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Warwickshire Lad

Just dropping in after 10 years away...

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Hi everyone - I used to post on here very frequently about a decade or so ago.  Glad to see the site is still here, because it's such a treasure trove of information.  :-)

So, I guess it's time to share an update.  

Well, in 2007 I was an FTB.  However, the decision to buy at that time was not easy - after a lot of time spent on this forum over 3 years or so I became passionate in the belief a HPC was imminent, but a combination of my improved financial circumstances, coupled with some disillusionment creeping in, I caved in and bought a property.

So, a decade on, how did I do?

I bought a semi in a sought after area of town for 145K.  On the negative side, it turned out that it needed a full electrical rewire, and various other improvements meant that I've spent about 20K on it - more than I expected.  Probably the biggest mistake though was the mortgage - I anticipated interest rates to rise significantly, and got a long fixed rate - but with the financial crash in 2008 they went completely the other way.

On the positive side, however, I've consistently overpaid on said mortgage, thereby avoiding some of the interest, and have now paid about a third of it off.  The area I live in continues to be sought after, even more so now since the local school now has an outstanding Ofsted rating.  Recently an EA valued my house at 210K, but that's just their opinion of course.

Noisy neighbours and other factors are now making me consider a move, however.  New Builds are popping up everywhere around town, and they are nice, but expensive compared to other houses.

Looks like prices are now dropping slightly - full on HPC?  The market always seems to defy gravity, so who knows?  I feel sad for today's FTBs, it still feels like we are gradually going back to Victorian times where everyone rented from the wealthy landlord class.

Overall I feel happy to have not lined a landlord's pocket for the last decade and have worked hard to build up some equity.  I've not done everything right, it would probably have been better to have waited until 2009/10, but sometimes you have to stop analysing too much and just get on with your life.

Best wishes to you all in HPC land!

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3 hours ago, Warwickshire Lad said:

Hi everyone - I used to post on here very frequently about a decade or so ago.  Glad to see the site is still here, because it's such a treasure trove of information.  :-)

So, I guess it's time to share an update.  

Well, in 2007 I was an FTB.  However, the decision to buy at that time was not easy - after a lot of time spent on this forum over 3 years or so I became passionate in the belief a HPC was imminent, but a combination of my improved financial circumstances, coupled with some disillusionment creeping in, I caved in and bought a property.

So, a decade on, how did I do?

I bought a semi in a sought after area of town for 145K.  On the negative side, it turned out that it needed a full electrical rewire, and various other improvements meant that I've spent about 20K on it - more than I expected.  Probably the biggest mistake though was the mortgage - I anticipated interest rates to rise significantly, and got a long fixed rate - but with the financial crash in 2008 they went completely the other way.

On the positive side, however, I've consistently overpaid on said mortgage, thereby avoiding some of the interest, and have now paid about a third of it off.  The area I live in continues to be sought after, even more so now since the local school now has an outstanding Ofsted rating.  Recently an EA valued my house at 210K, but that's just their opinion of course.

Noisy neighbours and other factors are now making me consider a move, however.  New Builds are popping up everywhere around town, and they are nice, but expensive compared to other houses.

Looks like prices are now dropping slightly - full on HPC?  The market always seems to defy gravity, so who knows?  I feel sad for today's FTBs, it still feels like we are gradually going back to Victorian times where everyone rented from the wealthy landlord class.

Overall I feel happy to have not lined a landlord's pocket for the last decade and have worked hard to build up some equity.  I've not done everything right, it would probably have been better to have waited until 2009/10, but sometimes you have to stop analysing too much and just get on with your life.

Best wishes to you all in HPC land!

More is lost through indecision than the wrong decision or so they say. 

Glad to hear things are going well. 

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I think people posting on here 10 years ago where on the right tracks, and the financial crisis of 2008 happened because of things been done at that time and earlier (a financial crisis we still haven't fully recovered from).  Not many people were talking in 2005 or 2006 about bank runs on some of the world's biggest banks (I think the powers that be don't want us to dwell too much on that thought, hence it is not analysed too heavily in the MSM)

 

House prices should have gone through the floor after 2008, however what was not predicted was the extent to which governments would bail everyone out at, at the cost of future generations.  In my opinion, we have just stored up a load of problems for financial crisis part 2.

Edited by reddog

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Used to think that surely big financial institutions would not act foolishly or selfishly and would have to be accountable for the actions they took and suffer the consequences of bad reckless policies and actions, who was monitoring and checking bad practice??.....but no 'too big to fail' when they should be responsible for the security of the money of others......so should things start changing so that no corporation, institution, megga firm or company does not reach that 'too big' status......'cause they can't be allowed to fail.....or just fine them?;)

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Hi Warwickshire Lad, I can vaguely remember you along with names like RB, cgnao, Casual Observer and the rest from times gone by.

I don't think anyone could have believed how long and how far this bubble could be kept going and I think it will go on to throw up a few surprises yet.

Glad you have found somewhere you are happy with, everyone has their own priorities and appetite for compromise.

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12 minutes ago, winkie said:

Used to think that surely big financial institutions would not act foolishly or selfishly and would have to be accountable for the actions they took and suffer the consequences of bad reckless policies and actions, who was monitoring and checking bad practice??.....but no 'too big to fail' when they should be responsible for the security of the money of others......so should things start changing so that no corporation, institution, megga firm or company does not reach that 'too big' status......'cause they can't be allowed to fail.....or just fine them?;)

As Keynes said:

“Markets can remain irrational a lot longer than you and I can remain solvent.”

That goes double when the government is helping them stay irrational... ;)

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Welcome back - I do remember you. It's scary how 10 years have flown. 

I also bought pre-crisis and about the last point prices could be argued to be sane around my area (although Iit feel very sane at the time). I have done well from it, but it was more luck than judgement.

We are now at a position where house prices are even more insane than they were in 2007 at a time when we are still on post-crisis life support. 

I don't think the future looks good - I think it would be mad to buy in London at the moment. 

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14 minutes ago, Si1 said:

Well done for buying at the last peak and then upsizing in the following one.

:lol:

You sound really bitter. Never mind, once the Brexit unicorns arrive you will be able to afford a house*.

* = Unless the government intervenes again to keep the economy strong and stable... 

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11 minutes ago, WinstonSmith said:

House prices rise, it's brexit.

???

You have to admit Winston, that a sudden and huge collapse in house prices would be neither strong nor stable.

Don't want to frighten the horses and all that - Help to Buy ends soon, and the good news is, the Chancellor is a property investor!

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4 minutes ago, Futuroid said:

You have to admit Winston, that a sudden and huge collapse in house prices would be neither strong nor stable.

Don't want to frighten the horses and all that - Help to Buy ends soon, and the good news is, the Chancellor is a property investor!

Spectacular straw man. Do you ever accidentally punch yourself in the face?

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Always a good sign when a poster from 10 years ago thinks its a good time to come back.

Although personally i dont think 10 years ago is comparable to today, those who have been renting for 10 years have lost out, thats a fair comment, but its been their own choice to loose out for 10 years of rent.

Plenty of posters like myself on the site these days who only started looking in more recent years, and would never of been able to consider buying 10 years ago anyway. So a comparison is a bit of a null point.

I started looking around the end of 2013, just when prices had been stagnant enough to consider buying, followed quickly by HTB + policies for the election which created a growing bubble through 2015, 2016, and is just starting to burst at the start of 2017. 

if you take out the bubble of 15/16 out of the equation (which looks like it will be the case) then buying 10 years ago would probably be better than renting still, although there are other considerations, like taking job opportunities, moving abroad, and investing cash elsewhere during that time. So not life changing amounts of money really.  

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1 minute ago, Bruce Banner said:

Here we go again. As soon as falls look imminent the cocky crew resurface :D.

Haven't see you around for a while Bruce ;)

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8 minutes ago, Si1 said:

Spectacular straw man. Do you ever accidentally punch yourself in the face?

You're going to have to let it go man, it's ruining what's left of you life.

Seriously - the bitterness is evident in every post you make. You need to take a break.

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2 hours ago, reddog said:

I think people posting on here 10 years ago where on the right tracks, and the financial crisis of 2008 happened because of things been done at that time and earlier (a financial crisis we still haven't fully recovered from).  Not many people were talking in 2005 or 2006 about bank runs on some of the world's biggest banks (I think the powers that be don't want us to dwell too much on that thought, hence it is not analysed too heavily in the MSM)

 

House prices should have gone through the floor after 2008, however what was not predicted was the extent to which governments would bail everyone out at, at the cost of future generations.  In my opinion, we have just stored up a load of problems for financial crisis part 2.

By forcing the bubble to not pop they just put pressure on other areas, we are seeing the results of that politically now?

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3 minutes ago, Futuroid said:

You're going to have to let it go man, it's ruining what's left of you life.

Seriously - the bitterness is evident in every post you make. You need to take a break.

No, your rationalisation and magical thinking is evident in your every post.

You need to take a GCSE.

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1 hour ago, Futuroid said:

Hi Warwickshire Lad, I can vaguely remember you along with names like RB, cgnao, Casual Observer and the rest from times gone by.

I don't think anyone could have believed how long and how far this bubble could be kept going and I think it will go on to throw up a few surprises yet.

Glad you have found somewhere you are happy with, everyone has their own priorities and appetite for compromise.

And yet you joined here in September 2016. 

Rumbled. :lol:

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2 minutes ago, Si1 said:

No, your rationalisation and magical thinking is evident in your every post.

If you're quick you might get a head doctor on the NHS.

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3 minutes ago, ccc said:

And yet you joined here in September 2016. 

Rumbled. :lol:

Hardly, been reading since 2005. Just not posting. Go and check my posts in the Brexit thread.

P.S. And I thought you loved me? :wub::lol:

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4 minutes ago, Futuroid said:

If you're quick you might get a head doctor on the NHS.

You'd know.

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