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  • FIRST POST
    Robert_Sterling
    ***Buy a house*** ... *** House Prices Set to rise***
    • #1
    • 20th Feb 05, 12:10 PM
    ***Buy a house*** ... *** House Prices Set to rise*** 20th Feb 05 at 12:10 PM
    In april 2006 pension rules are changing.
    Not only will you be able to but to let with pension fund money ...
    ... but you will even be able to buy your own home from yourself ...
    ... and then rent it from your pension fund.
    I kid you not ...
    Several other major pension changes are coming in 2006.
    e.g. Up to 100% of salary can be put into your pension fund in one year subject to the pot not exceeding an index linked 1.5 million pounds ( 1.8 Million by 2010 ).

    Thgis will increase the demand for property.
    Last edited by Robert_Sterling; 20-02-2005 at 12:12 PM.
Page 1
    • terrierlady
    • By terrierlady 20th Feb 05, 12:16 PM
    • 1,719 Posts
    • 539 Thanks
    terrierlady
    • #2
    • 20th Feb 05, 12:16 PM
    • #2
    • 20th Feb 05, 12:16 PM
    once again robert i think you are right, combine this with the usal spring rises due to ftbyrs getting married and moving onto the ladder prices will im sure rise again, in some areas this is happening already.
    my bark is worse than my bite!!!!!!!!
  • moneymatt
    • #3
    • 20th Feb 05, 12:27 PM
    • #3
    • 20th Feb 05, 12:27 PM
    For most, this won't be an option.

    From http://property.timesonline.co.uk/article/0,,14050-1430976,00.html:

    Pension schemes will be able to borrow only 50% of the value of their existing assets to buy property, so you would need a fund of 100,000 to buy a typical property worth 150,000 in April 2006.

  • deemy2004
    • #4
    • 20th Feb 05, 10:32 PM
    • #4
    • 20th Feb 05, 10:32 PM
    I think its wishful thinking..

    For if the stock market continues to improve and house prices continue to drift.... then the traffic of money is going to be one way.... out of housing and into stocks.
  • dougk
    • #5
    • 21st Feb 05, 10:00 AM
    • #5
    • 21st Feb 05, 10:00 AM
    once again robert i think you are right, combine this with the usal spring rises due to ftbyrs getting married and moving onto the ladder prices will im sure rise again, in some areas this is happening already.
    by terrierlady
    I agree... The prices here have increased back to the prices they were last August/September - and I expect them to go up more.

    The housing market followed typical spending over the run up to christmas.

    Despite what I have read elsewhere in terms of smaller houses/flats it is in my opnion still cheaper to buy then rent and there are still BTL investors purchasing property in this area (we were approached by two when selling but didn't want any leasehold properties)
  • credit-card-tart
    • #6
    • 9th Mar 05, 9:00 PM
    • #6
    • 9th Mar 05, 9:00 PM
    Your wrong.

    Since interest rates have gone up, the housing market has slowed, and with a interest rate rise due around May AFTER the election, then watch house prices go down, although they shouldn't crash as they did years ago.

    Maybe you need to read **Don't Buy A House** House Prices Set To Crash!!! - http://forums.moneysavingexpert.com/showthread.html?t=5377
    Last edited by credit-card-tart; 10-04-2005 at 7:36 PM. Reason: typo
  • ivegotabig1
    • #7
    • 9th Mar 05, 10:52 PM
    • #7
    • 9th Mar 05, 10:52 PM
    Dream on mate !!!!! i remember people like you saying "hold tight" when the stock market dropped 500 points off its peak of 7000 + a few yrs back, it ended up at 3500 !!!!, most of us have property, like me, get real, prices are unsustainably high......PERIOD !!!!
  • dougk
    • #8
    • 10th Mar 05, 10:08 AM
    • #8
    • 10th Mar 05, 10:08 AM
    I don't see what all the fuss is about.
    There are still many of us if we are sensible and cyut back on luxuries that can afford houses.... depends if you throw money away on rip off cars, expensive holidays and other non-essentials.
    Personally I think to spend over a couple of grand on a car is stupid and a total waste of money.... very few cars go up in value ..... usually drop rapidly so whats the sense in spending money on one... Houses well in the end they always increase in money. Crashes recover then prices rise above the crash low.
    I see house prices in 10 years time being higher than they are now... a ford focus bought now will be 800% lower in value!
    • kebab
    • By kebab 10th Mar 05, 10:30 AM
    • 12 Posts
    • 2 Thanks
    kebab
    • #9
    • 10th Mar 05, 10:30 AM
    • #9
    • 10th Mar 05, 10:30 AM
    I know these forums are alll about opinions but credit-card-tart you are presentiing opinion as if it were fact.

    "..interest rate rise due around May AFTER the election." Your reference to the election suggests government inference in rate decisions where there is none, the Bank of England decide autonomously. In addition, inflation is under control (including house prices) and retail sector results are suffering. Both of these factors make a rate hike unlikely.

    Bottom line is that while demand for houses remains, there will be no major price correction or crash. The factors likely to trigger a crash, a big increase in unemployment or a SIGNIFICANT increase in interest rates are simply not there.
  • Phonix
    although that shouldn't crash
    that's what they always say.
    • kebab
    • By kebab 10th Mar 05, 11:59 AM
    • 12 Posts
    • 2 Thanks
    kebab
    Who is they?
  • nelly
    they are
    an unelected quango set up by the government to nothing except say things,
    or is that the government.
  • frugal_dougal
    Personally I think to spend over a couple of grand on a car is stupid and a total waste of money.... very few cars go up in value ..... usually drop rapidly so whats the sense in spending money on one... Houses well in the end they always increase in money. Crashes recover then prices rise above the crash low.
    I see house prices in 10 years time being higher than they are now... a ford focus bought now will be 800% lower in value!
    by dougk

    Yes true. I think it would be great if people could regard a house for what it is, a necessity and a place to live, then the current panic would be seen for what it is POINTLESS.

    You can do without almost any material goody, but you've got to have a roof over your head and somewhere to chill out after working your butt off all day.

    If your house goes up in value (as history has shown it will over time) then that is a bonus. But why not just love it and enjoy it in the meantime?
  • ivegotabig1
    I don't see what all the fuss is about.
    There are still many of us if we are sensible and cyut back on luxuries that can afford houses.... depends if you throw money away on rip off cars, expensive holidays and other non-essentials.
    Personally I think to spend over a couple of grand on a car is stupid and a total waste of money.... very few cars go up in value ..... usually drop rapidly so whats the sense in spending money on one... Houses well in the end they always increase in money. Crashes recover then prices rise above the crash low.
    I see house prices in 10 years time being higher than they are now... a ford focus bought now will be 800% lower in value!
    by dougk
    people buys cars because now they are essential to modern life, unless you can cycle to work or catch a bus, you analogy is daft...
  • dougk
    I disagree - cars are not essential (I have read several posts on these forums where people have dumped there cars, managed ok and saved money....the whole purpose of this site!). The reason why people think they are essential are becuase they are convienent and allow you to be lazy.

    I have a car and I use it daily...but with a few changes I could manage without. Financially though I don't need to.

    The point is there is NO need to buy a brand new car (leave that to companies) - 1k can buy a car that is reliable and suitable for the purpose ... to get to A to B.

    Yes that is the point , you can walk, cycle or use public transport in many cases - you can do what is done traditionally.... live near to your workplace or find work near where you live.
    • kebab
    • By kebab 11th Mar 05, 2:01 PM
    • 12 Posts
    • 2 Thanks
    kebab
    an unelected quango set up by the government to nothing except say things,
    or is that the government.
    by nelly

    That's the point isn't it ?, that the Bank of England is independent and not directly elected (by definition a quango). If they were elected their decisions would be swayed by impending elections and political influences which was the case until 1997. I am unaware of anyone who thinks that we should return to the previous system.

    Assuming that is the point you are trying to make. I've read your post several times and I'm still not entirely sure.
  • nelly
    No I wasnt aiming it at the bank of england it was a joke.
    Someone said who are they? I was implying the "they" actually exist.
  • credit-card-tart
    I know these forums are alll about opinions but credit-card-tart you are presentiing opinion as if it were fact.

    "..interest rate rise due around May AFTER the election." Your reference to the election suggests government inference in rate decisions where there is none, the Bank of England decide autonomously. In addition, inflation is under control (including house prices) and retail sector results are suffering. Both of these factors make a rate hike unlikely.

    Bottom line is that while demand for houses remains, there will be no major price correction or crash. The factors likely to trigger a crash, a big increase in unemployment or a SIGNIFICANT increase in interest rates are simply not there.
    by kebab
    Although the Bank of England set the rate "autonomously", I am afraid that behind closed doors this is NOT always true. Also the government can take back the decision at any point in the future.
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