Buying Early Could Beat The Market

[brownbear]

This article in the Independend suggests that 2 bedroom new builds are not actually albatroses but are what every canny BTLer and FTB should be looking for.

http://money.independent.co.uk/property/ho...ticle313922.ece

There is a contradiction in the article. Buyers value older properties more highly, but new builds are more expensive (higher specs, ha ha ha). Are there any other salient points the writer has missed?

[George]

theyre not higher anything tbh, no dishwasher? 2005? Only in england

[Ignorant Steve]

This article in the Independend suggests that 2 bedroom new builds are not actually albatroses but are what every canny BTLer and FTB should be looking for.

http://money.independent.co.uk/property/ho...ticle313922.ece

There is a contradiction in the article. Buyers value older properties more highly, but new builds are more expensive (higher specs, ha ha ha). Are there any other salient points the writer has missed?

<{POST_SNAPBACK}>

Nothing wrong with buying new build so long as 2 criteria are met:

1) Good location

2) Good quality

I bought new build in 1991 - best decision I made. Small block of flats so we created our own management company. Very low maintenance as a result. They were in a great location so no one ever had a problem selling or renting.

On the other hand I went round a new build 6 bed house which was on for £775K (!!) a few weeks ago. Absolute rubbish, I doubt the doors, skirting boards and window frames would last much more than 5 years.

[THE MONKEY]

Now do you smell what the Monkey is cooking?

[DonnieDarker]

Now do you smell what the Monkey is cooking?

<{POST_SNAPBACK}>

Ah Monkey!

Getting worried yet?

[OzzMosiz]

Now do you smell what the Monkey is cooking?

<{POST_SNAPBACK}>

Yeah! Burnt bananas!

[THE MONKEY]

Now do you smell what the Monkey is cooking?

<{POST_SNAPBACK}>

No jabroni.

The Monkey has bought a 3 bed detached newbuild in an area of the country he has always wanted to live but never thought he could afford to live. Furthermore, it is in the most sought after location within said area. It may be a newbuilld but is from a quality builder and has a 10 year guarantee. The Monkey also managed to knock 10k off the asking price.

If house prices fell so much that the Monkey's house was worth 10p next year, he wouldnt care. He is happy to stay in this house for life.

So, in answer to your question, jabroni. No the Monkey isn't worried.

Now stop bothering the Monkey jabroni! He needs to go speak to his friends on Channel 4 Homes about washer-dryers and tell them what a bunch of doom mongers you all are:

http://community.channel4.com/groupee/foru...41/m/7430040713

Edited September 21, 2005 by THE MONKEY

[THE MONKEY]

Monkey.  You've bought for all the right reasons - it's a home.

Best of luck.

<{POST_SNAPBACK}>

The Monkey will break from his new evil Monkey persona for one second and say "thanks very much".

The Monkey will now break back into character.

It doesn't matter what you think jabroni!

[mad'un]

Nice to see the monkey is back! I thought you had gone for good?

I have been reading monkey "wisdom" for some time now but I have always wondered -

What the heck is a JABRONI?

Please explain....!

[THE MONKEY]

Nice to see the monkey is back! I thought you had gone for good?

I have been reading monkey "wisdom" for some time now but I have always wondered -

What the heck is a JABRONI?

Please explain....!

<{POST_SNAPBACK}>

In response to your first point, the Monkey will explain why in true wrestling tradition he is not gone for good:

http://en.wikipedia.org/wiki/Professional_...etirement_Match

In response to your second point - just look at your picture jabroni!

http://www.urbandictionary.com/define.php?...i&defid=1184851

Edited September 21, 2005 by THE MONKEY

[DonnieDarker]

Nothing wrong with buying new build so long as 2 criteria are met:

1) Good location

2) Good quality

I bought new build in 1991 - best decision I made.

<{POST_SNAPBACK}>

Hmm.

But how many 'new build' satisfy both criteria?!

New builds are overpriced (like new cars) and are generally of questionable quality.

I agree about location though. Location is something everyone talks about or spires to but IMO rarely follows through on.

This is because people get emotionally swayed by having a bigger house rather than the adage of location, location, location which is a more logical investement.

[brownbear]

Nothing wrong with buying new build so long as 2 criteria are met:

1) Good location

2) Good quality

I bought new build in 1991 - best decision I made. Small block of flats so we created our own management company. Very low maintenance as a result. They were in a great location so no one ever had a problem selling or renting.

On the other hand I went round a new build 6 bed house which was on for £775K (!!) a few weeks ago. Absolute rubbish, I doubt the doors, skirting boards and window frames would last much more than 5 years.

<{POST_SNAPBACK}>

Forgive me, especially Monkey, but I was not trying to be rude about all new builds. I thought the article was making a particular reference to flats, of which there are many, many developments in brownfield sites in most cities. They were popular with BTLers but they cannot possibly make any money now. There was also the speculative angle - "you can make lots of money on them in the future," was the inference.

[DonnieDarker]

If house prices fell so much that the Monkey's house was worth 10p next year, he wouldnt care. He is happy to stay in this house for life.

http://community.channel4.com/groupee/foru...41/m/7430040713

<{POST_SNAPBACK}>

I somewhat doubt this.

Sounds like 'owner denial' to me.

Good luck nonetheless.

[THE MONKEY]

Actually, in all seriousness I have effectively left this forum. I just couldnt resist doing the Channel 4 thing and winding people up.

[THE MONKEY]

Actually, in all seriousness I have effectively left this forum. I just couldnt resist doing the Channel 4 thing and winding people up.

<{POST_SNAPBACK}>

I will be moving to a new job soon where I won't be able to come on here anyway. But it is proving harder to stay away when I thought. Playing the evil Monkey is like when you were a kid and wanted to be Darth Vader. The trouble is I start winding people up and then chicken out - I know from being a moderator that not everyone on here is the full ticket!

[RichM]

Actually, in all seriousness I have effectively left this forum. I just couldnt resist doing the Channel 4 thing and winding people up.

<{POST_SNAPBACK}>

JUDAS!!!

No but seriously, what encouraged you to buy in the end? Couldn't be bothered to wait? Pressure from the other half? Lottery win? And what forum have you joined instead?

[DonnieDarker]

Actually, in all seriousness I have effectively left this forum. I just couldnt resist doing the Channel 4 thing and winding people up.

<{POST_SNAPBACK}>

I find it quite hilarious that you are on the C4 forums and tactfully ignoring people who are asking "Has the market bottomned out?".

In all seriousness, having read your explanation for purchasing on C4 it all sounds very well reasoned. I'm sure if I had been in the same shoes I probably would have done the same.

I like the fact that you have made location the main feature of your purchase. A monkey after my own (cold, black) heart.

[THE MONKEY]

JUDAS!!!

No but seriously, what encouraged you to buy in the end? Couldn't be bothered to wait? Pressure from the other half? Lottery win? And what forum have you joined instead?

<{POST_SNAPBACK}>

I have made a few posts on the Channel 4 forum but these will be few and far between. I made one to wind people on here up and another which was a genunine homeowner question.

As to why we bought, We put our lives on hold for 4 years by saving every penny we earned and living in an absolute sh** hole. We couldn't take living there anymore.

Our ideal house in our ideal location came up at a price we could now afford due to our deposit and prices having dropped a bit.

We want to start a family soon.

I hope people don't think I'm really a judas. I hope people can see that although you can wait for house prices to drop, you can also make sacrifices and move your deposit up at a faster rate, although i realise that for many people this is still not enough.

Edited September 21, 2005 by THE MONKEY

[DonnieDarker]

We put our lives on hold for 4 years by saving every penny we earned and living in an absolute sh** hole. We couldn't take living there anymore.

I hope people can see that although you can wait for house prices to drop, you can also make sacrifices and move your deposit up at a faster rate.

<{POST_SNAPBACK}>

Well done. That kind of saving takes cast-iron will.

I don't envy you for it. Although I'm a saver, being in my mid-20s I do place some importance on the place I'm living and renting being 'nice'.

I suppose we could live in a sh*thole in London for the next 2 years and save ourselves an extra £10K cash but each to their own...

...if I did that I'd be miserable, paranoid about crime and probably quite hateful towards my neighbours.

I'm too weak for that - the ultimate saving sacriface.

[Guest The_Oldie]

I have made a few posts on the Channel 4 forum but these will be few and far between. I made one to wind people on here up and another which was a genunine homeowner question.

<{POST_SNAPBACK}>

Don't be a Rock Ape! I'm sure someone here can answer your questions about washing machines . In the OT forum though please .

[Guest Time 2 raise Interest Rates]

The only people buying new builds at the moment are the ill advised and the greedy. I guess they can't resist the £10,000 cash backs and deposits paid. Little do they realise the builder wouldn't be offering these incentives if the market wasn't about to go pear shaped.

[DonnieDarker]

The only people buying new builds at the moment are the ill advised and the greedy.  I guess they can't resist the £10,000 cash backs and deposits paid.  Little do they realise the builder wouldn't be offering these incentives if the market wasn't about to go pear shaped.  

<{POST_SNAPBACK}>

I largely agree with this and people like Monkey are merely the exception to the rule.

Even on this site of frugalistas and bears you would struggle to find someone who would purposely live in a sh*thole for 4 years(!) on a money-saving crusade.

Fairplay to him though. After that kind of stint who can deride him for buying a decent home in his ideal location? I can't.

Edited September 21, 2005 by DonnieDarker

[Guest Charlie The Tramp]

We want to start a family soon.

I hope people don't think I'm really a judas. I hope people can see that although you can wait for house prices to drop, you can also make sacrifices and move your deposit up at a faster rate, although i realise that for many people this is still not enough.

<{POST_SNAPBACK}>

Monkey

If you and your dear wife have been able to afford your new house then you were right to go for it. As you said you bought a home. Don`t forget to put some aside for that rainy day, and if possible s*d the expensive furniture pay a little extra off each month to reduce the mortgage period and you won`t go wrong.

Good Luck

[Catch22]

I hope people don't think I'm really a judas.

<{POST_SNAPBACK}>

Worry not Mr Iscariot

[Nelly]

No jabroni.

The Monkey has bought a 3 bed detached newbuild in an area of the country he has always wanted to live but never thought he could afford to live.  Furthermore, it is in the most sought after location within said area. It may be a newbuilld but is from a quality builder and has a 10 year guarantee.  The Monkey also managed to knock 10k off the asking price.

http://community.channel4.com/groupee/foru...41/m/7430040713

<{POST_SNAPBACK}>

A quality builder??????

Ive been a plasterer for 20 years and can tell you EVERY builder uses the cheapest materials installed by the cheapest labour.