So sellers will just 'stay put' in the current market, eh?

pickles110564

!!!!!!? wrote: »

With any luck I'll buying either a typical FTB property outright in about 18 months time or going for a nice 'second step' one on about 33% LTV, 1x salary. I anticipate quite a nice deal if that is the case

Why not go for a third step and rent out the spare rooms and make loads of cash?

amcluesent

FYI people 'thinking' of selling, it's now too late to panic!

IMHO, we're on the cusp of an avalanche of distressed sellers, those how have been paying the mortgage on their CC and those whose 'aged debt' is now at 60, 120, 180 days etc.

For cash buyers there could be plenty of tasty morsels to pick up at realistic prices at auction, i.e. where the rental yield is 10%+ and there limited downside of capital loss.

m00m00

pickles110564 wrote: »

As you bought in March 07 you would be a perfect guide to how far the market in your area has fallen.
Are you nearing NE or are you still in an excellant position?

well i bought it for my mum.

valued at 150k, offered 120k cash. Halifax (mortgagee) bit my hand off.

other bungalow on same street (only 8 bungalows in total) came onto market at 170k in Apr 07. Probate sale. Cash buyer offered 150k, sellers said no.

property still on market, currently at 145k with stamp duty paid, 14 months later. No interest in it for the past 3 months, at all.

and as I bought with cash, outright, negative equity isn't an issue. As for it's actual value, I don't care. My mum lives there rent free, and she will do that as long as she lives, I can't put a value on being able to provide security like that.

WTF?_2

pickles110564 wrote: »

Why not go for a third step and rent out the spare rooms and make loads of cash?

I like my privacy.

If the sums add up then I may get a small BTL property about a year after buying my house.

Paul_N_4

m00m00 wrote: »

well i bought it for my mum.

valued at 150k, offered 120k cash. Halifax (mortgagee) bit my hand off.

other bungalow on same street (only 8 bungalows in total) came onto market at 170k in Apr 07. Probate sale. Cash buyer offered 150k, sellers said no.

property still on market, currently at 145k with stamp duty paid, 14 months later. No interest in it for the past 3 months, at all.

and as I bought with cash, outright, negative equity isn't an issue. As for it's actual value, I don't care. My mum lives there rent free, and she will do that as long as she lives, I can't put a value on being able to provide security like that.

Good on ya.

I helped my parents buy a place abroad which they couldn't afford by themselves, so when the time comes that they have to survive on their measly pensions in rip-off Britain with a robbing government, they'll be able to tell them to go swivel.

Jorgan_2

baby_boomer wrote: »

Who knows? Estate Agents might even start cutting their fees to stay in business.

Fees are increasing, not decreasing.

Davesnave

Jorgan wrote: »

Fees are increasing, not decreasing.

And, ironically, while agents are closing offices up & down the country, those who are left are more needed, as deals fall apart and need 'patching' much more frequently.

ianmr65

!!!!!!? wrote: »

Grim though the market is, I'm not aware of any real difficulty getting a 90% LTV mortgage of up to 3.5x salary, assuming a decent credit record.

Unless there's a real finance system disaster (such as a bank going under as you've speculated) I don't see that there should ever be a problem securing a mortgage under such terms either.

Funny you should say that !!!!!!, and i'm not sure that this is the right place for a debate on the 'counterparty risks to the monoline insurers' cds implosion. but it's just been reported that the $120bn currently covered, by the monolines alone is under further threat as the ratings agencies have refused to continue to rate them... Having previously rated them AAA.

Many banks have already written down part of the this, but many others have not, and the possible resulting collapse of the cds market may well be the last straw in the credit crunch haystack, and the 'real finance system disaster' that brings the whole shooting match crashing down around our ears.

So when we are all living in the rubble caves, that used to be our houses, heating up half a dead rat on a cooking fire made out dung, for our one and only meal of the day, remember:

You heard it here first.!! :cool:


NB
I have attempted to start the debate on the problems in the CDS (Credit default swap) market in savings and investments, a number of times, but keep getting shouted down, by the ex brokers and 'older wiser heads'. The problems continue, and are not getting any better. Despite lot's of 'advice' that the multi $TRILLION!!!! cds market is marginal and residual asset values, should see us through.....

We should have an economics section, really!!

m00m00

ianmr65 wrote: »

So when we are all living in the rubble caves, that used to be our houses, heating up half a dead rat on a cooking fire made out dung, for our one and only meal of the day, remember: ....
! :cool:

it's your own fault for moving to liverpool.

Gorgeous_George

Jorgan wrote: »

Fees are increasing, not decreasing.

That is not a surprise. Less customers and the same overheads = more per paying customer.

GG