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lostinessex

Guardian - Q. 'Should I buy Now?' -

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Yeah I saw this and as someone who is currently in limbo (ready to buy since mid last year but holding off due to various signs that there is a price drop coming) I can see the appeal of buying (not overstretching myself and fixing the mortgage at the lowest rate I can find for 10 years) just so I can get on with my life.  But then I tell myself that waiting a few more months could mean paying 10-15% less than buying now which would shorten the term of my mortgage substantially.

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1 minute ago, Mancunian284 said:

Yeah I saw this and as someone who is currently in limbo (ready to buy since mid last year but holding off due to various signs that there is a price drop coming) I can see the appeal of buying (not overstretching myself and fixing the mortgage at the lowest rate I can find for 10 years) just so I can get on with my life.  But then I tell myself that waiting a few more months could mean paying 10-15% less than buying now which would shorten the term of my mortgage substantially.

Sorry, can’t edit as I’m a newbie.  Drop in viewers, mortgage, approvals down, BTL properties being slowly sold off (not an influx yet but there are definitely more of these on the market) means prices may well be dropping currently but it’s not obvious yet as these sales won’t hit the land registry until Spring.

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20 hours ago, lostinessex said:

Choice quote: " experts believe that rather than falling, house prices will stop going up  "

Stock prices have "reached what looks like a permanently high plateau." - Irving Fisher, American economist, October 21, 1929.

 

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The people who are unable to buy can't afford the rents now, the governments certainly can't afford the rents.....lower rents or no rent, higher costs = lower prices.;)

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Its a really scary time to buy.

Last sold price is x

round here many are asking for x + 30%

Places are not shifting in the lower ranges (BTL) and the top range 500k+

That logically means that people will eventually have less to step up to the 250-400 range and less money to downsize and or lend to kids.

But the killer is rates rising at present a nice house at 350 (4 bed family) will sell in 48 hours but that as i have posted before that is 2 people on good wages with max mortgage and mum and dad around here.

adda % or so on the mortgage deals and that now becomes 330k and thus prices are fallen due to the maximum amount of affordable credit.

Failing a credit intervention its baked in now

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14 minutes ago, Eddie_George said:

Stock prices have "reached what looks like a permanently high plateau." - Irving Fisher, American economist, October 21, 1929.

 

Fisher was a visionary. He only got two things wrong: timing and asset class!

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What is the benefit of tying free, flexible, usable, moveable, spendable money into something that is immobile, tied, low growth, rising costs and hard to get access to fast cheaply without an income and time.....;)

 

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I have heard forecasts of impending doom that have never happened for the last 10 years - it is wishful thinking 

The stock market dropped enormously after the brexit vote but soon picked up and reached record highs

The same will happen now - a good time to invest in shares or put a chunk into the pension 

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Close your eyes and buy the new highs.  The argument is that this house price surge is different to all other prices surges in history...if you buy that argument then go ahead and buy.  Also think about how much you are stretching to be able to buy and if you expect HPI ask yourself how someone is going to pay more...?  this will only be possible with considerable credit loosening or taxpayer subsidy...are these on the cards?  If you believe so then great...buy.

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1 hour ago, Mancunian284 said:

Yeah I saw this and as someone who is currently in limbo (ready to buy since mid last year but holding off due to various signs that there is a price drop coming) I can see the appeal of buying (not overstretching myself and fixing the mortgage at the lowest rate I can find for 10 years) just so I can get on with my life.  But then I tell myself that waiting a few more months could mean paying 10-15% less than buying now which would shorten the term of my mortgage substantially.

Wtf is 'getting on with your life"?

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5 minutes ago, sisyphal said:

Getting on with your wife is probably more like it.  They're not keen on renting.

Ahh. Certainly in my own family the money hosed at mortgage debt junkies is horrifying, so getting on with your family is really an issue.

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1 hour ago, happyguy said:

I have heard forecasts of impending doom that have never happened for the last 10 years - it is wishful thinking 

The stock market dropped enormously after the brexit vote but soon picked up and reached record highs

The same will happen now - a good time to invest in shares or put a chunk into the pension 

Ah look.... he's come to help us.

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2 hours ago, sisyphal said:

Getting on with your wife is probably more like it.  They're not keen on renting.

If you buy using two peoples incomes/wages/jobs it is imperative that you get on and can live with your partner for many years to come.....two might be able to buy living together, but that doesn't mean two can live buying apart, debt sometimes forces non ideal predicaments.;)

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2 hours ago, Si1 said:

Wtf is 'getting on with your life"?

Being in a stable home environment to bring up kids, ie not being evicted and having to move, pull kids out of school etc at the whim of a landlord.

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32 minutes ago, Mancunian284 said:

Being in a stable home environment to bring up kids, ie not being evicted and having to move, pull kids out of school etc at the whim of a landlord.

+1 saying get on with your life on here is sometimes akin to saying you club baby seals or beat up old ladies. In fact isn't this forum a little a bit about wanting house prices at the right level of affordability to purchase.

 

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12 minutes ago, TonyJ said:

Why have sellers added on that 30% to their asking prices? Is it that they think time always = money with property?

cos theres 30% more people sleeping rough in their street? supply and demand innit bruv

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On 2/5/2018 at 2:34 PM, lostinessex said:

https://www.theguardian.com/money/2018/feb/05/delay-buying-home-brexit-prices

Choice quote: " experts believe that rather than falling, house prices will stop going up  "

General consensus in the comments and the article itelf seems to be - fill yer boots. To House Price Infinity and beyond!

Don't think I've ever seen a market chart flatline from longterm median lines.  Maybe if huge North sea oil reserves had just been discovered again or the UK government built a working Nuclear fusion reactor, instead of printing money and exponentially increasing public and private debt. But maybe "it's different this time".

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27 minutes ago, TonyJ said:

Why have sellers added on that 30% to their asking prices? Is it that they think time always = money with property?

I have no clue it used to be because someone would pay that.

Presently it just means it sits there....for ages

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2 hours ago, Mancunian284 said:

Being in a stable home environment to bring up kids, ie not being evicted and having to move, pull kids out of school etc at the whim of a landlord.

That's a plus 1 from me too.

After 2 house moves/renovations in the past 4 years I've just sold again and agreed to buy what I hope will be the last property we buy for at the very least 5 years, hopefully a lot more. 

We've compromised on location but the key points for us are; place is fecking huge and great value. We have fixed the mortgage at a very low rate and will be paying the (sizeable) difference between what a mortgage on a much smaller place in our neighbourhood would have been and the mortgage on the new gaff towards paying the principal off each month with the aim of being mortgage free in about half the time (15 years is the goal). 

If I had to do it all again I would have just gone straight to step 3. We actually were succesfull in trading up the ladder but I honestly think we've had a hefty slice of luck. The sheer volume of work on the houses I've put in on top of working a full time job plus being kept up at night worrying if the whole things going to collapse and you will lose your "gains" just isn't worth the stress, particularly as i honestly reckon if eed have just invested/saved the same money and rented we'd comfortably have enough for a good deposit on the place we are buying now. We are putting down more now but the difference it makes to the mortgage is literally about £150 a month. 

So yeah, if you can find that nice place where you'l be happy for 10 years or so which has plenty of space (if you're planning kids don't kid yourself about space; lack of it will bother you, however well intentioned your plans are. Compromise on area if you have to) and where the mortgage is comfortable just go for it and forget about all this. 

The main thing I'm looking forward to is not having to trawl sites like this everyday stressing about "the market". My definition of "getting on with my life".

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2 hours ago, Mancunian284 said:

Being in a stable home environment to bring up kids, ie not being evicted and having to move, pull kids out of school etc at the whim of a landlord.

Eh? I rent and those don't apply to me. What do you mean, do you not get on with people very well?

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2 hours ago, GregBowman said:

+1 saying get on with your life on here is sometimes akin to saying you club baby seals or beat up old ladies. In fact isn't this forum a little a bit about wanting house prices at the right level of affordability to purchase.

 

I agree with that. But 'getting on with your life' is a bad cliché.

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  • 407 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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