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Heard that one. I liked Henry Prior's house buying strategy - top whack 20% off asking. And I liked the FTB when he said he had 'no problem walking away' if his offer wasn't accepted.

Food for thought for unrealistic vendors I'm sure.

Yes good to hear it on msm. Don't go a long with Dave Kuo on interest rates

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Doubtless there will be much whining throughout the land over "gazundering." Nobody minded over gazumping.

Tough.

Sellers will now have to learn the lesson that they no longer control the price. The Buyers do.

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Heard that one. I liked Henry Prior's house buying strategy - top whack 20% off asking. And I liked the FTB when he said he had 'no problem walking away' if his offer wasn't accepted.Food for thought for unrealistic vendors I'm sure.

The bold was the "buyer's" strategy. not HPs. (So called BBCs favourite property expert. VI in my view!)

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Yes good to hear it on msm. Don't go a long with Dave Kuo on interest rates

He said what Paul Lewis wanted to hear. PL said on BBC2 in the Summer that he saw IRs rising. I emailed and said they will not, in a depression. His reply was 'that's not what most believe'.

To which I thought, when were the majority ever right?

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The statement that made me throw my radio to the wall (in another dimension) was Paul Lewis stating as if it were fact 'there's so much demand out there'. Really, Paul, have you read RICS surveys recently or seen EAs working hard or seen mortgage approval numbers? What a mistaken journo. Yet he's massively respected and popular. Ah that'll be the reason. he doesn;t know his **** from his elbow.

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The statement that made me throw my radio to the wall (in another dimension) was Paul Lewis stating as if it were fact 'there's so much demand out there'. Really, Paul, have you read RICS surveys recently or seen EAs working hard or seen mortgage approval numbers? What a mistaken journo. Yet he's massively respected and popular. Ah that'll be the reason. he doesn;t know his **** from his elbow.

Yep and that they are not building enough houses. Yet if you read any RICS chartbook from the last year you can see that the single overwhelming factor effecting new house building is lack of demand. They cannot sell what they have already built so it would madness to build more!

Edit: chart 12 page 4 http://www.rics.org/site/download_feed.aspx?fileID=8479&fileExtension=PDF

Anyone know how to embed that chart into the actual post? Without screenshotting, chopping and uploading?

Edited by Pent Up

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Tough.

Sellers will now have to learn the lesson that they no longer control the price. The Buyers do.

I can remember buying my first place in 2001. Something was slowing down the deal from my side, cannot remember what, but I always remember what the idiot of a seller said, "I'll put it back on the market at a higher price if you don't hurry up."

Hopefully the tide has now turned and the buyer has the upper hand, as lets face it, it's the buyer with the money and the seller with the overpriced piles of bricks. The buyer should have the upper hand as he's doing the seller a huge favour :D

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No sale, then.

For now, perhaps. But real prices will never come back to current values. And nominal prices will probably take some 5-10 years, considering accumulated inflation of 25% - 50%..

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The statement that made me throw my radio to the wall (in another dimension) was Paul Lewis stating as if it were fact 'there's so much demand out there'. Really, Paul, have you read RICS surveys recently or seen EAs working hard or seen mortgage approval numbers? What a mistaken journo. Yet he's massively respected and popular. Ah that'll be the reason. he doesn;t know his **** from his elbow.

A lot of people confuse demand with need or wishes, dreams, etc.

But demand = need + ability to pay.

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Yep and that they are not building enough houses. Yet if you read any RICS chartbook from the last year you can see that the single overwhelming factor effecting new house building is lack of demand. They cannot sell what they have already built so it would madness to build more!

Edit: chart 12 page 4 http://www.rics.org/site/download_feed.aspx?fileID=8479&fileExtension=PDF

Anyone know how to embed that chart into the actual post? Without screenshotting, chopping and uploading?

Hi Pent Up,

It is very rare that I disagree with you. Actually I don't remember it happening before. But I think there is a huge housing shortage, particularly in the south/south-east, and particularly affecting the younger generation. There is little demand only at current (crazy) prices.

.

Edited by Tired of Waiting

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Hi Pent Up,

It is very rare that I disagree with you. Actually I don't remember it happening before. But I think there is a huge housing shortage, particularly in the south/south-east, and particularly affecting the younger generation. There is little demand only at current (crazy) prices.

.

I know what you mean. If prices were lower then more demand will be realised and so more houses would be needed. But at current high prices developers are not selling and so not bothering to build if they can't sell the stock they already have. Its not a shortgage of land or even planning issues restricting building as the chart shows. This ties in with what I see in my area of the south east. Developments built three years ago still mostly empty and being reduced regularly. :)

But I do agree more good quality houses (not flats) need to be built in this country.

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...Base rate has to be 5%....to stabilse inflation....end of......or what is the point of saving and paying your debt....high house prices has caused this problem............HOUSE PRICES SHOULD NEVER BEEN GIVEN THE CHANCE TO GET THIS HIGH...now WE ARE ALL HAVING TO PAY FOR IT....SOMEONE HAS MADE FROM IT, LET THEM PAY FOR IT.

.......Money is now worth nothing, use it and abuse it...forget your futures....live for today, it will be worthless tomorrow. ;)

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Ooh - potential buyer looking at a terraced house in my home town of Norwich. :) £120k is a typical asking price for one of these in good order but like the buyer and Mr. Pryor, £100k tops for a house like that is more realistic.

Edited by MattW

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But I do agree more good quality houses (not flats) need to be built in this country.

Agreed. And bungalows too for the less mobile. :)

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Tough.

Sellers will now have to learn the lesson that they no longer control the price. The Buyers do.

Depends where you are.

Unfortunately, there are still a few cash-rich muppets (bank of mum & dad types) prepared to pay asking price for the few decent properties that come up around here (N2). It seems that all it takes is one or two sales for EAs to think they can whack asking prices up a notch and we're back in the bull cycle mentality...it's very, very frustrating.

Two years ago (mid-crash) good semis weren't selling for 500K. Now the few that come on are going for 650. Not enough forced sales with IRs so low.

I just pray it's another bull trap and that when the last great fools have been sucked in, we'll see some falls...

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Yep and that they are not building enough houses. Yet if you read any RICS chartbook from the last year you can see that the single overwhelming factor effecting new house building is lack of demand. They cannot sell what they have already built so it would madness to build more!

Edit: chart 12 page 4 http://www.rics.org/site/download_feed.aspx?fileID=8479&fileExtension=PDF

Anyone know how to embed that chart into the actual post? Without screenshotting, chopping and uploading?

That chart is misleading because it assumes current prices. There is no demand at current prices. That doesn't mean that Britain doesn't need more and better housing. It just means that the people who need them can't afford these high current prices, hence a pent up ( ;) ) demand = an unsatisfied need.

And the main component cost of a British house in the south-east is not the construction cost (less than £1k/sq.m.), and not even the actual land, but the planning consent. An acre of land (enough for 10 family homes) costs less than £10k! But with planning consent it goes above a £million!

That RICS pdf looks like a lobbying document for more credit. It is quite possible that building companies paid too much for building land and are now stuck with expensive properties. They want (need?) a bailout.

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That chart is misleading because it assumes current prices. There is no demand at current prices. That doesn't mean that Britain doesn't need more and better housing. It just means that the people who need them can't afford these high current prices, hence a pent up ( ;) ) demand = an unsatisfied need.

And the main component cost of a British house in the south-east is not the construction cost (less than £1k/sq.m.), and not even the actual land, but the planning consent. An acre of land (enough for 10 family homes) costs less than £10k! But with planning consent it goes above a £million!

That RICS pdf looks like a lobbying document for more credit. It is quite possible that building companies paid too much for building land and are now stuck with expensive properties. They want (need?) a bailout.

+1

would love to see some cheap building plots come onto the market so more people could do the grand design thing. Life is to short.

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+1

would love to see some cheap building plots come onto the market so more people could do the grand design thing. Life is to short.

I don't even need a big plot for a grand design. I would be happy with a plot just big enough to build a 3 bedroom house, even if it is terraced. I really would not mind it. Perhaps with some loft space where I could convert in the future, in case the family grows more than anticipated. Basic things like that. Space to park 2 cars in front (both my wife and I work and drive), and a little garden in the back. Just sensible, modest things really.

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... even if it is terraced....

...Space to park 2 cars in front...

Good luck with that. Semi-detatched, maybe.

But yes, I agree - but would like a modest-sized garden, enough for a shed or two, a greenhouse or two, a garage, a flower garden, and a vegetable plot the size of a decent allotment.

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Good luck with that. Semi-detatched, maybe.

But yes, I agree - but would like a modest-sized garden, enough for a shed or two, a greenhouse or two, a garage, a flower garden, and a vegetable plot the size of a decent allotment.

We can easily design plots 6m wide. This is enough to park 2 cars. The house could start 6m from the pavement, then some 10x6m for the house, and some 10m long garden? 6x26? Decent, comfortable house, in a very sensible plot.

With good sound insulation I really wouldn't mind a terrace. Heating bills would be much lower too, with 2 sides not exposed. (As long as the neighbours heat their houses! :D )

.

Edited by Tired of Waiting

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  • 284 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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