What Kind Of Discount Would You Want To See To Buy This Place?

[iguana]

You changed your post! Previously you wrote the house was £1600pm, so I thought you were referring to the house Lauristons have on for £1600pm.

ETA: That house appears to have an attic extension, so it is a three-bed. And monthly rental of £1500pm suggest a real value of £180k.

Edited August 10, 2008 by iguana

[yawnIHateSundays]

So you obviously think that the house will be worth £250k sometime in the near future. When do you think that might be? I think it was probably worth about that in 1999-2000, you think we're going to be back at those rates within the next couple of years?

Yes.

[nicebuyer]

Maybe I do. So perhaps my view of what these houses are worth is skewed by the rent I pay, but I don't think they are worth anything like £500k+. They really are very, very small and not suitable for a family long-term.

That house isn't number 16 btw, 16 is an end of terrace. And I don't see how it's a student house, student houses rarely come unfurnished, do they?

It's 14 then, I saw it a couple of days ago, it's a student house in terms of what it looks like, dirty carpets, yellow stains on walls, you know the thing, the kind of place I rented for £30 a week during University. Horrible. Rental on Clarence, Faraday and even Birkbeck are above £2k for 3 beds, most nearer £2.5k.

[Elizabeth]

So you obviously think that the house will be worth £250k sometime in the near future. When do you think that might be? I think it was probably worth about that in 1999-2000, you think we're going to be back at those rates within the next couple of years?

I thought we we were going back to 1988, so obviously my estimate of 300K was over the mark by about 110K.

[Einstein71]

It's 14 then, I saw it a couple of days ago, it's a student house in terms of what it looks like, dirty carpets, yellow stains on walls, you know the thing, the kind of place I rented for £30 a week during University. Horrible. Rental on Clarence, Faraday and even Birkbeck are above £2k for 3 beds, most nearer £2.5k.

Am I right in thinking there are over 500 houses for rent between £1500 and £2500 in Wimbledon? Thats so many, thats unbelievable. Is this normal for London?

[dances with sheeple]

Most graduates may start at 20k, if they're lucky, I know, I teach the little blighters.

Many are going under due to:

1. Huge student debt

2. Huge credit card debt

3. Mummy and Daddy can no longer remove equity from their now negative equity property.

4. Huge shop card debt

5. Their inability to see anything other than easy money, which they realise after they leave Uni that they must pay back.

On top of this you want our future generations to get into more debt.

I think the banks are now reaping the rewards of a few years of this frivolity.

The house: 65K max.

EDIT: Thanks for the posts Kirstie

BTW..the STC says it all on your rightmove prpperties.....they will fall through you know, they always do in 2008.

Sense at last. In the coming meltdown 65k is being generous, seeing it`s London and all. Going to uni and picking up a piece of paper with a watermark in it and running up a big debt tab is just not going to cut it in the modern world.

[iguana]

It's 14 then, I saw it a couple of days ago, it's a student house in terms of what it looks like, dirty carpets, yellow stains on walls, you know the thing, the kind of place I rented for £30 a week during University. Horrible. Rental on Clarence, Faraday and even Birkbeck are above £2k for 3 beds, most nearer £2.5k.

14 is a red-brick bay-windowed Edwardian maisonette.

I'm not denying that you saw this place, I'm just guessing you don't really know what number it is.

[dances with sheeple]

I assume you still think builders are busy. Face it Schuey, its over mate.

Is this your house Schuey? Sorry man you won`t be able to sell it now, you have been conned along with a couple of million others. I suggest you take your protest on to the streets in a peaceful visible manner.

[Guest DissipatedYouthIsValuable]

Hahaha. Half a million quid for an average 3 bed terraced house?

Londoners. What qunnts.

Edited August 10, 2008 by DissipatedYouthIsValuable

[nicebuyer]

Is this your house Schuey? Sorry man you won`t be able to sell it now, you have been conned along with a couple of million others. I suggest you take your protest on to the streets in a peaceful visible manner.

No, this is mine http://www.rightmove.co.uk/viewdetails-10817931.rsp Exchanged and a few hours away from completing.

[nicebuyer]

14 is a red-brick bay-windowed Edwardian maisonette.

I'm not denying that you saw this place, I'm just guessing you don't really know what number it is.

12 then. Actually my viewing notes say 16, whatever, point is it's not worth £500 a month the state it's in.

[rex]

And what kind of idiot buys at £400k when they have just dropped £200k in 2 years. I presume that during a recession you are assuming that everybody in London will be keeping their well paid jobs and willing to prop the market up.

The brother in law is a lawyer in W1 and his firm has just axed over 100 people (all on £60k+ jobs). He tells me that there is no recruitment going on in law so many are desperately selling their over stretched property before their 3 month redundancy pay runs dry.

More Supply whilst demand shrinks to literally nothing. Prices are set to freefall.

I was a lawyer in the City for 15 years, until a few months ago when i moved away from london. There are several thousand lawyers in the city whose jobs wont be affected by a recession because their work is international - if work dries up in the Uk, they refocus their work flow on other areas of the world. Non partner lawyers earn up to around 150k (excluding bonuses). Thats what i was on, and my husband the same again. Partners earn hundreds of thousands more. Thousands upon thousands of people in the city earn that and more. There is alot of money there to keep house prices underpinned. newly qualified lawyers in the city (ie around 22 yrs old) start on 50k now.

[iguana]

Hahaha. Half a million quid for an average 3 bed terraced house?

Londoners. What qunnts.

It's not an average 3 bed house. It's a 2 bed with an attic extension. There is a difference.

[Guest DissipatedYouthIsValuable]

I was a lawyer in the City for 15 years, until a few months ago when i moved away from london. There are several thousand lawyers in the city whose jobs wont be affected by a recession because their work is international - if work dries up in the Uk, they refocus their work flow on other areas of the world. Non partner lawyers earn up to around 150k (excluding bonuses). Thats what i was on, and my husband the same again. Partners earn hundreds of thousands more. Thousands upon thousands of people in the city earn that and more. There is alot of money there to keep house prices underpinned. newly qualified lawyers in the city (ie around 22 yrs old) start on 50k now.

£400k for a two bed terrace?

As you say, it's a good thing everyone in London is a lawyer.

And a good thing that these lawyers start at 50k gross, considering many will have £30k of debt to pay off before getting their 10-20% deposits together.

Edited August 10, 2008 by DissipatedYouthIsValuable

[Guest DissipatedYouthIsValuable]

It's not an average 3 bed house. It's a 2 bed with an attic extension. There is a difference.

Yeah, apologies, I forget that people like to pay more for bedrooms they can't stand up in.

I assume it's some sort of atavistic vestige of the childish enjoyment of attic memories in urbanites which pushes through tangibly to the markets.

Edited August 10, 2008 by DissipatedYouthIsValuable

[dances with sheeple]

I was a lawyer in the City for 15 years, until a few months ago when i moved away from london. There are several thousand lawyers in the city whose jobs wont be affected by a recession because their work is international - if work dries up in the Uk, they refocus their work flow on other areas of the world. Non partner lawyers earn up to around 150k (excluding bonuses). Thats what i was on, and my husband the same again. Partners earn hundreds of thousands more. Thousands upon thousands of people in the city earn that and more. There is alot of money there to keep house prices underpinned. newly qualified lawyers in the city (ie around 22 yrs old) start on 50k now.

This is an international recession though? You don`t answer the original question either, which I will pose again Newsnight style, what kind of an ignoramus buys into a falling housing market? Are you saying that lawyers on 400k a year do? If so I hope I never need any kind of representation from them!

[Guest DissipatedYouthIsValuable]

This is an international recession though? You don`t answer the original question either, which I will pose again Newsnight style, what kind of an ignoramus buys into a falling housing market? Are you saying that lawyers on 400k a year do? If so I hope I never need any kind of representation from them!

When you're bringing in £4600 a week as a couple, it's nice to think you can comfortably manage the mortgage on a 2 bed terrace with attic conversion, and still have money for coffee.

[rex]

This is an international recession though? You don`t answer the original question either, which I will pose again Newsnight style, what kind of an ignoramus buys into a falling housing market? Are you saying that lawyers on 400k a year do? If so I hope I never need any kind of representation from them!

Well, I just sold my house, for around 1.5 mill, to an accountant, who was taking out an 800k mortgage to buy it. and now im renting. so i guess you've got to ask which profession you want to take advice from. but yes, alot of people i know up there in that market are still going hell for leather - calling it "take a long term view".

world recession whatever - there are still multi million pound deals being done in the world and they have pipelines that last several years. The UK govt itself has committed 3.6 billion over the next five years to funding school renewals across the country which continues to be a cash cow for many people. Im not trying to talk the market up, because im out of the market and waiting to work out when i think is the right time to buy. Im just saying that there are many different "markets" in the uk, and London will always be slighlty different.

[Bloo Loo]

Well, I just sold my house, for around 1.5 mill, to an accountant, who was taking out an 800k mortgage to buy it. and now im renting. so i guess you've got to ask which profession you want to take advice from. but yes, alot of people i know up there in that market are still going hell for leather - calling it "take a long term view".

world recession whatever - there are still multi million pound deals being done in the world and they have pipelines that last several years. The UK govt itself has committed 3.6 billion over the next five years to funding school renewals across the country which continues to be a cash cow for many people. Im not trying to talk the market up, because im out of the market and waiting to work out when i think is the right time to buy. Im just saying that there are many different "markets" in the uk, and London will always be slighlty different.

course you are... why did you sell to rent? moving? STR for profit? Forced? or just trolling?

[rex]

course you are... why did you sell to rent? moving? STR for profit? Forced? or just trolling?

i was lucky. Decided to sell up and leave london and start a "new life in the country". Didnt know where to live in the new county so we decided to rent to get to know the area first. Coincidentially led to us sitting on a nice pile of cash in the bank and renting. I couldnt purport to have deliberately timed the market to perfection.

[Bloo Loo]

i was lucky. Decided to sell up and leave london and start a "new life in the country". Didnt know where to live in the new county so we decided to rent to get to know the area first. Coincidentially led to us sitting on a nice pile of cash in the bank and renting. I couldnt purport to have deliberately timed the market to perfection.

so what brings you here? its always nice to hear from new members

[lets get it right]

I'm interested in purchasing this place:

http://www.rightmove.co.uk/viewdetails-18737575.rsp

Assuming you are renting, would like to buy a new house and have the deposit you need, what kind of price drop would you need to see to make this a worthwhile purchase? Would a 10% drop make you feel happy about buying and not getting into trouble at a later stage? Or 20%? Maybe only 5%? I'm thinking that an offer of £520k in the current climate would be fair but am interested in what others think. Am I being a bit ambitious at thinking about such a drop?

You have bought into the bull. Maybe you can afford it. You'll be one of the last suckers in.

In a few years time that will struggle in the low 300s.

Where do you think the money is going to come from to sustain that sort of valuation?

[Guest DissipatedYouthIsValuable]

You have bought into the bull. Maybe you can afford it. You'll be one of the last suckers in.

In a few years time that will struggle in the low 300s.

Where do you think the money is going to come from to sustain that sort of valuation?

Low 300s? As high as that?

Do people really believe in working their ******** off for so long for so little?

Edited August 10, 2008 by DissipatedYouthIsValuable

[numpty]

If the City continues to survive then a professional couple working the city with a joint income of say £120k and a deposit of £50k could realisticly pay around £450k for the property. Assuming that falls of around 30% from the peak are expected this would seem to be in line.

I am basing my opinion on the City continuing to hold the premier spot in the worlds financial markets.

[lets get it right]

Do people really believe in working their ******** off for so long for so little?

The evidence of the last 10 years is that people will do anything, take on 50 year mortgages, 6 x salary mortgages etc. etc. - just for the sake of property ownership.

I don't think property prices have ever halved before and they have had a good few years at current valuations (in my area) - which is why people are so reluctant to drop the price. So I wouldn't discount that property going down to what it is really 'worth' - maybe in the £200s - but I'll be surprised if it does.