Told wont accept anything less then £200k on a 200k house!

neverdespairgirl

missile wrote: »

For me, owning my home is not about investment, it is about putting a roof over my family. My quality of life / family is important to me.

My quality of life and family are very important to me as well. Which is one reason why we are paying £1k rent per month instead of ITRO £2.5k mortgage payments!

Running_Horse

neverdespairgirl wrote: »

My quality of life and family are very important to me as well. Which is one reason why we are paying £1k rent per month instead of ITRO £2.5k mortgage payments!

My quality of life and family are very important to me as well. Which is one reason why we are paying £500 mortgage per month instead of ITRO £1,000 rent payments.

merlinthehappypig

missile wrote: »

You must be expecting prices to drop by a lot more than I do. If you want to put your family through 6-8 months of renting in the expectation you will save £50/60K, I think you may be disappointed.
IMHO if you want to own a house now then you need to pay the market price today. For me, owning my home is not about investment, it is about putting a roof over my family. My quality of life / family is important to me.

We've already saved at least that by not buying last year.

I don't think that a further fall of 15% or so is out of the question by the end of the year either, especially for forced sellers.

I might end up with a personal loan instead of a mortgage, perhaps, but that's still saving money.

'Putting your family through another 6-8 months of renting' makes it sound like some sort of prison sentence. It's not as nice as owning, perhaps, but I think we'll live! There are plenty of people who put themselves through some pretty awful jobs to earn a lot less.

MissMoneypenny

EdInvestor wrote: »

IMHO another reason why prices are sticking is that everyoine knows the fall in UK house prices is caused by the credit crunch - ie the shortgage of mortgage money - rather than the kinds of property oversupply problems seen in other markets like the US, Spain and Ireland.

The massive housing bubble was always going to burst, but the the credit crunch just gave the bubble a big kick. Japan didn't have "oversupply problems" and their market fell. Boom and bust is well known in the UK as many of us posters remember. Or did people believe Gordon and thought he had cured the problem when he said "no more boom or bust"? Didn't they even get a tiny bit suspicious when he then led us into a massive boom after saying he wouldn't do it?

EdInvestor wrote: »

So sellers may be calculating that if they just exercise a little patience and allow the banks to sort themselves out, things might take a turn for the better as more normal lending patterns resume.

The practice of having a deposit and a reasonable multiply salary as we are now having, is normal. It was the 100% and 125% mortgages that were not the norm. If you take a 125% mortgage on a 2 year fixed, it would indicate that you expected the housing market to have grown by at least 25% over 2 years. How did you expect that to be sustainable?

MissMoneypenny

missile wrote: »

IMHO if you want to own a house now then you need to pay the market price today.

The "market price" is dropping every month.

missile

merlinthehappypig wrote: »

We've already saved at least that by not buying last year.

I don't think that a further fall of 15% or so is out of the question by the end of the year either, especially for forced sellers.

I might end up with a personal loan instead of a mortgage, perhaps, but that's still saving money.

'Putting your family through another 6-8 months of renting' makes it sound like some sort of prison sentence. It's not as nice as owning, perhaps, but I think we'll live! There are plenty of people who put themselves through some pretty awful jobs to earn a lot less.

I was not having a pop, I believe in choice and what is right for you etc...

What I am questioning is your figures:
In the last 12 moths house prices may have dropped 15% where you live but I do not believe that is the national average? and I doubt they will drop a further 15% in the next 6-8 months.

A £50/60K saving with a drop in value of 15% would equate to buying a house which was valued at circa £333/400K

missile

MissMoneypenny wrote: »

The "market price" is dropping every month.

I never disputed that. This is not the first "crash" and I am old enough to remember the last.:A

merlinthehappypig

missile wrote: »

A £50/60K saving with a drop in value of 15% would equate to buying a house which was valued at circa £575/690K

I'm not sure where you get your figures from.

We were originally looking at houses on the market for around £500000 last year.

We are seeing similar houses, and in some cases the same houses, now on at between £400000 and £450000, which is a drop of between 10% and 20%

Taking a price of £400000, which is around our top end at present, another 15% drop brings the price down to £340000, which is a saving of £60000 and no mortgage.

A 15% drop on either of the two figures you mention would save £86250 and £103500 respectively.

missile

merlinthehappypig wrote: »

We were originally looking at houses on the market for around £500000 last year.

I am not really interested in debating the cost of your new stately home. It is your choice whether you want to buy or rent and you can obviously afford it :rotfl:

glen8

This is not a black and white issue at all

Here's a little story

Nov 2007 a couple with two kids purchased a house for 200k

The relationship ended a few months later and the house went back on the market for 200k

They dropped to 189k then 179k then 169k

Many viewings and offers but the woman kept refusing as she didn't want to sell the house as obviously this ment her and the two kids would end up in a run down 2 bed semi.

Last month the husband stopped paying the mortgage when he caught wind of what she was doing and the house was repossessed last week

Just because people are rejecting offers doesn't mean they are being greedy, they may not want to sell at all