2006: How Was The Year For You? Good? Bad?

[Jason]

2006 is now drawing to a close, how was the year for you?

Was it a prosperous year for you? Not just about house prices, but the year in general? Did your expectations come true?

[Guest grumpy-old-man]

2006 is now drawing to a close, how was the year for you?

Was it a prosperous year for you? Not just about house prices, but the year in general? Did your expectations come true?

Hi Jason/ All,

good old end of year threads......I do like these

well we have had a busy year personally, moved back from France, renting in Wakefield (moved twice in 7 months ), but it will definitely be worth it in the end.

I have now thoroughly convinced the wife of the hpc.....now that was hard, trying to convince any woman that she should NOT buy a house & rent someone else's was the most difficult thing I have ever done proved dangerous at times, far too many knives in the kitchen

I have learned so much from HPC & I am still enjoying it on here with some lively debates & great exchanges of banter.......

My prediction for next year: big changes in sentiment by March & a mass exodus of BTL's, rising IR's, rising unemployment (probably later on in 2007 for this), massive rising Inflation (a given, I think we all agree on) & large increase in cost of living (encapsulating utility bills/fuel/insurance etc), due to rising inflation.

It will be interesting to see if the Stagflation theory pans out & I am still learning about economics/cyclic theories/stock market etc all the time, & it's bl00dy hard!!

Good Luck to all for 2007 & hang on in there, it won't be long now

[Guest Bart of Darkness]

I think I'll look back on 2006 as a transitional year for me. It was OK but 2007 should be more of a stand out year (fingers crossed).

A happy and safe 2007 to all.

[Night]

2007 will be a fantastic year for those who wish it to be so... so get wishing

[Realist Bull]

An excellent year for me, I'm afraid.

Finally got round to selling a flat I'd had been renting out for a few years. Made about £60K which I put into funds in the middle of the year, just after the dip. Currently showing an average profit of just over 25%.

Also decided to go permanent after a few years of contracting. Gives me a lot more job security and fringe benefits like a generous pension contribution from my employer. Not as well paid as contracting but it still comes out at about £65K a year, so I can't complain too much.

Had an extension built to the house. Cost £35K but has apparently added about £60K to the value, so all the disruption was worth it.

Unfortunately my football team was relegated in April, so it hasn't been a quite perfect year, but all in all, not too bad.

[Night]

An excellent year for me, I'm afraid.

Finally got round to selling a flat I'd had been renting out for a few years. Made about £60K which I put into funds in the middle of the year, just after the dip. Currently showing an average profit of just over 25%.

Also decided to go permanent after a few years of contracting. Gives me a lot more job security and fringe benefits like a generous pension contribution from my employer. Not as well paid as contracting but it still comes out at about £65K a year, so I can't complain too much.

Had an extension built to the house. Cost £35K but has apparently added about £60K to the value, so all the disruption was worth it.

Unfortunately my football team was relegated in April, so it hasn't been a quite perfect year, but all in all, not too bad.

Why are you afraid? I'm assuming the £65k salary & £25k increase in house value satisfy you.

If that amount of money gives you pleasure, then shout about it... no need to fear

[Guest Charlie The Tramp]

All in all it has been a very disappointing year for me. In matters of health I was unable to spend any time on my boat in the summer. It was only past financial prudence which allowed me to have those health matters dealt with very quickly.

[Jason]

For me i'd say it has been a good year, although if you take the reported HPI into account I would say I have broken even (i.e. bigger deposit, bigger wage).

I suppose in the last few weeks I've questioned what i'm now saving for, I now have a big deposit for a house if I chose to buy, but still, I could only afford a poor flat. I'm not really a consumerist person, and don't want too much tat. I've had the holidays I want, and never really question if I can afford things, I always question if I want to afford it. lol. Now I've decided to move off to a city in the new year, just so there's more to do.

[RussellF]

All in all good here. Spent the year in a new job, which was a good move and continues to satisfy. Moved to shifts with a nice shift bonus. Getting on top of finances. Convinced (I think) those around me that a correction is coming. Kids doing fine Hopeful for better finances and moves in the housing market next year.

To a pleasing 2007 all *clink*

[Hino98]

A nice comfortable year here, a nine month contract in central Australia ended just in time for Christmas and further contracts are already lined-up for next year.

By having almost all of my earnings paid as "Salary Sacrifice", directly into my superannuation fund. I escaped income tax and only had to pay 15% 'contributions' tax on my entire earnings.

As a result I saw the value of my 'super' fund rise substantially, while the value of houses in this area continues to fall.

The Australian interest rate rises were a real bonus, and the effects are already being seen, both in the price of houses, and in the interest I receive from my cash accounts.

For the first time in a long time, the 'see-saw' was definitely tipping in my direction

Best of luck to all on the forum, and if the last year wasn't all you hoped it would be, then the best of luck for next year.

All the best,

Jim ( Hino98)

[up2late]

2006 was a good year for me in general.

With regard to housing, I progressed from "can't buy" to "won't buy".

[Realistbear]

Excellent all round. New dream job in a beautiful part of the country, investments did very well with UKCoal almost tripling since February, West Midlands house market stagnant at best which means still down since 2004 while investment portfolio added a good 10% overall. With 2 bad years under the belt, the HPC shopuld continue to progress in this neck of the woods going into the last 3 years of the first decade of the 21st Century.

[ChinaReader]

I suppose in the last few weeks I've questioned what i'm now saving for, I now have a big deposit for a house if I chose to buy, but still, I could only afford a poor flat. I'm not really a consumerist person, and don't want too much tat. I've had the holidays I want, and never really question if I can afford things, I always question if I want to afford it. lol. Now I've decided to move off to a city in the new year, just so there's more to do.

Nowt to do but save. Nice!

It's interesting though that you ask the question of what you're saving for - I think it reflects a cultural mindset that, while better than a buy-now-pay-later credit-mindset, is still centred around getting rid of the money. Did people once upon a time save for a rainy day? Did they put money aside just in case? Or because that was a sensible thing to do? Has advertising turned even our savings into purchases waiting to happen?!

Anyway, my 2006 has been the craziest year of my life, because I moved to China. It cost me a GBP3k dent in my savings to emigrate (basically extra costs like flights and insurance plus I was off work for two months between jobs) but it has been worth it so far and all that will get back on track in 2007 - in one currency or another depending on what the FX markets do!

Tim

[Grime- skint wouldbe ftb]

I'm working like a dog with people i cant stand in a sterile office environment with a 3 hour daily commute, but on the upside Im making more wonga than ever.

[Selling up]

Exciting times for me:

Exchanged contracts on my STR sale last week.

Today is my last day in my current GP job - I've resigned to take a little sabbatical living on the sale proceeds and devoting some time to my (hitherto) secret ambition: To write a musical. One song down, fifteen or so to go!

Best wishes to everyone on the site!

Edited December 29, 2006 by Selling up

[astroboy100]

Its been a pretty good year for me. Quit a permanent job I hated and went back into contracting. Moved from a small village I hated, back to the bright lights of London. Also, bought an off-plan flat in Toronto (I'm Canadian) which will be complete in 2008, although I think I'll rent it out and work over here for another five years of so. But I'm glad I have a home I know I'll love in a good location, etc. It was too good of an opportunity to pass up in terms of location, etc and the prices in Toronto are not ridiculous, partly due to a current boom in highrise flats which helps keep the prices competitively low.

So all-in-all a good year I guess, but hopefully 2007 will be better! It will interesting to see what 2007 brings!

[ezekiel]

financially 06 was OK with a 10% increase - no bonus though.

mostly the year was spent on raising the bairns and watching them do new things (go to school, first nativity etc.). For those who talk about the cost of having kids, I can tell you that the benefits of these times are priceless in comparison.

Not convinced that 07 will stage the crash. Too many companies offering buy now pay later and other stupid credit deals - this is one sign to me that they - the banks - see enough suckers for at least another year ahead.

There may be a small trickle of BTLs starting to sell by the end of the year but I think that the owners of these are too scared to take a loss in the short term and are hoping to ride out the tough times ahead. It remains to be seen how long they can take the pain for. The crash won't start for real until enough BTLers have to get out, combined with banks becoming reluctant to lend to the extremeties of the market (both top and bottom) and also combined with the new lending vehicles (shared ownership, rent/buys etc.) falling out of favour at the bottom end of the market.

I think this will all take at least 9 months to start to come together and the city boys/banks know this.

[crashmonitor]

I liquidated my property assets into cash, since which time prices have continued to stagnate(Derbyshire).So in that respect 2006 was a good year.Realistically 2007 will probably be a bad year,the MPC with their loose monetary policies will not help savers or hold back HPI.I would be indeed fortunate if prices in the North of the East Midlands again recorded zero growth since everywhere else has enjoyed growth,according to the Bulls at any rate(noticeably not one has claimed increases since 2004 for Notts,Derbys or North Lincs so you know the stagnation must be true)

I am looking to 2008 for a correction.

[Guest Yeahbutnocrash]

I go to a few gigs each year and this year saw Graham Coxon, Die So Fluid, The Sisters of Mercy, The English Victorian Gentlemans club

(over the previous 3 years have seen Blur, Sek Loso and saw Patricia Vonne and Girlschool a few times) and they were all jolly good!

Looking forward to some more gigs in 2007

In 2006 went to the French Open tennis and it was bloody cold - But saw Nadal notch up his record number of wins on clay and saw Federer drop a set!!!

In 2006 was consolidating in new location I moved to last year (got windows & door replaced) - It's a Studio in a village with 50 mins train to London but allows me to let my 2-bed flat

Got more organised doing my tax and now doing it on-line(it's a lot easier)!

Work is ok but 2007 will be the last year on current project

Planning to have a look at non-property investment in 2007

I wouldn't be surprised to see the start (or continuation in some areas) of a slow-down in the property market in 2007 especially if IR's go up but no crash

Also many JC2L's getting fingers burnt but certainly no mass sell-off of BTL

Hopefully at the end of 2007 we may have a clearer picture of where/how it's heading so it should be an interesting year in prospect!

[urban_hymn]

We have seen a 5-10% correction since I moved in.

[Fancypants]

2006 was a very good year for me - arguably one of the best.

Unusually, I have some fairly well-defined aims for the coming year aswell. I must be getting conscientious in my old age!

on an aside - it is interesting just how many people on this site seem to have accepted that 2007 will continue to see insane HPI. Still, it is an eminently more sensible position to prepare for all eventualities. Unless I come into several million pounds in 2007, I can confidently state that I will not be buying a house within the next 12 months, HPI or no!

[uncle_monty]

2006 has been a mixed year for. I picked up a bug on a business trip which put me in bed for 3 months. I'm only now starting to feel more like myself.

I bought my first place late last year (flat in central London). More by luck than judgement I got a stupendous deal, so 2006 has seen it appreciate by £100k+. I think that 2007 and 2008 will see more modest growth, again driven by London and SE. The serious wobbles will begin in 2009/10.

Thanks to this site, I am pretty much ignoring my so-called gains (so no MEWing for high street splurges) and building up a significant cash pile (target is 2 years gross salary) to prepare for the impending correction. Hopefully the "gains" of 2006-08 will offset the HPC when it happens, leaving me pretty much where I was when I originally bought.

[AteMoose]

2006 has been a great year with alot of change, set and met alot of goals because i have become more focused on what i want to achieve.

Been working hard on a certificate in management from the Chartered Management Institute after i realised a degree wasnt enough. I moved out my old shared house after i have saved up a nice deposit. I have bought and moved into a large newish 3 storey town house in a city centre, with an attached garage and parking for the 2002 price. I have bought on a 5 year fixed rate morgage so i can sleep at night. The price of larger houses in the midlands has stagnated or fallen over the past 24 months, although flats and terraces are up. At the same time my girlfriend and two mates have moved in with which makes the house as cheap as the old houseshare, we are thinking about getting an extra housemate next year. I traded my old car, for a much newer (more reliable car?)

My girlfriend has just bought a flat offplan for cash/morgage free in the brataslavia (capital of her country) which is due to be completed in two years using the money she has managed to save over the past two years in the uk. She managed to get a part time job with the UK government translating eastern european languages last year and she should get the same work this year, and has managed to secure a nice big well paid (100 quid an hour) translation job with a private individual for the new year. She has also been promised a promotion this year and will be managing a coffee shop when the owner expands the business.

Plans for the next year, more studying, looking for a better full time job, looking for different additional income streams and working on my own little business and looking into buying a canal boat. I believe the property market is overvalued, and even though i love the new house it is way over priced, im expecting it to eventually fall another 20k...

Here to 2007 and hopefully it will be as prosporious, aiming to build up savings as quickly as possible to get the morgage down to a sensible level. I was expecting the crash to be in full flow by 2007 after the falls of late 2004 and 2005 but i realised things changed in late 2005 and prices bounced back to 2004 levels, I am expecting another bull year with a crash in 2008, or a a longer bull run with a japenese style crash in 2011/12...

Edited December 29, 2006 by moosetea

[apom]

Huge year.

A motorcycle accident that should have killed me left me with only minor injuries. A wake up call to start the adventure once more.

A frustration with my life lead me to move to London with my girlfriend and since then every facet of our lives have improved.

I have always been happy, but never happier then when I am living.

Interest rates are climbing, the BOE has released official warnings, the FSA has instructed banks to prepare and

Goldman Sachs, the investment bank has drawn a short against the whole UK economy citing the housing market as one of the leading reasons.

I say again "A short against the pound."

And Bulls don't argue, all bubbles burst and Goldman Sachs is has drawn a short against the pound blaming your bubble. What you would hope to say to convince anyone I could not imagine. Please don't try.

So I was right.

I will party as the ship sinks, but I will do so whilst paddling around on a hopefully robust..... okay, the metaphor is weak.

Between my Girlfriend and I we have increased our salaries by over £40,000

Quality

[anon]

not too bad a year,

descided to take some risk with my savings so started investing in shares, made some stupid mistakes at first, learnt from them and even managed to be ~20% up in 10 months. also started a small second pension.

job relocation to a different town fell through meaning i dont have to give up a 5 year contract in a good job.

finally realised i was priced out of the market and gave up on owning for the time being, which was a relief in a way.

Edited December 29, 2006 by anon