Offer advice?

Mrs.CJP

Defiantly put in a low offer but don't base it on the previous sold price. There could be loads of different reasons for the increases.

Regarding the recession....I bought in 2006 just before the crash, I had a 5yr fixed at 6% and within 6 months the crash came and the value of our house dropped £40k. I was buying a home and decided that I wouldn't worry because if needs be I would sit it out and if I had to stay so be it.

Fast forward 10 years, I've done improvements, new bathroom, kitchen, windows, driveway and recently sold and my house increased by £105k.

Yes I know some of that is due to the crazy market but it's also relative. I sold high and bought high so it all balances it out. I bought my first home and my new place is my forever home.

If you're buying a home, planning to stay for a longtime and you know you'll be able to cover the cost when the rates increase it really shouldn't matter about crashes.

If you're only planning on staying for a few years then I think you have to consider if you're prepared to sell during a period of uncertainty

robatwork

mrlegend123 wrote: »

You cannot have a successful economy when house prices are "earning" more each year than salaries. I would like house prices to stabilise with slow growth of 2-3% each year.

We are currently heading into a recession and I do not want to get caught out.

2 of your replies are very bearish about house prices, so you obviously believe house prices are going to fall.

As such you shouldn't buy now - this would be crazy given your belief. Keep your money and buy in 2 years when it's a "buyers market" - your words.

Trying to think of an area of Hampshire with 3 bed semis that price - Gosport?

System

robatwork wrote: »

2 of your replies are very bearish about house prices, so you obviously believe house prices are going to fall.

As such you shouldn't buy now - this would be crazy given your belief. Keep your money and buy in 2 years when it's a "buyers market" - your words.

Trying to think of an area of Hampshire with 3 bed semis that price - Gosport?

Mortgage approvals, house sales volume, mortgage rates, real wages, and home ownership are down. The commodities & money markets are down. We at the end of the current economic cycle with low base rate and no where to go. We need to admit that we are heading into recession and in a deflationary spiral. We had the dot.com, then financial crisis and the next crisis has already been given the name of the sovereign debt crisis. This is due 2017. This is why I am bearish towards the housing market at the moment.

Don't worry the Lifetime ISA will save the day............. The taxpayer will keep the housing market going abit longer.

System

I have made some reasonable offers for houses. If they get rejected, I shall wait a couple of years and become a amateur cowboy landlord. There are plenty of cheap houses in the north-east which have fallen 5%. I am not a fan of the broken buy to let system so when you cant beat them - join them!