Bubble & Squeak Posted January 27, 2015 Report Share Posted January 27, 2015 http://www.rightmove.co.uk/new-homes-for-sale/property-30984741.html Not quite as many steps... but a quarter off 1.6 million is a lot of money. I wonder how the neighbours who bought at original price are feeling (looking at the building there's 6 other identical flats. i wonder at what price the developers would be making a loss Quote Link to post Share on other sites
Bubble & Squeak Posted January 27, 2015 Report Share Posted January 27, 2015 Just the sort of 'bitcoin' that Russian and Chinese thieves like to buy and leave empty. Pehaps they have gone home.. Here in Aus I heard a story about a few of the Chinese buying our new build tower blocks (built in thier 1000's just for them it would seem) for the same purpose, however then believing that paying the massive service fees for such buildings to be optional, based on the fact that they were not living there, thus not wearing the place out. I see problems.. hopefully big problems. i can see a situation developing whereby we have a massive crash in new builds while actual houses merely correct. a new build in stratford costs a lot more than a 3 bed period house in the area. Quote Link to post Share on other sites
ccc Posted January 27, 2015 Report Share Posted January 27, 2015 Willesden on HUTH now. Guy who bought it has all the local knowledge as he is a property solicitor.... Bought at auction end of may 2014. Brilliant timing. Bought for 291, spending expected 20, going to adda tiny wee second bedroom. Expert estate agent reckons 400k final value. Let's see. Auction room full of people - the place is going to be worth 400k when done - the numbers just don't add up. Many others in the room will have the funding and knowledge of prices. Why would they all just stand there and let someone else make all this 'profit' without firing in themselves ? Its just made up nonsense (most of it anyway) Quote Link to post Share on other sites
ccc Posted January 27, 2015 Report Share Posted January 27, 2015 Interesting both agents - in Nov - said 'in the current market' worth 350-375. So they were not shy about the London 'slowdown' - didn't actually say this of course. Quote Link to post Share on other sites
Eddie_George Posted January 27, 2015 Report Share Posted January 27, 2015 i can see a situation developing whereby we have a massive crash in new builds while actual houses merely correct. a new build in stratford costs a lot more than a 3 bed period house in the area. Both old and new builds are included in the main indexes. You can't have one crash without the other. Quote Link to post Share on other sites
Bubble & Squeak Posted January 27, 2015 Report Share Posted January 27, 2015 Both old and new builds are included in the main indexes. You can't have one crash without the other. for me, a new build flat would have to be incredibly cheap for me to buy over a house. at the moment new builds in stratford are significantly higher priced than houses in the area. if they were evenly priced i wouldn't buy one. if they were half the price of a house i still wouldn't buy one. if a new build flat was a quarter of the price of a house in the area i would think about it. so, from a personal perspective and as an east london native new builds would have to actually crash to get my interest. Quote Link to post Share on other sites
Eddie_George Posted January 27, 2015 Report Share Posted January 27, 2015 (edited) for me, a new build flat would have to be incredibly cheap for me to buy over a house. at the moment new builds in stratford are significantly higher priced than houses in the area. if they were evenly priced i wouldn't buy one. if they were half the price of a house i still wouldn't buy one. if a new build flat was a quarter of the price of a house in the area i would think about it. so, from a personal perspective and as an east london native new builds would have to actually crash to get my interest. I totally agree. It's just that when new builds fall in price, period properties will follow. New builds will fall hardest, but period properties will be dragged down too. Let's face it, all property is overpriced because of loose lending in the main. Edited January 27, 2015 by Eddie_George Quote Link to post Share on other sites
Frizzers Posted January 27, 2015 Report Share Posted January 27, 2015 Clapham. last 3 days: 1/23: 4% I wouldn't worry too much about this. It will be to do with the changeover to the new website On The Market. That's going to skew the price falls measuring system on this thread over the next few weeks. Does OTM record price reductions, by the way? Quote Link to post Share on other sites
Eddie_George Posted January 27, 2015 Report Share Posted January 27, 2015 Does OTM record price reductions, by the way? Doesn't look like it. Only recent prices of sold properties nearby. Hopefully Propertybee will update their tool to work with OTM soon. Quote Link to post Share on other sites
Frizzers Posted January 27, 2015 Report Share Posted January 27, 2015 for me, a new build flat would have to be incredibly cheap for me to buy over a house. at the moment new builds in stratford are significantly higher priced than houses in the area. if they were evenly priced i wouldn't buy one. if they were half the price of a house i still wouldn't buy one. if a new build flat was a quarter of the price of a house in the area i would think about it. so, from a personal perspective and as an east london native new builds would have to actually crash to get my interest. There in a nutshell is one of the main reasons new builds are screwed. Locals prefer period property if they can get it because it is, mostly, nicer. If new builds were actually nice, this wouldn't be the case, but most have little or no style. We have planning to thank for that. It has removed originality and variety from homebuilding. New builds also suffer from high service charges which makes them doubly unattractive. The new build market is completely dependent on foreign buying which may or may not last - and is becoming increasingly unpopular for reasons we all know. Quote Link to post Share on other sites
Frizzers Posted January 27, 2015 Report Share Posted January 27, 2015 Doesn't look like it. Only recent prices of sold properties nearby. Hopefully Propertybee will update their tool to work with OTM soon. Quote Link to post Share on other sites
Bankside Posted January 27, 2015 Report Share Posted January 27, 2015 http://www.rightmove.co.uk/new-homes-for-sale/property-30984741.html Not quite as many steps... but a quarter off 1.6 million is a lot of money. I wonder how the neighbours who bought at original price are feeling (looking at the building there's 6 other identical flats. I think that is 201 - never sold. Here are the two above (identical) Apartment 401, Park Vista Tower, 5 Cobblestone Square, London, Greater London E1W 3AY £725,000 Flat, Leasehold (New Build) 26 Mar 2014 Apartment 301, Park Vista Tower, 5 Cobblestone Square, London, Greater London E1W 3AY £734,400 Flat, Leasehold (New Build) 25 Mar 2014 So sadly kiteflying and not by any stretch a bargain. The people upstairs are still opening the bubbly! Quote Link to post Share on other sites
WatchingFromTheHills Posted January 27, 2015 Report Share Posted January 27, 2015 It's still Wapping ... Quote Link to post Share on other sites
Damik Posted January 27, 2015 Author Report Share Posted January 27, 2015 (edited) Streatham RM traffic for last 24h: 53% (19/36) of price reductions Fulham RM traffic for last 24h: 33% (11/33) of price reductions SW8 RM traffic for last 24h: 40% (6/15) of price reductions Edited January 27, 2015 by Damik Quote Link to post Share on other sites
hackney Posted January 27, 2015 Report Share Posted January 27, 2015 It's still Wapping ... Lol. How true. Quote Link to post Share on other sites
Damik Posted January 27, 2015 Author Report Share Posted January 27, 2015 http://moneyweek.com/merryns-blog/london-house-prices-how-demand-has-created-its-own-supply/ The new supply coming on, they say, is so huge that it is something of a “cuckoo in the nest” of the London housing market. How huge? Their research suggests that 54,000 units are in the pipeline.Last year, under 4,000 properties sold for over £1m in prime London, something that gives you an idea of just how big (or small) the second-hand market is. http://www.cityam.com/208028/foxtons-share-price-falls-revenues-fall-12-cent Not a good day for Foxtons shareholders. Shares fell 2.4 per cent in early trading as the upmarket estate agent - known for its trendy Minis and even trendier, bar-like offices - has posted fourth quarter results showing revenues fell 12 per cent in the three months to the end of December. That was driven by a 25.7 per cent fall in sales commission during the quarter - although it added that full-year sales commission rose 3.6 per cent to £70m. http://www.thisismoney.co.uk/money/markets/article-2928185/Cooling-London-market-forces-Foxtons-profit-warning-lettings-soar.html Estate agency chain Foxtons issued another profit warning today amid a cooling property market in London Quote Link to post Share on other sites
Bubble & Squeak Posted January 27, 2015 Report Share Posted January 27, 2015 i wonder why those people queuing for three days to buy a chipboard rat cage in stratford the other day didn't buy this: http://www.rightmove.co.uk/new-homes-for-sale/property-30695526.html Price changed: from '£425,000' to '£400,000' today was originally £440k Quote Link to post Share on other sites
Damik Posted January 27, 2015 Author Report Share Posted January 27, 2015 (edited) i wonder why those people queuing for three days to buy a chipboard rat cage in stratford the other day didn't buy this: http://www.rightmove.co.uk/new-homes-for-sale/property-30695526.html Price changed: from '£425,000' to '£400,000' today was originally £440k 6% haircut in 20 days; perhaps 60% haircut in 200 days ??? Perhaps a builder with cash flow problems ... ??? Edited January 27, 2015 by Damik Quote Link to post Share on other sites
Samboy Posted January 27, 2015 Report Share Posted January 27, 2015 i wonder why those people queuing for three days to buy a chipboard rat cage in stratford the other day didn't buy this: http://www.rightmove.co.uk/new-homes-for-sale/property-30695526.html Price changed: from '£425,000' to '£400,000' today was originally £440k Maybe because some fool thought it was a good idea to put the kitchen in the lounge. Quote Link to post Share on other sites
Venger Posted January 28, 2015 Report Share Posted January 28, 2015 http://moneyweek.com/merryns-blog/london-house-prices-how-demand-has-created-its-own-supply/ The new supply coming on, they say, is so huge that it is something of a “cuckoo in the nest” of the London housing market. How huge? Their research suggests that 54,000 units are in the pipeline.Last year, under 4,000 properties sold for over £1m in prime London, something that gives you an idea of just how big (or small) the second-hand market is. This is what I was trying to refer to a few days ago. Actually I think it was a post by Free Trader which alerted me to just how much newbuild/offplan supply developers will try and flog into forever HPI 'the money never runs out'. Article I read yesterday suggested at least one developer got financing to buy expensive plot of land in London from bridging loan/speciality finance, as they then sell offplan. http://bridgingloandirectory.co.uk/2014/08/05/omni-capital-funds-chelsea-island-acquisition/ Seems like reflated boom malinvestment to me, if trying to realise these kind of prices - but maybe they do manage to flog them to enough people still in love with HPI who have enough money or the and borrow to pay such prices. Then again battles that I thought were won, have not been; excuses and reflation forever. There was an article, sometime early 2014, wondering what the market would be like, and looking at risks for developers, as a lot of newbuild London property set to come to market 2015. Sunday Times, Money section, quite packed with it. Barratt London Join Us As We Unveil Two Brand New Show Apartments At Great Minster House Thursday 22nd January Prices from £885,000 to £6,000,000 (Both show apartments will be available to buy and can include the bespoke furniture and accessories. Many apartments are available to move into now. Crest Nicholson - The Bevenden Bold New Apartments Launching 5-7.30pm Wednesday 21st January A collection of just 42 exclusive one, two and three bedroom apartments in the heart of Hoxton 1 bedroom apartments from £500,000 etc etc x loads Quote Link to post Share on other sites
spyguy Posted January 28, 2015 Report Share Posted January 28, 2015 London 2015/16 looks like Leeds 2003/2005. Quote Link to post Share on other sites
WatchingFromTheHills Posted January 28, 2015 Report Share Posted January 28, 2015 What happened in Leeds? Quote Link to post Share on other sites
Damik Posted January 28, 2015 Author Report Share Posted January 28, 2015 (edited) This is what I was trying to refer to a few days ago. Actually I think it was a post by Free Trader which alerted me to just how much newbuild/offplan supply developers will try and flog into forever HPI 'the money never runs out'. Article I read yesterday suggested at least one developer got financing to buy expensive plot of land in London from bridging loan/speciality finance, as they then sell offplan. http://bridgingloandirectory.co.uk/2014/08/05/omni-capital-funds-chelsea-island-acquisition/ This is good news. Builders can not afford to do not sell quickly as their banks would wihtdraw financing. I am sure we will see aggressive new build price reductions this quorter ... Edited January 28, 2015 by Damik Quote Link to post Share on other sites
mmt Posted January 28, 2015 Report Share Posted January 28, 2015 What happened in Leeds? Leeds specifically: 2002: sales: 15394, avg price: 98549 2003: sales: 15166, avg price: 120109 2004: sales: 14897, avg price: 140511 2005: sales: 12445, avg price: 149729 Ten years on: 2012: sales: 6580, avg price: 165286 2013: sales: 8413, avg price: 167023 2014: sales: 8414, avg price: 171242 RPI inflation reduces the 2014 real value by 26%, so £126K in 2004 money. Quote Link to post Share on other sites
Frizzers Posted January 28, 2015 Report Share Posted January 28, 2015 Streatham RM traffic for last 24h: 53% (19/36) of price reductions Fulham RM traffic for last 24h: 33% (11/33) of price reductions SW8 RM traffic for last 24h: 40% (6/15) of price reductions SW8 is catching up with Streatham Quote Link to post Share on other sites
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