should i sell my house and buy new one or should i wait.

fletcher1985

hi thanks for reading. i currently have a house and would like to move back to my house town to be closer to family, i know house prices are high at the moment which is good for selling but not so good to buy. so my question is do you think house prices will start to drop again or should i just go for it.

grumiofoundation

But if you currently own then if house prices drop you will get less for your current home - so high house prices/drop in house prices have less of an impact surely?

fletcher1985

Thats what i thought. 

babyblade41

It's all relative .. makes no odds .. if price drops then so your house will be worth less, the house you will buy will also cost less 

people move house for their own personal reasons 

ironlady2022

My scenario is this, my house is worth £290k, new house is worth £320k. If i sell for £290k, I'll have made an equity increase (profit) of £85k. So if my new house falls to £235k, I've not lost out. Hope that makes sense. 

[Deleted User]

Buying and selling fees will take a chunk out of those numbers, then there's the cost of your time and hassle of buying and selling - to make this a value for money exercise everything has to run smoothly.

How long have you been at your current house ?

Your new house won't drop from 320k to 235k though, no house would, that's a large reduction for a homeowner to make.

Flugelhorn

Remembering in the late 80s early 90s when there were significant price drops, that people whose properties were suddenly "worth" less ie lost a lot of their own savings or were in negative equity, simply didn't sell and move on - people only did if they really needed to.

steve866

If you a sure you want to make that move, then I vote go for it. It’s impossible to time the market plus increases interest rates might negate the savings you might make on house values. 

Are you looking to jump up value wise when you move?

user1977

[Deleted User] said:

Your new house won't drop from 320k to 235k though, no house would,

Never say never - I could point to some newbuilds which did that immediately pre/post the 2008 crash.

Thrugelmir

mayling03 said:

My scenario is this, my house is worth £290k, new house is worth £320k. If i sell for £290k, I'll have made an equity increase (profit) of £85k. So if my new house falls to £235k, I've not lost out. Hope that makes sense. 

If you are borrowing another £30k that debt is going to cost money to service. 

lookstraightahead

I think it depends on the type of property you sell, and then the type of property you buy. In our area, the mid size houses are fetching more percentage wise than bigger houses or flats.  It also depends on the area. Increases across the country are obviously average so it does depend what the market is doing in both your current area and the one you are going to.