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GAL BEAR

Conversation With Neighbour ...........

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This morning as i was walking to work a lady down the road caught me up.

I knew she had her house on the market for several months. I had warned her back in May that things were 'bad' (for her) in the housing market. The House had been on market since Xmas by then so now it has been on about 9 months!

CONVERSATION: By the way she thinks I own the house I live in, as I have never told her that I don't.

ME: Have you sold your house yet?

HER: NO !

ME: Oh dear. have you had problems?

HER: YES, we have not had anyone round for at least 3 months.

ME: Has no-one made an offer ?

HER: YES, but it was too low.

ME: How Low?

HER: They wanted to knock off about 20 grand. :o

ME: You will think that is a good offer in a few months time.

My friend at work took nearly a year to sell her house. When she

first put it on after a few weeks someone offered her 20 grand below

the asking price. she refused, even the EA suggested she took it.

Anyway it dragged on for months. She put it on with several EA's

and had to end up fitting a new Bathroom & kitchen to sell it.

She sold it (after a year) for 50 grand under the asking price.

If she had not been so greedyy she could have got rid of it months

ago for a smidgen off the asking price,

HER: Oh dear, that is bad.

ME: The problem is everyone is now priced out of the market, all

houses are too expensive and people have realised that.

Why don't you reduce the price and then knock down the

price of the one you want to buy?

At this point another lady who had been walking along with us (a friend of hers)

piped up as well. She said it was disgusting how expensive homes were and

she felt really sorry for young people because they could not afford to buy.

She also said how she thought there would be a massive house price crash over the next few months. "I have seen it all before" she said.

ME: What you have to ask yourself is, would you be able to afford your home

if you had to buy it again now (with no equity to back you up)?

HER: No, i couldn't.

ME: Well, how do you expect anyone else to then?

HER: I suppose so, hadn't really thought of it lke that.

ME: I am telling you now, cut your losses and sell for what you can

now, you won't regret it.

What I thought was interesting is the total stupidity of someone like that.

20 grand is not that much under the asking price!

What i thought was really interesting though was her friends' comments.

The idea that a housing crash is on the way is obviously beginning to 'filter' thru to the general public !

:blink:

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I know. There's a girl we know of - her family told to make a 'big offer' of 10k below asking price then work up from there. Eh? This is on flats of around 170k.

I've used the 'would you be able to buy it now?' line with a few people now.

Most say 'Yeah, good point - it's true'....

Some say, 'Ah but, you'll have to buy something small first to get equity to trade up'. Eh? Doesn't it soon get too expensive to trade up, and your equity is only enabling you to take on a sillier debt?

Others, particularly older working and lower middle class people seem to think us young people all earn megabucks because we always have some electronic gizmo shoved in our ears.

Others say, 'but it's a much better area now!' (even though the schools haven't changed, there's even more traffic, no more amenities). What they mean is they've noticed 'posher types' moving in who have been economically cleansed from elsewhere. If the area doesn't provide any more quality of life, how has it become better?

Edited by CrashedOutAndBurned

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I know. There's a girl we know of - her family told to make a 'big offer' of 10k below asking price then work up from there. Eh? This is on flats of around 170k.

I've used the 'would you be able to buy it now?' line with a few people now.

Most say 'Yeah, good point - it's true'....

Some say, 'Ah but, you'll have to buy something small first to get equity to trade up'. Eh? Doesn't it soon get too expensive to trade up, and your equity is only enabling you to take on a sillier debt?

Others, particularly older working and lower middle class people seem to think us young people all earn megabucks because we always have some electronic gizmo shoved in our ears.

Others say, 'but it's a much better area now!' (even though the schools haven't changed, there's even more traffic, no more amenities). What they mean is they've noticed 'posher types' moving in who have been economically cleansed from elsewhere. If the area doesn't provide any more quality of life, how has it become better?

YES, Don't ever believe it when people say it is just as easy to pay for a house now, that is absolute rubbish. i get sick to death of all the over 40's in my office harping on about how they had to struggle to afford their first house.

I don't have all the figures (I am sure some of you clever guys do) but i know it was cheaper pound for pound compared to wages back in the 60's, 70's and even

the 80's (or for most of the 80's).

I am a bit older than most of you on here and I remember my Mum & dad went from a tatty little house in plaistow in 1969 to a 3 bed semi in Romford- all the rooms were huge and there was an enormous garden (I always hated the house but it was big - no denying that !.

My dad probably earned what was the euivalent now of about 20 grand a year (BT Engineer) and my mum didn't work at all. The house they bought would be worth

about 200 grand now, if my Dad was buying that house now on his 20 grand salary - WELL HE COULDN'T COULD HE???

The only difference between then and now is I think FTB'S Have a bigger wish list

once they get in the house. In the 60's & 70's and to some extent the early 80's

everyone was 'make do and mend'. They had old furniture which was never renewed unless it actually broke. Sofa would be matted and falling apart before anyone bought a new one. People did not have credit cards so they very rarely bought the 'latest' TV'S hi Fi's etc. Everybody lived to a similar standard of living

(pretty basic). And that is the difference to now.

:(

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I owned a house back in 93 to 99. (now divorced, so sold property) Brought it for 45k. 2 Bed end of terrace. It was in a great area, good mortgage repayments, bout 250 pcm. If I remember correctly. I Only earn about 5k more now than I did then, (Not a graduate, just an honest hard working girl!) Partner back then earnt earnt less than my current partner does now.

Stupid thing is that now we are priced out of the market. And a 2 bed terrace costs around 125k, and they aren't as nice as what i had owned before!

So when the girls I work with say it was so hard back then. I look back 10 years and think eh? No way!! :blink:

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I owned a house back in 93 to 99.  (now divorced, so sold property)  Brought it for 45k.  2 Bed end of terrace.  It was in a great area, good mortgage repayments, bout 250 pcm. If I remember correctly. I Only earn about 5k more now than I did then, (Not a graduate, just an honest hard working girl!)  Partner back then earnt earnt less than my current partner does now.

Stupid thing is that now we are priced out of the market.  And a 2 bed terrace costs around 125k, and they aren't as nice as what i had owned before!

So when the girls I work with say it was so hard back then.  I look back 10 years and think eh?  No way!! :blink:

YES, Rediculous isn't it ?

People who own homes and have done for years really don't realise how bad it is and most of them don't give a damn ! I am sad to say that most of my generation the so-called 'baby boomers' are probably the most selfish and ignorant generation ever !

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YES, Rediculous isn't it ?

People who own homes and have done for years really don't realise how bad it is and most of them don't give a damn !  I am sad to say that most of my generation the so-called 'baby boomers' are probably the most selfish and ignorant generation ever !

Now now GB people in general are selfish and ignorant you cannot monopolise the selfish and ignorant genes all for the baby boomers.

Its the way people naturally are, its all good, no one owes me anything, ive had it easier than some and alot harder than most, people just suck its the main reason i dont like um. Just dont make the mistake of thinking its limited to a generation :)

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Guest pioneer31
YES, Don't ever believe it when people say it is just as easy to pay for a house now, that is absolute rubbish.  i get sick to death of all the over 40's in my office harping on about how they had to struggle to afford their first house.

I don't have all the figures (I am sure some of you clever guys do) but i know it was cheaper pound for pound compared to wages back in the 60's, 70's and even

the 80's (or for most of the 80's).

I am a bit older than most of you on here and I remember my Mum & dad went from a tatty little house in plaistow in 1969 to a 3 bed semi in Romford- all the rooms were huge and there was an enormous garden (I always hated the house but it was big - no denying that !.  

My dad probably earned what was the euivalent now of about 20 grand a year (BT Engineer) and my mum didn't work at all.  The house they bought would be worth

about 200 grand now, if my Dad was buying that house now on his 20 grand salary - WELL HE COULDN'T COULD HE???

The only difference between then and now is I think FTB'S Have a bigger wish list

once they get in the house.  In the 60's & 70's and to some extent the early 80's

everyone was 'make do and mend'.  They had old furniture which was never renewed unless it actually broke.   Sofa would be matted and falling apart before anyone bought a new one.  People did not have credit cards so they very rarely bought the 'latest' TV'S hi Fi's etc.  Everybody lived to a similar standard of living

(pretty basic).   And that is the difference to now. 

:(

My dad bought his house for £4300 in 1967. At the time he earnt £1900 as a lecturer.

If he was still working today he would be on £25,000...and the house is valued at £245,000.

He bought the house on his salary alone. It's a 3 bedroom detached, so all this 'we had to struggle too' stuff is b*****ks.

Rampant inflation through the 70's and 80's helped erode his debt as well. We don't have that now.

Edited by pioneer31

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My dad bought his house for £4300 in 1967. At the time he earnt £1900 as a lecturer.

If he was still working today he would be on £25,000...and the house is valued at £245,000.

He bought the house on his salary alone. It's a 3 bedroom detached, so all this 'we had to struggle too' stuff is b*****ks.

Rampant inflation through the 70's and 80's helped erode his debt as well. We don't have that now.

Many people who grew up in the 70s and 80s will have stories like this.

In so many ways we are wealthier than our baby boomer parents. Better pay, food, cars, holidays, gadgets, clothes etc. etc. But in one big way we are poorer: housing. You just have to think back to life when you were a kid to figure this out.

frugalista

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Many people who grew up in the 70s and 80s will have stories like this.

In so many ways we are wealthier than our baby boomer parents. Better pay, food, cars, holidays, gadgets, clothes etc. etc. But in one big way we are poorer: housing. You just have to think back to life when you were a kid to figure this out.

frugalista

The problem is that all the gadgets and stuff in the world are just so much latent landfill. It's the house and it's location which is important not the sh1t that people fill them with. People may point at the things they can buy with their borrowed money and proclaim how much better-off they are today but the words are hollow and the things are just temporary.

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The problem is that all the gadgets and stuff in the world are just so much latent landfill. It's the house and it's location which is important not the sh1t that people fill them with. People may point at the things they can buy with their borrowed money and proclaim how much better-off they are today but the words are hollow and the things are just temporary.

Tis very true.. at the end of the day you can't take it with you when you're gone. Everything is on loan if you look at it in that respect.

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Guest Charlie The Tramp
Rampant inflation through the 70's and 80's helped erode his debt as well. We don't have that now.

The high interest rates through those two decades up to 15% did not exactly help.

Many people had to cut down dramatically to protect themselves.

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My dad bought his house for £4300 in 1967. At the time he earnt £1900 as a lecturer.

If he was still working today he would be on £25,000...and the house is valued at £245,000.

He bought the house on his salary alone. It's a 3 bedroom detached, so all this 'we had to struggle too' stuff is b*****ks.

Rampant inflation through the 70's and 80's helped erode his debt as well. We don't have that now.

My neighbours were a couple who came here from Poland during the war I think with little or nothing. They bought their house through his job on the line at the Cowley car works. She never worked. Their house is 5 bedroom detached house with a double width plot. The two sons have now extended and split the house into 3 flats and have planning permission to build a 5 apartment development alongside. Current market value of the 3 flats? Hmm about £700k

Good luck to the family for some good decisions 40+ years ago.

But what a land of plenty we were before and are not now! The stress this puts into our communities is terrible - either way. If there's a HPC millions are damaged economically. If it stays like it is millions are locked out of achieving a basic human need.

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Yes, Gal Bear , the multiples prove your point!.................My town has always had average house prices and my parents always had one average income..........

In 1969 they bought their average 3 bed semi for £4000..............when my dad earned £1400 a year........(multiple 2.86).........same job now pays £24,000 a year but the house costs £ 200,000 (multiple 8.33)

People of this generation had a roller coast ride with the interest rates but inflation quickly eroded their debt...........eg in the Spring of 1975 inflation reached 25%

but Irs were 15%.....(REAL interest rates of -10%!)

Edited by Michael

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My dad bought his house for £4300 in 1967. At the time he earnt £1900 as a lecturer.

If he was still working today he would be on £25,000...and the house is valued at £245,000.

He bought the house on his salary alone. It's a 3 bedroom detached, so all this 'we had to struggle too' stuff is b*****ks.

Rampant inflation through the 70's and 80's helped erode his debt as well. We don't have that now.

My parents were similar, they did struggle, but they had 4 children as well.

Buy now and you'd struggle without children!

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Many people who grew up in the 70s and 80s will have stories like this.

In so many ways we are wealthier than our baby boomer parents. Better pay, food, cars, holidays, gadgets, clothes etc. etc. But in one big way we are poorer: housing. You just have to think back to life when you were a kid to figure this out.

frugalista

I don't think you guys have better pay. Some of you do - most of you don't. I've said this so often on these threads I'm bored saying it.

Look in the windows of your local high street employment agency - 12k, 14k, 16k, etc. etc. The odd one over 20k.

That is the standard salary these days for what I guess are mostly office based administrative jobs.

The thing now is there seems to be a huge gap between unskilled and skilled workers. The employment market is ruthlessly effective here now there are no unions.

Bus drivers now are earning what they were 20 years ago.

It was a lot easier for a bus driver to afford a house then than it is now.

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Marina is right on pay. This board's members sometimes talk like 30k is some average worker's wage, 60k is ok, and 100k is nothing special.

A survey of graduates by the Authors of the Mismanagement of Talent last year shows that graduate starting salaries, when you factor in all graduates and not just blue-chip milkrounders, is a whopping £12.5k.

When the young are accused of being better off it's usually framed in terms of something inane like Easyjet flights and electronic gizmos.

Edited by CrashedOutAndBurned

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CrashedOutAndBurned,

There was an article this year about how the milk round had effectively been ditched - there was no need for it any more.

Aye, this generation has never had it better.

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  • 301 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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