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andybee33

Another Hpc Capitulator!

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Hey all,

Well, after a few years of lurking (and sometimes posting) on here, I've decided that voting against 'the system' (by not buying) and being fleeced by it (by QE 4 EVA) are sadly the same thing. With a slightly heavy heart, I have made (and had accepted) an offer to buy today. I know these things are personal, but here are my reasons/pros/cons, just for the record:

1 - I had to move area anyway, to be closer to a new office my business is opening

2 - I fancied a change of scene anyway

3 - The kids are 6 and 9 and quite want to have their bedrooms painted in the colour of their choice (oh dear!)

4 - My deposit is depreciating in real terms

5 - It's a long term thing, so I'm largely ambivalent about paper price drops

6 - The bitter pill has been somewhat sweetened by the fact that I'm moving to a comparatively 'cheap' area (north Lincs) where you still get quite a lot of house for your money.

The good news is that I have paid exactly the same price for the place as the vendor paid in........2002!

I will still come and lurk here. I like to be among relatively sane people :)

Best,

Andy

Edited by andybee33

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Hey all,

Well, after a few years of lurking (and sometimes posting) on here, I've decided that voting against 'the system' (by not buying) and being fleeced by it (by QE 4 EVA) aren't the same thing. With a slightly heavy heart, I have made (and had accepted) an offer to buy today. I know these things are personal, but here are my reasons/pros/cons, just for the record:

1 - I had to move area anyway, to be closer to a new office my business is opening

2 - I fancied a change of scene anyway

3 - The kids are 6 and 9 and quite want to have their bedrooms painted in the colour of their choice (oh dear!)

4 - My deposit is depreciating in real terms

5 - It's a long term thing, so I'm largely ambivalent about paper price drops

6 - The bitter pill has been somewhat sweetened by the fact that I'm moving to a comparatively 'cheap' area (north Lincs) where you still get quite a lot of house for your money.

The good news is that I have paid exactly the same price for the place as the vendor paid in........2002!

I will still come and lurk here. I like to be among relatively sane people :)

Best,

Andy

Well done, because you've not capitulated if you paid the '02 price, not in my opinion anyway.

Many on here (me included) thought '02-'05 prices were bubbled up, but speaking for myself (and probably some others too) I'd grab the chance of buying at those prices again in nominal terms. I blame my own misjudgement for not realising how dependent the UK economy is on high house prices and how determined 'they' would be to fight a return to anything like sense. I don't know if sense will ever return, but unless IRs climb it's hard to see how. Forgive my cathartic ramble, btw.

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I hope your kids choose better than mine when the chance to paint their bedroom came up. Mine chose the " landlord favourite" magnolia. Sigh, institutionalized or what!

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2002 price is decent enough - although still possibly 2X the 2000 price depending on the area. But given what's happened in the decade since it's likely a good deal.

There is also something quite appealing about getting a place for the same price or less than the seller paid for it.

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Well done, because you've not capitulated if you paid the '02 price, not in my opinion anyway.

Many on here (me included) thought '02-'05 prices were bubbled up, but speaking for myself (and probably some others too) I'd grab the chance of buying at those prices again in nominal terms. I blame my own misjudgement for not realising how dependent the UK economy is on high house prices and how determined 'they' would be to fight a return to anything like sense. I don't know if sense will ever return, but unless IRs climb it's hard to see how. Forgive my cathartic ramble, btw.

I can`t see how it depends on it now, very few people can release "equity" these days compared to the run up to 2007? Houses were just the perfect big ticket item to get people to desire credit for, and even if the VI`s persuaded the sheeple to start buying Lear Jets on credit it would never work the same way, there isn`t anything that I can think of that would even come close to housing for running a perfect Ponzi scheme (sentiment was all important of course), perfect until it all fell apart that is. A better way to put it would be, UK banks are dependent on people continuing to service their loans so they can maintain the pretence of solvency, the UK economy is already f*ucked?

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2002 price is decent enough - although still possibly 2X the 2000 price depending on the area. But given what's happened in the decade since it's likely a good deal.

There is also something quite appealing about getting a place for the same price or less than the seller paid for it.

It's better than that. The vendor used 2002 pounds to pay for it whereas andybee is using 2013 pounds, each one of which has been devalued by approx 23% (CPI) in the meantime. Bargain!

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Hey all,

Well, after a few years of lurking (and sometimes posting) on here, I've decided that voting against 'the system' (by not buying) and being fleeced by it (by QE 4 EVA) are sadly the same thing. With a slightly heavy heart, I have made (and had accepted) an offer to buy today. I know these things are personal, but here are my reasons/pros/cons, just for the record:

1 - I had to move area anyway, to be closer to a new office my business is opening

2 - I fancied a change of scene anyway

3 - The kids are 6 and 9 and quite want to have their bedrooms painted in the colour of their choice (oh dear!)

4 - My deposit is depreciating in real terms

5 - It's a long term thing, so I'm largely ambivalent about paper price drops

6 - The bitter pill has been somewhat sweetened by the fact that I'm moving to a comparatively 'cheap' area (north Lincs) where you still get quite a lot of house for your money.

The good news is that I have paid exactly the same price for the place as the vendor paid in........2002!

I will still come and lurk here. I like to be among relatively sane people :)

Best,

Andy

That's ok. It's all been manipulated by govts. It will play out and it will right itself over time. The bond market is showing rate rises to come and relatively quickly.

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Congrats

Don't feel bad, this forum was spot on with predicting the crash,

But didn't / dosent have a buying alarm in place.

There were some clever guys on here who jumped back into property

At the bottom of the 1st dip & picked up property cheap because

Not many had deposits saved up etc

I bought at the bottom of the double dip near London.

London price rises mean I have no fear of negative equity at all

& I'm now nearly on 80% LTV.

Sometimes tou got to Bend your morals or you’ll break, eventually.

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It's better than that. The vendor used 2002 pounds to pay for it whereas andybee is using 2013 pounds, each one of which has been devalued by approx 23% (CPI) in the meantime. Bargain!

Thanks for the comments everyone. The one above has especially cheered me up! As for the kids bedrooms, I hate to think what lurid shade of pink my daughter is going to choose (only for me to repaint in next year once she is sick of it)! Still, at least it won't be 'landlord magnolia' - we've had enough of that to last a lifetime! :)

Edited by andybee33

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That's ok. It's all been manipulated by govts. It will play out and it will right itself over time. The bond market is showing rate rises to come and relatively quickly.

Yes, I agree with the bond market sentiment. As things stand though, I'm quite sanguine about it all. I know I can afford the mortgage even if base rates go back up to historical norms and, like many of us I suspect, I've always secretly believed that as soon as I buy, the main part of the crash will get underway! Think of this as my taking a hit for the team :)

Edited by andybee33

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Well done, because you've not capitulated if you paid the '02 price, not in my opinion anyway.

Many on here (me included) thought '02-'05 prices were bubbled up, but speaking for myself (and probably some others too) I'd grab the chance of buying at those prices again in nominal terms. I blame my own misjudgement for not realising how dependent the UK economy is on high house prices and how determined 'they' would be to fight a return to anything like sense. I don't know if sense will ever return, but unless IRs climb it's hard to see how. Forgive my cathartic ramble, btw.

+1.

I'd never have considered buying at 2002 price in 2005, but now I'd jump at the chance and I think a lot of people would buy several.

In my area, prices are at least double 2002 in nominal terms and I don't think that I will ever see them that low again (even though I still hold out hope for a 'crash' of some sort)

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+1.

I'd never have considered buying at 2002 price in 2005, but now I'd jump at the chance and I think a lot of people would buy several.

Why would they buy several? Oh to become landlords? Just 1 house for me thanks.

HPC brings more HPC, after they're run out of all market support measures. 1999 price for me thanks, but pleased andybee is happy with their new home and the price paid.

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Why would they buy several? Oh to become landlords? Just 1 house for me thanks.

HPC brings more HPC, after they're run out of all market support measures. 1999 price for me thanks, but pleased andybee is happy with their new home and the price paid.

Exactly. If I were able to go back in time and make an investment based on certain knowledge of the future I'd stick the money on a horse, or better still a ten horse accumulator :D.

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Why would they buy several? Oh to become landlords? Just 1 house for me thanks.

No need to become a landlord in this ridiculous bubble. If you could buy houses at 2002 levels in 2005, you may as well just lock them up and leave them to appreciate without all the hassle of tenants etc.

Not saying I'd actually do it, but it must be tempting for a lot of people.

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No need to become a landlord in this ridiculous bubble. If you could buy houses at 2002 levels in 2005, you may as well just lock them up and leave them to appreciate without all the hassle of tenants etc.

Not saying I'd actually do it, but it must be tempting for a lot of people.

Here's not the place to say it, given happy for the original poster, but not when money begins to tighten up. Velocity is falling, cuts feeding through. Tapering ahead in USA, and China putting the brakes on the higher-speculative end. It's all occurring now. Just look how much money Government is spending per year, than it gets in income. Recently hearing of an old family business coming under commercial strain, and that does not bode well for their BTLs which are having some problems at the same time. Bedroom taxes, incomes under strain, talk of changes to council taxes.

When it goes down, and it's just begun, the hype will go into reverse. 'Power always seeks the readiest road to wealth/income/money, by attacking those in possession of it.' That's many home-owners for me; nowhere to run. Bruce knows it; people will be happy with 1 house when the falls begin, and as they become more notable, the desire for property-investing will fall right off. Or I could be wrong and priced out forever, with FLS and Help-To-Buy. Can't wait for the belief in HPI to shatter.

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  • 238 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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