what would you do? Buy or hang on?

zappahey

meanmachine wrote:

Why shouldn't those who bought in 2004 have a 20% rise y-o-y? After all, those who bought before last year have "enjoyed" rampant house price inflation.

also, if the market stays flat for the next ten years, how is anyone going to be able to move up, down or sideways?

You seem to have a fairly shaky grasp of economics if you think the nonsense of the last few years is either desirable or sustainable.

meanmachine_2

zappahey wrote:

You seem to have a fairly shaky grasp of economics if you think the nonsense of the last few years is either desirable or sustainable.

I'm not saying it's desirable, but all those who bought before 2004 seem to think it's fair that those who bought at peak in that year shouldn't now enjoy 20% rises, just like them.

Why not?

Well because if you buy at peak you get punished, which is the moral of the tale.

So never buy at peak. The question is, was 2004 a peak? Looks like it.

Jake54

Luck of the draw
Timing
Lucky in luv not in money.I'm not sure
When I purchased my house it was steady as she goes. Believe it or not
I did not want a house boom.
Yer I Know, great to have the equity.
But really, It has not done us any favors.
Yes you do have a valid point why should the others not have, like I and many others did.
Well Lets see
You remember the last reccesion?
Lots of people in neg equity
Lots of people lossing their homes
Lots of people lossing their businesses and their jobs
Hardship for How long?

Does anyone remember how long the reccesion was?
8/9 years was it I can't remeber I do know it was a long time.

So what do you think of their position this time around eh! ? good or bad?
Better as it is now and not what is was THEN!

And all you G&D merchants Yes! keep talking it down like you and they did last time and we WILL have a crash! and another bloody reccesion
Isn't that what you want? isn't that what you wish for? another 8/9 years of misery
Anything reasonable, you drag it down no matter what!
Because if you do, ha!
Well what is there left to say?
Except Bloody stupid.
Why? what is your kick? all you D&G'S WHY?
Sad eh

Tinker_belle_2

From what I can make out, there are a lot FTB's out their with huge savings just waiting for a dip in the market, or for it to drop a little lower so that they can get a mortgage at last.

If the market does dip, I think (no expert by any stretch of the imagination) there will be a influx of first time buyers streaming into the market.

Buy a house when you can afford it, buy a house that you will want to stay in for a very long time and that makes you happy. If you make money on it fantastic, if the market drops you will be happy to stay where you are until it goes back up again. Most people upgrade to bigger/better houses as their salary increases, so buy a house that will be suitable for about 10 years.

Whatever you decide make it the right decision for both of you that way you will never regret doing what you decide to do.

HTH a little.

Jake54

As someone who would not like to see a crash, what you say I suppose is reasonable.
A small fall but stupid to want a crash


*Most people upgrade to bigger/better houses as their salary increases,*

And when their job relocates them, and when the family expands, and when the Gypsy part of them, fancies a new area.
And greed, or to downsize, or to get rid of the millstone.
And to do what eveyone else is doing
Many reasons

After Christmas, when people come out of hibernation about Feb/March the market will start moving, cos by then people, would have been feed up waiting.
If they ain't fed up already!............

GDB2222

Robert_Sterling wrote:

Beware of "A" Day when prices may increase. A Dady 06 Apr 2007.

A Day is actually next April, 2006, unless they put it off again.

Residential property in SIPPS is a great selling idea for the pension providers, but it is vastly over-hyped. If you buy a second home in your SIPP, you have to pay full market rent to your SIPP. You have to annual gas safety checks and all that stuff. I think this will put most people off. A few of my clients are dead keen on this, but most are not, once they understand what's involved.

meanmachine_2

Yeah there's already talk that Brown will do a U-turn on SIPPs before April. I'm not surprised. He's probably freaked at how much revenue he'll miss out on.

Or thinks he will. The govt doesn't give anything away for free. They'll either change the rules before April, or wallop you when after the event.

Anyway, I'm a FTBer sitting on a deposit, but if you think I'm going to blow it on a depreciating asset, you is crazy!!!

Those of us with money tend to be very very careful with it. Buying into a gaff that might be worth 30K less in a years' time is not being careful. That's the quickest way to lose your hard earned savings.

meanmachine_2

Jake54 wrote:

As someone who would not like to see a crash, what you say I suppose is reasonable.
A small fall but stupid to want a crash

..

I'm afraid, if there isn't a crash, the economy will grind to a halt anyway.

Think about it - the average mortgage has already gone up to something like 130K. In five years' time it'll be £160K.

That's a huge amount of money for each household to lose.

Already the high street is on its knees. If house prices stay where they are, sucking up huge amounts of people's salary I can see the economy going into reverse very quickly.

There's only so much money around. Either it goes to the mortgage lender, or we spend it in the shops, or we save it. Right now the middle option is being hammered.