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What Price A Modest Family Home?

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its the going rate im afraid. for most folk its out of reach-im hoping prices come down- but i just cant see london prices reaching affordable rates- i know that in the last crash-london prices did come down big time-but this time in london- we've got so many people who would fight to grab an affordable home that they'd surely raise prices again- that an london being the financial centre of europe-attracting foreign money. Similar to the situation in america- NY is similar to London and the prices in NY havent shifted any where near the likes of other areas in the states.

in short i think london can be considered a separate market to the rest of england :angry: :(:(

i hope i'm wrong :unsure:

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its the going rate im afraid. for most folk its out of reach-im hoping prices come down- but i just cant see london prices reaching affordable rates- i know that in the last crash-london prices did come down big time-but this time in london- we've got so many people who would fight to grab an affordable home that they'd surely raise prices again- that an london being the financial centre of europe-attracting foreign money. Similar to the situation in america- NY is similar to London and the prices in NY havent shifted any where near the likes of other areas in the states.

in short i think london can be considered a separate market to the rest of england :angry: :(:(

i hope i'm wrong :unsure:

I can remember very clearly being told by a very thoughtful and intelligent person in 1989 that London was now like Paris, and that ordinary people would never be able to buy houses again in London.

A year ago I met a secretary who bought a two bed house in zone 2 in 1994.

Have faith.

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its the going rate im afraid. for most folk its out of reach-im hoping prices come down- but i just cant see london prices reaching affordable rates- i know that in the last crash-london prices did come down big time-but this time in london- we've got so many people who would fight to grab an affordable home that they'd surely raise prices again- that an london being the financial centre of europe-attracting foreign money. Similar to the situation in america- NY is similar to London and the prices in NY havent shifted any where near the likes of other areas in the states.

in short i think london can be considered a separate market to the rest of england :angry: :(:(

i hope i'm wrong :unsure:

Yep - we will be fine here.

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Don't get sucked into London prices there is still plenty of family property available outside of London at prices far less and only an hours commute/Drive

http://www.rightmove.co.uk/viewdetails-153...=4&tr_t=buy

http://www.rightmove.co.uk/viewdetails-678...=4&tr_t=buy

http://www.rightmove.co.uk/viewdetails-150...=4&tr_t=buy

Drive from Newbury to the centre of London in 1 hour ? :blink:

I did Reading (east) to Wembley in 35 mins once at 5 in the morning and Maidenhead to Brentford in 4 hours at 8 in the morning. My commute to BBC television centre used to take over an hour on average leaving Reading (east) at 5.30. What are you driving 'cause I wasn't hanging around and Reading is closer.

Even if you could do it that would be £10.00 fuel per day and around £26.00 parking a day (7 years ago) Even ignoring congestion charge and parking you are into £2,350 p/a fuel and two hours minimum sitting in traffic.

The £2,350 is lost forever, at least with buying property in London there is a chance of it increasing in value.

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its the going rate im afraid. for most folk its out of reach-im hoping prices come down- but i just cant see london prices reaching affordable rates- i know that in the last crash-london prices did come down big time-but this time in london- we've got so many people who would fight to grab an affordable home that they'd surely raise prices again- that an london being the financial centre of europe-attracting foreign money. Similar to the situation in america- NY is similar to London and the prices in NY havent shifted any where near the likes of other areas in the states.

in short i think london can be considered a separate market to the rest of england :angry: :(:(

i hope i'm wrong :unsure:

The only reason that these sort of places can sell for £500,000 is the buyer is selling their place for £450,000. The chain will break and ultimately these prices will come down because people simply cannot afford to buy at these prices on wages alone.

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I can remember very clearly being told by a very thoughtful and intelligent person in 1989 that London was now like Paris, and that ordinary people would never be able to buy houses again in London.

A year ago I met a secretary who bought a two bed house in zone 2 in 1994.

Have faith.

i think in todays climate there are a lot of potential FTB's- they're all renting at the moment and are saving for a big enough deposit- there could be a lot more demand than back in 94

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http://www.rightmove.co.uk/viewdetails-689...=3&tr_t=buy (From the OP)

dream_house.jpgFor Sale $1,000,000

"We are offering for sale a Victorian Terraced three bedroom house situated in Hargwyne Street. The accommodation comprises three bedrooms, kitchen/breakfast room, through reception room, bathroom, cellar and a private rear garden. The property is equidistant between Clapham, Stockwell and Brixton Town Centre, all of which boast a wealth of local amenities and excellent transport links. This property would benefit from cosmetic updating throughout, early viewing is recommended.

If you have other questions about this property, please telephone 0845 402 7791 (BT 4p/min)."

What sort of worker was that place built for - an un-employed cobbler?

Christ! Even a half decent area in Soweto would beat that sort of property. Someone's having a laugh. What would the rebuild cost be? Probably less than a fifth the purchase price!

post-8961-1180523502_thumb.jpg

Edited by insidetrack

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Drive from Newbury to the centre of London in 1 hour ? :blink:

I did Reading (east) to Wembley in 35 mins once at 5 in the morning and Maidenhead to Brentford in 4 hours at 8 in the morning. My commute to BBC television centre used to take over an hour on average leaving Reading (east) at 5.30. What are you driving 'cause I wasn't hanging around and Reading is closer.

Even if you could do it that would be £10.00 fuel per day and around £26.00 parking a day (7 years ago) Even ignoring congestion charge and parking you are into £2,350 p/a fuel and two hours minimum sitting in traffic.

The £2,350 is lost forever, at least with buying property in London there is a chance of it increasing in value.

With £150,000 in the bank returning you £7000 per annum and catching a train to London everyday at a cost of approx £2500 per annum still leaves you with a nice cushion and a better property in better surroundings IMHO.

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http://www.rightmove.co.uk/viewdetails-689...=3&tr_t=buy (From the OP)

What sort of worker was that place built for - an un-employed cobbler?

It would have been build for Britain's growing lower-middle classes in the late Victorian period as the railways reached south. The owner would probably have been a self-employed tradesman or employed in London. They would probably have had a full-time maid.

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It would have been build for Britain's growing lower-middle classes in the late Victorian period as the railways reached south. The owner would probably have been a self-employed tradesman or employed in London. They would probably have had a full-time maid.

Originally it was built and sold in the 1890's for £150 and let out for 7/- (35p) a week, probably to an un-employed cobbler (sorry, self-employed tradesman). At the time we were the workshop of the world and at the height of empire and the un-employed cobbler could live like a king in, what is today, a million dollar mansion! :lol::lol::lol:

Edited by insidetrack

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Yep - we will be fine here.

I would'nt bet on it matey.

Saturday 20th jan 1990-Times

House prices in london drop by 10%

House prices in london droped by an average 10 per cent last year, bringing the average price down to pounds 86,800 the lowest since the biginning of 1988, the london research centre reports in its quarterly bullitin. ETC ETC

http://www.housepricecrash.co.uk/FAQ-1990-...papers-said.php

Those who forget the past are doomed to repeat it. (or something like that)

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i think in todays climate there are a lot of potential FTB's- they're all renting at the moment and are saving for a big enough deposit- there could be a lot more demand than back in 94

People do not buy assetts when the price is falling.

Did people start buying tech shares when the stockmarket lost 20% of its value when the dot-com boom bubble burst?

No. People only started buying when shares had bottomed out and were undervalued.

Same with houses in the last crash. Once they started going down, nobody would buy. And nobody kept buying for years, even though they were undervalued.

House prices halved in real terms in London last time before the market bottomed out. They will halve in real terms before they bottom out this time.

In 1997 I was actually shouted at by one young woman for suggesting that it was a good time to buy a house (I was a full on housing bull then) everybody thought I was mad because so many people had been burnt in the crash.

95% of people don't look at whether something is sensibly priced or not. They don't look at high or low. They only look at up or down. If prices are going up people buy. If prices are going down they don't buy.

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In 1997 I was actually shouted at by one young woman for suggesting that it was a good time to buy a house...

How odd, in 2007 I was shouted at (by an outraged and purple-faced group of friends in the pub) for suggesting that it was a good time to sell...

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People do not buy assetts when the price is falling.

Did people start buying tech shares when the stockmarket lost 20% of its value when the dot-com boom bubble burst?

No. People only started buying when shares had bottomed out and were undervalued.

Same with houses in the last crash. Once they started going down, nobody would buy. And nobody kept buying for years, even though they were undervalued.

House prices halved in real terms in London last time before the market bottomed out. They will halve in real terms before they bottom out this time.

In 1997 I was actually shouted at by one young woman for suggesting that it was a good time to buy a house (I was a full on housing bull then) everybody thought I was mad because so many people had been burnt in the crash.

95% of people don't look at whether something is sensibly priced or not. They don't look at high or low. They only look at up or down. If prices are going up people buy. If prices are going down they don't buy.

Prices rising (not necessarily high or low) = Volume of sales high

Prices falling (not nesessarily high or low) =Volume of sales low

The buyers drive the market and they are about to drive it down. Because 1) fewer of them will want to buy in a falling market and 2) credit will be tighter.

Edited by insidetrack

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Guest Cletus VanDamme
I can remember very clearly being told by a very thoughtful and intelligent person in 1989 that London was now like Paris, and that ordinary people would never be able to buy houses again in London.

A year ago I met a secretary who bought a two bed house in zone 2 in 1994.

Have faith.

I hope you're right, but I I often wonder if these were one-off, golden age times. I fear that houses will never be 3.5 x income in London again. This boom has gone on far, far longer than the last one - it's now in its 10th year. It's not going to get undone overnight. The best we can hope for is a Japan-style slow decline, but I fear that even that is too optimistic, given that we have unlimited immigration that will keep demand high, for rent or purchase (remember, Japan has and always has had very strict immigration controls).

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Guest DissipatedYouthIsValuable
Yep - we will be fine here.

Of course. The proletariat and the youth will find some way of causing wage hyperinflation to catch up.

"This is Larndan mate, we've got the financial centre of the World, and all these rich forrins buyin our 'ouses. It'll nevah go darn."

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I hope you're right, but I I often wonder if these were one-off, golden age times. I fear that houses will never be 3.5 x income in London again. This boom has gone on far, far longer than the last one - it's now in its 10th year. It's not going to get undone overnight. The best we can hope for is a Japan-style slow decline, but I fear that even that is too optimistic, given that we have unlimited immigration that will keep demand high, for rent or purchase (remember, Japan has and always has had very strict immigration controls).

But people forget that immigration was a big factor last time in London. You couldn't move for Irish people in London in the late eighties, at every level from architect to labourer. Huge numbers of Spaniards also. They dissapeared like snow in the spring when the building stopped and the recession kicked in.

The thing that is different is the BTLs, they have driven it higher, and when the EEs leave they will panic and they will drive it lower.

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Guest Cletus VanDamme
But people forget that immigration was a big factor last time in London. You couldn't move for Irish people in London in the late eighties, at every level from architect to labourer. Huge numbers of Spaniards also. They dissapeared like snow in the spring when the building stopped and the recession kicked in.

The thing that is different is the BTLs, they have driven it higher, and when the EEs leave they will panic and they will drive it lower.

I wonder though that much of this all hinges on 'when the EEs leave'. What if they decide to stay? Remember, as EU citizens they can claim full benefits once they have worked here for a couple of years.

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I wonder though that much of this all hinges on 'when the EEs leave'. What if they decide to stay? Remember, as EU citizens they can claim full benefits once they have worked here for a couple of years.

Then why the hell did these ex-communist regimes get access to the EU? Was it to bring in a flood of cheap labour? Was it to inflate a declining population or was it to keep Russia politically weak (part of the spoils of `winning` the Cold War - which, incidentally, is beginning to reheat!!) Whatever the `reason` what a damn stupid idea as the Commies will be legally entitled to benefit. Nobody complain if the BNP start capitalising on their gains (without the tax of course!) :blink::( :angry:

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I wonder though that much of this all hinges on 'when the EEs leave'. What if they decide to stay? Remember, as EU citizens they can claim full benefits once they have worked here for a couple of years.
The Irish could stay last time. Faced with the choice of the dole in expensive London, or jobs in Dublin, they went to Dublin. The EE's will go home, or to booming Germany, or Holland, or wherever the jobs are. The Baltic economies have expanded so fast that they are facing labour shortages.

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