Rhys

Right i know its a car forum, but kinda anything goes in general discussion.


What are your opinions on the state of the UK housing market? And where do you think its going to go this year?


Would like opinions of people who are kind of in the know and can back up statements, not just people taking peronsal wild view

Lee Reynolds

imo i think it will continue to be a slow year. I wouldnt hold out for major crashes though.....

dojj

iTrader: (3)

it's taking longer to sell in some areas and houses don't alway smake their estimates

for example
the hosue next door to ours was orignally put up for sale about 2 years ago for £340k with no intrest
then it went dow to £325k about 6 months later
still no intrest
then, about 6 months ago it sold for £280k

you can put this one of 2 ways

either the estate agents were wildly optomistic on the price (smimilar properties have gone for around the £300k mark previously albeit further down the road) or the prices have started to fall

alternativly you could always say that the house was never worth that sort of money in the condition it was in but that's besides the point

we bought our house just about 26 months ago and the last vaulation put it at around the £360k mark, not bad considering we bought it for £280k so there are fluctuations in the market even on the same street with smaller/newer/taller/bigger/wider houses

for the long term it's still the way to go if you can afford it, but if you want to make a quick buck i think the boat has long sailed

James-W

It's slowly going down.
Everyone who owns/is selling a house is thinking it's worth more than it is and will keep going up.
First time buyers are waiting for an overnight crash, what ain't going to happen.

That basically sums up the average market imo.

BRAMMER

iTrader: (23)

As above i can't see a crash but i think the market will continue to slow down, but who knows it could totally change over the next 12 months

mechanic28

iTrader: (5)

i am saving for a house/flat but i am fucked cant afford it i hope they do come down

THE RADMAN

iTrader: (2)

funnily enough,while i was renewing my bathroom this weekend,i found an old newspaper from 1978, with loads of house ads, 2-3 bed terrace were around £4-4.5k, 3 bed semis about £7-9K how things have changed

geoffxr4

Personally i'd say house prices are slightly overvalued at the moment, possibly 10% but not more than that. I dont think there will be a crash, but a stagnation in prices for maybe the rest of this year in order for things to straighten out.
House price inflation has been slightly too high for few years leading to this slight overvaluation. However, it is normal that house prices shld increase steadily as there are many forces driving the housing market forward such as low inflation/low interest rate economy, inherited wealth, obscence money being made in city being invested in housing, population outstriping supply, banks supplying ever longer mortgages (lifetime mortgages!!), UK as a desireable place to live therefore bringing in foreign money etc
And with a quarter point reduction in interest rates on the cards for thursday things are moving in the right direction. Long term property is a very solid investment long as you can ride out any slow periods. Plus u might even pick up a bargain at the moment if someone is desperate to sell...

Shings

Rhys


I am looking at the moment and have been taking a keen interest for a while now- being a student of the built environment and all that.


The road I live in is quite desirable for the area I live in, the house next door to me was the first to come on the market for sale for 7 years or so and was sold before it hit the pages for £155k. No messing. 18mths ago.

The house 2 doors up from it is now on the market- 18mths later. Same house except has a shared driveway to the garages at the rear.. £155k is the asking price.. Its been for sale for a month now.


That to me is a key indicator- but I think its more consumer confidence than anything else as the house is actually very well priced conpared to other similar in the area.

In my opinion the next 3-6mths will be an interesting time.

I think people with a good wage and good deposit just starting out will get a better deal in terms of what their money buys- but a worse deal mortgage wise.

I think people who have recently purchased or stretched themselves may find it a difficult time.


Jake

cfoster

So the key question is... Is it worth a first time buyer buying now or waiting 6 months if the market is staying where it is (and not rising with inflation?). I'm looking at the mo, not to buy to sell short term to make a buck but to live in. Surely if I stay there 10 odd years i'm not going to lose out, plus if the market stays where it is for the next year or so there is no point waiting??

Chris

dojj

iTrader: (3)

i think it's come to the point where a deal can be done on a house by putting in a much lower bid than the asking price in the shop window

and if you can haggle 10% off the sticker price it's as good as saving you a couple of years worth of mortgage payments

Graceland

Wait 6 months and analyse the market again Chris, then wait a few more months.

With the fears of recession in America, the credit crunch globally, the starting of credit companies calling in all bad debts over here, theres something looming in the air

I'll give it 8 months and we will see upto 40% sliced off the price of houses

DanS

Chris...

I think if you can walk into a deal with no lower chain, an agreed mortgage with your lender and a healthy sized deposit you will be able to pick up a bargin at the moment. Whether that will seem like a bargin in 6-9 months time is another questions.

IMO as long as you can ride out any crash in the housing market or a ramp up in inflation the recent price trend should not put you off investing in a house.

Rolls

iTrader: (2)

Best advice on here thus far IMO!

gingeRS

so how much longer should i stay at my parents , was gonna buy in a few months or so....but now its putting me offf

wish my friend hadn't have gone travelling

Chip

iTrader: (3)

PMSL

I know people who have been making similar predictions every single year since the last crash which was a couple of decades ago.

There is NO way IMHO that 40% is going to fall out of the market, in fact I suspect that this year will see a small increase, I dont really see how it cant with the extra number of people cramming onto our small island every day all needing somewhere to live and the relatively minimal amount of new houses being built.

Graceland

Chipper - I didn't say there will be 40% wipe out, I said UPTO 40%, which to be fair, in the northern part of the UK, drops us about 20% have happened already with the latest economic state

Chip

iTrader: (3)

Ok then, I predict rises of upto 1 million %

Graceland

If you insist

Take for example swanky posh apartments in Leeds city center went for £180k when new 3 years ago, now they cannot even be sold for more than £125k as nobody wants to live in an overpriced highrise flat the size of a rabbit hutch that will ultimately become a councill shit hole in years to come

It's Czech Mate

I'm in the process of buying and selling at the mo

I think the current market is overpriced slighty, maybe 10%. And the market is slow because everyones waiting for something to happen, namely a price and interest rate drop. I dont think there will be the big changes that some people think. I reckon a 10% price realignment and then business as usual.

Ideally a crash in the prices and then the gvt dropping the interest rate to stimulate the market would do me the world of good lol but lot of other people would be in the negative equity trap then!

dojj

iTrader: (3)

some might say it servers them right for living in leeds

if the area is a shit hole then it's going to stay a shit hole unles somethings done about it
if you want to make money fast either take up racing stuff around the place or rob a bank, don't think houses will keep going up and up and up

Shings

Chip - you have a point... however, I was reading this weeks building last night while having a shit, as you do, and the guy in charge of the top housing association in the country was saying the same.. but... he said the problem is peoples ability to afford the houses.

There are only so many social houses available.


I think the stick silly offers in is a good way at trying your luck.

Its the way I am going- I know exactly what 90% of people on here would say- PAH I aint selling my house for less than blah blah blah.

Which is fine- keep it, I'm not trying to sell to an uncertain market... and I can stay at my parents for ever.. lol..

How arrogant of me.


Jake

Davemurphy007

Am in exactly the same position myself.

The misses is gagging for us to get a mortgage and a place together NOW but I'm adamant I want to give it 6 - 9 months with the guise of getting a really good deposit together and give us a bit of a cushion when we (eventually) find somewhere and buy it.

Is very interesting to see people saying 'wait a bit'. Is there anyone on here actually working in the housing market at all?

It's Czech Mate

Yeah my fiancee works at one of the UK's biggest property comapnies who are also an international company too in both residential and commercial property.

Markb_s1

not sure myself. I'm certainly no expert, but am planning to get rid of one of my properties i rent out as i've made quite a bit of cash on it in the last 18 months, and i'm not entirely convinced they won't drop slightly.
even if they don't, i'll still have my other one and a big lump of cash... unless i get myself a bigger place to live in in the meantime.

Graceland

The city center isn't a shithole at all, its the highrise apartments and flats thing that will ultimately cause the problem - remember the concrete monsters of the 60's that shot up everywhere - look at the standard of the people who live in them now, smack heads, dole lovers and prostetutes - the same will happen with posh apartments in 20/30 years time

Rod-Tarry

Im selling my mothers house at the mo & had expected a large drop from when I first started to get it up to scratch to sell a few months back, their appears to be no such drop or if it is only very slight.
An Estate agent mate said if the bath/kitchen are modern & its painted neutral & well presented houses are still selling. Its a buyers market & you have to have something that will appeal.
Ive spent 4k only on renovation work & the revaluation has actually gone up in the last few months. I will be happy with 20k less than the value they have suggested it goes on the market at.

It's Czech Mate

I think this is the main problem. The estate agents are very optimistic in their valuations I find, i laughed then out of the house when they valued mine, It was a good £15k over any equivalent house in my area

C4llyT

I'll be holding out for 6 months or so, see what happens.
Hopefully with a decent deposit will be best situation with interest rates etc.
Houses do seem to be on the market for a long time lately, and everywhere I go there's shitloads of building going on.

dojj

iTrader: (3)

there are loads of expensive properties going up all over the place that are basicly tower blocks for rich folk

how are the slobs of society going to afford to live there?
ok we may not have the same problem in the posh parts of london as they do in leeds (shit, i could have bought 2 of them for cash ) but i'd rather live where i know than speculate on a place i don't

Lee Reynolds

as stated it is the estate agents that, since the last big boom, have been VERY optimistic with thier prices over valuing a lot of houses. Now they arent selling but no way are they falling below the actual value. No one can say but imo the arse aint gonna fall out of it..

C4llyT

Where do you live, murder capital of England?!

C4llyT

Sandbanks is a joke mate, way more money than sense those fuckers
A bit of sea and sand, big deal!

Rod-Tarry

Well they have since the 1960's & many many times ive heard the 'they cant possibly go up any more'. Remember in the mid 70's when the average house reached 10k that it was all going to collapse & no one would pay anymore .
Interest rates have been as high as 15% & still they went up with a few blips. It will level off maybe drop a tad & then supply & demand will take over again.
This is in the South no idea about up North.

Rhys

Yeah asking this as seeing what think. Im in first time buyer mode. GOt deposit, but think going to enjoy myself beit more till end of the year and then see if its time to jump in. As think will be mad to atm.

RWD_cossie_wil

iTrader: (9)

A lot of it is very area dependant IMHO, you cannot compare London to Blackpool, or indeed any major city to another. Houses will sell for what people percive they are worth, if they don't sell it's either because they are over-priced or undesiarable, simple as. ... Can see the market staying pretty static to be honest, no one will want to "loose" money on thier current property, but people just can't afford to get on the ladder at the moment, so the whole chain from the bottom will remain static... IMHO anyway.