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eric pebble

Forced Sellers Lose £200K - Bang...

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To cut a long story short:

Bumped into an antique dealer in the West Country today; known him to chat to over last 3-4 years.

When I first met him - I talked extensively about impending financial disaster - [proved right with N Crock and Lehman Bros etc.].....

He looked a lot older - and worried. He bought a BTL flat somewhere down on the coast in Weymouth I think.... I warned him not to...

Seems he can't rent it out...

And he recounted a story about friends of his who'd bought a big "lovely country house" near Bruton, Somerset for £950k..... And just recently - forced to sell [don't know circumstances] - and "Bang - they lost £200k - just like that", he said.

The thing is ---- about 3/4 years ago, I WARNED HIM. I TOLD HIM THIS WOULD HAPPEN.

And it's going to get a LOT worse. We ain't seen nothing yet.

And - the VI's are doing all they can to make sure the average Jo doesn't hear about stories like this one - where these people have lost £200k on their property, let alone their losses on all the transaction and moving costs as they've been forced to sell at a loss and find somewhere else to live.....

:rolleyes:

Edited by eric pebble

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And he recounted a story about friends of his who'd bought a big "lovely country house" near Bruton, Somerset for £950k..... And just recently - forced to sell [don't know circumstances] - and "Bang - they lost £200k - just like that", he said.

Not so sure those who bought for £750k are that safe - falling knife anyone?

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To cut a long story short:

Bumped into an antique dealer in the West Country today; known him to chat to over last 3-4 years.

When I first met him - I talked extensively about impending financial disaster - [proved right with N Crock and Lehman Bros etc.].....

He looked a lot older - and worried. He bought a BTL flat somewhere down on the coast in Weymouth I think.... I warned him not to...

Seems he can't rent it out...

And he recounted a story about friends of his who'd bought a big "lovely country house" near Bruton, Somerset for £950k..... And just recently - forced to sell [don't know circumstances] - and "Bang - they lost £200k - just like that", he said.

The thing is ---- about 3/4 years ago, I WARNED HIM. I TOLD HIM THIS WOULD HAPPEN.

And it's going to get a LOT worse. We ain't seen nothing yet.

And - the VI's are doing all they can to make sure the average Jo doesn't hear about things like these people who have lost £200k on their property, let alone all the transaction and moving costs as they've been forced to sell at a loss and find somewhere else to live.....

:rolleyes:

Perhaps your friend should have told the estate agent to make sure that the purchaser took out a LIAR LOAN.

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When did he buy the Weymouth flat?

I ask because I've come across a number of post2002 LL's who are getting totally reamed by their voids.

Apparently they never factor voids into their plan.

Their business model operated along the lines of rent = (mortgage interest / 12) + agents fee + 100 'profit'.

These are all people who claimed to 'understand property'.

OK, I'd say, what do you know about the rental market? Have you ever rented?

Have you looked in the paper to see what places actually rent for?

Have you made an offer on a rental to see if the agents takes it?

Response: blank looks.

Never buy a rental in a place where there are s*d all jobs i.e. weymouth.

Never rent to DSS in these places - seaside town's attract junkies like t*rds atract flies.

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Anecdotes such as this always give me a warm fuzzy feeling. :D

So did he acknowledge your previous and accurate assertions?

He did, a bit sheepishly.... Nice guy, who was TOTALLY sucked in by all the crap you read, hear and see in all that property porn on morning tv..... So many people just CANNOT see the wood for the trees....

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When did he buy the Weymouth flat?

I ask because I've come across a number of post2002 LL's who are getting totally reamed by their voids.

Apparently they never factor voids into their plan.

Their business model operated along the lines of rent = (mortgage interest / 12) + agents fee + 100 'profit'.

These are all people who claimed to 'understand property'.

OK, I'd say, what do you know about the rental market? Have you ever rented?

Have you looked in the paper to see what places actually rent for?

Have you made an offer on a rental to see if the agents takes it?

Response: blank looks.

Never buy a rental in a place where there are s*d all jobs i.e. weymouth.

Never rent to DSS in these places - seaside town's attract junkies like t*rds atract flies.

Unfortunately average munter is painfully thick,and in many cases don`t want to listen don`t want to learn. TV said there was big money in property, owning and renting out, that was all the information many needed or wanted.

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They don't know how lucky they are.

Yup - I agree. They've lost about 21%, which is pretty lucky - since the average is 25-30% at least in a lot of places.... Mate of mine in the property business - has partner with 45 years experience - they're telling sellers - "We'll give you 50% of yr asking price, take it or leave it": In many cases the sellers have HAD TO take it --- 'cos THAT is the REALITY out there.......

And - as I say - factor in all the transitional and moving costs -- and you can add another 10-15% to your losses, easily.

Fact is -- as I've said all along since 2003/4, by the time this all ends values will be down 60-70%. It WILL happen, one way or t'other. I mean, with devaluation of £ [and the Euro for that matter], + inflation [which is at least 10% - and has been for years, the "official" figures are completely rigged], and we're already down 35-40% anyway....

Edited by eric pebble

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Fact is -- as I've said all along since 2003/4, by the time this all ends values will be down 60-70%.

60-70% down on 2004?

I guess that sees us back at prices at 1997 levels.

Should that happen, that would leave almost anyone who has bought since 2000 with negative equity. Scary. I thought it was bad back in 1992, but it will look like a picnic in comparison.

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60-70% down on 2004?

I guess that sees us back at prices at 1997 levels.

Should that happen, that would leave almost anyone who has bought since 2000 with negative equity. Scary. I thought it was bad back in 1992, but it will look like a picnic in comparison.

That chart on the front page should let you know that much :)

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I wouldn't buy a near on £1m house unless I had pots of money, and it was paid for in cash.

It is easy take out a loan, harder to keep up payments, and even harder to pass the buck to a greater fool.

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Never buy a rental in a place where there are s*d all jobs i.e. weymouth.

Never rent to DSS in these places - seaside town's attract junkies like t*rds atract flies.

Jeez, if Weymouth can't attract money in the run up to the Olympics, what's it going to be like in 2013?

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Jeez, if Weymouth can't attract money in the run up to the Olympics, what's it going to be like in 2013?

Despite all the posturing about Weymouth and the Olympic sailing events it's pretty clear that it'll be a huge non event from a local property perspective. Firstly the event will be held in the giant ex-naval harbour, not the prettiest venue so unlikely to translate into a rush for holiday homes even with huge TV coverage. And secondly sailing's one of those sports best seen on the telly, even with the smallest dinghies the action takes place a long way from the shore.

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I mentioned my landlord on another thread a few months ago. Forced to sell the midlands home he bought in 2006 when he let this place to us. £100k down on a single property transaction. Ordinary family man, etc. Brutal. Must have fancied himself as a shrewd operator back then and probably considered us useful fools to milk enroute to untold property wealth. Whoops.

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I mentioned my landlord on another thread a few months ago. Forced to sell the midlands home he bought in 2006 when he let this place to us. £100k down on a single property transaction. Ordinary family man, etc. Brutal. Must have fancied himself as a shrewd operator back then and probably considered us useful fools to milk enroute to untold property wealth. Whoops.

Yup...

The dominoes are lined up - ready to fall, one after the other..... :rolleyes:

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I caught the opening credits of HUTH today- you know the one with all those numbers that keep on going up and up. Will they be honest enough, I wonder ,to do a rebrand where we see those numbers going down?

Not very likely I suspect. :lol:

That opening sequence is a blatant piece of subliminal propaganda which should have been banned- it clearly implies that property investment is a one way bet.

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Boom boom Boom

love the way you talk, that house crash talk

gonna knock you right down

put myself in your house

Boom boom Boom etc :lol::lol: seriously, at 700k someone else will be crying before bedtime soon?

Have you heard 'House Rent Boogie' by John Lee Hooker? It's really funny. Maybe we should have a property blues songs thread.

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How did the couple who went from 950 to 750 lose out - were they forced sellers? Or did they try and sell and only got offered that?

They paid £950k a few years ago. They have lost £200k. No getting away with it. THEY HAVE LOST £200k. :rolleyes:

Edited by eric pebble

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I caught the opening credits of HUTH today- you know the one with all those numbers that keep on going up and up. Will they be honest enough, I wonder ,to do a rebrand where we see those numbers going down?

Not very likely I suspect. :lol:

That opening sequence is a blatant piece of subliminal propaganda which should have been banned- it clearly implies that property investment is a one way bet.

TV pwoperty porn is one of the greatest scandals of our time.

Edited by eric pebble

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This morning on the BBC breakfast thing they were saying something about a group of people getting together to get on the ladder. Last time I saw that was the late 80s and we all know what happened next.

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TV porn is one of the greatest scandals of our time.

you mean TV property porn ?

for what it's worth, I'm quite fond of TV porn (without the property word inserted)

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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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