House prices, how much have they actually increased in a year?

mrsmortgage

So... we bought our current house in February last year for 212K.... EA are saying it's worth 250K (it's in Cornwall, so maybe?) There's another property we'd like to buy, last July he put it on the market for 400k, sell feel through, and it's back on the market for 425k. 

Our house is more desirable than his (entry level, bigger patio, more available parking), his is more of an acquired taste, but we love it (minimal outside space and parking is at least one block away) - it's set up as a family home, but it isn't a traditional family home. 

A similar town house (no loft room  but the one in the house we lifk is almost unusable and converted into three flats is going for 300k) 

So is it likely that both houses have increased so much in price in the last year or so?  Or is it mere speculation? 

user1977

Have you checked recent actual sale prices for comparable properties? Asking prices don't prove much.

mrsmortgage

There haven't been money on the market in the past year. We've seen "better ones" for £400k at some point last year. There's only another comparable one on the street that sold for £205k August last year, but it's smaller so I don't know how much help that is. 

moneysavinghero

If your house is more desirable then why are thinking of spending an extra £175,000 to move from your house into his?

His has only gone up 6% that perfectly reasonable. Yours 18% which is not that unbelievable in the current frenzy with everyone convinced they have to buy now or miss out on owning a house for ever. But bear in mind these are only asking prices. The £250k valuation on your house may be the EA trying to win your business and you wont sell it for less than £225. If the other house fell through at £400k then they may struggle to sell it for £425k

AdrianC

mrsmortgage said:

There haven't been money on the market in the past year. We've seen "better ones" for £400k at some point last year. There's only another comparable one on the street that sold for £205k August last year, but it's smaller so I don't know how much help that is. 

Look wider than "that street". With £400-425k in your pocket, what else would you be looking at in the area?

moneysavinghero

But to answer your thread title, the answer is 8.2% (this of course will be an average figure)
https://www.halifax.co.uk/assets/pdf/april-2021-house-price-index.pdf

mrsmortgage

moneysavinghero said:

If your house is more desirable then why are thinking of spending an extra £175,000 to move from your house into his?

His has only gone up 6% that perfectly reasonable. Yours 18% which is not that unbelievable in the current frenzy with everyone convinced they have to buy now or miss out on owning a house for ever. But bear in mind these are only asking prices. The £250k valuation on your house may be the EA trying to win your business and you wont sell it for less than £225. If the other house fell through at £400k then they may struggle to sell it for £425k

Because our current house is too small for us. We're talking of a 3 bed vs a 5 bed. Similar house on similar streets like ours have definitely gone for more than I would think it's reasonable to pay. £240k+ 

mrsmortgage

moneysavinghero said:

But to answer your thread title, the answer is 8.2% (this of course will be an average figure)
https://www.halifax.co.uk/assets/pdf/april-2021-house-price-index.pdf

Thank you! I expect Cornwall might be slightly higher than average but that gives me a good idea  

wjr4

mrsmortgage said:

moneysavinghero said:

If your house is more desirable then why are thinking of spending an extra £175,000 to move from your house into his?

His has only gone up 6% that perfectly reasonable. Yours 18% which is not that unbelievable in the current frenzy with everyone convinced they have to buy now or miss out on owning a house for ever. But bear in mind these are only asking prices. The £250k valuation on your house may be the EA trying to win your business and you wont sell it for less than £225. If the other house fell through at £400k then they may struggle to sell it for £425k

Because our current house is too small for us. We're talking of a 3 bed vs a 5 bed. Similar house on similar streets like ours have definitely gone for more than I would think it's reasonable to pay. £240k+ 

Why on earth would you buy a house that is too small for you? Surely you’d be losing out anyway because of money you’ve spent on fees and stamp duty (if you had to pay at the time)? 

mrsmortgage

wjr4 said:

mrsmortgage said:

moneysavinghero said:

If your house is more desirable then why are thinking of spending an extra £175,000 to move from your house into his?

His has only gone up 6% that perfectly reasonable. Yours 18% which is not that unbelievable in the current frenzy with everyone convinced they have to buy now or miss out on owning a house for ever. But bear in mind these are only asking prices. The £250k valuation on your house may be the EA trying to win your business and you wont sell it for less than £225. If the other house fell through at £400k then they may struggle to sell it for £425k

Because our current house is too small for us. We're talking of a 3 bed vs a 5 bed. Similar house on similar streets like ours have definitely gone for more than I would think it's reasonable to pay. £240k+ 

Why on earth would you buy a house that is too small for you? Surely you’d be losing out anyway because of money you’ve spent on fees and stamp duty (if you had to pay at the time)? 

When we bought this house, we really thought that managing with our toddler in our room would be ok, that extending wouldn't be impossible or that a loft conversion was doable too. We also couldn't afford anywhere else at the time (or the ones we could were a nightmare to commute from). Our luck has massively changed in the last year and I got a new job with a 70% pay increase. Yes, we're going to "waste" the stamp duty but so it goes.

We also needed to move from our rental as it was too small and depressing. Rentals that would have fit us back then were double what we currently pay for pur mortgage. 

Angela_D_3

30% according to one local agent on a nearby flat ... yes a flat,  has a garden but still