Is now really a bad time to buy?

FrugalCat

MobileSaver said:

FrugalCat said:

 house prices are not just based on supply and demand. They're based on affordability (key demand factor),

What a strange thing to say when you then immediately contradict yourself. House prices are based on supply and demand and as you say affordability is an aspect of demand. 

Perhaps a better word would be "simply" instead of "just". Point being, there's a bit more complexity to the situation.

MobileSaver said:

Who are these "housing bulls" you speak of and why do they need to answer a particular question of your choosing?

You seem to be a housing bull (as opposed to a bear, please google the terms if you need to). No one needs to answer the question, but I'd be happy if you think about it.
I'd be hoping that your opinion becomes a bit more nuanced.

Crashy_Time

MobileSaver said:

Crashy_Time said:

Prices for the one thing most people borrow most for are super high though, ... Prices have to correct, there is no other way out of this.

Prices have to correct to what? What is the "correct" price?

You are clearly educated and intelligent and yet fundamentally you don't seem to get that we live in a market economy; the price is what it is based on supply and demand. There is no right or wrong price, house prices are neither good or bad, they just are what they are.

Really? Many would say this hasn`t been the case for some time........the central banks are way too involved now for there to be anything like a true market economy............let`s see how price relates to supply and demand though as the banks tighten lending shall we? 

Crashy_Time

Filo25 said:

I'm surprised COVID doesn't seem to have had more of an impact where I live locally (NE London), looking on Rightmove quite a few houses listed in the last month are already showing as SSTC, and from chatting to a mortgage broker today he isn't seeing any weakness in prices coming through so far.

Maybe things will change when furlough ends and we may have the possibility for some forced sales, but for now it seems to be holding up better than I would have expected

The first wobble will come when the BOE fails to deliver "enough" stimulus to, well to basically everything now, then there will be more wobbles when the EU countries start squabbling over the size of their bailout IMO. If there is a proper "second wave" then all bets are off, and Brexit, "Trade War" etc. now seem like quaint old things your Auntie had in the attic don`t they? 

MobileSaver

FrugalCat said:

You seem to be a housing bull (as opposed to a bear, please google the terms if you need to). ... hoping that your opinion becomes a bit more nuanced.

Again your HPC indoctrination is clouding your judgement so it is quite ironic that you ask others to be more nuanced!

Just because someone doesn't believe it is the end of the world for the property market does not make them a "housing bull"; most sane, rational people do not believe either that a property crash is always just around the corner or that house prices will go up and up forever...

MobileSaver

Crashy_Time said:

MobileSaver said:

 fundamentally you don't seem to get that we live in a market economy; the price is what it is based on supply and demand.

Really? Many would say this hasn`t been the case for some time........the central banks are way too involved now for there to be anything like a true market economy.

I'm sure many on HPC would say that however there is no inconsistency with central banks and governments intervening at times; it is still a supply and demand led market economy.

Of course, desperate not to admit that they've been wrong for so long, I can understand why HPCers would start using the term "real market economy" in the same way they talk of house prices in "real terms" to explain why they've been right all the time...

eidand

Feels like a great time to buy.
My house went on the market today at lunch time, I already have 3 viewings booked.
Yes I know this doesn't guarantee a sale but it's a good start. Houses in the area I am looking are selling well. It looks like business as usual tbh.

blue_max_3

eidand said:

Feels like a great time to buy.
My house went on the market today at lunch time, I already have 3 viewings booked.
Yes I know this doesn't guarantee a sale but it's a good start. Houses in the area I am looking are selling well. It looks like business as usual tbh.

If it was valued at todays level, then why are you surprised? You may well find the offers are lower than you anticipate though.

eidand

blue_max_3 said:

eidand said:

Feels like a great time to buy.
My house went on the market today at lunch time, I already have 3 viewings booked.
Yes I know this doesn't guarantee a sale but it's a good start. Houses in the area I am looking are selling well. It looks like business as usual tbh.

If it was valued at todays level, then why are you surprised? You may well find the offers are lower than you anticipate though.

we shall see 

Crashy_Time

MobileSaver said:

Crashy_Time said:

MobileSaver said:

 fundamentally you don't seem to get that we live in a market economy; the price is what it is based on supply and demand.

Really? Many would say this hasn`t been the case for some time........the central banks are way too involved now for there to be anything like a true market economy.

I'm sure many on HPC would say that however there is no inconsistency with central banks and governments intervening at times; it is still a supply and demand led market economy.

Of course, desperate not to admit that they've been wrong for so long, I can understand why HPCers would start using the term "real market economy" in the same way they talk of house prices in "real terms" to explain why they've been right all the time...

They have been intervening since 2008 in stock markets and property, and are now forced to intervene on basically the whole economy, the idea that we have nothing like a true market economy being unique to HPC is also a slightly bizarre notion, don`t you watch mainstream/financial T.V news? Maybe you get too much information from here, that could certainly lead to a distorted world view?

jumperabv3

As a BTL investor I am supposed to say I want the prices to go up but honestly as a parent to 2 children (soon 3) - no, the last thing I want is for my children to struggle getting into the housing ladder - but unfortunately my wish for them to be able to buy a property once they grow (currently they are toddlers) - ugh... it's just a wish.

With the way the banks pump money and all this QE (money printing) that is only intensifying now - last time we had lots of QE in US and UK the prices only went up... at least now mortgage lenders are more strict but honestly I have 0 hopes in seeing huge drops in the housing prices, I can only try to help my children once they grow, but I just can't see the trend changing unless there would be a major world event that would shape the entire world (and COVID19 is not that event), maybe a 3rd world war can bring the prices down, but in this case it's best if we just rent and not be in a war with each other, the world suffered enough from wars in the last century.