hasard will welcome a significant fall, as this will remind people there are no one way bets

Not in provincial backwaters anyway.