House Price Crash Discussion Thread

harryhound

I agree that the majority is always wrong, so there are a whole lot of people hanging on to yesterday's winners, for example domestic pre-owned houses, in the hope that prices will trend up again; but I cannot see any winners as the GDP per head trends down.
[I see Halfords is now making more money from bikes (an inferior Giffen Good) as price rises and income falls make car travel out of the reach of more consumers.]

Meanwhile the powers that be want to (being forced to) play fast and loose with the value of the currency.

FreelanceGirl

I'm going to see a property tomorrow and it's way out of my price range. I haven't even got an agreed mortgage yet or a deposit! Although I will have the finances in place in six months' time. It's been on the market for ages and has already dropped in price by £30k!! It's on a fantastic sought-after road in my hometown and houses like that don't come onto the market that often.

I know it's awful to say it - and I feel sorry for the owners who've already dropped the house price - but if I love the property and it's right for us, I'm just going to sit tight and wait until next year. See what happens. If it's still on the market (others close by have been on the market for over two years now) and I've got the finances in place, I'm going to put in a cheeky offer - another £20K below.

MrRee_2

To be honest, if the house in that fantastic sought after road is still available next year - together with all the others which have been on the market for 2 years - then it is NOT in a fantastic sought after road!

There have been buyers through 2010 - sought after properties were selling quite easily. 2011 is a different year.

John_Pierpoint

It depended where you live.

FreelanceGirl

MrRee wrote: »

To be honest, if the house in that fantastic sought after road is still available next year - together with all the others which have been on the market for 2 years - then it is NOT in a fantastic sought after road!

There have been buyers through 2010 - sought after properties were selling quite easily. 2011 is a different year.

You're right! It'll be snapped up and there's nowt I can do about it.

I really hope they manage to sell because I can't imagine how hard it must be, wanting to move but being unable to get anywhere... And then having all these people - like me - put in cheeky offers.

I'm not going to be zilch in the next couple of years. I'm dreaming if I think I can afford that house anyway.

MrRee_2

I find it amusing when I see an EA particulars state that a property is in a 'Sought After Area', 'Highly Desirable Road' - just to see, 6 months later, it's been reduced by 20%! Obviously not that desirable then?

John_Pierpoint

Isn't "property bee" wonderful?!?

MrRee_2

Property Bee doesn't work as well as studying the market for years ..... PB can be tricked.

There is no substitute for knowing your market inside out.

harryhound

I agree, by the time you make a decision to buy or sell you should be able to value estate agents particulars without looking at the price.
However is just keeping in touch with the market on behalf of a relative (say) "property bee" cuts out some of the hogwash.
As does getting the Land Registry details before spending 20 quid in road fuel to go and look at somewhere.

MrRee_2

Certainly, PB and Zoopla and LR have their value and uses.

Zoopla is good to get their estimate and to see what was paid for the property by the current owners.

I am looking for a weekend retreat property by the sea, and have been watching that particular market for a good few years now ...... I want to have a high desire to go there on a Friday afternoon, and to achieve that you must know the area and street and property.

There have been some bargains appear on the market I am studying, the last one was 4 weeks ago. By the time I had driven to view it, 65 miles and 1 hour away ... it had been sold. I am clearly not the only one who is watching and waiting, sadly!

There are big pots of money out there waiting to jump at the right property at the right price .... and why I believe that property values have a floor below which they will not fall.