Oops...I did it again.

[winkie]

Will it be a home for you or you and your family? are you planning on living there for a number of years say over 10, are you sure it is in the right place, is your job secure.......a house can go down in value makes no difference if living in it and can afford it......is the mortgage rate a good one fixed for five or more years, is the mortgage transferable.......go for it, many of us have been paying off their mortgages for the last twenty years......the next house you buy will most probably be less if yours less anyway........you don't want it to be more if upsizing.?

Edited August 5, 2020 by winkie

[btd1981]

Who knows what the right thing to do is. If it feels like the right house, go for it. Even if prices do start to fall, at least you can enjoy the feeling that the government is working for you instead of against for a change. 

[winkie]

I don't think landlords want their best most reliable tenants, rent always paid on time, looking after, ventilating, keeping property and garden clean, healthy and cared for leaving to buy a property of their own.......how hard and risky would it be finding another long-term quality reliable tenant??

[NobodyInParticular]

11 hours ago, MonsieurCopperCrutch said:

I wouldn't put an offer in until January at the earliest. Thing's have not even started to kick off. 

It's not a certainty, though.

Edited August 5, 2020 by NobodyInParticular

[Pebbles]

9 hours ago, Frugal Git said:

A piddling 6% off is considered cheeky now is it?! ?

 

Of course a house is worth exactly what the estate agent and vendor aggree. You are stealing from their poor children offering less. Ask Karen from Mumsnet she is the expert here.

[Timm]

If you like it and can afford it - buy it.

If not, don't buy it.

[“Nasty Piece of work”]

Well done.  Remember you can bale out right up to the line.  Don’t be afraid to pull the trigger.

 

 

 

[Bruce Banner]

46 minutes ago, Timm said:

If you like it and can afford it - buy it.

If not, don't buy it.

I could afford to pay £100 for a bag of crisps.

[locky82]

5 minutes ago, Bruce Banner said:

I could afford to pay £100 for a bag of crisps.

Do you regularly borrow someone elses crisps for a £100 a month? 

[btd1981]

6 minutes ago, Bruce Banner said:

I could afford to pay £100 for a bag of crisps.

That's a fair point, but we're talking about a world in which all bags of crisps cost around £100 and the only thing that's looks likely to bring their price down is a one-in-several-generations global emergency

[Bruce Banner]

3 minutes ago, btd1981 said:

That's a fair point, but we're talking about a world in which all bags of crisps cost around £100 and the only thing that's looks likely to bring their price down is a one-in-several-generations global emergency

It's that attitude that helps estate agents to get away with their standard trick of valuing a house at 10% more than the highest price ever paid in the immediate area.

[PeanutButter]

2 hours ago, HovelinHove said:

I would need to never come here again, and also close to my eyes to all financial news!

You’ll have reached nirvana, tbh.

[Loving The Crash]

2 hours ago, HovelinHove said:

 we can buy it cash

This is the worst possible thing to do right now - buy a house for cash.

Real house prices have already been falling for 13 years.  If you want to join the mortgage-free boomers, then be prepared to bend over, and join them in losing half your capital in real terms.

If you instead paid rent, and invested your cash elsewhere over the next 10 years, you would be way better off than committing financial suicide like this.

As others have said, 6% below asking price is not a cheeky offer - it is basically paying full price.

Still, money isn't everything...but why not run some calculations on your capital appreciating in real terms by e.g. 3-4% (i.e annual nominal percentage rise in alternative assets - inflation rate - minus imputed rental yield) over 10 years vs the real value of your capital halving over 10 years.  At least then you will be able to put a monetary value on that "king of the castle" feeling. 

[doomed]

8 minutes ago, Loving The Crash said:

This is the worst possible thing to do right now - buy a house for cash.

Real house prices have already been falling for 13 years.  If you want to join the mortgage-free boomers, then be prepared to bend over, and join them in losing half your capital in real terms.

If you instead paid rent, and invested your cash elsewhere over the next 10 years, you would be way better off than committing financial suicide like this.

As others have said, 6% below asking price is not a cheeky offer - it is basically paying full price.

Still, money isn't everything...but why not run some calculations on your capital appreciating in real terms by e.g. 3-4% (i.e annual nominal percentage rise in alternative assets - inflation rate - minus imputed rental yield) over 10 years vs the real value of your capital halving over 10 years.  At least then you will be able to put a monetary value on that "king of the castle" feeling. 

I bought cash in 2017 and do not regret it at all, after spending the last 15 years renting. Everything is a gamble, but owning a house outright is a huge safety net for your family. I have saved over 10% of the purchase price in what I would have paid in rent over that time plus capital gains. 

[shlomo]

delete

Edited August 5, 2020 by shlomo
delete

[HovelinHove]

Thanks for the thoughts. Another fly in the ointment is the fact that once my dear mother has departed this life, we will be legging it to NZ. That could be anywhere from 2 months to 10 years time. Makes planning a bit difficult! 

[HovelinHove]

3 hours ago, Loving The Crash said:

This is the worst possible thing to do right now - buy a house for cash.

Real house prices have already been falling for 13 years.  If you want to join the mortgage-free boomers, then be prepared to bend over, and join them in losing half your capital in real terms.

If you instead paid rent, and invested your cash elsewhere over the next 10 years, you would be way better off than committing financial suicide like this.

As others have said, 6% below asking price is not a cheeky offer - it is basically paying full price.

Still, money isn't everything...but why not run some calculations on your capital appreciating in real terms by e.g. 3-4% (i.e annual nominal percentage rise in alternative assets - inflation rate - minus imputed rental yield) over 10 years vs the real value of your capital halving over 10 years.  At least then you will be able to put a monetary value on that "king of the castle" feeling. 

I understand what you are saying, but I pay nosebleed rents, and don’t want to live in a dump. Also tell me where I can invest/protect my money for the net 10 years where it will be safe and provide a better return than by buying a house and not paying rent. Remember I am an Uber housing Bear, and buying with eyes wide open expecting property to drop 20-40%...f%^k I need to call the estate agent and cancel.

[BoredByTorque]

2 hours ago, HovelinHove said:

Thanks for the thoughts. Another fly in the ointment is the fact that once my dear mother has departed this life, we will be legging it to NZ. That could be anywhere from 2 months to 10 years time. Makes planning a bit difficult! 

You won't be heading to NZ in 2 months ?

[Speed1987]

19 hours ago, HovelinHove said:

I made a cheeky offer 6% below asking on a house where the chain had collapsed. really like it, very affordable for us. Made a few offers recently and been kicked into touch, but this time after an initial rejection the vendor did an about face...and now I’m like WTF have I done! A part of me is kicking myself because I think the market will tank, another part of me is happy I won’t be burning cash on rent and worried about inflation or UKgov pinching my savings. Be interested in my fellow HPC reactions.

You're doing the right thing, nobody knows for sure what will happen next.

I can seriously see, banks extending the mortgage holidays to 1 year, looks like we are going to have another wave later this year.

Supply is likely to dry up and inflation will kick in, I'm pretty sure we are heading for alot of inflation.

[Killer Bunny]

To pay 6% below exorbitant is highly financially imprudent.

To answer OP questIon needs for him/her to really understand their objectives.

[MonsieurCopperCrutch]

3 hours ago, Speed1987 said:

You're doing the right thing, nobody knows for sure what will happen next.

I can seriously see, banks extending the mortgage holidays to 1 year, looks like we are going to have another wave later this year.

Supply is likely to dry up and inflation will kick in, I'm pretty sure we are heading for alot of inflation.

He’s not doing the right thing. How longs he been hanging around here like a bad smell waiting for a HPC and when one comes along he manages to bag a piddly 6% off. ?

Edited August 5, 2020 by MonsieurCopperCrutch

[doomed]

4 hours ago, HovelinHove said:

I understand what you are saying, but I pay nosebleed rents, and don’t want to live in a dump. Also tell me where I can invest/protect my money for the net 10 years where it will be safe and provide a better return than by buying a house and not paying rent. Remember I am an Uber housing Bear, and buying with eyes wide open expecting property to drop 20-40%...f%^k I need to call the estate agent and cancel.

I also bought expecting falls. In the end I viewed it as handing over a chunk of money to secure a lifelong home. I will have no regrets no matter where houseprices go as I will always need some where to live.

[Killer Bunny]

ANYONE who is determined to buy now should get maximum mortgage possible, fix it for as long as possible and invest the rest in stocks and esp gold miners. Life changing over 5-10 years.

[user not found]

14 hours ago, HovelinHove said:

I understand what you are saying, but I pay nosebleed rents, and don’t want to live in a dump. Also tell me where I can invest/protect my money for the net 10 years where it will be safe and provide a better return than by buying a house and not paying rent. Remember I am an Uber housing Bear, and buying with eyes wide open expecting property to drop 20-40%...f%^k I need to call the estate agent and cancel.

Presuming your display name means you're in East Sussex, I can understand your issue. I'm in West Sussex and rents are high and still lots of kite flying with asking prices. I'm fed up of renting and am tempted to buy too (first and last purchase of a house for life).

[HovelinHove]

13 hours ago, doomed said:

I also bought expecting falls. In the end I viewed it as handing over a chunk of money to secure a lifelong home. I will have no regrets no matter where houseprices go as I will always need some where to live.

Exactly. I see it as lifestyle choice...a life with a greater degree of certainty and less anxiety.

12 hours ago, Killer Bunny said:

ANYONE who is determined to buy now should get maximum mortgage possible, fix it for as long as possible and invest the rest in stocks and esp gold miners. Life changing over 5-10 years.

Bought a load of Gold and silver miners in March (also bought some 3X leveraged inv Nasdaq ETFs in May...doh! Evens at the moment.). We will definitely be borrowing much more than we need on a 5 year fix, stick some in premium bonds just in case work or health goes sideways, and a fair bit into a SIPP to get some free government money. I have definitely benefitted from HPI myself, particularly in Canada, so if I end up giving some back, So be it. As long as I’m not renting when I retire, able to move to NZ with the missus and not living in poverty, not that bothered.