Risks of waiting to buy first home

RHemmings

tbo127 said:

Out of interest, where is this forum? 

This may not be the one that @_Penny_Dreadful means, but here is one: https://www.housepricecrash.co.uk/

tbo127

MultiFuelBurner said:

I would think taking in a number of key indicators and not one person on twitter, who could be said to be only looking to add followers and views and grow his own estate agency referral business.

MHWC, like many of the "crashy" types that have infected this forum of late have been predicting a monumental crash where house prices fall 50/60% for many years. When infact long term (and that's exactly what home buying and ownership is long term) prices only do one thing....they rise.

Ownership gives you peace of mind over renting, and who would want to be in the rental market given the choice right now. It also gives you options as you get older and even along the way if you are lucky.

If you can afford it now, don't delay and buy ( a house freehold if at all possible).

This is the problem. I can’t afford a freehold house. Only a 1 bed flat. Maybe a 2 bed flat if I stretch the budget. I’m wondering if I could save a larger deposit to buy a small freehold house or at least a 2 bed comfortably if I for example, live with parents and save hard for 2 years. 

Windofchange

Agree completely with the previous comments about the best time to buy. We made our offer in January 2020 when C19 was just starting and went through the conveyancing as lockdown happened. That was according to many supposed to trigger a huge crash, but it didn’t of course and the exact opposite happened. In my mind, I could afford to buy then and that’s what I wanted to do. Had the cards fallen differently then we’d have dealt with it. 

Now, instead of C19 you have rising rates and falling prices. So you can now borrow less and buying a property is just as hard as it was during the low rates boom years. High prices and low interest rates or lower prices and higher interest rates - it doesn’t really make anything more affordable either way, though some will say you are borrowing less capital of course and I can see that side of the argument. 

I suppose ask yourself what will I know if two years time that I don’t know now? Will you know for sure which direction prices are going? No. Will there ever be the perfect risk free time to buy a house? No. Go with what you know now in my view - can you afford it and does it fit in with your current life situation / mid term plan? 

Oh, and yes, if you want a good laugh head over to the house price crash website - absolute vipers nest of misery. 

RHemmings

Windofchange said:

Now, instead of C19 you have rising rates and falling prices. So you can now borrow less and buying a property is just as hard as it was during the low rates boom years. High prices and low interest rates or lower prices and higher interest rates - it doesn’t really make anything more affordable either way, though some will say you are borrowing less capital of course and I can see that side of the argument. 

(my emphasis)

It makes a big difference to those people buying with cash. 

_Penny_Dreadful

RHemmings said:

tbo127 said:

Out of interest, where is this forum? 

This may not be the one that @_Penny_Dreadful means, but here is one: https://www.housepricecrash.co.uk/

No comment