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Time to raise the rents.

This Rate Cut Has Bought Out A Lot Of Buyers

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As some will know, I'm buying a place, not agreed yet, but I'm arranging my remortgages to pull out some equity for the deposit.

I was on the phone to my mortgage broker this afternoon and asked if things were quiet for him. He gasped that he's been flat out since thursday, especially today though. He says the rate cut has bought out a lot of buyers.

I'm telling you this for free, its different this time......

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No its not.

And by the way, feel completely free to increase your leverage in a falling market. Maybe you can buy enough new properties that you can become the first bankrupt bull of 2006 you sad, sad sad lonely little man.

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As some will know, I'm buying a place, not agreed yet, but I'm arranging my remortgages to pull out some equity for the deposit.

I was on the phone to my mortgage broker this afternoon and asked if things were quiet for him. He gasped that he's been flat out since thursday, especially today though. He says the rate cut has bought out a lot of buyers.

I'm telling you this for free, its different this time......

I believe you, specially when you talk up the market.

edit: as usual spelling

Edited by CrashCrash

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As some will know, I'm buying a place, not agreed yet, but I'm arranging my remortgages to pull out some equity for the deposit.

And as I've told you in the past: please, please, please come and buy more property in North London. The downward pressure on rents is huge at the moment, and getting bigger by the minute. The more landlords there are chasing the small pool of tennants, the better, as far as I'm concerned. I salute you sir. Keep buying! :D

Nomadd

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As some will know, I'm buying a place, not agreed yet, but I'm arranging my remortgages to pull out some equity for the deposit.

I was on the phone to my mortgage broker this afternoon and asked if things were quiet for him. He gasped that he's been flat out since thursday, especially today though. He says the rate cut has bought out a lot of buyers.

I'm telling you this for free, its different this time......

TTRTR,

A genuine question - given you were telling us all last summer that it was "THE best time to get out and buy" last year, and given you now tell us you are actively seeking to buy, and you also tell us prices have DEFINITELY gone up in your area for your type of property, do you feel like you "missed the boat" somewhat?

I realise you opted for loft conversions etc but WHY didn't you take your own advice?

You could have lauded the extra £Xk profit over us instead of telling us you are off to shell out £Xk more than you needed to.

As for your mortgage broker, I guess the real test will be how busy he is in a month's time or so rather than a couple of days after a rate cut (it shouldn't be that much of a surprise if it brings a few more mugs out of the woodwork... but if it leads to a permanent and distinct change in demand that would be significant).

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As some will know, I'm buying a place, not agreed yet, but I'm arranging my remortgages to pull out some equity for the deposit.

I was on the phone to my mortgage broker this afternoon and asked if things were quiet for him. He gasped that he's been flat out since thursday, especially today though. He says the rate cut has bought out a lot of buyers.

I'm telling you this for free, its different this time......

Hi,

TTRTR, that sounds good but that is because you have an escape plan. When the cows come home to roost and the all the creditors starting picking at the bricks of your pyramid empire, you'll whip out the old Aussie passport from your back pocket and popup again on the Gold Coast with a clean credit history. We are the poor sods who will be left behind, stuck on the grey and rainy islands, we can't run off, we'll have to find the money to pay all those debt collectors off when they come around for the DVD player and fodue set.

Pleasure as always, ;)

Boomer

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He says the rate cut has bought out a lot of buyers.

Good. The more it goes up and the longer it goes on then the greater the subsequent fall. It is not different this time. Falling rates are the result of a sluggish economy and this time the government hasn't any spare cash to help us out (and neither has anyone else for that matter).

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No doubt you will supply details of solicitors who have been instructed to do the conveyancing, from your mortgage broker connection.

Several of my solicitor associates are rather concerned at the moment about the dropping off of conveyancing instructions.

ALL GOOD NEWS FOR FELLOW BEARS ON THIS SITE

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Hmmmmm, a mortgage broker ... well, if he says it then it MUST be true. I think I'll rush down to the EA right now and jump on the bandwagon :lol:

But if his comments make you feel better than that's nice ;)

I think I'll go by all the other evidence out there rather than one man's comments. All I know is I'm being offered houses with £50,000 to £150,000 knocked off their asking price daily.

Thanks for your concern though TTRTR :P

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As some will know, I'm buying a place, not agreed yet, but I'm arranging my remortgages to pull out some equity for the deposit.

My advice TTRTR would be to offer WELL over the asking price to secure the property.

Sounds like you will be trampled underfoot with all these new buyers...........

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As some will know, I'm buying a place, not agreed yet, but I'm arranging my remortgages to pull out some equity for the deposit.

I was on the phone to my mortgage broker this afternoon and asked if things were quiet for him. He gasped that he's been flat out since thursday, especially today though. He says the rate cut has bought out a lot of buyers.

I'm telling you this for free, its different this time......

Hope it goes well for you.

To put in my tuppence worth of anecdote - was having a pre meeting chat today. When the IR cut came up in relation to HPs, I epeced to hear the usual stuff. I didn't 2 of the 20 people present said as FTBs they'd be putting off buying as rates were now likely to drop further so they'd 'wait and see'. I suggested that mortgages would drop whether you took one out now or later and the reply was 'well, we're interested in fixed rate as we couldn't really afford any increases in mortgage if they happened again. . .'. The guy whose office is down the corridor from mine has 2 BTLs, he's now putting one on the market due to the rate cut as he thinks 'They'll be more buyers out there now'. So FTBs holding off for more rate drops and BTLs putting their properties on the market - yep that's definitely going to have an effect - just probably not the one you were looking for! :lol:

Anecdotal I know but imagine if it's not just two guys and a gal in my office who are behaving this way. ;)

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So that's solved it then, 0.25% interest rate cut and the economy's sorted. Houses have become affordable again, job losses have stopped in their tracks, personal debt is just a distant memory and consumer spending continues upwards . And there I was thinking economics was complicated, maybe that's why they call it "The economy stoopid". :blink:

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hi,

I think business is just a bit slack this afternoon in the particular estate agency branch that TTRTR works in. He is turning to gorilla-internet tactics now to drum up some new trade.

Cheers :P

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Actually, I do believe that as a result of the rate cut, we will see more buyers in the short term until rates go back up.

Those will be in the main people who have been wanting to move up, and in the absence of a crash in prices which according to the media isn't going to happen, see the rate cut as their best chance in ages to move and get a fixed rate on the new place.

If however all or most of the buyers tempted by the cut are also sellers (I believe EAs refer to these as 'non proceedable') then all that's going to happen is that more property will come on to the market to sit around for years.

More supply.... wonder what that's going to do to prices?

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Good. The more it goes up and the longer it goes on then the greater the subsequent fall. It is not different this time. Falling rates are the result of a sluggish economy and this time the government hasn't any spare cash to help us out (and neither has anyone else for that matter).

I'm no bull, but isn't this a bit of a daft comment? Maybe, theoretically, I could agree, but 'Good' is hardly my sentiment IF prices were continuuing to rise (which I don't think they are). I'd rather a 'crash' now than a mega-crash in 5 years time......

This smacks of a 'Heads I win' 'Tails you lose' argument versus poor old TTRTR: I may not agree with him, but bull-baiting like this is a cruel sport.

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I suspect more buyers will appear.

There are a lot of FTB who are locked out and desperate,

who will show interest at the first whiff of a cheaper mortgage.

I also suspect that most will walk away quickly once they realise that nothing much has changed.

Added to which, the banks are tightening lending, due to bad debt

(sadly even the honest ones may soon need to lie to get a mortgage)

Only those that can't see beyond the monthly fixed rate payments will buy.

They will likely be the first to appear on documentaries, claiming betrayal by GB

when he puts Irs back up.

ABB

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Get going on your trip CIUW, we'll see who's broke in 2006.

Well yours is a high risk strategy. It may work (and good call to you if it does) but equally it may not. What's more certain is that most STR posters will not go broke in 2006 - their whole raison d'etre is to reduce risk.

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  • 338 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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