Renting need to buy..but I am no fool

eurows

My wife is desperate for her own house as we are renting at the moment. However I really feel we are in for a crash of some sorts. All the signs are there. EA we talk to are now having a difficult time. One I spoke to in Huddersfield now has 220 properties on their books compared to only 40 at this time last year. They told me that on avaerage people are offering 10% less than the asking price.

However I feel that if I buy now I will be top of the loser list. Buying at peak prices with a expensive mortgage. Surely anyone buying now unless they have a big deposit from the sale of their last house are going to be one of those negative, stuck, depressed majority that the newspapers and TV will be talking about next year.

I feel holding on and putting up with my wife moaning every day is going to pay off in the long run. In fact she will probably thank me next year.

Anyone else got the same problem.

MrBen_4

Provide your wife with as many facts as you can to help her see what's going on.

I personally think we are in for a rough patch aswell.

+ Renting isn't really that bad, I don't know what all the fuss is about. There are some decent places out there to rent.

eurows

Its not that the place is bad. In fact I can afford to rent it but not buy it. I rent a farm house in a beauty spot for £700.00 a month.

In actual fact it's her parents that keep saying to her your wasting your money renting. Even though I have pointed out that I am paying less rent than the interest payments on our last house.

They keep pointing out that houses always go up in value. I have pointed out to them other countries such as Japan where prices have fallen 40% in the last 10 years. But to a generation that have only seen rises its hard to convince them.

eurows

Just pretend I was living in Japan and bought my house at the peak of the housing market. Ten years later I am sat there eating my cashew nuts, crying. My brother has just bought a house 40% cheaper than mine. With a cheaper mortgage and a better lifestyle. Im stuck here can't afford holidays because of my mortgage payments wishing I'd of listened to all those hawks.

It must of happened there it will happen here.

eurows

Another thing. I understand the Japenese families used to club together to buy houses at the peak. What did the banks do last week. Tell FTB's to borrow money off their parents. Tell them to remortgage their houses to help their kids get on the housing ladder. 7 years on grannies on the street.

The best thing everyone can do is wait. Don't borrow of your parents to get on the ladder. Don't fuel the banks obscene profits.

lipidicman

Duplicate original post = undermines the replies as people repeat themselves

Anyway - welcome to MSE!

eurows

My apologies I though I had not posted it right.

Sorry.

lipidicman

OK, no more posts here

Instead go here
http://forums.moneysavingexpert.com/showthread.html?t=67136

the discussion is much better there, for exactly the same starter post!

lex05

eurows wrote:

Just pretend I was living in Japan and bought my house at the peak of the housing market. Ten years later I am sat there eating my cashew nuts, crying. My brother has just bought a house 40% cheaper than mine. With a cheaper mortgage and a better lifestyle. Im stuck here can't afford holidays because of my mortgage payments wishing I'd of listened to all those hawks.

That would have been your fault for getting a mortgage which you couldn't afford in the first place. The fact that prices had fallen is totally irrelevant in the scenario you describe.

Personally I would be happy for my brother, not jealous/bitter, but there you go..