Are house prices falling where you are?

JV90

I live in East London and house prices seem to be falling. Are they falling where you live? Do you think they're going to keep going down? For how long? Look into your crystal balls and tell me!!!

Spendless

I'm in S.Yorks the bottom end of the market TH in poorer areas are still selling well and properties still rising slowly.

The next step on ladder semis and larger terrace houses are taking a lot longer to sell and people are starting to reduce their prices on these

margaret_3

They aren't falling in Scotland. Our neighbour thought she had sold in May but it fell through and she has had to put it back on the market this week and the price has increased significantly.

Ember999

Prices are continuing to rise in Scotland, up and up and up! Apparently Scotland and Northern Ireland are still booming

meanmachine_2

Ember999 wrote:

Prices are continuing to rise in Scotland, up and up and up! Apparently Scotland and Northern Ireland are still booming

And these regions are why the national statistics are underplaying the falls we're now seeing in England and wales.

When Scotland turns negative, the doo-doo's really going to hit the fans.

deemy2004

moh877 wrote:

Enjoy

BBC 25-07-05 House prices to fall 5% by 2007

Yeh unless we go into a recession theres nothing much to push prices more than between 5 and 10% lower... so it all depends on the R word...

Ember999

meanmachine wrote:

And these regions are why the national statistics are underplaying the falls we're now seeing in England and wales.

When Scotland turns negative, the doo-doo's really going to hit the fans.

History has shown that Scotland rarely suffers price downturns! In the last property crash, Scottish properties stabalised but didn't actually go down. England and Wales properties boom and then crash, it's a trend that happens every 20 odd years or so. Scottish prices don't go up as much (which is why you can buy a property in Scotland, that would cost you around £50,000 more in England) so therefore don't go down as much.

Lot's of people are investing in Scottish properties lately due to this fact. Lower price to purchase in the first place (so more affordable) and more stable in outlook. Namely, you are unlikely to find yourself in negative equity.

One of the most popular mortgages in Scotland is the Northern Rock 'Together' Mortgage as most Scottish properties sell for between 10 - 15% more than the VALUATION! Who in their right minds would borrow 'over' what their house is valued at in England? No one with half a brain. They end up in negative equity before they start and when the prices fall, which they will they are stuffed! You are safe to do this in Scotland, not in England. 125% Mortages are common in Scotland. Though I personally have been lucky in not having to do this, I got a megga, megga good deal :j

I saw this first hand....had a property valued by a Surveyor few months ago, it went to a 'closed bid' and my offer which was £4,000 OVER VALUATION :eek: was rejected! This wouldn't happen in England.

Your money in a Scottish property is safe, it can only go up. England? well...in my opinion, it can only come down as it is being seen to do.

Fifer

Similarly, we offered 9% over the upset price on a house just over a month ago, but were outbid. Some people have posted here that what London sees today, we'll see tomorrow, but I think that's a bit simplistic. I don't think that our market lags behind that in the south, so much as the swings just being less extreme. We haven't seen the wild growth seen particularly in the South East, but our downside tends to be a reduction in growth rather than price falls.

Ember999

Fifer wrote:

Similarly, we offered 9% over the upset price on a house just over a month ago, but were outbid. Some people have posted here that what London sees today, we'll see tomorrow, but I think that's a bit simplistic. I don't think that our market lags behind that in the south, so much as the swings just being less extreme. We haven't seen the wild growth seen particularly in the South East, but our downside tends to be a reduction in growth rather than price falls.

Exactly! Prices may not go up for a while in Scotland but they certainly won't go down. You are as 'safe as houses' buying a property in Scotland LOL

Sorry, couldn't resist a joke there lol

Seriously, investing in Scotland is the way to go...it's the way I've gone :T :T :T

meanmachine_2

Ember999 wrote:

Exactly! Prices may not go up for a while in Scotland but they certainly won't go down. You are as 'safe as houses' buying a property in Scotland LOL

I think you'll be eating your words by the end of next year.

No one can be certain about anything, and to give out such advice is surely foolhardy.

I'd love to see how affordability rates compare in Scotland today compared to the last crash in 1989. You're probably right that, back then, prices weren't so stupid. But let's look at the wage to price ratio in 2005.

EDIT: A very quick check on rightmove shows me that a new 4 bedroom home in Aberdeen is currently on the market for £200K. I'm guessing the average wage in Aberdeen is around 50K. Am I right? If not, then you're heading for a crash.

Pheno

Ember999 wrote:

Exactly! Prices may not go up for a while in Scotland but they certainly won't go down. You are as 'safe as houses' buying a property in Scotland LOL

Sorry, couldn't resist a joke there lol

Seriously, investing in Scotland is the way to go...it's the way I've gone :T :T :T

Hmm I wonder where I've heard that before... oh that's right - it was in the SE