new house or not

davey2

Hi,

I ve had an offer on a house accepted in Devon, down from advertised price nov07 of £375k to £345k.
Missus and I thought it was a good deal, we have a 5 year fixed and can afford the mortgage.
I am concerned of talk about drop in prices like everyone. I can live with 10-15% as we are looking at living there for at least 10 years.
Its the 30-40% I cant deal with!

Are we being foolish, the sellers say they wont drop anymore, I dont want to lose this house.

The South West is a strange market.
Am I missing something.
What do you think should we go for it??

nutmegman

where do you get this 30-40 % from

going2die_rich

If you are looking at living there for 10 years and treating it as a home, then I wouldn't worry about the so called "crash". You are always going to have people talking about crashes as thats their hope and you'll have the other side saying it's going to rise forever.

Who knows what property prices will be doing in 10 years time, but if you are buying it as a home and can comfortably afford the repayments, then you will be fine. It's people buying it as an investment that have to consider the risks of it a few years down the line.

If it's a house you really don't want to lose, then go for it, else sit back and wait. But don't pressume that if a crash/correction was to occur, you can then go and find a cheaper property you'll like, as the question is, would you sell if property prices dropped or would you just sit tight? - so your options on the houses for sale might be limited, if you are wanting that perfect house.

glen8

people don't know what the prices are doing tomorrow let alone in 10 years

If you can afford it, want it..go for it

Richard_Webster

Nobody really knows what will happen. Prices of the average semi in my area went down by about 30% between mid 1988 and 1995 so that kind of fall is not unknown.