House Prices Now At 2004 Levels
23 January 2009, 08:07 PM
#332
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It's a mix of resarch and my own personal experiences.
I own property and am looking to add to that with one more, my retirement place by the sea. I am not selling anything - just looking to buy.
I am actively in the buying market and have been viewing properties since last July - talking to Agents on the ground as well as builders and vendors.
I would say I am well placed to comment accurately.
I own property and am looking to add to that with one more, my retirement place by the sea. I am not selling anything - just looking to buy.
I am actively in the buying market and have been viewing properties since last July - talking to Agents on the ground as well as builders and vendors.
I would say I am well placed to comment accurately.
23 January 2009, 08:19 PM
#333
I always advise people when they buy a house (say from a new build) To barter the price down to what they trhink is good, then go back 3 weeks later and say you can't get the mortgate for that amount and offer say £10k less 
I know from experience the MD's will say go ahead with the sale. But it would be virtually impossible to negotiate such a discount on the property in the 1st place as you could still be a time waster as its only say £300 for a deposit on a new house.
I know from experience the MD's will say go ahead with the sale. But it would be virtually impossible to negotiate such a discount on the property in the 1st place as you could still be a time waster as its only say £300 for a deposit on a new house.
23 January 2009, 08:26 PM
#334
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Err, yes it will. You should know better than that Pete. Anything imported from Eurozone (inc Germany the biggest exporter in Europe), Japan, usa could well cost more. Even the humble Indian rupee has appreciated 15% against the £
so purchasing power is decreasing. We can't all survive on ******* and baked beans mate
so purchasing power is decreasing. We can't all survive on ******* and baked beans mate
23 January 2009, 08:41 PM
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Rents are now falling drastically - sellers will need to sell and not rent.
Can only drive prices down once more.
"Homeowners who let out their properties last year rather than sell them for a cut price are being forced to reduce rents or risk losing their tenants as the market rapidly sours.
Letting agents saw a rush of so-called “accidental landlords” into the market last year, as falling house prices convinced property vendors to delay their sales. But the sheer volume of properties that have become available to potential tenants in recent months has brought stiff competition for landlords and put pressure on rents" FT
Can only drive prices down once more.
"Homeowners who let out their properties last year rather than sell them for a cut price are being forced to reduce rents or risk losing their tenants as the market rapidly sours.
Letting agents saw a rush of so-called “accidental landlords” into the market last year, as falling house prices convinced property vendors to delay their sales. But the sheer volume of properties that have become available to potential tenants in recent months has brought stiff competition for landlords and put pressure on rents" FT
This is propaganda from vested interests. Anybody who was a landlord during the last recession will know that this will not be the case.
When these landlords are forced to liquidate things will get interesting
23 January 2009, 09:00 PM
#338
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My guess is that at the moment landlords with buy to let mortgages tracking the base rate can cope with reducing rent and are doing so rather then having an empty property, as there interest payments have declined recently giving them breathing space.
My view is that interest rates cannot stay this low indefinately and when they do rise, they will either prevent recovery or throw the country even deeper into trouble.
My view is that interest rates cannot stay this low indefinately and when they do rise, they will either prevent recovery or throw the country even deeper into trouble.
23 January 2009, 11:12 PM
#339
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My opinion is that Interest Rates will rise strongly, it would strengthen the £.
At that point BTL Mortgages will get painful with no tennants and properties will have to be sold, driving prices down.
The 'forced landlords' are starting to struggle, they have bought another house - the tennant paying for their unsold last house, when this tennant goes elsewhere then they will be stuck and have to sell.
At that point BTL Mortgages will get painful with no tennants and properties will have to be sold, driving prices down.
The 'forced landlords' are starting to struggle, they have bought another house - the tennant paying for their unsold last house, when this tennant goes elsewhere then they will be stuck and have to sell.
24 January 2009, 10:17 AM
#340
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My opinion is that Interest Rates will rise strongly, it would strengthen the £.
At that point BTL Mortgages will get painful with no tennants and properties will have to be sold, driving prices down.
The 'forced landlords' are starting to struggle, they have bought another house - the tennant paying for their unsold last house, when this tennant goes elsewhere then they will be stuck and have to sell.
At that point BTL Mortgages will get painful with no tennants and properties will have to be sold, driving prices down.
The 'forced landlords' are starting to struggle, they have bought another house - the tennant paying for their unsold last house, when this tennant goes elsewhere then they will be stuck and have to sell.
24 January 2009, 10:40 AM
#341
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Well people have always thought that they were better off with their house being a higher value, this is utter b******s, you are no better off than you were with a 30k terrace house10 years ago, if its worth 90k now, if anything your worse off because for 60k you could have gotten a nice semi detached house, now with your 90k terrace and that 200k semi that would have been only 30k difference is now 110k difference.
The sooner the house prices drop to "realistic" prices the better as far as i am concerned
Tony
The sooner the house prices drop to "realistic" prices the better as far as i am concerned
Tony
27 January 2009, 11:21 AM
#342
House price sales on the rise in America ..!!
Up 6.5 % !!!
How long before it filters through over here .??
Do you need to get on the program if you have been thinking about buying ?
Who knows .
Up 6.5 % !!!
How long before it filters through over here .??
Do you need to get on the program if you have been thinking about buying ?
Who knows .
27 January 2009, 11:31 AM
#343
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Yes, I noticed that the US market has bounced back strongly.
Viewings are double what they were in January 2008 here in the UK - sold signs are going up.
It could be the upturn here .... 3 months and prices may start to rise.
That will encourage supply and level any increase - it could go up briefly, then collapse in the Autumn .... no-one knows!
But, on balance, now may be the time to step in?
Viewings are double what they were in January 2008 here in the UK - sold signs are going up.
It could be the upturn here .... 3 months and prices may start to rise.
That will encourage supply and level any increase - it could go up briefly, then collapse in the Autumn .... no-one knows!
But, on balance, now may be the time to step in?
27 January 2009, 11:34 AM
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Up 6.5% on nothing is still not much.
A rather respected industry figure reckoned that using the "pattern" of this recession compared to the last one, proper recovery is not likely until 2017...
A rather respected industry figure reckoned that using the "pattern" of this recession compared to the last one, proper recovery is not likely until 2017...
27 January 2009, 01:25 PM
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don't want to give too much away: but I work for a massive social landlord in the north.
out of perhaps 30 housing association landlords - all have stopped building/developing, except us. we big enough to bear the brunt.
the city is stuffed full of empty apartments.
we have private landlords begging us all day long to take their stock and give them tenants.
we are sticking homeless families in prime private family housing for £90 a week- approx full rate of housing benefit.
fools who did the buy to let thing on all these apartments are screwed.
best example- some **** who bought 5 flats- £175 grand each. Because the developer can't sell/rent etc- he's now sourced us. so we have single homeless people in for £70 a week.
basically my view is, whatever car you drive/whatever house you live in: thats it for now. you'll not sell it without a massive loss.
I assume mortages will fly up at some point as more and more re-possessions happen and all these void properties fail to sell, thus injecting no cash into the banking market.
bargains for those that have ready cash I guess.
Oh and reality of waiting for a "council" house/ association property ? well never is the answer in some areas, maybe 6-8 years in others.
forget the young mum with kids scenario getting housed. a myth, always was, always will be. You get yr house re-posessed, its hostels for you.
out of perhaps 30 housing association landlords - all have stopped building/developing, except us. we big enough to bear the brunt.
the city is stuffed full of empty apartments.
we have private landlords begging us all day long to take their stock and give them tenants.
we are sticking homeless families in prime private family housing for £90 a week- approx full rate of housing benefit.
fools who did the buy to let thing on all these apartments are screwed.
best example- some **** who bought 5 flats- £175 grand each. Because the developer can't sell/rent etc- he's now sourced us. so we have single homeless people in for £70 a week.
basically my view is, whatever car you drive/whatever house you live in: thats it for now. you'll not sell it without a massive loss.
I assume mortages will fly up at some point as more and more re-possessions happen and all these void properties fail to sell, thus injecting no cash into the banking market.
bargains for those that have ready cash I guess.
Oh and reality of waiting for a "council" house/ association property ? well never is the answer in some areas, maybe 6-8 years in others.
forget the young mum with kids scenario getting housed. a myth, always was, always will be. You get yr house re-posessed, its hostels for you.
Last edited by austinwrx; 27 January 2009 at 01:27 PM.
27 January 2009, 01:58 PM
#353
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also of interest.
The slump in housing starts by the private house builders is accelerating so fast that they will soon be overtaken by housing associations.
Figures published by the National House-Building Council show that it received just 106,894 applications to start new homes in 2008, a drop of 47 per cent on 2007 and the lowest it has ever recorded. Within that though, private sector starts fell 56 per cent to 163,535 while housing association starts fell just 6 per cent to 34,780.
No regional split between the sector is available but in terms of total starts the north east (down 67 per cent) saw the biggest slump last year and London (20 per cent) the smallest fall.
But the slump got much, much worse in the final quarter - in the north east only 187 homes were started by anyone, a fall of 90 per cent on last year. In the UK as a whole, private sector starts fell 76 per cent from 36,241 to just 8,646 while housing associations starts fell 5 per cent from 7,601 to 7,233.
In December, housing associations started only 263 fewer homes than the private sector. If starts continue to fall at the same rate, associations will overtake private builders this month.
Can things get any worse? Yes, says the American experience. Even though the housing slump started earlier there, housing starts have just fallen to another record low.
Yes, say the forecasters here. If they are correct, 2009 will see more repossessions (75,000, according to the Council of Mortgage Lenders) than new homes built (70,000, according to the Construction Products Association).
The slump in housing starts by the private house builders is accelerating so fast that they will soon be overtaken by housing associations.
Figures published by the National House-Building Council show that it received just 106,894 applications to start new homes in 2008, a drop of 47 per cent on 2007 and the lowest it has ever recorded. Within that though, private sector starts fell 56 per cent to 163,535 while housing association starts fell just 6 per cent to 34,780.
No regional split between the sector is available but in terms of total starts the north east (down 67 per cent) saw the biggest slump last year and London (20 per cent) the smallest fall.
But the slump got much, much worse in the final quarter - in the north east only 187 homes were started by anyone, a fall of 90 per cent on last year. In the UK as a whole, private sector starts fell 76 per cent from 36,241 to just 8,646 while housing associations starts fell 5 per cent from 7,601 to 7,233.
In December, housing associations started only 263 fewer homes than the private sector. If starts continue to fall at the same rate, associations will overtake private builders this month.
Can things get any worse? Yes, says the American experience. Even though the housing slump started earlier there, housing starts have just fallen to another record low.
Yes, say the forecasters here. If they are correct, 2009 will see more repossessions (75,000, according to the Council of Mortgage Lenders) than new homes built (70,000, according to the Construction Products Association).
27 January 2009, 02:41 PM
#354
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This is the start - if you were going to buy, buy NOW!
If I could find the place I wanted I would be in ....
"First-time buyers are beginning to return to the property market following steep house price falls, figures showed today.
Mortgage website mform.co.uk said people buying their first home now accounted for 40 per cent of all mortgage applications made through its service, compared with less than 10 per cent in October last year.
The group said the increase in applications by first-time buyers came amid a rise in total applications from all groups, including people remortgaging and those moving home.
The figures support anecdotal evidence suggesting that house price falls of 16 per cent last year, combined with recent steep interest rate cuts are beginning to tempt first-time buyers back into the market"
'Signs of revival' in first-time buyers' market - Mortgages, Money - The Independent
If I could find the place I wanted I would be in ....
"First-time buyers are beginning to return to the property market following steep house price falls, figures showed today.
Mortgage website mform.co.uk said people buying their first home now accounted for 40 per cent of all mortgage applications made through its service, compared with less than 10 per cent in October last year.
The group said the increase in applications by first-time buyers came amid a rise in total applications from all groups, including people remortgaging and those moving home.
The figures support anecdotal evidence suggesting that house price falls of 16 per cent last year, combined with recent steep interest rate cuts are beginning to tempt first-time buyers back into the market"
'Signs of revival' in first-time buyers' market - Mortgages, Money - The Independent
27 January 2009, 02:54 PM
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27 January 2009, 02:59 PM
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Pete sorry as I'm normally with you, but on this one you've lost it.
This is a crash to end them all, we're not even halfway through it yet. Buy if you want, but get a 40% discount off the asking price.
This is a crash to end them all, we're not even halfway through it yet. Buy if you want, but get a 40% discount off the asking price.
27 January 2009, 03:04 PM
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27 January 2009, 04:04 PM
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27 January 2009, 04:09 PM
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I certainly hope, beyond hope, that there is a further crash due and more discounts ........ as I am wanting to buy and not selling.
But, I'm telling it as I see it where I'm at ...... the Estate Agents have stopped hassling me and begging me to view properties - they have hounded me since August 2008. This tells me that they have more buyers willing and able to buy - I am no longer the only game in town, it would seem. They could, of course, just had enough of me
Properties which were on the market last August are now going under offer and these offers are proceeding to sales.