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tomandlu

What Will Happen Next (And Is Already Happening?)

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With the pound down, and other currencies to follow, isn't it likely that any drop in prices are going to most attractive to foreign buyers looking to exchange their cash for assets?

They can pay local EAs to manage the rentals, which means that all that rent is going to be (mostly) leaving the country and us renters STILL won't be able to afford to buy anything at a reasonable price... oh joy...

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With the pound down, and other currencies to follow, isn't it likely that any drop in prices are going to most attractive to foreign buyers looking to exchange their cash for assets?

They can pay local EAs to manage the rentals, which means that all that rent is going to be (mostly) leaving the country and us renters STILL won't be able to afford to buy anything at a reasonable price... oh joy...

I'm afraid you may be right. I work in Hong Kong and I know of 5 colleagues actively looking for property in the UK (mainly Oxford, London, commuter belt). To be honest it makes sense. UK property looks ridiculously cheap right now and a yield of 4% looks generous compared with what your cash can get you anywhere in HK. Just replicate this across the world and you have serious demand for uk property. I'm afraid UK folk have been stitched up like a kipper. High cost of living all round and earnings worth less and less in relative terms. Quite sad.

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I'm afraid you may be right. I work in Hong Kong and I know of 5 colleagues actively looking for property in the UK (mainly Oxford, London, commuter belt). To be honest it makes sense. UK property looks ridiculously cheap right now and a yield of 4% looks generous compared with what your cash can get you anywhere in HK. Just replicate this across the world and you have serious demand for uk property. I'm afraid UK folk have been stitched up like a kipper. High cost of living all round and earnings worth less and less in relative terms. Quite sad.

Perhaps, but I am getting 4% in the bank and 4% on UK property comes with hassle eg finding tenants, costs of maintenance, risk of house prices (and sterling failing and interest rates going up at some point.

Prime property often has lower yields - my landlord is getting 2.8% gross from us, based on what he thinks its worth.

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I heard the south east property market is on fire with greek money. This could just be one of those stories that have little true content. And i doubt it would spread to the areas i want to buy in.

To be honest. It seems to me the general consencus is turning away from housing as a profitable investment. I was told to only ever buy a house when everyone else you speak to thinks its a stupid idea. I can imagine that happening with what i'm hearing from collegues and friends.

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Perhaps, but I am getting 4% in the bank and 4% on UK property comes with hassle eg finding tenants, costs of maintenance, risk of house prices (and sterling failing and interest rates going up at some point.

Prime property often has lower yields - my landlord is getting 2.8% gross from us, based on what he thinks its worth.

As an ex-landlord, I agree 4% is NOT worth the hassle. There are zillions of little expenses that chip away at your profits and sooner or later you will be hit by nightmare tenants / voids. There are much easier (and more lightly taxed) ways of making 4%.

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With the pound down, and other currencies to follow, isn't it likely that any drop in prices are going to most attractive to foreign buyers looking to exchange their cash for assets?

They can pay local EAs to manage the rentals, which means that all that rent is going to be (mostly) leaving the country and us renters STILL won't be able to afford to buy anything at a reasonable price... oh joy...

I don't believe there will be enough foriegn investors prepared to buy houses in the UK to prop up the entire UK property market. Simply not possible, maybe central London will see less falls but that would be about it.

Also why would anyone from the Eurozone want to buy here? the £/Euro has not significantly changed in months.

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I'm afraid you may be right. I work in Hong Kong and I know of 5 colleagues actively looking for property in the UK (mainly Oxford, London, commuter belt). To be honest it makes sense. UK property looks ridiculously cheap right now and a yield of 4% looks generous compared with what your cash can get you anywhere in HK. Just replicate this across the world and you have serious demand for uk property. I'm afraid UK folk have been stitched up like a kipper. High cost of living all round and earnings worth less and less in relative terms. Quite sad.

Perhaps, but I am getting 4% in the bank and 4% on UK property comes with hassle eg finding tenants, costs of maintenance, risk of house prices (and sterling failing and interest rates going up at some point.

Prime property often has lower yields - my landlord is getting 2.8% gross from us, based on what he thinks its worth.

i was just about to start a thread on media brainwashing and the current news. it looks like the current slate is booze is going through the roof (as usual the government will not sort out or even realise it's a strutural/cultural problem and that chavs fighting 2 nights a week rather than 3 and nicking stuff to pay for it). I'm also wondering whether this will go ahead at all when the cuts come and they say well 'we was gonna make you pay more for your tipple, but we've decided against that.' REJOICE.

anyway, in terms of the quoted, 4% yield with what's being talked about in the uk is going to be nigh on impossible soon. they'll be paid GBP and when they convert find that they are absolute toilet (unless they wish to stay in GBP, not for the risk adverse). i can see us being back to 5/6/7 a house, 3 generations of, growing veg (and i for one at only 29 look forward to it :) ) most of the btl end is fed by either the govt (deficit) or low paid. both of them will be crushed if any kind of price control/inflation happens. property in the uk is on the way down. as has been mentioned though, all we wanted was cheap(er) houses, we'll get it, and a load of other shit we'd never wish on our worst btl enemies. :(

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I'm afraid you may be right. I work in Hong Kong and I know of 5 colleagues actively looking for property in the UK (mainly Oxford, London, commuter belt). To be honest it makes sense. UK property looks ridiculously cheap right now and a yield of 4% looks generous compared with what your cash can get you anywhere in HK. Just replicate this across the world and you have serious demand for uk property. I'm afraid UK folk have been stitched up like a kipper. High cost of living all round and earnings worth less and less in relative terms. Quite sad.

this is backward logic bubble speak

nice of your greater-fool chums to throw money away on us

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I heard today that a Welsh Assembly swimming QUANGO is buying up houses near me to rent out to atheletes training at the Wales National Pool - so I am now competing against tax-payers' mone ramping local house prices.

I am effectively paying myself to price myself out of the market!? :(

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I'm afraid you may be right. I work in Hong Kong and I know of 5 colleagues actively looking for property in the UK (mainly Oxford, London, commuter belt). To be honest it makes sense. UK property looks ridiculously cheap right now and a yield of 4% looks generous compared with what your cash can get you anywhere in HK. Just replicate this across the world and you have serious demand for uk property. I'm afraid UK folk have been stitched up like a kipper. High cost of living all round and earnings worth less and less in relative terms. Quite sad.

Bol**cks, who gives a s**t about the commuter belt.

Hanen't seen loads of choggies lining up outside estate agents where I'm looking.

If overseas morons want to leap into the London mire let them, they are gonna get seriously burned.

Now own up troll or Labourite.

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Bol**cks, who gives a s**t about the commuter belt.

Hanen't seen loads of choggies lining up outside estate agents where I'm looking.

If overseas morons want to leap into the London mire let them, they are gonna get seriously burned.

Now own up troll or Labourite.

However the potential buyers are treading carefully and I think apparent weakness in the market will mean wait and see approach. I agree though, it is potentially lambs to the slaughter for some. But my point is that for many overseas UK property now appears cheap. This cannot be denied and is disgusting for those who work hard and deserve a good house in their home town. If you live in some countries though (HK from my experience) trying to eek out 3% on any savings through investment vehicles, flats or shares, is a great challenge.

Edited by desertorchid

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I sunbathed this morning for 30 mins, 15 mins either side, to get my Vit D and have just gotin from a cycle ride around the bay - bay is full of people looking absolutely raw from the sun already.

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I sunbathed this morning for 30 mins, 15 mins either side, to get my Vit D and have just gotin from a cycle ride around the bay - bay is full of people looking absolutely raw from the sun already.

have you seen the price of butter.

when I first came here it was under a £1

now its near £1.50.

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have you seen the price of butter.

when I first came here it was under a £1

now its near £1.50.

Oddly enough, I have just buttered some rolls for some burgers... nice to be able to butter it easily and not to have a hard block of butter that acts as if it has been frozen for a million years... anyhow, I digress..

Yes, cost of living is going up but people are being shafted on IRs - haven't you heard?

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have you seen the price of butter.

when I first came here it was under a £1

now its near £1.50.

I think you are shopping in the wrong places. ;)

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I think you are shopping in the wrong places. ;)

nah...co-op anchor butter £1.45 a pat.

there was a special on Irish unsalted butter buy 2 for £2.00.

whatever is going to happen next?

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nah...co-op anchor butter £1.45 a pat.

there was a special on Irish unsalted butter buy 2 for £2.00.

whatever is going to happen next?

asda smart price 85p. 250g

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However the potential buyers are treading carefully and I think apparent weakness in the market will mean wait and see approach. I agree though, it is potentially lambs to the slaughter for some. But my point is that for many overseas UK property now appears cheap. This cannot be denied and is disgusting for those who work hard and deserve a good house in their home town. If you live in some countries though (HK from my experience) trying to eek out 3% on any savings through investment vehicles, flats or shares, is a great challenge.

you haven't actually answered the point - 4% is awful for property given the other costs/hassles

fail

Edited by Si1

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  • 259 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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