House Price Crash Discussion Thread

nelly_2

Holly1976 wrote: »

Not knowing much about property I was wondering if you could help with a question?

I bought a one-bed flat three years ago for £200k

200 grand for a 1 bed flat?

Christ on a bike whats that all about?

I'm in the process of buying a 4 bed detached for £170 000

jamtart6

good or bad time to buy ?!

im a 1st time buyer..

MiserlyMartin

Holly1976 wrote: »

Not knowing much about property I was wondering if you could help with a question?

Don't buy another one!

I'd say you are thinking about it in the wrong way. As the property market falls, so will your flat. Especially your flat, because flats have massive oversupply and are falling faster than any property type. So my advice is to sell to rent. Sell it while you can still get a half decent price, bank the money and get the 5% interest after tax which is a better return than on property even currently. Rent a nice place, sit back and watch this thing play out. Then given a good 5 years or so, or whenever you feel the time is right, buy back into the market - at much lower prices.

m00m00

jamtart6 wrote: »

good or bad time to buy ?!

im a 1st time buyer..

depends on a lot of variables

it's not the best time to buy for sure, but unless we know more about your actual situation people can't really give advice.

not that you should take too seriously advice given on the internet about the most important financial purchase of your life.

brit1234

Property is going to fall big time in the next couple of months with the buy to let brigade selling off in mass in April due to the CGT changes. The amount of property on the market is rising quickly and due to the credit tightening things aren't selling.

wolvoman

brit1234 wrote: »

Property is going to fall big time in the next couple of months with the buy to let brigade selling off in mass in April due to the CGT changes. The amount of property on the market is rising quickly and due to the credit tightening things aren't selling.

If things aren't selling then not many people will realise a loss....?

Vincenzo

brit1234 wrote: »

Property is going to fall big time in the next couple of months with the buy to let brigade selling off in mass in April due to the CGT changes. The amount of property on the market is rising quickly and due to the credit tightening things aren't selling.

Yet another sensationalist fantasy - these are becoming common on this thread.

The majority of BTL investors are in for the long haul and will not consider selling just because a tax rule has changed.

John_Pierpoint

If they cannot meet the mortgage then they have got to sell.

Only when news of distress sales at auction appear on "News at 10" will it be time to think about buying somewhere.

BigJonnyB

Vincenzo wrote: »

Yet another sensationalist fantasy - these are becoming common on this thread.

Here are three reasons why that statement makes no sense:

1. Many people would be better off selling after the new tax rules come in

2. The majority of BTL investors are in for the long haul gain and will not consider selling just because a tax rule has changed

3. If what you said was true, if would have already happened. The rules come in on 6th April. Just one month to go for the BTL investors to sell 'en masse' and crash the market!

eh? The poster is saying that AFTER the new rules come in there will be a rush of BTL sales - not before. As you say in point 1 - many people will be better off under the new rules. Thats why many economists have stated on the record that a lot of BTL owners will wait until the new rules are adopted.

Vincenzo

BigJonnyB wrote: »

eh? The poster is saying that AFTER the new rules come in there will be a rush of BTL sales - not before. As you say in point 1 - many people will be better off under the new rules. Thats why many economists have stated on the record that a lot of BTL owners will wait until the new rules are adopted.

Apologies to OP - misread the original post.

Although my point still stands - people will not sell their long-term investments simply because of a tax change. Sure if they had planned to sell, they will wait until after April but most BTL investors are in for the long term.