Do you want house price to rise or fall?

swindiff

My LTV is already less than 50%, increasing it further will not benefit me further, and I would quite happily forgo a slightly lower interest rate if it meant my children could afford to purchase a property.

lisyloo

20SmthngSver wrote: »

But if you re-mortgage to a better deal or the end of your fixed rate term, you will have reduced your mortgage while your house value has gone up, so you'd be in a better position for a new deal as you have greater equity now than when you started the deal.

How may people do you need to tell you that you’re wrong and they care about their children?

ukcarper

It would have been better if house prices had only increased in line with earnings but they didn't and in many parts of country prices need to fall. I'm not in favour of large nominal falls so in my opinion the best thing would be if prices stay as they are nominally but fall in real terms. If you have an repayment mortgage your equity will increase with with time anyway.

Thrugelmir

lisyloo wrote: »

Absolutely.
Some are born much more privileged than others. That’s a fact.

However I think that to say everyone’s hopes and dreams in the uk are entirely shattered due to high house prices is an extreme exaggeration.
People born in this country are privileged on a global scale.
There are some (Alan sugar springs to mind) who have made something of themselves without having privilege on their side.

It’s more possible now for people of all classes and genders to go to university than its ever been despite debts.
My mother born in the 40s didn’t have the opportunity purely because of gender prejudice, so opportunities are better now.

High house prices are not putting opportunities/lives on hold e.g. more young people than ever now go to university.

They are making it harder for people to have a comfy retirement but longevity is playing a bit part there too.
They aren’t stopping people being inventive or incredibly talented people from making something of themselves on the whole.

Btw - I’ve already stated I’d like nominal stagnation to help younger people without hurting existing owners. I don’t believe it’s helpful to wish for a big crash as I don’t share the unicorn view that low house prices can come without damaging effects.

What is it you want me to do?
Sympathise with those born in one of the best countries in the world with a stable political system, freedom and opportunity?
Sorry but I think people born here are in general extremely lucky and even those of teeside share that (of purse there are exceptions who have suffered abuse, so I’m talk8gn generally).

Seems as if others have similar concerns as inequality widens.

Inequality in Britain is “now entrenched from birth to work”, according to a damning report by the government’s social mobility commission that charts failures in education and employment policies that have caused class privilege to become more entrenched.

Being born privileged means you are likely to remain privileged. But being born disadvantaged means you may have to overcome a series of barriers to ensure you and your children are not stuck in the same trap,” said Martina Milburn, who took over as chair after mass resignations by commissioners in protest at government policies.

https://www.theguardian.com/society/2019/apr/30/social-mobility-in-uk-virtually-stagnant-since-2014

lisyloo

I agree that inequality is getting worse and it’s a concern.

Planet_Switzerland

I own my property but I want prices to fall.


That's because I'd rather live in a world where people spent money on having fun instead of spending it all on housing.


If my property value fell by 10% it would still be less than the money I would have paid on rent minus interest payments I've made since I bought it.

phillw

Planet_Switzerland wrote: »

If my property value fell by 10% it would still be less than the money I would have paid on rent minus interest payments I've made since I bought it.

House prices will only fall if people have less money, if it affects everyone then it's a zero sum game. For it to have any kind of effect we would need economic conditions to change such that those on low incomes and not many savings end up with a similar amount of money to those on high incomes with savings.

That kind of adjustment is likely to destroy our economy.

bhughes1986

Planet_Switzerland wrote: »

I own my property but I want prices to fall.


That's because I'd rather live in a world where people spent money on having fun instead of spending it all on housing.

Okay, so screw the people who have scrimped and saved to actually get on the housing ladder, as long as those who come later can have a bit of fun?

The whole argument regarding house prices screams 'it's not fair'.

There are thousands of (affordable) houses for sale in this country that people just wont buy. Younger people want to go straight to a 4 bed detached with huge garden, instead of being sensible and starting with a 2 bed terrace and working up. I say that as a 33yo who started on my own 8 years ago with a 2 bed terrace that was away from my ideal area for £76k. Now married, earning more and a couple of house moves later, I am about to move into said 4 bed detached in a nice area that I can afford.

MobileSaver

lisyloo wrote: »

I wish we could move away from this idea that everyone is entirely selfish.
Most parents want to help their children and grandchildren.

It's human nature though, pretty much everyone is entirely selfish when it comes to selling property... how many unselfish people do you know who would sell their home for the same price they paid for it 15 or 20 years ago?

westernpromise

MobileSaver wrote: »

It's human nature though, pretty much everyone is entirely selfish when it comes to selling property... how many unselfish people do you know who would sell their home for the same price they paid for it 15 or 20 years ago?

That wouldn't be unselfish, it would be totally stupid, because if they did so they could not afford to replace it.