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Guest consa

Str V Ftb

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Guest consa

Apart from obviously the cash perspective,

What is the difference between a STR and a FTB?

Which is better off in life generally?

Is it harder for STR to wait?

Who's life has changed more?

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Which is better off in life generally?

I'd say that the average age of the typical FTB is younger than the STRs. That means I have less grey hair! :D

Edited by Warwickshire Lad

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Guest consa
I'd say that the average age of the typical FTB is younger than the STRs.  That means I have less grey hair!  :D

Less grey hair? as a STR I have none :lol:

But in general I would say you are correct, typical FTB's should be younger.

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Guest muttley

Are there any STRs here who actually "sold to rent" simply because they had a hunch that the market would fall?

Or are most STRs people who sold their house and then couldn't find anything suitable to buy?

We sold in Dec 2003 and would have happily traded up if we had found something.

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Apart from obviously the cash perspective,

What is the difference between a STR and a FTB?

Which is better off in life generally?

Is it harder for STR to wait?

Who's life has changed more?

Although I sold to rent in 2002. It was to break a long complicated chain.

I had no intention of staying in rented accommodation. (then made redundant. Etc..)

So I don’t consider myself a property speculator in the sense I would voluntary

Leave the property ladder for financial gain?

I’m not buying because prices got ridiculous, and I know what’s coming!

I would like to join the ladder at the point I was going to in 2002. (Que Será, Será)

I don’t consider myself a STR or a FTB I consider myself a WTB = Waiting to Buy.

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Most FTB's have don't have a choice, they can't afford a house anyway.

STR's have the dilema of whether they have done the right thing.

I sold my place last year. Prices of flats have since fallen 10% and houses 5%.

No dilemma.

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The difference between STRs and FTBs is that STRs are just a bunch of greedy speculators who sold there house for an absurdly high price to some niave and gullible over-stretched buyer knowing full well that the house was overpriced and that house prices were likely to crash.

The STRs complain that house prices are high but that did not prevent them from selling their house at a high price knowing full well it was way over-priced to some poor buyer who got ripped off and who will find themselves in serious negative equity soon.

A property crash will benefit the STRs far more than the FTBs. The STRs are speculators, whereas the FTBs are generally poor people on modest incomes who genuinely want house as a home rather than as an investment.

High house prices is partly the fault of the STRs because they were prepared to sell their house at a high price knowing full well that the house was grotesquely over-valued. If the STRs sold their house at the proper price rather than at the inflated price then house prices would not have risen as far as they have.

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Although I sold to rent in 2002. It was to break a long complicated chain.

I had no intention of staying in rented accommodation. (then made redundant. Etc..)

So I don’t consider myself a property speculator in the sense I would voluntary

Leave the property ladder for financial gain?

I’m not buying because prices got ridiculous, and I know what’s coming!

I would like to join the ladder at the point I was going to in 2002. (Que Será, Será)

I don’t consider myself a STR or a FTB I consider myself a WTB = Waiting to Buy.

Same here - so maybe we ought to declare a new class - the "WTB"!

I too sold in 2002 to escape an area I hated. Thought we'd surely

hit the top then and that it would be safe to rent for six months,

giving breathing space to find the ideal place. Wasn't made

redundant, but of course prices have continued to erode the

value of my deposit and at the age of 50, every year I stay

out of the market will make it that much more of a stretch

to get a mortgage.

So - definitely a keen WTB! :)

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Are there any STRs here who actually "sold to rent" simply because they had a hunch that the market would fall?

Or are most STRs people who sold their house and then couldn't find anything suitable to buy?

We sold in Dec 2003 and would have happily traded up if we had found something.

I STR'd in autumn 2004, as I hated the area I lived in. Drugs-ridden, noisy neighbours etc. I thought that I'd sold at the top of the market, but how wrong could I be as the prices have almost doubled since then LOL!

Was I greedy to sell my house? NO. I sold due to problems mentioned above within the area and couldn't find a better property. I'm currently renting till something better comes along.

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Guest consa
The difference between STRs and FTBs is that STRs are just a bunch of greedy speculators who sold there house for an absurdly high price to some niave and gullible over-stretched buyer knowing full well that the house was overpriced and that house prices were likely to crash.

The STRs complain that house prices are high but that did not prevent them from selling their house at a high price knowing full well it was way over-priced to some poor buyer who got ripped off and who will find themselves in serious negative equity soon.

A property crash will benefit the STRs far more than the FTBs. The STRs are speculators, whereas the FTBs are generally poor people on modest incomes who genuinely want house as a home rather than as an investment.

High house prices is partly the fault of the STRs because they were prepared to sell their house at a high price knowing full well that the house was grotesquely over-valued. If the STRs sold their house at the proper price rather than at the inflated price then house prices would not have risen as far as they have.

Whilst I see your point, I think that it was more luck than judgement for the STR, not speculation as you put it. I was trying to avoid the cash implications between STR and FTB but obvoiusly this is the main catalyst.

I would say that both want a home of their own but will not pay the stupid prices!! I was trying to see what the thoughts of both were regarding life in general.

ie: FTB's life hasn't changed much whereby STR's has and what this involves.

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The difference between STRs and FTBs is that STRs are just a bunch of greedy speculators who sold there house for an absurdly high price to some niave and gullible over-stretched buyer knowing full well that the house was overpriced and that house prices were likely to crash.

The STRs complain that house prices are high but that did not prevent them from selling their house at a high price knowing full well it was way over-priced to some poor buyer who got ripped off and who will find themselves in serious negative equity soon.

A property crash will benefit the STRs far more than the FTBs. The STRs are speculators, whereas the FTBs are generally poor people on modest incomes who genuinely want house as a home rather than as an investment.

High house prices is partly the fault of the STRs because they were prepared to sell their house at a high price knowing full well that the house was grotesquely over-valued. If the STRs sold their house at the proper price rather than at the inflated price then house prices would not have risen as far as they have.

I sincerely hope you had your tongue firmly in your cheek whilst writing this drivel... :blink:

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The difference between STRs and FTBs is that STRs are just a bunch of greedy speculators who sold there house for an absurdly high price to some niave and gullible over-stretched buyer knowing full well that the house was overpriced and that house prices were likely to crash.

Not far from the truth. Greed is an emotive word.

The STRs complain that house prices are high but that did not prevent them from selling their house at a high price knowing full well it was way over-priced to some poor buyer who got ripped off and who will find themselves in serious negative equity soon.

Not sure "complain" is the right word here.

A property crash will benefit the STRs far more than the FTBs.

The property boom has benefited the STR, both STR and FTB benefit from a crash and in relative terms, the FTBs benefit more, because many STRers could buy now but choose not to, whereas many FTBs are simply priced out: after a crash the FTB who waited has improved his relative position considerably.

The STRs are speculators, whereas the FTBs are generally poor people on modest incomes who genuinely want house as a home rather than as an investment.

There are some well-off FTBs too, presumably.

High house prices is partly the fault of the STRs because they were prepared to sell their house at a high price knowing full well that the house was grotesquely over-valued. If the STRs sold their house at the proper price rather than at the inflated price then house prices would not have risen as far as they have.

No. The STR did the FTB a favour by giving a very strong sell signal to the market (by selling but not buying). Price discovery has to start somewhere.

JY

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I would like to go a big further on this for Bill

If everyone in the UK had not been so greedy and donated 50% of their take home pay to the Charity Shelter then many more people would have a roof over their heads tonight.

And if Greedy FTB'ers would stop looking for a bargain and just buy a house then the economy would get moving and everyone would be safe in their jobs. In addition the Chancellor would not find himself in the Embarassing position of having to explain why he has moved his goalposts more times than wembley stadium in the past two years.

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Are there any STRs here who actually "sold to rent" simply because they had a hunch that the market would fall?

Oh yes! Sold house in Norfolk in Autumn 2004. Knew that we would be selling within 18months anyway and concerned that moving this year it would be hard to sell in a falling market. So much simpler to exit early and avoid the risk. Plus, of couse, the bonus of being able to buy back in to the market at a lower level. I remain confident of falls, but wish the crash would hurry along (especially before Gordon the Robber gets Tony the Tory's job).

I did feel sorry for the buyer. Almost 100% mortgage. And he's an accountant (presumably there was no basic economics in his degree course!)

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Guest muttley
Oh yes!  Sold house in Norfolk in Autumn 2004.  Knew that we would be selling within 18months anyway and concerned that moving this year it would be hard to sell in a falling market.  So much simpler to exit early and avoid the risk.  Plus, of couse, the bonus of being able to buy back in to the market at a lower level.  I remain confident of falls, but wish the crash would hurry along (especially before Gordon the Robber gets Tony the Tory's job).

I did feel sorry for the buyer. Almost 100% mortgage.  And he's an accountant (presumably there was no basic economics in his degree course!)

Good call!!

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FTB'rs probably want their own place a little more than STR'rs. You always tend to want things you cant have, priced out FTB'rs really really want thier own place because it is out of thier reach.

When the correction has run its course, you will find FTB'rs are not in so much of a rush to get on the _ladder_, when it has run its course FTB'rs will be less passionate about buying.

STR's from what i can tell are in no rush, they know that owning bricks and mortar is good but its not the answer to all of lifes woes. STR's will probably by-pass the FTB'r properties.

Most STR's can have a place tommorow if they want, which takes away the huge drive felt by most FTB'rs.

In short, you want what you cant have and when you can have it you get a little more picky.

P.S.

As a side note to a comment on this thread about STR's capitalizing on FTB'rs nieveness - tough sh*t.

If i knew i could make a cool 100K off a numpty ive never met before then i would definatly do it.

I hate the way people imply that we should all have a moral obligation to look after strangers, who for all we know are peadophiles, wife/ child beaters, rapists, drug dealers, BNP and KKK activists.

Look after yourself, your friends, your family. Try and look after the worlds strangers and firstly you will fail, secondly you will over time realise that they were not worth helping in the first place.

Religous folks on here will probably disagree and say we are supposed to love eachother because we are all brothers and sisters, we are not.

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I think FTB'ers would be the most content, what you have never had you dont miss.

However STR'ers moving out of their dream home and into someone elses p1ss stained carpets sorrounding the toilet is something else. The nagging worry everyday "Did I sell at the right time" ?. must play hard on their minds.

Then the other worry, is inflation eroding my equity, I get 4% from my savings but real inflation is rising at more like 5% plus the pressure on wages is that if I lost my job I would find a similar job pays substantially less.

Yep, STR have a whole many more things to worry about than FTB'ers.

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Guest consa
However STR'ers moving out of their dream home and into someone elses p1ss stained carpets sorrounding the toilet is something else. The nagging worry everyday "Did I sell at the right time" ?. must play hard on their minds.

Then the other worry, is inflation eroding my equity, I get 4% from my savings but real inflation is rising at more like 5% plus the pressure on wages is that if I lost my job I would find a similar job pays substantially less.

Yep, STR have a whole many more things to worry about than FTB'ers.

Whilst I think you are right about more stress for STR, I definately didn't move out of my dream home and I now rent a brand new house.

Did I sell at the right time, IMO yes, end of 2003.

Inflation eroding equity, nah!!,

https://www.nedbank.co.za/website/content/I...rates/index.asp

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Guest muttley
Then the other worry, is inflation eroding my equity,

This is true for householders equity too,unless you think that house prices are going up more than 5% yoy.

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  • 302 Brexit, House prices and Summer 2020

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      • down 5% +
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