The Time to Buy property is Now

Dan:_4

setmefree2 wrote: »

Hi dannyboycey,

No no no I'm not saying it's a good time to buy. I just thought it was interesting and put it up for discussion as it's a different view point. Certainly don't want to ruin my reputation;)

Danny was having a pop at me.

Im sure your reputation is tip top.

mr.broderick

setmefree2 wrote: »

[FONT=&quot]http://www.fool.co.uk/news/property-home/2008/06/09/the-time-to-buy-property-is-now.aspx?source=ioowftxt0010011[/FONT]

Don't know what you guys think of this article?

I totally agree with it, why people are dissing fool is outrageous they are notoriously bearish about the housing market so this is definitely bucking the trend. Everything he says is correct, i have been saying for 4 months that now is a good time to buy, people on here would be better driving a hard bargain somewhere getting 20% off if possible instead of slamming every bullish report that is printed. If the rumours are correct and interest rates are set to escalate it possibly is a good time to jump on the (ladder).

tradetime

setmefree2 wrote: »

[FONT=&quot]http://www.fool.co.uk/news/property-home/2008/06/09/the-time-to-buy-property-is-now.aspx?source=ioowftxt0010011[/FONT]

Don't know what you guys think of this article?

This article imho is well reasoned and makes sense for anyone with the same perspective as him. The assertions he makes seem perfectly valid and as such it may well be good advice for some people, just not me, but that does not detract from what he says.

luvpump

here is another gem from the past !! :rotfl:

thriftybabe

I think this time next year you should consider it or even 18 months from now. There are still plenty of people who have still to be laid off and unfortunately i think the situation will get worse. Talking to people I know they are genuinely concerned apart from the odd one who does not even know there is a recession! Lucky beggars!

ad9898_3

mr.broderick wrote: »

I totally agree with it, why people are dissing fool is outrageous they are notoriously bearish about the housing market so this is definitely bucking the trend. Everything he says is correct, i have been saying for 4 months that now is a good time to buy, people on here would be better driving a hard bargain somewhere getting 20% off if possible instead of slamming every bullish report that is printed. If the rumours are correct and interest rates are set to escalate it possibly is a good time to jump on the (ladder).

This one in particular is quite funny, I'm sure even Mr B is a little embarrassed.

hethmar

That article was written last June.

sympatex

I'm looking for a home for my gf and I, FTB's at the moment and i am still finding alot of property priced at last years peak and some coming in at 2006.

I'm only looking at houses valued at 2003 or i can bargain down to 2003 levels. I suspect we will be going back to 2001 but i understand that people just aren't going to accept that now unless the house has gone to auction. So i'll accept some of the risk of it going back to 2001.

I'm getting knocked back alot which is depressing, 5months left on mortgage offer and counting. there's got to be a house & vendor out there somewhere!

If we can't find it i guess we'll rent which is probably what we ought to be looking at now. Woolies looking like its going down the pan proper now, another 15,000 or whatever unemployed people.

wolfman

hethmar wrote: »

That article was written last June.

Yep and given it was written back in June, since when the average house has lost around 10k+ (?).

So you could have bought back then. And lost 10k in value.

Or. Saved more money (so borrow less), got a house cheaper (say for 10k) and probably have had better leverage (compared with during June).

Houses will have to correct in value. We're in a recession at the moment. Less people in jobs, smaller (if any) pay rises and bonuses. Banks not lending. The housing market won't pick up while that's happening.

Scrungee

There is one nugget of wisdom in Neil Faulkner's article (link in post 1):

"Could I still afford it if interest rates went up a couple of points over the next few months or years?"

That point is getting more and more relevant as interest rates go down and down and only a couple of points increase (when things start picking up again) would mean a 50% increase in mortgage interest payments (on a 2% above base rate tracker mortgage).