scooby L

12 Months ago, I took my extention plans of my place ( in Wiltshire)to my local estate agents, and had a projected value of £475k when finished.

I've just finished the extention, and went to my mortgage lender to re-mortgage and pay off the outstanding loans I took out to complete the work. They just valued it at £375k... (and will only offer a 75% LTV mortgage too)..

I've had to switch mortgage lenders, and also will not be able to clear some of my undertaken debts as a result... it's bit of a pain!

so I'm hoping the market recovers..

FlightMan

Yeah, and RICS have no vested interest in seeing house sales pick up do they!

njkmrs

The End Is Nigh !!!!!!!!!!!!!!


Or some of you would like to believe it is .


Enjoy your home .


If you bought as an investment ,hopefully you will pull through .


Who knows for sure how long,how low ,will it ,wont it .


If you wake up tomorrow you,ve done well !!!!!!!!


Lets keep things in perspective .

SunnySideUp

I don't think anyone is losing much sleep over it all .... just having a debate on the issues of the day

Deep Singh

sorry to be pedantic but I disagree. Unless you buy well below market value NO AREA OF THE UK will be profitable in terms of property for now. Of course nice houses in the right part of town will be more likely to sell, and may drop by less than an originally overpriced Barratt ****box, but drop they will

davegtt

Problem with this discussion is some people are discussing the average person who buys a house etc. Some of you are being doom mongers talking about investers.... Two completely different topics IMO

Matteeboy

Go on then - go and buy some BTL properties you guys.

Then let us know how you are doing in a years time.

davegtt

See my post above yours. As said, are we having a discussion about house price levels or a discussion about BTL'ing?

davyboy

If your mortgage is approx 50% of the value of your house last year, then I don't feel there is much to worry about if the worst should happen.

Matteeboy

I just did my usual "don't read the posts properly then jump in and post something irrelevant" trick. Often lands me in trouble

fatscoobfella1

iTrader: (1)

As Dave says.. different issues here..

I think your taking the perspective of buying now and then trying to sell for more profit in a short time,this is not what i meant at all.

I simply meant that nice house/nice location will be worth more...And will never be sold "really cheaply" due to this.

Leslie

I think I prefer to regard my house as somewhere to live rather than an investment, especially since on my pension I dont have scads of cash to spare. It had gone up considerably in value since I bought it in '92, but doubtless is close to where it was in the first place.

If I had to move then the loss in value of this house would surely be balanced by the lower cost of another house.

Les

speedking

Not if you move to a cheaper place that has depreciated by the same percentage.

2 years ago you sold £400k and bought £200k, you have £200k to put in the bank.

After a 15% fall; now you sell £340k and buy £170k, you have £170k to put in the bank.

You are £30k worse off.

SunnySideUp

Yep, you are worse off 'downsizing' and you gain if 'upsizing'.

There are still those who think/believe that house prices will only ever go higher and higher as the years pass - this is quite a recent feature of house prices ...... historically it just didn't happen, if they did increase they increased in line with the increased % of a loaf of bread.

We could go back to those days ......

Henrik

iTrader: (5)

I sincerely hope you're wrong, as I just shelled out 1.36 for a loaf of Hovis, up from less than a pound only about a 1.5 years ago

Bread prices are the next bubble, I'm getting some futures today

Deep Singh

I feel like I'm harassing you now mate, so apologies in advance But:

You say a nice house/location will be worth more, of course it will be worth more than a crappy house/location but thats because it cost more in the first place. A house in Knightsbridge will always be worth more than same house in Brixton, thats obvious

The nice house may well lose near abouts the same %age as the crappy house though, thats the thing. £million+ houses will not be spared, nothing will. And yes some nice houses/nice areas will be sold cheaply, I've seen it before

This is why I used the word denial I'm afraid, people in some areas/houses think they will see minimal impact on their property prices because of the desirability of their patch, it doesn't work that way

rossyboy

iTrader: (8)

The market around here is flooded with dreamers with homes in "better" areas who point blank refuse to reduce their selling prices, which are set at peak values. The amusing thing is that nobody is buying their houses...

SunnySideUp

Lots of houses sat on the books at last years prices ...... these are vendors who don't need to sell - but would sell if the right offer came in and they could get a big discount off their next purchase - dreamers

Distressed sales are were the true selling prices are, as well as auctions.

fatscoobfella1

iTrader: (1)

You can harass me all you want..ha ha...

What you did say was i was in denial and was frankly absurd,because you assumed the statement i made was about myself..

I said this......

However.. Nice properties in nice locations will always get good money.. Its the crappy one that people NEED to get rid of that will bring the biggest discounts.

You said this..

Denial is one of the early stages. The thought that the area that you live in is somehow so special it is not affected by a global and national recession is frankly absurd

I will still stand by both points i made in my statement..

stevebt

iTrader: (8)

As it happens thats what is keeping the big house builders alive at the moment as there has been a huge surge in social housing. I know of quite a few sites now where there is on average 50 houses sold to social housing which means they are definte builds. If you have the cash now is a good time to buy

Deep Singh

Going around in circles mate. You keep saying things like 'nice properties in nice areas will be; QUOTE

1)' More profitable'

No, they will make no profit

2) 'Worth more'

More than what? What was paid for them? More than a bag of crisps? The statement makes no sense

3) 'Will attract a premium'

What does that mean? You bought for £100k and now have to sell for £70k, do you consider that a premium?

I'm not assuming you are talking about yourself. All I'm trying to say is ALL UK property is going to take a HUGE hit no matter where it is

Terminator X

iTrader: (7)

Excuse me, do we know each other ...

TX.

Terminator X

iTrader: (7)

My prediction is that the av house price will be £600k in 2021 ie just 2yrs after your predicted return to 2007 prices Best of luck with your purchase.

TX.

fatscoobfella1

iTrader: (1)

Im gonna have to get a restraining order on you..


As for your points 1,2 and 3 i simply meant that nice property in nice area's will always be a better investment. Whether that means they will lose less in the long run,be more desirable when time to sell or a myriad of other reasons,that is it.Nothing more,nothing less..

If you live in a Barratt box on an estate with another 100 identical houses,where there is always a dozen for sale,then your chances of having to reduce your asking price if you can sell at all are high..

If you have a character property in a good location with nice views,chances are that you will be able to sell a lot easier and for a better price... Its desirable!!

Percentage wise you will always do better with something that people want,rather than something that is bought out of neccessity.(Surely nobody chooses to live in Brookside type housing estates?????? )

SunnySideUp

I think that statement clears up the confusion .....

If you buy a property for £500k and have to sell fo £300k I don't think that would be classed as an investment which you would choose to make ..... for the same % fall - you lose MORE cash on a 'nice' property than a 'not nice' Barrett Box (as the 'not nice' was cheaper in the first place).

Renting could be considered as the best investment at the moment as you are probably paying less than buying .......... buying will cost you the mortgage payment AND the ££££££'s loss every single month.

We still have a way to fall .... I'm sure of it.

davegtt

I like the fact that you are all smug that these cheaper houses are not selling because the owners are dreaming and wont sell so cheap. So unless people are forced to sell where do you expect to find the cheaper properties?

SunnySideUp

People ALWAYS have to sell, finally.

And the Vulctures are circling

Plenty of pickings to come ....

Deep Singh

Ok Fatscoobfella, lets call it quits there before you get the restraining order

sunny, you looking to invest at a later date?

SunnySideUp

Looking to step in soon ...... taking 15% off a reduced asking price - so I factor in the coming 12 months losses (hopefully).

davegtt

He has nothing to invest, hes just an internet troll