Under valued help to buy mortgage valuation, what to do?

Crashy_Time

https://www.bloomberg.com/news/articles/2017-10-15/london-house-prices-fall-at-fastest-pace-since-financial-crisis

chucknorris

Crashy_Time wrote: »

https://www.bloomberg.com/news/articles/2017-10-15/london-house-prices-fall-at-fastest-pace-since-financial-crisis

London property is performing so well for me Crashy that I have already revised my retirement portfolio, and decided to hold onto most of my property for another 4-6 years (market dependant):

61% shares (excl VCT)
25% fixed pension (DB and state, might be able to get up to 25%)
5% investment property
4% cash (regular savers/NSI cert/some savings acc)
3% P2P (possibly)
2% VCT (possibly)

But due to the lack of alternative comparable investments (namely bonds), I am also considering holding onto my highest yielding property for a further 10 years (until my mid 70's):

45% shares (excl VCT, approx 13% REIT incl)
25% fixed pension (DB and state, might be able to get up to 25%)
20% investment property
4% cash (regular savers/NSI cert/some savings acc)
4% P2P (possibly)
2% VCT (possibly)

Crashy_Time

chucknorris wrote: »

London property is performing so well for me Crashy that I have already revised my retirement portfolio, and decided to hold onto most of my property for another 4-6 years (market dependant):

61% shares (excl VCT)
25% fixed pension (DB and state, might be able to get up to 25%)
5% investment property
4% cash (regular savers/NSI cert/some savings acc)
3% P2P (possibly)
2% VCT (possibly)

But due to the lack of alternative comparable investments (namely bonds), I am also considering holding onto my highest yielding property for a further 10 years (until my mid 70's):

50% shares (excl VCT, approx 13% REIT incl)
25% fixed pension (DB and state, might be able to get up to 25%)
16% investment property
4% cash (regular savers/NSI cert/some savings acc)
3% P2P (possibly)
2% VCT (possibly)

How is it performing for other people, more recent buyers for example?

chucknorris

Crashy_Time wrote: »

How is it performing for other people, more recent buyers for example?

Property is a long term investment, you can't (shouldn't) judge it over short term periods. Although I accept if it is falling it is tempting to wait it out, but I mostly bought mine when they were still falling in the early 90's, because I was happy with the price paid. You can only see the bottom of the market after it has already been reached. How long have you been waiting for the bottom of the market? Is it coming up to about 20 years? How much have they risen since then?

Crashy_Time

chucknorris wrote: »

Property is a long term investment, you can't (shouldn't) judge it over short term periods. Although I accept if it is falling it is tempting to wait it out, but I mostly bought mine when they were still falling in the early 90's, because I was happy with the price paid. You can only see the bottom of the market after it has already been reached. How long have you been waiting for the bottom of the market? Is it coming up to about 20 years? How much have they risen since then?

I wasn`t remotely interested in house prices 20 years ago, not many people were actually, but the question was why do you think someone who bought last year should take anything from your situation?

caronoel

Crashy_Time wrote: »

I wasn`t remotely interested in house prices 20 years ago..

This goes some way to explaining why you sold up in 1997 and have been living in a rented bedsit since then, missing out on a 20 year bull run in house prices

There is a lesson there in an amateur trying to second guess the market.

Buy when the time is right for you, don't base your decisions on the internet wisdom of a 50+ year old man living in a rented bedsit.

Crashy_Time

http://moneyweek.com/londons-slowdown-is-spreading/

caronoel

Crashy_Time wrote: »

http://moneyweek.com/londons-slowdown-is-spreading/

Moneyweek???

:rotfl::rotfl::rotfl::rotfl::rotfl:

That comic has been predicting a house price crash since the early 2000's.

Even the editor, MSW, doesn't follow its own advice - having moved from rental in to home ownership in late 2009. Shame you didn't do the same Crashy!!

:rotfl::rotfl::rotfl:

chucknorris

Crashy_Time wrote: »

I wasn`t remotely interested in house prices 20 years ago, not many people were actually, but the question was why do you think someone who bought last year should take anything from your situation?

But isn't that approximately when you sold to rent? If so, you must have been extremely interested in house prices. Well I'm sure that people were just as interested in house prices back then as they are now.

Someone that bought last year needs to know (although most already will of course) that short term fluctuation in house prices aren't as relevant as how they fluctuate over 25 years and beyond. It is more important to be happy with the price paid and where you end up living, than trying to time the market, you only have to look at your attempts to time the market, to see that.

chucknorris

Crashy_Time wrote: »

http://moneyweek.com/londons-slowdown-is-spreading/

Good news for us Crashy, we are looking to upsize, I hope it impacts on Surrey houses. I see it as opportunity, if it scares away any of our would be competitors when buying our next home.