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Marc Stock

Hello Everybody! I Am A Newbie.

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Over the past 2 years i have kept an eye on the UK housing market very keenly, and i am worried, very worried.

I am not a houseowner yet, I so want to get into my own house but prices are just too high even on my wage (which is well above average, i am not filthy rich but i am not exactly living on the breadline either).

I am concerned not just for my own selfish reasons, which seems to be expressed by many on this site, but also for the poor old souls who have taken out huge debts to 'succed in property'.

My very best friend purshased a property in Andover just as the housing boom started. This was a good move for him as he purchased a 2 bed end of terrace house for only £78k. Within a year the value shot up to £105k and now its currently 'worth' £170k. Thats cool, good on him. Granted, i am a little jealous but at the end of the day if i was him i would be smiling. Now this is why am a worried, he has just puchased a second property with a bigger garden and 2 more rooms, in the same area. I am not sure exaclty how much for, but its got to be at least in the £200k and upwards reigon. This is alarming as i feel he is making a big mistake, with the houses as they are at the moment. Whats even worse is that he has taken out an additional mortgage for what would have to be near on 100% of that value again, as he is still keeping his old house & is renting it out.

Is this too much of a gamble? I think so. I am very worried not just for my best mate (i have told him how i feel) but also for the rest of 'new money' youngsters who are littrally putting all their eggs in one basket.

I am glad that I am not a house owner right now, I am cash rich and debt free i will buy low, and keep my feet on the ground and look at alterative investments also.

What are your opinions?

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Welcome, Marc Stock!

Seems like you have your head screwed on. It is difficult watching friends and family make foolish decisions but at least you have made your point - they can't now turn around when it goes wrong and blame you for not warning them.

I am surprised that there are still people willing/able to dive into the property market during these times of increasing bearishness. Ah well.

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Welcome, Marc Stock!

Seems like you have your head screwed on. It is difficult watching friends and family make foolish decisions but at least you have made your point - they can't now turn around when it goes wrong and blame you for not warning them.

I am surprised that there are still people willing/able to dive into the property market during these times of increasing bearishness. Ah well.

The funny thing is, i am genrally concerned. It wont make me feel any better knowing my friend, and other young families are taking risks beyond what they can realisticly handle. I am not a 'i told you so' kinda guy. I am genrally concerned for many people, and worried.

I think that the government need to bring in some kind of housing price wachdog as far as i am aware the UK housing market is not regulated. Only lending money is. weird.

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Welcome, Marc

You will find alot of people here who are in a similar situation.

Don't close your eyes, empty your pockets, and buy.

Instead, open your mind, study the situation, including economic history,

and I think you will find there are amny reasons to hold of buying,

and to be happy renting.

Even the mainstream press is beginning to turn against the housing bulls,

the crowds will follow soon

unfortunatley greediness can get us all, from having just that extra choc to making quick £. We are all inherantly greedy, which is why its improtant to keep your feet on the ground, and be mindfull and careful. :D

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Welcome. Its people like your friend who have been responsible for driving prices up. About 200,000 people in this country own more than one home. Its these people, who otherwise would have invested in shares, who have created the steam that has powered the greatest housing bull run in history. The question is: Will they get a shock and take a big hit? Your friend should be ok with the equity he has in his original house.

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he's made a BIG mistake.

yes buy a peoperty when they used to be £78k - that good.

buy a 2nd one at £170k now and your going to lose £100k over 5 years.

ha ha what a tosser. glad hes losing his trousers. shame it takes 5 years to slow.drop.

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Unfortunate as it sounds, I've come to the conclusion quite some time ago that there is NOTHING you can do to stop people you know from doing things that you know they shouldn't.

You can't stop someone going out with someone that you know is going to lead to trouble. Can't stop them smoking, eating bad food or whatever.

What you CAN do is give them the facts. But at the end of the day they need to make their own decisions.

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The funny thing is, i am genrally concerned. It wont make me feel any better knowing my friend, and other young families are taking risks beyond what they can realisticly handle. I am not a 'i told you so' kinda guy. I am genrally concerned for many people, and worried.

I think that the government need to bring in some kind of housing price wachdog as far as i am aware the UK housing market is not regulated. Only lending money is. weird.

It doesn't bother Gordon Brown in fact he is prepared to spend a few billion of tax payers money to attempt to prop up the market, supplementing the property portfolios of the mega rich with his SIPPS scheme, and luring those who can least afford it and have most to lose into buying a property with his crazy 50% FTB scheme.

The guy has no morality just look at how he has mugged the pension schemes of elderly and dumped massive debt on a whole generation currently in education.

There are three types of people in the world those who never question or take time understand the motives of those in power, those who spend their lives trying to influence and change the behavior of those in power, and those like myself who accept that there is little we can do to change their behavior but seek to apply our understanding of their motives to our own ends.

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You can't stop someone going out with someone that you know is going to lead to trouble. Can't stop them smoking, eating bad food or whatever.

What you CAN do is give them the facts. But at the end of the day they need to make their own decisions.

Quite true. What I find increasingly annoying though is the number of people who ask for advice or use you as a sounding board when you know they've already made their mind up and are making the wrong decision. You're just left with the feeling rightly or wrongly that you're just wasting your time and breath.

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Over the past 2 years i have kept an eye on the UK housing market very keenly, and i am worried, very worried.

I am not a houseowner yet, I so want to get into my own house but prices are just too high even on my wage (which is well above average, i am not filthy rich but i am not exactly living on the breadline either).

I am concerned not just for my own selfish reasons, which seems to be expressed by many on this site, but also for the poor old souls who have taken out huge debts to 'succed in property'.

My very best friend purshased a property in Andover just as the housing boom started. This was a good move for him as he purchased a 2 bed end of terrace house for only £78k. Within a year the value shot up to £105k and now its currently 'worth' £170k. Thats cool, good on him. Granted, i am a little jealous but at the end of the day if i was him i would be smiling. Now this is why am a worried, he has just puchased a second property with a bigger garden and 2 more rooms, in the same area. I am not sure exaclty how much for, but its got to be at least in the £200k and upwards reigon. This is alarming as i feel he is making a big mistake, with the houses as they are at the moment. Whats even worse is that he has taken out an additional mortgage for what would have to be near on 100% of that value again, as he is still keeping his old house & is renting it out.

Is this too much of a gamble? I think so. I am very worried not just for my best mate (i have told him how i feel) but also for the rest of 'new money' youngsters who are littrally putting all their eggs in one basket.

I am glad that I am not a house owner right now, I am cash rich and debt free i will buy low, and keep my feet on the ground and look at alterative investments also.

What are your opinions?

Such a typical scenario. Someone 'makes a killing' on the perceived value of their property having bought 5 years ago and all of a sudden they're experts. This is the mentality that has drawn so many BTL muppets into the market.

My brother in law has 'made' about 30 grand on his BTL flat and when the ground floor flat below his came on the market 6 months ago he was considering buying that too.

For the sake of my nephew & niece I convinced him not to, but it took a hell of a lot of convincing!

He is a very intelligent man but became consumed with the notion that property is the safest investment a man can get; whatever your friend made on his first property will be swallowed up by the loss on the second. ;)

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  • 301 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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