Who are buying now?

movilogo

But we never, ever, calculated to make a profit with the property.

I suppose you never ever think of losing money with property either

Thali

Actually, we did ... but same calculation: If the flat drops let's say GBP 20,000 in 2 years time, we'd still had paid GBP 24,000 in rent, therefore we would have "saved" some money. And we paid into something which we own.

The interesting question for us is: if the value of the property really does go down, what will happen to the rental market? We might only be here for another 2,3 years and ideally would like to keep the property. This will only be possible if the incoming rent is covering most of our repayments.

BTL owners will hardly be in the position to drop the rent so why should a new BTL owner (who bought for less) demand less?

wobblegobble

If prices go down £20k in 2years you will most certainly be worse off buy
ing rather than renting There are plenty of threads on here explaining this. Remember you might be paying £24k in mortgage payments but you certainly don't pay off £24k of capital!

I don't know the specifics but looking at the rent you are paying, if prices go down by anything more than £5k over the next two years you will probably be worse off......

IveSeenTheLight

hearts wrote: »

lol...or maybe just of a different opinion to you. ;-) I know what Im doing and I do it right. I live in a part of the country that is still flourishing. I don't expect prices to crash.

HeHe, think your in the same area as me.
Like Katie Alsopp says, its all about Location, Location, Location

P.s Grumbled congrats to your team humping my team at the weekend .
A long way for the season to go though :rotfl:

meanmachine_2

Meanwhile out in the real world...

Was looking at properties yesterday in SW London, I repeat LONDON, and agents were begging me to make offers.

I've never seen agents being so nice or accomodating in my life (not that I've had a great deal of experience of them).

They all told me it's gone totally dead just in the last six weeks.

Now that's just one area, and it might be totally different in other parts of the country - though I can't think why - but already one property I looked at has dropped in price from £270K down to £240k.

So that's a genuine experience, not some EA puff.

I suggest people get out there and see for themselves rather than spin drivel like the OP's post.

jonewer

I also know of a place in the SE that went from £285 down to £269,950 in the space of 6 weeks. Agent phoned me the other day saying the vendor would take £250. We might go look at it. We might offer £230. Who knows!

Amber07

Well, things don't seem to be too bad around the Edinburgh area - although I think this is the quietest time of year anyway, whether there is going to be a crash or not.

I have just bought a 3br house - I wanted to move due to kids needing their own rooms, etc. Whether the new place goes up or down in value over the next few years makes no difference to me just now, an affordable mortgage on a home for my family is all that matters.

I was concerned about selling our place in October, especially after reading all the horror stories on here :eek: but we had 5 viewers, 4 offers and sold for the price we wanted within a few weeks.

So, if there is a crash, yes, perhaps I could have got my new place for a bit less, but I think there would have been more competition for it - and long term, prices would slowly rise again anyway.

hearts

Amber07 wrote: »

Well, things don't seem to be too bad around the Edinburgh area - although I think this is the quietest time of year anyway, whether there is going to be a crash or not.

I have just bought a 3br house - I wanted to move due to kids needing their own rooms, etc. Whether the new place goes up or down in value over the next few years makes no difference to me just now, an affordable mortgage on a home for my family is all that matters.

I was concerned about selling our place in October, especially after reading all the horror stories on here :eek: but we had 5 viewers, 4 offers and sold for the price we wanted within a few weeks.

So, if there is a crash, yes, perhaps I could have got my new place for a bit less, but I think there would have been more competition for it - and long term, prices would slowly rise again anyway.

Im in Edinburgh too and I see no signs of a crash here. As you say things are slow as is usual for the time of year. The only prices that are not stable are the "new builds" most of which, going by the ones Iv'e viewed are over priced boxes.

Ivana_B_Rich

I'm in the north west, I'm a ftb and have been looking for about 7 months. There are more and more properties being reduced in my area.

Today an EA phoned and asked if an offer I made in August still stood as the vendor is going to reconsider. I had offered £135, the property has been on the market since April and has been reduced from £150 to £139950.

Although I like the property I now think it may be better for me to wait until spring