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housey

Girlfriends Cousin Just Had Offer Accepted

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Hi

Dont post a lot but needed somewhere to vent my frustration.

I STR'ed some time ago and invested my money and am quite happy renting and saving whilst waiting for this housing bubble to burst.

My girlfriend also STR'ed back in April this year (she owned a house with her cousin) they split the cash paid of debts and we all rent together in Bristol now.

Girlfriends cousin is shortly moving to Essex to be with her bloke, they know what I think about the state of the housing market although I do my best not to harp on about it to much.

She came back this weekend to say they have put an offer on a house for £181k (asking price £185k) its was declined so they offered £182k which has been accepted!

I think they are committing themselves to potential financial misery for a long time, there combined income is £45k and I understand they have approx £25k as a deposit. So they must be looking for a mortgage of around £155-160k (she reckons they saw a financial advisor who said £160k would not be a problem even though she is about to leave her job in Bristol with no job currently in Essex - she is a qualified legal exec so I would think she would be ok with getting a new one)

Its not my place and everyone is entitled to an opinion (and not have mine forced on them) so I cant tell her what I really think - but she sums up what I think is wrong with the average person in the street - I printed off the first time buyer document, told her about this web site but she refused to read it or visit this site.

Shes made the most important financial decision of her life without researching the current state of the market and is fully signed up to the house prices only every go up theory. She comes back and repeats pretty much word for word everything the EA and Financial Adviser has said to her. I mentioned about stamp duty and she asked "Whats that?"

I needed to say post something as the girlfriend has banned house prices from our conversations :-)

Cheers

Housey

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You young folk have had your minds altered by

the shite new labour legalised a few years ago

know as "draw" couple that with 24 hour drinking

young folk deserve to be in debt until the day they

die.

Britain has no future.

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Welcome to the fold, Housey; you have found your true family here (Well, there did use to be a few bulls who posted regularly, but they seem to be bidding a hasty retreat. Can't think why...), so fret no longer about your girlfriend's cruel banning of HPC (house price chat).

Trouble is, it's not really your girlfriend's cousin's dog, or whoever, who is completely to blame in this instance (though she is clearly a bit of a simpleton), it's the mortgage 'advisor' - those people should be shot for misleading no-brainers for the sake of their profits. Cruel, bad and morally wrong.

Sadly, you will have to resign yourself to being proved right and keep schtum. Might I suggest, however, as a parting gesture/gift to her, that you instigate and record a juicy little HPC chat with her (girlfriend permitting, of course), which she can then play back to while away the hours in the debtor's prison...

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You young folk have had your minds altered by

the shite new labour legalised a few years ago

know as "draw" couple that with 24 hour drinking

young folk deserve to be in debt until the day they

die.

Britain has no future.

Come on Enoch, get off the fence and don't beat around the bush

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Hi Housey,

Thanks for the post. I too have been nearly banned from talking about house prices. Particularly hard to keep to when a nice article comes along

Hmm

On the point of your girlfriend's cousin. I sympathise, but then again it is entirely her choice and her responsibility.

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Hi Housey,

Thanks for the post.  I too have been nearly banned from talking about house prices. Particularly hard to keep to when a nice article comes along

Hmm

On the point of your girlfriend's cousin.  I sympathise, but then again it is entirely her choice and her responsibility.

Yea i got banned from talking houses, so i talked louder, one of my past times these days is putting on my headphones, cranking up some bon jovi and reading out as many price indexes and housing reports as i can.

Sometimes i move my chair over to the window and wait for people to start walking past, sometimes i just start before i see anyone which generally brings people over anyway.

Housey, every person on this planet that has free choice has to excercise it and unfortunatly there is nothing you can do about it. People are to stupid to even realise they are stupid. If you tried to present her with evidence and she refused to read it or look into it at all then you have done all you should.

Alot of people i speak to just don't want to know.. they want to keep believing that they are rich... rich i tell you ... rich....

Let the dream for them continue, that way at least throughout the crash they wont get to depressed because they will still be in a state of shock.

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I think they are committing themselves to potential financial misery for a long time, there combined income is £45k and I understand they have approx £25k as a deposit. So they must be looking for a mortgage of around £155-160k (she reckons they saw a financial advisor who said £160k would not be a problem even though she is about to leave her job in Bristol with no job currently in Essex - she is a qualified legal exec so I would think she would be ok with getting a new one)

Personally I dont think 160k between 2 people is a huge mortgage at all, thats 80k each. which translates into a payment of about £400-450 a month each. I can understand why you would advise not to buy at the top of the market, but as far as being affordable goes it doesnt seem to bad to me.

Now if that 160k mortgage was for 1 person, then it would be absolutly crazy.

Edited by zag2me

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Housey,

I'm banned from talking about house prices too.

I would like to say that there is no sign of a crash in Chesterfield, There are quite a few properties for sale and none of them seem to be moving!!!! but nobody seems to think there is a crash???

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People are to stupid to even realise they are stupid.

Actually, there's been a study into this, and basically the dumber you are, the less able you are to realise you are dumb. Seriously, I think i referenced it in my Masters. Or at least read it with much amusement as part of the process.

Truly the wisest amongst us are is those amongst us who are prepared to admit that for all their wisdom, they still don't know much.

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Personally I dont think 160k between 2 people is a huge mortgage at all, thats 80k each. which translates into a payment of about £400-450 a month each. I can understand why you would advise not to buy at the top of the market, but as far as being affordable goes it doesnt seem to bad to me.

Now if that 160k mortgage was for 1 person, then it would be absolutly crazy.

That is a pretty poor argument, to put it politely. Are you aware that their combined income is £45k?

Surely for one person to pay on £45k it would be better, as they only have one mouth to feed, one back to clothe, one train ticket to buy etc. They would have more money left for the mortgage. That is why borrowing multiples for combined income are generally lower than for an individual.

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There are people with far less of a safety net to worry about.

They're taking on a manageable mortage. They have a sensible deposit and she has already made a few bucks from her first investment.

I can see why she would want to buy but she offered WAY too much for that property bearing in mind its asking price.

PS.

IN spite of that, 180K for a house sounds pretty cheap to me!

Edited by DonnieDarker

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There are people with far less of a safety net to worry about.

They're taking on a manageable mortage. They have a sensible deposit and she has already made a few bucks from her first investment.

I can see why she would want to buy but she offered WAY too much for that property bearing in mind its asking price.

PS.

IN spite of that, 180K for a house sounds pretty cheap to me!

180K is a 3 bed + garage detached large garden all nicely done up to me. Thats by todays silly values too, for 220K there is a lovely 4 bed detatched, nice garden, garage, decent area.

Pretty much my dream house, just need 220K though :blink:

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I think they are committing themselves to potential financial misery for a long time, there combined income is £45k and I understand they have approx £25k as a deposit.

Well they seem perfactly happy with the arrangement...

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Personally I dont think 160k between 2 people is a huge mortgage at all, thats 80k each. which translates into a payment of about £400-450 a month each. I can understand why you would advise not to buy at the top of the market, but as far as being affordable goes it doesnt seem to bad to me.

Now if that 160k mortgage was for 1 person, then it would be absolutly crazy.

£800-£900 per month on current interest rates. I agree its affordable (although a large chunk out of there monthly pay) if there circumstances stay the same and interest rates stay the same.

I know they both want children in the not to distant future (couple of years) I believe by making these choices now they could limit there ones in the future.

No one has a crystal ball and they could be saying "Told you so" in 5 years when im still renting and there house has increased in value by 20%, but if I was playing poker I would say I had the stronger hand.

Housey

Housey

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180K is a 3 bed + garage  detached large garden all nicely done up to me. Thats by todays silly values too, for 220K there is a lovely 4 bed detatched, nice garden, garage, decent area.

Pretty much my dream house, just need 220K though  :blink:

http://www.vebra.com/home/search/vdetails....315&pid=9848763

115K for this 2 bed, its just came on the market at 115K, a family member bought one of them for 52K 4 years ago in the same road but it didnt need any work either :blink:

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What I think housey is probably most upset about is the attitude you get from people; people who should know that you only have THEIR best interests at heart yet they are extremely suspicious of YOUR motives rather than someone in 'authority' or some sort of official position (estate agent etc.), but with a clear vested interest.

They can actually get quite aggressive about it all and this can be quite upsetting. Meanwhile you are thinking to yourself "Why would I be saying this to you unless I really thought it was a risk?".

With that in mind, I think you HAVE to let people that you have tried to warn (or give the other side of the coin from what the VIs give) make their own mistakes.

When they complain about their predicament in future, should the worst happen, then you don't rub it in their face but explain, in a home-truth style perhaps, that you DID tell them and tried warn about the dangers, that they didn't want to know and that they were extremely rude and condescending to you. To make them feel guilty you could also explain that you felt hurt or upset that their attitude was suggesting that you were trying to do them some harm and that in future you won't be warning them about anything.

The best that can come out of this is that they learn (and also maybe appreciate you were right and know a thing or two). The worst is that they still don't listen to you.

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When they complain about their predicament in future, should the worst happen, then you don't rub it in their face but explain, in a home-truth style perhaps, that you DID tell them and tried warn about the dangers, that they didn't want to know and that they were extremely rude and condescending to you.  To make them feel guilty you could also explain that you felt hurt or upset that their attitude was suggesting that you were trying to do them some harm and that in future you won't be warning them about anything.

The best that can come out of this is that they learn (and also maybe appreciate you were right and know a thing or two).  The worst is that they still don't listen to you.

No. No. No. No. No.

What you should do is say:

"If you'd only waited 2 more years you could have bought a better property and saved yourself tens of thousands. JUST LIKE I DID.

Now (say this bit louder) HOW SHALL I INVEST THE £40K I HAVE SAVED SINCE YOU BOUGHT?

"

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No. No. No. No. No.

What you should do is say:

"If you'd only waited 2 more years you could have bought a better property and saved yourself tens of thousands. JUST LIKE I DID.

Now (say this bit louder) HOW SHALL I INVEST THE £40K I HAVE SAVED SINCE YOU BOUGHT?

"

Donnie, you're a star! You're so right. Maybe we should all take some counselling on how not to GLOAT too much when the time comes - otherwise, we may be lynched!

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What I think housey is probably most upset about is the attitude you get from people; people who should know that you only have THEIR best interests at heart yet they are extremely suspicious of YOUR motives rather than someone in 'authority' or some sort of official position (estate agent etc.), but with a clear vested interest.

They can actually get quite aggressive about it all and this can be quite upsetting.  Meanwhile you are thinking to yourself "Why would I be saying this to you unless I really thought it was a risk?".

With that in mind, I think you HAVE to let people that you have tried to warn (or give the other side of the coin from what the VIs give) make their own mistakes.

When they complain about their predicament in future, should the worst happen, then you don't rub it in their face but explain, in a home-truth style perhaps, that you DID tell them and tried warn about the dangers, that they didn't want to know and that they were extremely rude and condescending to you.  To make them feel guilty you could also explain that you felt hurt or upset that their attitude was suggesting that you were trying to do them some harm and that in future you won't be warning them about anything.

The best that can come out of this is that they learn (and also maybe appreciate you were right and know a thing or two).  The worst is that they still don't listen to you.

Au contraire, you rub it in their face just like a puppies nose gets rubbed in its own sh*t.

That will learn um.

:lol: @myself , i dont know why but that little sentence has really tickled me. :lol:

Edited by theChuz

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Donnie, you're a star! You're so right. Maybe we should all take some counselling on how not to GLOAT too much when the time comes - otherwise, we may be lynched!

It is in our nature - nay, destiny - to become that which we despise.

We will become the arrogant "told you so" @rseholes who we berate on this site for having the good fortune and/or insight into timing it well last time.

C'est la vie!

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I was chatting to some people in the boozer on Saturday just before the England game. One of my mates was saying he was gonna buy, I was trying to tell him to wait 6 months. He kinda dismissed me I think. It's almost like people think you're jealous of them. I'm in a position to buy (no where near out right), so there is no jealousy, just sheer despair at people not getting the info they need.

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Housey,

I'm banned from talking about house prices too.

I would like to say that there is no sign of a crash in Chesterfield, There are quite a few properties for sale and none of them seem to be moving!!!! but nobody seems to think there is a crash???

I can talk about house prices with my partner (fully bearified), but no one at work. A college of mine bought a BTL house in a dodgy part of Manchester last January for £100,000 (and she paid stamp duty). She told me that her younger sister had already done it and it was about time she 'got herself organised'. So she persuaded her brother in law to get a mortgage as she already had one (a little dodgy but I'm sure many people do it) and soon after she was renting it out through social services (or whatever it's called now). Before she exchanged contracts she knew that she could not get enough rent to cover the mortgage (nevermind maintainance). When I suggested that her deposit was better off in a bank, she bit my head off. She wasn't impressed by the first time buyer leaflet either.

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It is because (rather like football actually) the emotional investment in property - or the thought of owning property - is so powerful that anyone infringing in the 'dream' is seen as an intruder.

"Oi! Get off my fantasy...you're bleedin' soiling it!"

Once someone has set sail on their dreamboat to cloud 9 there is no turning back. It's pointless.

It is SO much more than an investment or something that can be presented in bald figures. It is the place your family will grow. It is the bachelor pad you have dreamt of - your babe magnet. It is the place you will entertain your friends, family and have all those seminal moments that our consumer culture sells us.

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No. No. No. No. No.

What you should do is say:

"If you'd only waited 2 more years you could have bought a better property and saved yourself tens of thousands. JUST LIKE I DID.

Now (say this bit louder) HOW SHALL I INVEST THE £40K I HAVE SAVED SINCE YOU BOUGHT?

"

I know where you're coming from but sometimes the 'perfectly reasonable', 'nice' route could be more annoying, if that's what you're into.

I'm really talking about how you deal with people you actually care about who have been, perhaps, quite disrespectful to you. Surely you would not want to be in the situation like the poster (can't remember who, sorry) where his brother has not spoken to him for 2 years because of house price discussions.

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  • 333 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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