If/when The Crash Happens What Will Be Available To Buy ?

[iLegallyBlonde]

I mean what if you don't want a two bedroomed city flat or a terrace or a new build, would the crash affect 4 bed detached in the suburbs ?????

Surely Mr and Mrs Average would just sit tight and ride the storm ???

[Guest]

Everything.

Sooner or later someone in a detached is going to want to move house...

[frugalista]

Everything.

Sooner or later someone in a detached is going to want to move house...

Don't forget about deaths, divorces and reposessions.

Oh yes, and huge numbers of baby boomers downsizing and retiring to sunnier climes.

frugalista

[Guest Charlie The Tramp]

Oh yes, and huge numbers of baby boomers downsizing and retiring to sunnier climes.

And many babyboomers returning from sunny climes when their dreams turn sour.

[Guest]

And people moving to a s*****y new job elsewhere.

EDIT: s w a n k y

The server starred it out, not me! ******ing shite software!

EDIT 2: I notice it doesn't star everything out, though!

Edited December 6, 2005 by megaflop

[2005]

I had no idea the server could **** out rude words.

I wondered why one of my words was **** out the other day.

The word was 'country'

I must have missed a letter out

[oracle]

I mean what if you don't want a two bedroomed city flat or a terrace or a new build, would the crash affect 4 bed detached in the suburbs ?????

Surely Mr and Mrs Average would just sit tight and ride the storm ???

yup,the whole lot is gonna be pummelled....BTL 2-beds will be the worst hit,but 3/4/5 bed homes will get spanked too...as the folks with the imaginary money have to fund a very real debt as the main income earner gets laid off.

...a lot of people have bought on the basis of 2 steady incomes,but the reality is that only 1 should ever be relied on....be it for child-rearing or redundancy reasons.

...and as for single-occupied 2-beds/flats......total devastation on the cards.BTL rental defaults galore!

that's BEFORE BTL stampede for the exit!

[fatfreddie]

I mean what if you don't want a two bedroomed city flat or a terrace or a new build, would the crash affect 4 bed detached in the suburbs ?????

Surely Mr and Mrs Average would just sit tight and ride the storm ???

As it is presently a buyers market anything can happen Mr & Mrs Average may be emigrating, their business has gone bankrupt, unemployed, tax man after them etc this all depends if they are being FORCED to sell the house this is where you pick up the bargains. This is where you ask outragious asking prices upto 25 % below asking price....in effect you are doinga reverse of a boom. Try this on ten homes and you could pick up a bargain. Become an investigator and find out why they are selling. Has someone died I know its quite sad but the relatives just want the cash and will be happy with any price. If you don't ask you don't get.

A HOUSE IS ONLY WORTH WHAT SOMEONE IS WILLING TO PAY FOR IT so if no one is buying its start coming down until a price someone is willing to buy it. Hence you get bargains off Forced Sellers b4 repossession time. Check out if any repossession companies in your areas. Also Auctions tell you what property in the area is worth, so if property is getting passed in at a price its worth less than that.

Good Bargain Hunting

[Once in a lifetime]

From memory:

Flats / houses ~ good areas / bad areas, all fell at different rates, some hit bottom sooner

some even rose slightly when others fell? but eventually they all bottomed out.

I wouldn’t like to guess how this time though.

[aris]

Surely if unemployment is the trigger for a true "crash" (rather than a soft landing), then many of the people looking to buy after a crash might well be unemployed?

[Tuberider]

remember the last crash well.. prices in my part of london were at rock bottom

you could get a 3 bedroom terraced in east enfield, edmonton and ponders end for 60-65k

terraces in palmers green and southgate were up for around 80-90k

for 100-150k you could go bigtime and head to southgate or arnos grove

and those were just asking prices. selling prices were probably much lower.

my dad bought an ex council terrace in east enfield (chav central) for 45k, 3 bedrooms and big garden. similiar properties on the market now for 180k

thing is, nobody had any money and the banks werent lending. so after a while it all seemed so normal.

[Fancypants]

Surely if unemployment is the trigger for a true "crash" (rather than a soft landing), then many of the people looking to buy after a crash might well be unemployed?

we'll have none of that "soft landing" talk around here!

:angry:

[Randall Herbert]

Surely if unemployment is the trigger for a true "crash" (rather than a soft landing), then many of the people looking to buy after a crash might well be unemployed?

True. As well as the continuing HPC, a recession is now assured and is likely to take a huge number of jobs with it.

There will be very few FTB'rs looking at purchasing when things do eventually hit the bottom. Hopefully the sensible ones on here who do lose their jobs, manage to hang-on to their deposits that they have been saving up carefully.

Prices will plateau for a number of years following this latest HPC, but on the bottom and not the top, as some of the failed Bullish BTL portfolio value protectors such as TTRTR. have spouted endlessly over the past few years.

Tough times ahead, hopefully those of you who have seen through all the nonsense spouted by the lenders, 'Crash' Gordon Brown, Senior Economists etc etc will be better poised to survive.

[aris]

The ones best posied to benefit from a crash are the ones who have saved a nice deposit, and have secure jobs. The rest will be in the same boat as everyone else. It will be interesting to see.

[FRUSTRATED]

We are babyboomers with cash to buy a property in Cardiff, having sold in Cheshire (we are originally from South Wales) we have been surprised by the high price of property in Cardiff and the low quality. Two offers have fallen through, the second one we offered 97% of a high asking price and they held out for more, we walked away. We have been renting since August which is not ideal as all our "stuff" is in storage and we would like to live in our own home again. I have read many of the articles in the Forums and agree with the proposition that house prices will fall--but when? Many properties have been on the market for a long time without any price reduction so the vendors obviously have nowhere in mind to go. If I hold on to my cash and wait, when the prices fall eventually will we only have the choice of repossessions or those that have to move because of work relocation?

[Ritters]

And people moving to a s*****y new job elsewhere.

EDIT: s w a n k y

The server starred it out, not me! ******ing shite software!

EDIT 2: I notice it doesn't star everything out, though!

I wonder what would happen if you add the asterix to the swear filter, will it loop until it crashed?

[maxed out]

Last time, all the studios and one bed flats were leapfrogged in favour of two bed terraces with gardens.

a studio in the block we lived in went from £55000 new to £27000, quite a drop.

[A late entrance..]

I quite fancy picking up a nice two bed new build flat from a BTL bankrupt, as long as the drops are high and my job safe then I may be able to score one in a nice area to boot!

Location will no doubt be key - lets face it, we all see houses/flats for sale now that we wouldn't buy even if they were 1/2 price!

[libitina]

Will most people put their property on the market in January or will they wait until February/March time for the spring bounce?

Why are people putting theirs on the market now? It's only 2 weeks to Xmas, makes them look a bit desperate doesn't it..

[MattLG]

Surely if unemployment is the trigger for a true "crash" (rather than a soft landing), then many of the people looking to buy after a crash might well be unemployed?

So get saving!!!

MattLG

[Tuberider]

wasnt it wierd how during the last crash nobody was much interested in property at all

it seemed like such a dud investment... except to a few clued up BTL's who build up strong portfolios in the slump and subsequent rising market i guess

it was there, and it was cheap, for such a long time. which meant people became complacent about buying, putting off the purchase until later because they felt it might fall further. or because they felt their job was not secure enough. or to save for a bigger deposit.

there was a lot of doom and gloom, and i remember talk of a new paradigm, how wealth had shifted to the far east and england was going to have to get used to a lower level of productivity and subsequent lower standards of living

people became more insular

music and tv got better

my old man was having a go at me, prodding me to buy. i shrugged it off thinking i could get a place anytime at these prices. he snapped up a few local baragains and has them rented out and paid for right now.

ah the folly of youth. i too could have been a BTL kingpin...

maybe next time...

[Bedsprings]

I remember a colleague who managed to sell his 3 bed house in 1993, and then started looking for the next house, as he had 3 children, and needed more room. He was looking in Tooting for a 4-5 bed 'nice' house, and could find ... nothing at all - there was just nothing on the market. He started looking all over the place, and nearly bought a house near me in East Surrey, he was so desperate (!) It was a sale by a deceased estate, and in poor condition.

Eventually he did find somewhere to buy in Tooting, but I fear the message is that in a property crash, only those who have to sell, do.