Do you think we're on the verge of a house price crash?

sarkin

Dont normaly whatch this rubbish, but they want to know if viewers think there will be a, can I say the word ..








CRASH in the housing market. Get voting MSE'rs vote now

Tori_Bellatrix

Hopefully it'll be a few years off ... I'm not in a position to buy yet ...;)

SquatNow

LOL... it's already well under way love... it started in August, it's just only just starting to show in the figures.

Tori_Bellatrix

Well, I'm hoping the prices will be like they were when I brought in 1998 .... But then I do choose not to live in the real world sometimes ...

PasturesNew

It started last year. I STR'd.
Not my fault people were too busy buying things to miss the start.

m00m00

using property bee to analyse one specific postcode of about 600 properties

in the past 10 days I've seen well over 60 reductions with the average reduction being 5k, the best reduction being 35k (on a 295k property)

regardless of any media froth, out there in the real world prices are starting to come down.

a 5k reduction translates to the equivalent of saving almost £100 a week. Very MSE, and it staggers me that people are against the idea of sensible priced houses on this board.

gingin_2

ssssshhh we are not allowed to mention the "c" word.


I follow the same concensus that prices have been falling for the last 4-5 months and I think it 6 months time the sentiment will be a lot different amongst joe public.

I find the "seasonally adjusted" and VI facts and figures questionable and tend to rely on my own anecdotes and findings not only on house prices but also the economy, it just all points to doom and gloom.

All I can say is timberrrrrrrrrrrrrrrrrrrrrrrrrrrrrr

sarkin

So have you voted http://www.gm.tv

sham63

Here we go again........

http://forums.moneysavingexpert.com/showthread.html?t=577151

subjecttocontract

I think there is a problem using a word like CRASH......it means different things to different people.

Some see 'crash' as a 50% drop in prices, others see 'crash' as 10% drop in prices and some in the media see a levelling off of house price rises also as a 'crash'.

Any price correction that is evident today is not nationwide. There are many locations where prices are still rising.

merlinthehappypig

We've been looking seriously for around 6 months and have posted our experiences in a number of threads if you look on my other posts.

Is there a house price crash already? No there isn't, at least not yet.

Sentiment is definitely changing though. This time last year people were still scrambling to get a house before prices went up further. Now there are fewer serious buyers around than most agents can recall.

People who are having to sell are having to reduce the price, of that there is little doubt. People who don't have to sell are struggling with the concept of their house being worth less than they originally expected.

You would imagine that houses that have been on the market the longest would be, potentially, the best bargains. Not in our experience. These people have mentally spent the money the house was originally on for and are incredibly reluctant to reduce the price.

As an example there is a house near us that we quite liked. It has been on the market since July last year at £560000. They had an offer close to this figure early on from an eventual timewaster. We offered £490000 for it a couple of months back, which seemed reasonable, both to us and the agent. They refused and said they wanted the asking price so we walked away.

They have now reduced the house to £550000, just £10000 less. What this is expected to achieve I don't know, but it shows this mental block. They 'had' the money once and won't take anything less, even though the market has completely changed.

The house that we have just had an offer accepted on was on originally at £575000, plus they wanted an extra £15000 for fixtures and fittings.

They had an offer of £550000 a few months back, but the chain collapsed. They need to move because of a new job and we are chain free and can complete quickly. After a few days stand off we have agreed a price of £500000 including fixtures and fittings.

This represents a reduction of almost 15%, no-where near enough to stave off a crash, but offering some degree of protection.

This is on the sort of house that would be most proof against a crash normally, an older detached house with land. Of all the houses that we have viewed, around 50 I think, this looked the best value at the original asking price. If we can negotiate this sort of reduction on this type of house, then couple this with the sort of auction losses discussed yesterday, it shows that something is happening.

I should say that it has taken 6 months and 7 previous offers to get this sort of deal. They aren't out there on a plate at present, but if you work hard enough then they are there.