Should I continue with house purchase?

Getting_greyer

The thing I'm unsure of is if you pull out of house sale and buy an equivalent in 6 months time after the asking price has dropped 20%.  Would banks offer say a 90% mortgage then?  What's to say the value wont keep dropping? Who wants to lend on a security that is losing value.  So really a huge drop in prices helps cash buyers maybe or only those with huge deposits?

Getting_greyer

Big inflation will eat away at that mortgage debt though.

Crashy_Time

Bossypants said:

Crashy_Time said:

Bossypants said:

graphs said:

Those saying go ahead have just gone ahead themselves before the virus hit and are deaperately trying to justify their badly timed decision. Pull out now!

Actually, I was just sitting here thinking how pleased I am that I was able to buy my house just under a year ago. Sure, the value may tank temporarily, but in the meantime I am far, far more comfortable in my space than I would have been otherwise, my own little house with my own little garden to potter in while riding out these difficult times. Wouldn't change that decision for the world, I can tell you!

If things get bad that will give you exactly zero advantage over anyone else, and if it turns out you did buy at the peak could also be a very costly financial decision.

I don't need 'an advantage over everyone else'. If I could give everyone else on the planet a cosy place to make a home of their own, I would. Not everything of value can be bought and sold on the open market, and personally I place value in being able to spend at least part of my limited time on earth in surroundings which bring me pleasure.

Not really getting your point, are you saying you need a mortgage to experience this?

Crashy_Time

Bossypants said:

graphs said:

Bossypants said:

Crashy_Time said:

Bossypants said:

graphs said:

Those saying go ahead have just gone ahead themselves before the virus hit and are deaperately trying to justify their badly timed decision. Pull out now!

Actually, I was just sitting here thinking how pleased I am that I was able to buy my house just under a year ago. Sure, the value may tank temporarily, but in the meantime I am far, far more comfortable in my space than I would have been otherwise, my own little house with my own little garden to potter in while riding out these difficult times. Wouldn't change that decision for the world, I can tell you!

If things get bad that will give you exactly zero advantage over anyone else, and if it turns out you did buy at the peak could also be a very costly financial decision.

I don't need 'an advantage over everyone else'. If I could give everyone else on the planet a cosy place to make a home of their own, I would. Not everything of value can be bought and sold on the open market, and personally I place value in being able to spend at least part of my limited time on earth in surroundings which bring me pleasure.

Until it's taken away because you bought at precisely the wrong time.

Even if it is 'taken away' (pretty extreme language there btw) tomorrow, that doesn't erase the pleasant time I spent here. Most good things in our lives will eventually come to an end one way or another, be it homes, relationships, careers or our good health. Are you not going to pursue those things in your life just because you can't be guaranteed they'll last as long as you might want them to?

Really confused by what you are trying to get over here, are you saying that people must get a mortgage to experience this deep sense of joy, and that even if they are severely punished by negative equity it is worth it? I don`t think that is great advice TBH. The idea that "pursuing" buying/borrowing a home at historical bubble valuations is a somehow worthy life goal is mind-boggling misguided IMO. 

Bossypants

I'm sorry to hear that you're confused, Crashy. However, I suspect nothing I can possibly say will change that, and as my posts were for OP's benefit, to consider or ignore as they see fit, rather than for yours, I think I'll leave it there and go and do some gardening. Have a lovely evening!

Crashy_Time

Fair enough, my response was probably a bit OTT. Enjoy your garden.