More reports of falling house prices

Doc_N

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2007/10/07/cmhouse07.xml

http://news.bbc.co.uk/1/hi/business/7027400.stm

http://www.ft.com/cms/s/41c50ab4-724e-11dc-b7ff-0000779fd2ac.html

http://www.thisismoney.co.uk/mortgages/house-prices/article.html?in_article_id=424995&in_page_id=57&ito=1565


And many, many more - and the more stories there are, the more buyers hold back, the more difficult it is to sell, and the lower prices have to go.

I'm already a houseowner. Have been since the early 1970s, so I've done pretty well. Too well in fact - it just isn't right that my house keeps going up in value whilst youngsters can't afford to buy. The extra value doesn't do me any good, but it is damaging the prospects for younger people.

That's why I'm so pleased that prices are now falling - and I hope the investors get their fingers very badly burned!

firsttimetom

Doc N,

Thanks for the links. I am one of the youngsters looking to buy, so I'm really hoping for a major correction.

I can't understand why there is such a will for house priccs to rocket. I want a house to use as a home for me and my girlfriend and to eventually raise a family in. I really couldn't care if I bought a house and prices went up, it just means all other house prices have too.

movilogo

It's true that prices are really falling. I am a FTB and actively looking in the market. Recently, I did observe that EAs are saying you can get 5% off of asking price without even haggling

Curv

movilogo wrote: »

It's true that prices are really falling. I am a FTB and actively looking in the market. Recently, I did observe that EAs are saying you can get 5% off of asking price without even haggling

You can get a discount without haggling because EA's are advising vendors to build the 'haggle' into the original asking price. It's always happened to some degree, but it's particularly prevalent at the moment. So prices aren't necessarily falling but asking prices are being pitched too high...

movilogo

That's why I'm after 10% discount on asking price!
Few months back, asking a 10% reduction would make EAs burst out in laugh. But now they are saying "Well... let me get back to vendor..." Although I'm yet to get my dream house in budget range, but things are actually improving (i.e. ludicrous house price is coming down, albeit very slowly)

pinkshoes

firsttimetom wrote: »

I can't understand why there is such a will for house priccs to rocket.

firsttimetom wrote: »

I really couldn't care if I bought a house and prices went up, it just means all other house prices have too.

There isn't a general will for houseprices to go up. They went up due to various factors (including irresponsible lending and dumb people who borrowed irresponsbily from these companies without having much understanding of interest rates, borrowing terms etc...), which thus made lots of people rather pleased, as you have just stated in your slightly contradictory post!!

Don't forget we need some BTL investors so that we actually do have a private rental market (ever heard the stories about council house waiting lists?!?!), but the majority of people's main concern is owning a family home that will one day be mortgage free.

master_ian

Which area are you in Movilogo?I'm a FTB looking in east london and EA's are still hesistant about dropping to 10% on asking price...also trying to put on brave faces in the light of what's going on in the market now. I spoke to one yesterday and suddenly he was saying 'it's going crazy here, so busy, everyone wants to buy in this area'...ie. Forest Gate in east london

movilogo

Which area are you in Movilogo?

I'm in Luton. Although buyers are not yet ready to accept a low offer, but situations are at least turning.... However, even if HPC happens, South East won't be affected drastically. The North will suffer most. I wish I could stay in Scotland. In my budget, I could afford a 4 bed detached, and here I'm struggling to get a 2 bed terraced

PINGLEIST

Master_Ian

Just hold back if you can, the prices will come down in all areas. Lack of silly 100%+ mortgages added to the expected correction will see to that.
Unless you see the house of your dreams and can afford, time is definitely on your side and a bit of patience will pay big-time. At the very least wait until the New Year, sentiment will change rapidly and we might see some panic selling.

Good luck.

Nenen

master_ian wrote: »

I spoke to one yesterday and suddenly he was saying 'it's going crazy here, so busy, everyone wants to buy in this area'...ie. Forest Gate in east london

and of course EAs NEVER tell lies do they!

mr.broderick

Doc_N wrote: »

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2007/10/07/cmhouse07.xml

http://news.bbc.co.uk/1/hi/business/7027400.stm

http://www.ft.com/cms/s/41c50ab4-724e-11dc-b7ff-0000779fd2ac.html

http://www.thisismoney.co.uk/mortgages/house-prices/article.html?in_article_id=424995&in_page_id=57&ito=1565


And many, many more - and the more stories there are, the more buyers hold back, the more difficult it is to sell, and the lower prices have to go.

I'm already a houseowner. Have been since the early 1970s, so I've done pretty well. Too well in fact - it just isn't right that my house keeps going up in value whilst youngsters can't afford to buy. The extra value doesn't do me any good, but it is damaging the prospects for younger people.

That's why I'm so pleased that prices are now falling - and I hope the investors get their fingers very badly burned!

Yeah so do i, hope it all goes tits up doc