Jump to content
House Price Crash Forum
Guest KingCharles1st

This Place Is Getting Depressing Again

Recommended Posts

Guest KingCharles1st

- well, we all know the rest.

Just been looking at one decent 2 bed apartments for rent- still all around .75K per month

Fu_cking stupidity

Share this post


Link to post
Share on other sites
Guest KingCharles1st

We call that £750 in the real world.

YES Johhny- I KNOW- but quids are throwaway items, "Ks" are not- well not yet... quite...

Share this post


Link to post
Share on other sites

YES Johhny- I KNOW- but quids are throwaway items, "Ks" are not- well not yet... quite...

Just imagine when you own your own place and the mortgage is paid and all that money is just for you to spend on whatever you want. I cant wait.

Share this post


Link to post
Share on other sites

- well, we all know the rest.

Just been looking at one decent 2 bed apartments for rent- still all around .75K per month

Fu_cking stupidity

by looking, did you show real interest.

this only encourages the LL and the EA there is demand.

just tell them they are too expensive. I did...the place I am in was up for £1400.

told the EA its nice but too expensive...also voided for 6 months....

closed @ 0.9K...in my second year now.

my ex house is now priced @ .95K

and its .25 the size.

biggest drawback is now I am 100% spoiled and needed to buy a power assisted lawn mower.

Share this post


Link to post
Share on other sites

Just imagine when you own your own place and the mortgage is paid and all that money is just for you to spend on whatever you want. I cant wait.

Not sure what your point is. I think most on here including myself aren't rejecting the idea of buying a house per se - just don't want to pay over the odds for an asset that more than likely will be worth at least 20% less in a couple of years. In my case thats the difference between taking out a 25 year 40k loan or not. You haven't just bought have you ;-).

Share this post


Link to post
Share on other sites

Not sure what your point is. I think most on here including myself aren't rejecting the idea of buying a house per se - just don't want to pay over the odds for an asset that more than likely will be worth at least 20% less in a couple of years. In my case thats the difference between taking out a 25 year 40k loan or not. You haven't just bought have you ;-).

No I dont have the money saved up yet. Probably this time next year.

As to being 20% less, Ive been saying that for years and years. They still arent that much cheaper and the rent spent waiting is much more.

Share this post


Link to post
Share on other sites

Not sure what your point is. I think most on here including myself aren't rejecting the idea of buying a house per se - just don't want to pay over the odds for an asset that more than likely will be worth at least 20% less in a couple of years. In my case thats the difference between taking out a 25 year 40k loan or not. You haven't just bought have you ;-).

The point is to keep repeating "renting is dead money" at every opportunity. The reason for doing this is unclear.

The fact is, though, that you always pay for a roof over your head, either in the form of rent paid to a landlord, interest paid to a lender, or interest lost on the money you draw out of the bank to buy outright.

I'm expecting prices to be 30-40% lower in a few years, and in the meantime I'm paying less in rent than the interest I would lose if I drew the money out of the bank to buy the house I'm currently renting.

In my situation, renting is a no brainer.

Share this post


Link to post
Share on other sites

Not sure what your point is. I think most on here including myself aren't rejecting the idea of buying a house per se - just don't want to pay over the odds for an asset that more than likely will be worth at least 20% less in a couple of years. In my case thats the difference between taking out a 25 year 40k loan or not. You haven't just bought have you ;-).

You only need £40k to buy your own place? You're paying rent now, I take it?

Share this post


Link to post
Share on other sites

You only need £40k to buy your own place? You're paying rent now, I take it?

No, the 40k (& 25 yrs compound interest) is what i'll save with a 20% fall.

Share this post


Link to post
Share on other sites

At the risk of boring you. Northern Ireland is down 40% on 2007 -- rents are cheap-- I would need a 50% crash before I even start looking. Yields are very low on rental properties especially for the foolish BTL landlords who bought at peak. Mortgages on BTL property have been subsidised by the landlords for 2 years now. The dam will burst and sweep away the speculators and ordinary buyers will once again be able to buy at affordable prices.

Its taking a bit longer in mainland UK since it did not go as high as NI. But it will come and all the naysaying will not stop it.

Hopefully so. But they say a sign of madness is doing the same thing again and again expecting a different result.

Would it surprise anyone if prices are roughly the same as now in a years time? Or slighty up in 2 years time?

Share this post


Link to post
Share on other sites

Before interest rates dropped I was getting far more interest on my cash that I was paying in rent (for an amount which would buy the house). I felt that I was robbing the LL!

Anyway I'm happy to pay 0.7K pcm (sorry, I mean £700) for a 4 bed det with double garage and big garden in a nice area.

Share this post


Link to post
Share on other sites

The fact is, though, that you always pay for a roof over your head, either in the form of rent paid to a landlord, interest paid to a lender, or interest lost on the money you draw out of the bank to buy outright.

Very true and depending what state the economy is in will determine which one causes you less damage (wealth-wise).

Share this post


Link to post
Share on other sites

It would certainly surprise me - the offloading of jobs that is about to happen and the banks having to crystallise some losses to get money in will result in a rash of repossessions. The market is already saturated and more houses will increase supply to a level where there must be a correction.

The private sector already offloaded loads of jobs, prices went up. If you drive anywhere during rush hour, you will see there are just as many cars on the roads as there always was.

The government has schemes in place to pay peoples mortgages (the interest) if they get stuck, as otherwise they have to house them. This is probably another reason why interest rates will stay low.

Most people dont have to move, dont want to move. Most of the people I know in normal life fall into this category. People in their 40s and 50s who bought 20 odd years ago have either very small mortgages or have paid them off.

GDP is growing, manufacturing is surging. How can GDP grow during a time of recession, lay offs etc?

Edited by Johnny Storm

Share this post


Link to post
Share on other sites

Hopefully so. But they say a sign of madness is doing the same thing again and again expecting a different result.

Would it surprise anyone if prices are roughly the same as now in a years time? Or slighty up in 2 years time?

Yes it would. Its not an impossibility but looking at the facts, the odds are very much against it and that is all anyone has to go on. The last thing I would do though is take the view that because the full blown HPC hasn't happened YET, then it won't-that's incredibly poor logic imo.

Share this post


Link to post
Share on other sites

snip

GDP is growing, manufacturing is surging. How can GDP grow during a time of recession, lay offs etc?

thats easy. GDP includes government spending.

they borrowed another £160BN up to March this year.

they are spending it.

course, GDP flat and government spending UP means that wealth creation is DOWN.

you work it out.

Share this post


Link to post
Share on other sites

Before interest rates dropped I was getting far more interest on my cash that I was paying in rent (for an amount which would buy the house). I felt that I was robbing the LL!

Anyway I'm happy to pay 0.7K pcm (sorry, I mean £700) for a 4 bed det with double garage and big garden in a nice area.

Me too, I was getting more than double the cost of my rent from the amount of money in the bank that would buy the house I'm renting. I'm still in pocket by a couple of grand a year, even at the rate I'm getting now.

Share this post


Link to post
Share on other sites
Guest BetterOffOnBenefits

Hopefully so. But they say a sign of madness is doing the same thing again and again expecting a different result.

Would it surprise anyone if prices are roughly the same as now in a years time? Or slighty up in 2 years time?

OOOhh!!

Are we all getting huge pay rises?

Share this post


Link to post
Share on other sites

OOOhh!!

Are we all getting huge pay rises?

Errr no. Did anyone get a huge pay rise in the last 10 years (excluding public sector) didnt make any difference did it?

It occurs to me. Id rather plan that house prices raise or stay roughly the same and be wrong when I come to buy in a years time, than plan on them dropping 25% and be wrong. :D If im wrong, ill be happy, im if right ill still be happy as ill have a home.

Share this post


Link to post
Share on other sites

Errr no. Did anyone get a huge pay rise in the last 10 years (excluding public sector) didnt make any difference did it?

It occurs to me. Id rather plan that house prices raise or stay roughly the same and be wrong when I come to buy in a years time, than plan on them dropping 25% and be wrong. :D If im wrong, ill be happy, im if right ill still be happy as ill have a home.

I have a very nice home, rented, and paid for by the interest on the money in the bank that I'd have to draw out if I bought it. All maintenance and insurance paid for by landlord :D.

Share this post


Link to post
Share on other sites

The point is to keep repeating "renting is dead money" at every opportunity. The reason for doing this is unclear.

The fact is, though, that you always pay for a roof over your head, either in the form of rent paid to a landlord, interest paid to a lender, or interest lost on the money you draw out of the bank to buy outright.

I'm expecting prices to be 30-40% lower in a few years, and in the meantime I'm paying less in rent than the interest I would lose if I drew the money out of the bank to buy the house I'm currently renting.

In my situation, renting is a no brainer.

But if you thought like that about every purchase then life would be very dull.

Do i buy that £10 DVD or do i keep the money in the bank earning interest. That could be a right waste of 40p a year interest , enough to treat myself to a baked potato once a year.

Share this post


Link to post
Share on other sites

I have a very nice home, rented, and paid for by the interest on the money in the bank that I'd have to draw out if I bought it. All maintenance and insurance paid for by landlord :D.

Really, where did this money come from exactly? I'd need about £240k to get enough to pay my rent. Flat I live in is around £120k to buy.

If renting is such a happy free experience for you, one would wonder why you feel the need to be on a website on house prices. For if you can live on interest now, you can surely live on it in future years as the rates increase.

Share this post


Link to post
Share on other sites
Guest absolutezero

In my situation, renting is a no brainer.

That's very fortunate for you.

Share this post


Link to post
Share on other sites
Guest absolutezero

I have a very nice home, rented, and paid for by the interest on the money in the bank that I'd have to draw out if I bought it. All maintenance and insurance paid for by landlord :D.

Is your cash keeping pace with inflation since rates have dropped?

(Or are you going to trot out the "it's for a house that's falling in price so that doesn't matter" argument?)

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 150 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%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.