is house overpriced

Spendless

meanmachine wrote:

What area is the property in?

I don't know of any area where house prices have doubled in the last four years. I know they've tripled since 1994, but I certainly wouldn't pay twice as much as someone who bought four years ago - that equates to 25% inflation per year!!!!

Don't you? Try Doncaster. Our 3 bed semi cost £41,000 in July 2001 today it's worth around £130,000. My 2 bed MTH which I was unable to sell in 2001 and was worth about £19,000 sold last year for £40,000 and again this year for £62,000.

BenL

She could have bought my 2 bed end terrace for £117,500 which is ready for moving into. No work needed.

Booooooo

I am surprised that the 1st offer wasn't accepted though at the moment.

We had to knock down from £120K just to get some interest going at the moment round here, Steeton - West Yorks

Ben

meanmachine_2

Sings *what goes up must come down*

Am I the only one to think the world's gone mad?

Such insane forms of inflation would embarrass the Argentinians.

I can understand major cities seeing hyper house inflation - particularly London, New York and San Francisco. But Doncaster?!!!

Has the average wage in Doncaster doubled in three years?

Totally insane and completely unsustainable.

We still don't know where the OPs daughter lives. But I'm guessing it's a town North of Watford.

meanmachine_2

Spendless wrote:

Don't you? Try Doncaster. Our 3 bed semi cost £41,000 in July 2001 today it's worth around £130,000.

Not to me it isn't.

jeez. That is madness. I didn't realise areas outside of the South east had been afflcited bythe same kind of mania.

My sympathies to all. That's going to suck up a huge amount of income in the next 10-20 years as the next generation struggle to pay those kinds of prices.

The banks will be laughing all the way to the...bank.

meanmachine_2

Woby_Tide wrote:

Got to say the Flat/Maisonette price seems horrendously skewed unless lots of new development(and this was just a random choice of location, varies quite a lot i.e. Leeds shows most figures up 60-70% mark)

Yes, surely caused by all of these "luxury" developments springing up everywhere. No doubt destined to be the 60s tower blocks of our age, and the first to collapse in price if there should be a correction of any major proportion.

FJSRiDER

meanmachine wrote:

Am I the only one to think the world's gone mad?

No, you and a lot of others are harbouring the same delusion though.

meanmachine wrote:

Has the average wage in Doncaster doubled in three years?

Are all buyers in Doncaster all calculating their mortgage on the 'average' wage?

I very much doubt it - I suspect (like everywhere) a large number of flats, 2 and 3 bed houses have been bought by individuals with loans leveraged against other property for a buy-to-let business.

Spendless

meanmachine wrote:

Sings *what goes up must come down*

Am I the only one to think the world's gone mad?

Such insane forms of inflation would embarrass the Argentinians.

I can understand major cities seeing hyper house inflation - particularly London, New York and San Francisco. But Doncaster?!!!

Has the average wage in Doncaster doubled in three years?

Totally insane and completely unsustainable.

We still don't know where the OPs daughter lives. But I'm guessing it's a town North of Watford.

In general no wages haven't gone up, but more jobs have become available as a new airport has opened and a college and new transport exchange is in process of being built. As well as people buying on BTL people moved here as they were priced out of other areas eg the people who bought my MTH were from York.

I'll let you know when my house is back down to being worth £40,000 ; - )

Woby_Tide

meanmachine wrote:

Yes, surely caused by all of these "luxury" developments springing up everywhere. No doubt destined to be the 60s tower blocks of our age, and the first to collapse in price if there should be a correction of any major proportion.

Speaking to a friend the other day who is currently selling a 2bed flat where we live, prices have dropped circa 10% on those particular style of properties over last 6 months or so(compared with rest of local market which is pretty flat) purely because developers are converting every spare property or bit of land into 2 bed flats, they've stiffed their own market which is excellent work by them all.