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hedgefunded

So, The World Is Collapsing....but...

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24 years old ? 164 k in the Bank !!??

Get on a plane to Oz/Canada/NZ and have an amazing year whilst forgetting about money/houses for a while.

Priorites.

Being 24 and having an amazing year abroad WILL NEVER happen to you again.

Having 164k in the Bank may, or may not.

Agreed lifes too short.. but if really want that house buy it and rent it out and then go to canada or wherever and have a ball for a year on the rental money.

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There is a high chance that the money came from a gift and that gift came from a sale of a property.....just to show how bad and depressing things have got, a first time buyer buying a first time property around here would need have to have £160K in the bank to buy if earning an average wage solo.

Parents over the course of my life have been feeding a bank account money for me as a "gift" which then got coupled with a very good house buy on their part when I was 13, all to dodge inheritance tax. They bought a holiday chalet for £35k which they rented out. They solid it 4 years later for £86k. With this money I bought a house in an auction near to where we live and did basic decorating / new kitchen / bathroom and made £15k out of it after a year. I then made a mistake during university buying what was a decent house for the money and proceeded to renovate in the same way. Then the crash came and I was very lucky to get rid of it, still at a loss. Since then I have been saving all my earnings from work accumulating the money I have now. I'm in a very fortunate position where my job required me to move, which just so happened to be where my gf parents live. So I currently pay rent for them which to be honest is £20 a week. So now I am sitting on the money and thinking of what move to make. I've learnt my lesson from the last "mini" crash and as people have said the past 10 years has been easy pickings for anyone to property develop and see gains, but I dont see the same in the future. I have been very fortunate with the cards that have been dealt and i'm not prepared to piss it all away.

With this being said and as winkie stated, 160k cash really does not get me much. I'm very driven towards buying in a decent location, but in the current region I live in even the terraced houses can be above 160k. As far as people have said about travelling etc, Its never been a real interest for me im more concerned about getting my career on track.

Edited by munkee

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Agreed lifes too short.. but if really want that house buy it and rent it out and then go to canada or wherever and have a ball for a year on the rental money.

Good plan if true. Not sure though....:rolleyes:

Parents over the course of my life have been feeding a bank account money for me as a "gift" which then got coupled with a very good house buy on their part when I was 13, all to dodge inheritance tax. They bought a holiday chalet for £35k which they rented out. They solid it 4 years later for £86k. With this money I bought a house in an auction near to where we live and did basic decorating / new kitchen / bathroom and made £15k out of it after a year. I then made a mistake during university buying what was a decent house for the money and proceeded to renovate in the same way. Then the crash came and I was very lucky to get rid of it, still at a loss. Since then I have been saving all my earnings from work accumulating the money I have now. I'm in a very fortunate position where my job required me to move, which just so happened to be where my gf parents live. So I currently pay rent for them which to be honest is £20 a week. So now I am sitting on the money and thinking of what move to make. I've learnt my lesson from the last "mini" crash and as people have said the past 10 years has been easy pickings for anyone to property develop and see gains, but I dont see the same in the future. I have been very fortunate with the cards that have been dealt and i'm not prepared to piss it all away.

With this being said and as winkie stated, 160k cash really does not get me much. I'm very driven towards buying in a decent location, but in the current region I live in even the terraced houses can be above 160k. As far as people have said about travelling etc, Its never been a real interest for me im more concerned about getting my career on track.

So you basically got given 86k at what age ? Just before Uni ? Maybe 19. Made a profit - albeit with your parents money. Then you went to Uni. Tried the same. But failed this time. Made a loss. You are now 24 and have saved up the rest to be sitting with 160k ? Through saving money by working...you must only have had about 2 years working so far. So you have saved over 70k in 2 years ?

Mmmmmmm:rolleyes:

Anyway if you do have the dosh then just buy the house and forget about it if you are really wanting it.

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Parents over the course of my life have been feeding a bank account money for me as a "gift" which then got coupled with a very good house buy on their part when I was 13, all to dodge inheritance tax. They bought a holiday chalet for £35k which they rented out. They solid it 4 years later for £86k. With this money I bought a house in an auction near to where we live and did basic decorating / new kitchen / bathroom and made £15k out of it after a year. I then made a mistake during university buying what was a decent house for the money and proceeded to renovate in the same way. Then the crash came and I was very lucky to get rid of it, still at a loss. Since then I have been saving all my earnings from work accumulating the money I have now. I'm in a very fortunate position where my job required me to move, which just so happened to be where my gf parents live. So I currently pay rent for them which to be honest is £20 a week. So now I am sitting on the money and thinking of what move to make. I've learnt my lesson from the last "mini" crash and as people have said the past 10 years has been easy pickings for anyone to property develop and see gains, but I dont see the same in the future. I have been very fortunate with the cards that have been dealt and i'm not prepared to piss it all away.

With this being said and as winkie stated, 160k cash really does not get me much. I'm very driven towards buying in a decent location, but in the current region I live in even the terraced houses can be above 160k. As far as people have said about travelling etc, Its never been a real interest for me im more concerned about getting my career on track.

by contrast my parents are strictly in the 'buy high sell low' minimise return as much as possible brigade. it's soul-destroying seeing the numpties in the family they gave half their life savings to in 2005 to buy poxy houses whilst vilifying me for avoiding this like the plague

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by contrast my parents are strictly in the 'buy high sell low' minimise return as much as possible brigade. it's soul-destroying seeing the numpties in the family they gave half their life savings to in 2005 to buy poxy houses whilst vilifying me for avoiding this like the plague

If they bought in 2005 they would have an asset worth more than they paid, so why are they numpties?

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If they bought in 2005 they would have an asset worth more than they paid, so why are they numpties?

incorrect

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Parents over the course of my life have been feeding a bank account money for me as a "gift" which then got coupled with a very good house buy on their part when I was 13, all to dodge inheritance tax. They bought a holiday chalet for £35k which they rented out. They solid it 4 years later for £86k. With this money I bought a house in an auction near to where we live and did basic decorating / new kitchen / bathroom and made £15k out of it after a year. I then made a mistake during university buying what was a decent house for the money and proceeded to renovate in the same way. Then the crash came and I was very lucky to get rid of it, still at a loss. Since then I have been saving all my earnings from work accumulating the money I have now. I'm in a very fortunate position where my job required me to move, which just so happened to be where my gf parents live. So I currently pay rent for them which to be honest is £20 a week. So now I am sitting on the money and thinking of what move to make. I've learnt my lesson from the last "mini" crash and as people have said the past 10 years has been easy pickings for anyone to property develop and see gains, but I dont see the same in the future. I have been very fortunate with the cards that have been dealt and i'm not prepared to piss it all away.

With this being said and as winkie stated, 160k cash really does not get me much. I'm very driven towards buying in a decent location, but in the current region I live in even the terraced houses can be above 160k. As far as people have said about travelling etc, Its never been a real interest for me im more concerned about getting my career on track.

My two pennith.... (For what its worth, not much in other words).

Do not be led by anyone in your decision of what to do next, although by the sounds of it you are not so that’s good. At best the next few years will be a lottery, anyone who tells you otherwise are either clairvoyant or happy to hand out advice as it represents zero risk to them.

Also, there are plenty of people on here who are sure the collapse of western civilisation is just around the corner... You really need to do the reality test before taking too much notice of what is said in here! The reality test being: Look outside the window, now... right now.... Is the world really that bad? Nope, didn’t think so...

That is not to say things are not about to get very interesting (double negative?)... I would suggest however that a nice house in right location, with a little bit of land and a favourable proximity to everything you will need for the next 10 years will always be worth a few quid.

This place is a bit like a drug...You can get hooked on the negative sentiment that spews from this place if you believe you are doing the right thing by holding back. Not going to harp on, just be careful.

There are lots of very clever people on here and that’s part of the problem. Don't be one of the ones who try and sound like them in front of your family and friends if you don't have the same conviction or thinking as them.

I really don't care who flames me for saying all of the above... Me and the wife are doing very nicely thank you so I don’t care what you think... :)

T350...

Edited for spelling...

Edited by t350chunder

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It's a tough question for those who have a big deposit (but not big enough to buy cash)

1. Do I buy now, risk losing a chunk of the deposit in a HPC, get a margin call and end up paying a large interest rate?

2. Or not to buy, and risk a very high inflation situation.

My bet is on 2, I think very high inflation is unlikely as there will be a lot of pressure to raise interest rates. And if there is high inflation it will be in prices not wages, so it will squeeze affordability and help house prices tank.

There is a very delicate house of cards holding up house prices. If one card falls, e.g. housing benefit, or low interest rates, or further unemployment, public sector pay cuts, rising cost of imports, rising cost of oil - then it could bring the whole thing crashing down very easily.

A £200k house requires a low interest rate, low cost of everything else and a couple of decent salaries.

Also don't forget prices are marked at the margins .... doesn't take such a big catastrophy for prices to fall. Hell they might just fall for the sake of it!

I suppose the answer lies in the gubmint budget statements we get over the summer - if they refuse to deflate the public sector and go for tax rises, then house prices will not tank (apart from the really stupid stuff).

But bargain hunting will work for savvy people.

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I suppose the answer lies in the gubmint budget statements we get over the summer - if they refuse to deflate the public sector and go for tax rises, then house prices will not tank (apart from the really stupid stuff).

But bargain hunting will work for savvy people.

is it idiot day or something today?

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Also, there are plenty of people on here who are sure the collapse of western civilisation is just around the corner... You really need to do the reality test before taking too much notice of what is said in here! The reality test being: Look outside the window, now... right now.... Is the world really that bad? Nope, didn’t think so...

Oh yes it is. The debt courts are full of jaw-dropping stuff, but you don't get to see that outside your window because hearings are effectively held in secret. I do see it every day, and I am certain that all the banks are bankrupt. Thankfully, they pay me on a monthly basis!

The consequences are predictable. Just a matter of time ... and, when it comes to your own investments, of timing.

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is it idiot day or something today?

HPC is turning into a love in for those who refuse to diametrically conform to a crash mentality.

And it's all the poorer for it...

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Yes. Why do you keep posting?

to point out that you are an idiot, perchance

last high tax high spend era 1970s - famous for its real house price inflation... not

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HPC is turning into a love in for those who refuse to diametrically conform to a crash mentality.

And it's all the poorer for it...

how on earth do you "diametrically conform" to anything?

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Oh yes it is. The debt courts are full of jaw-dropping stuff, but you don't get to see that outside your window because hearings are effectively held in secret. I do see it every day, and I am certain that all the banks are bankrupt. Thankfully, they pay me on a monthly basis!

The consequences are predictable. Just a matter of time ... and, when it comes to your own investments, of timing.

I run a company that has been in business since 1996, and have experience of debtors either side of the recession.

The fact that you say "I am certain that all the banks are bankrupt" is testament to what I said earlier about people on here being so sure about the imminent failure of capitalism. Frankly... So says you...

What do you do if you don't mind me asking?

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Forgive me if I dont feel intimidated by you Si1... But you're starting to sound petty.

that was not my intention, so there is nothing to forgive.

your sentence was simply illogical, it is impossible to diametrically conform except in engineering parlance. therefore it was difficult to understand you.

Edited by Si1

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that was never my intention, so there is nothing to forgive.

your sentence was simply illogical, it is impossible to diametrically conform except in engineering parlance. therefore it was difficult to understand you.

OK, so if we are really going to go down this road, and its pathetic frankly, that a word I used is unacceptable outside of "engineering parlance"??? and unrecognised in English as a phrase for "absolutely in opposition" then fine...

:)

Bit weird but OK.... not sure what your point is...

Odd that you didn’t have a problem with me suggesting that this place has become a "love-in" for doom mongers and sandwich boarders.. but I guess it takes all sorts to make a world...

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OK, so if we are really going to go down this road, and its pathetic frankly, that a word I used is unacceptable outside of "engineering parlance"??? and unrecognised in English as a phrase for "absolutely in opposition" then fine...

smile.gif

Bit weird but OK.... not sure what your point is...

Odd that you didn't have a problem with me suggesting that this place has become a "love-in" for doom mongers and sandwich boarders.. but I guess it takes all sorts to make a world...

I didn't say it was unacceptable - just that your sentence was meaningless given the context

my own position is that a real terms correction is inevitable and healthy. I do not think the economy will collapse although I do think hard times are ahead for the coming years

it may be a love-in for doom mongers, perhaps, but I find it hard to read it that way, I suspect our definitions of doom monger may diverge somewhat

good day

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Guest Steve Cook

House prices will only drop if credit finally dries up for an extended period and becomes significantly more expensive. A further exacerbatory factor will be increases in unemployment. However, if the above happens, houses won't be any cheaper in monthly terms because credit will be so expensive to service and that's assuming you have a job to be able to get credit in the first place. In other words, if you have a large wedge of cash plus a job in the coming period, house prices will probably get cheaper. If you don't, then probably not.

Edited by Steve Cook

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I didn't say it was unacceptable - just that your sentence was meaningless given the context

my own position is that a real terms correction is inevitable and healthy. I do not think the economy will collapse although I do think hard times are ahead for the coming years

it may be a love-in for doom mongers, perhaps, but I find it hard to read it that way, I suspect our definitions of doom monger may diverge somewhat

good day

I agree that a correction is both likely and healthy. I just don’t subscribe to the notion that because someone can dazzle me with economics and logic they are right. That is fast becoming the rule of law around here Si1.

Sorry you feel my previous posts are meaningless given the context :)

It’s a crushing verdict for me as I am only on here to get your approval truth be told.

Do you ever stop and think about how self righteous you might sound to a HPC outsider?

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I just don’t subscribe to the notion that because someone can dazzle me with economics and logic they are right. That is fast becoming the rule of law around here Si1.

on its own, ythis is a fair point - many of the doomers need to be ignored

Sorry you feel my previous posts are meaningless given the context smile.gif

I didn't say that, I said you had a meaningless sentence, this is a twisting of my point

It's a crushing verdict for me as I am only on here to get your approval truth be told.

I don't care about my or your approval, I care about the debate. You are incapable of this as with every point you bring in a straw man.

Do you ever stop and think about how self righteous you might sound to a HPC outsider?

I

DON'T

CARE

is your business in trouble then?

Edited by Si1

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to point out that you are an idiot, perchance

last high tax high spend era 1970s - famous for its real house price inflation... not

I've read many of your posts and learned exactly ... squat. You have no direct knowledge, no insight. Fevered opinion from a forum bug is worthless.

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I've read many of your posts and learned exactly ... squat. You have no direct knowledge, no insight. Fevered opinion from a forum bug is worthless.

speak for yourself. you sound like a jealous UKIP voter

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  • 277 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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