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matt173407

Overpriced And My Thoughts!

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I earn a nice wage , i also inherited a property so my opinion is unbiased as an FTB.

I currently rent a nice flat in a nice loction in west yorkshire for £400 a month no ties no worries about repairs etc.

I can buy the flat next door for 135k costing me nearly 3 times what i pay now with more stress and agro and the risk of coming stuck with it all becuase people are insisting to buy buy buy and it is well overpriced !!

Everyone says about property going up and increase etc my opinion is twaddle, no property especially houses at 140k in the middle of a council estate are selling , everyone i know who has been trying to sell for the last 6 months are stuck!

Everyone who was daft enough to mortgage themselves up over the last 12 months are now struggling!

If the housing market survives the way it is for another 6 months i will be impressed!!

Im not the smartest bear in the park but im not daft enough to believe all the rubbish going about 6% increase etc it aint selling now so it aint gonna sell in future inless prices drop !

If you look at bbc news etc , one day "prices going up market on the up" next day "Prices droppping market stuck" someone tell me what to believe ?????

any FTB, you can get a great deal renting and living in the place you want and still be able to afford a life or you can give in to peer preasure stitch yourself up and prob lose the house and your marbles within 12 months!

Remeber kids just say NO!

Thats my rant so bring it on!

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Yes but i`m desperate to move out! Parents are driving me mad! I`m 26 now. Hope prices correct soon.

But when prices go down the interest rate goes up does`nt it? So they get you either way. Any thoughts on this

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Yes but i`m desperate to move out! Parents are driving me mad! I`m 26 now. Hope prices correct soon.

But when prices go down the interest rate goes up does`nt it? So they get you either way. Any thoughts on this

Like I've always said. Better to have a lower loan on a higher interest rate, than a higher loan on a lower rate.

RATES CHANGE, YOUR DEBT IS STATIC

Also with higher interest rates, any slight changes makes less impact on your payments

with lower interest rates, a small change is huge to your payments in % terms.

Edited by OzzMosiz

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Yes but i`m desperate to move out! Parents are driving me mad! I`m 26 now. Hope prices correct soon.

But when prices go down the interest rate goes up does`nt it? So they get you either way. Any thoughts on this

It is far better to have a property prices lower with interest rates higher, than high property prices and low interest rates.

It has been shown on here many times. Look at the thread entitled something about "Nominal Interest Rates etc" for an explanation.

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Yes but i`m desperate to move out! Parents are driving me mad! I`m 26 now. Hope prices correct soon.

But when prices go down the interest rate goes up does`nt it? So they get you either way. Any thoughts on this

Flatshare, rent a room.... depending where you live you could get something for £130 a mounth all inclusive upwards.. If you have a couple of mates rent with them

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Yes but i`m desperate to move out! Parents are driving me mad! I`m 26 now. Hope prices correct soon.

But when prices go down the interest rate goes up does`nt it? So they get you either way. Any thoughts on this

What's wrong with renting if they are really driving you mad..?

My rental costs would not even cover the interest on a mortgage if I were to buy the house I live in at the moment.

It makes sense to rent at the moment IMO.

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Guest Homer

That original post sums up my sentiments exactly.

I'd rather have a week in Dubai than a new back door for my cr@ppy house any day.

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Yes but i`m desperate to move out! Parents are driving me mad! I`m 26 now. Hope prices correct soon.

But when prices go down the interest rate goes up does`nt it? So they get you either way. Any thoughts on this

You should WANT IR's to go up!!!!

Doesn t make sense at first look but it will be better for you later on.

EG.

A house is £100K and you borrow 80K at 5% = £473.01 p.c.m.

In theory a rise should put pressure on house prices to come down. So you may get that £100K house for £95K

A house is then £95K and you borrow 75K at 5.5% = £465.93 p.c.m.

Even though the IR has risen you should pay less because the debt you are taking on is less. It is even more apparent 5 years down the line. You are best borrowing at HIGH IR's where the future direction is likely to go down than at LOW IR's when the signs are they are likely to go up!!

TB

* Sorry if I have repeated thing said in previous posts but when I added my reply it was on post 2! Looks like 5 of us have had something to say and we all think the same :)

Edited by teddyboy

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You should WANT IR's to go up!!!!

Doesn t make sense at first look but it will be better for you later on.

EG.

A house is £100K and you borrow 80K at 5% = £473.01 p.c.m.

In theory a rise should put pressure on house prices to come down. So you may get that £100K house for £95K

A house is then £95K and you borrow 75K at 5.5% = £465.93 p.c.m.

Even though the IR has risen you should pay less because the debt you are taking on is less. It is even more apparent 5 years down the line. You are best borrowing at HIGH IR's where the future direction is likely to go down than at LOW IR's when the signs are they are likely to go up!!

TB

Good example to demonstate the obvious - but does a 0.5% increase in IR's warrant a 5% decrease in HP's!

A bit misleading the say th least.

* Sorry if I have repeated thing said in previous posts but when I added my reply it was on post 2! Looks like 5 of us have had something to say and we all think the same :)

Good example to demonstate the obvious - but does a 0.5% increase in IR's warrant a 5% decrease in HP's!

A bit misleading the say th least.

EDIT:

Sorry, my reply got hidden amongst your post because I didn't scroll down far enough!

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Yes but i`m desperate to move out! Parents are driving me mad! I`m 26 now. Hope prices correct soon.

But when prices go down the interest rate goes up does`nt it? So they get you either way. Any thoughts on this

Don't forget you are probably driving them nuts. They have fed and clothed you for 26 years. For feck's sake move out and give them some peace. If you have to move out and live in a shared flat with some mates - do it. If you don't like it and think life/society/whatever is unfair - start a revolution.

I've always said jokingly that when mine go to Uni - don't bother coming back for Christmas - we'll have gone with no forwarding address! Older they get, less of a joke it seems.

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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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