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Newbie Here... About To Jump In... In Islington

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Hi everyone! I've been reading the board for some time now, but I've only just got around to registering.

I'm about to buy in Islington, London and wondered what you thought of my method of valuation. The area I want to buy in is rather well-to-do and the houses (mainly period Georgian and Victorian) frequently fetch over a million, and have done for a number of years. The property I'm interested in is a 3 bed semi, about 30 years old with garage, off street parking, garden and roof terrace in a cul-de-sac. Very peaceful by all accounts. It's one of four built at the same time, this one being the biggest. It needs redecorating and could probably do with a new kitchen and bathrooms in the fullness of time.

To the valuation. The smallest one of the four houses sold in 2001 for £530k (which may itself have been an inflated price - I don't know). I calculated that if it had increased in value at the rate of inflation (using the average RPI since 2001) it would be worth just shy of £600k today. You then need to add some more on to account for the fact that London property generally exceeds the RPI and this particluar property is bigger than the one sold in 2001. It's all little more than speculation at the end of the day, but you have to start somewhere, so I was thinking that £650k would be the most I would want to pay for the place.

I remember reading somewhere that during the last crash areas such as Kensington and Chelsea were only mildly affected, and in some cases prices kept steadily rising throughout the crash. Is it unreasonable to think that posh areas of Islington might be less affected in the forthcoming crash?

Simon

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if you can afford a 650k house in islington, i dunno why you would troll hpc boards for advice. your earning power and inteligence to reach such levels betray your thirst for our minion knowledge.....

(m..m..must not claim awooga...mm..m..must resist..)

Edited by right_freds_dead

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Now is a great time to buy a property especially in London. Ignor all the crap that the bears will tell you on here about prices falling. If your in it for the long term just remember that houseprices always go up in the longterm. So what if you buy now and a year later you have lost 100k, its only paper money after all. It'll be worth what you pay for it today again in about fourteen years so nothing to lose. Go for it is my advice. You will never regret buying a property.

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Now is a great time to buy a property especially in London. Ignor all the crap that the bears will tell you on here about prices falling. If your in it for the long term just remember that houseprices always go up in the longterm. So what if you buy now and a year later you have lost 100k, its only paper money after all. It'll be worth what you pay for it today again in about fourteen years so nothing to lose. Go for it is my advice. You will never regret buying a property.

Yes, good advice there Randall, and it`s nice to see Ewan Blair going back to his roots :D

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Guest Winners and Losers

No, DON'T IT! Don't jump, surely there is something worth living for? Somebody call the negotiaters in.

Happy? :rolleyes:

Btw, you chose your name aptly IMO.

Edited by Winners and Losers

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Hi everyone! I've been reading the board for some time now, but I've only just got around to registering.

I'm about to buy in Islington

Simon

Wait till the end of the year – prices are always better close to x-mas + things will get harder for people with fuel costs etc

Last crash people lost their houses because they lost their jobs- if the same happens will you be safe

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Guest Winners and Losers

Now is a great time to buy a property especially in London. Ignor all the crap that the bears will tell you on here about prices falling. If your in it for the long term just remember that houseprices always go up in the longterm. So what if you buy now and a year later you have lost 100k, its only paper money after all. It'll be worth what you pay for it today again in about fourteen years so nothing to lose. Go for it is my advice. You will never regret buying a property.

:lol::lol:

Nice one RH.

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Its always a good time to buy a house - if you're an estate agent talking to a customer...

Personally I'd wait for next bunch of land registry figures before diving into buying in Islington.

Why?

Well the land registry data from Q4 2005:

(http://news.bbc.co.uk/1/shared/spl/hi/in_depth/uk_house_prices/html/au.stm)

shows that there's been a slight fall in parts of Islington but that detached houses are rising in price.

This may seem odd until you realise that Islington has been the subject of huge 'development' work - i.e. turning nice family homes into tiny 1 or 2 bed flats and selling on for profit.

The downturn in many areas of london may be continuing and its worth waiting a week to see what the Q1 2006 Land Reg stats say is happening.

- Pye

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If you're in it for the long term the fluctuation in value of the property is of little concern to you.

If you:

1) Really want to live there.

2) Can afford the payments.

3) Can afford them in a fluctuating market (IR's double what they are now maybe).

4) Have a deposit sufficient enough to cover you possible against -ve Equity in a forced sale situation (out of work etc)

5) Can pay off the loan amount at the end of the loan term.

Then it's up to you. Your choice. Your risk.

Most people have issues with items 3,4 and 5, which they try to mitigate siting HPI and low IRs.

Only you can judge if you are doing that.

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Guest Winners and Losers

If you're in it for the long term the fluctuation in value of the property is of little concern to you.

If you:

1) Really want to live there.

2) Can afford the payments.

3) Can afford them in a fluctuating market (IR's double what they are now maybe).

4) Have a deposit sufficient enough to cover you possible against -ve Equity in a forced sale situation (out of work etc)

5) Can pay off the loan amount at the end of the loan term.

Then it's up to you. Your choice. Your risk.

Most people have issues with items 3,4 and 5, which they try to mitigate siting HPI and low IRs.

Only you can judge if you are doing that.

But why pay over the odds for something? Long term or not, I still don't want to pay £20 for something today and find it on sale tomorrow for £10. Kicks self hard.

Edited by Winners and Losers

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Guest prudence

Hi everyone! I've been reading the board for some time now, but I've only just got around to registering.

I'm about to buy in Islington, London and wondered what you thought of my method of valuation. The area I want to buy in is rather well-to-do and the houses (mainly period Georgian and Victorian) frequently fetch over a million, and have done for a number of years. The property I'm interested in is a 3 bed semi, about 30 years old with garage, off street parking, garden and roof terrace in a cul-de-sac. Very peaceful by all accounts. It's one of four built at the same time, this one being the biggest. It needs redecorating and could probably do with a new kitchen and bathrooms in the fullness of time.

To the valuation. The smallest one of the four houses sold in 2001 for £530k (which may itself have been an inflated price - I don't know). I calculated that if it had increased in value at the rate of inflation (using the average RPI since 2001) it would be worth just shy of £600k today. You then need to add some more on to account for the fact that London property generally exceeds the RPI and this particluar property is bigger than the one sold in 2001. It's all little more than speculation at the end of the day, but you have to start somewhere, so I was thinking that £650k would be the most I would want to pay for the place.

I remember reading somewhere that during the last crash areas such as Kensington and Chelsea were only mildly affected, and in some cases prices kept steadily rising throughout the crash. Is it unreasonable to think that posh areas of Islington might be less affected in the forthcoming crash?

Simon

Do you really want to pay well over half a million pounds for a 3-bed semi that needs refurbishing? I can think of many better things to do with that kind of money. Can't you? BTW, I wouldn't bother to use Victorian\Georgian houses as any sort of benchmark against which to judge a 1970's semi. I've seen that sort of thing elsewhere in London and the 1970's stuff sticks out like a sore thumb............

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But why pay over the odds for something? Long term or not, I still don't want to pay £20 for something today and find it on sale tomorrow for £10. Kicks self hard.

That's like saying why pay £600 on e-bay for an X-box the day it comes out, when you know you can pick one up 1 month later for £250 or 1 year later for £150.

For those that can afford it, want it, want it RIGHT NOW, they are happy to pay over the odds for it and are entitled to do so.

Some people are 'wired' that way, some aren't.

I happen to be in the 'ARE NOT' camp, hence I only buy second hand cars and have a tube tv which may be older than some of the posters here.

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Guest Winners and Losers

That's like saying why pay £600 on e-bay for an X-box the day it comes out, when you know you can pick one up 1 month later for £250 or 1 year later for £150.

For those that can afford it, want it, want it RIGHT NOW, they are happy to pay over the odds for it and are entitled to do so.

Some people are 'wired' that way, some aren't.

I happen to be in the 'ARE NOT' camp, hence I only buy second hand cars and have a tube tv which may be older than some of the posters here.

The need for instant gratification from the me, me, me generation will destroy many people if there is a recession.

Everyone knows the price of technology always goes down. You know that when you buy and make the choice that you have to have it now. If it goes down in price the effect is not that great, it is essentially a depreciating asset anyway. House prices are different. People EXPECT the price of their house to go up at the moment. I was speaking personally. If there was a chance that house prices could fall, but there was an expectation or a need in my own personal circumstances for them to rise, I would be very careful before dipping my (dainty little) :rolleyes: toes in the murky pond.

What! Only a tube tv - you must be old. ;) - I MEW'd for a plasma.

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This would not be by the canalside near the Gainsborough Studios would it - I looked at a fixxer upper there late last year - £465K would have been enough to buy it (up at £530K) and it needed about £40K-50K of TLC on it - if you are trade it would cost a lot less. Talking to the agent, his view was done it was worth about £650K.....

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But why pay over the odds for something? Long term or not, I still don't want to pay £20 for something today and find it on sale tomorrow for £10. Kicks self hard.

"and find it on sale for 25% more in five years time"....

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Hell if I had half a mil to spend on a house, I sure as hell wouldn't be buying some poky 3 bed semi in London.

I'd be getting something like a Grade II listed farmhouse on the thames

http://www.rightmove.co.uk/viewdetails-666...pa_n=2&tr_t=buy

or a 5 bedroom georgian townhouse on the river severn with a 2 bedroom annex

http://www.rightmove.co.uk/viewdetails-682...pa_n=1&tr_t=buy

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Guest Winners and Losers

"and find it on sale for 25% more in five years time"....

Very possible, but I doubt it. If the market has gone up 25% in the next five years I will happily eat my words. The cycle, the cycle. Jeesh. :rolleyes:

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You would have to be in it long term to make it even begin to be worthwhile.

If you are in it for the long term, you can wait 3 years before you buy it.

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Hell if I had half a mil to spend on a house, I sure as hell wouldn't be buying some poky 3 bed semi in London.

I'd be getting something like a Grade II listed farmhouse on the thames

http://www.rightmove.co.uk/viewdetails-666...pa_n=2&tr_t=buy

or a 5 bedroom georgian townhouse on the river severn with a 2 bedroom annex

http://www.rightmove.co.uk/viewdetails-682...pa_n=1&tr_t=buy

And precisely how is that going to work with a zone 1 Travelcard ? You can't compare London to anywhere else, the jobs are not anywhere else. Compare Islington with Fulham maybe, but not with Pershore.....

Plus the first one's got no upstairs bathroom and the second is already including the developer's premium it's just been (fairly blandly) 'done'.

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Guest Winners and Losers

If you are in it for the long term, you can wait 3 years before you buy it.

Well, that just about sums it up. I'll get my coat. :unsure:

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And precisely how is that going to work with a zone 1 Travelcard ? You can't compare London to anywhere else, the jobs are not anywhere else. Compare Islington with Fulham maybe, but not with Pershore.....

Plus the first one's got no upstairs bathroom and the second is already including the developer's premium it's just been (fairly blandly) 'done'.

by commuting like thousands of people that work in london do.

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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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