Property crash, just maybe it really is different this time

[eek]

6 hours ago, reformed nice guy said:

Will 100,000+ Afghans flooding in help keep prices up?

How do they get here - no one between here and Afghanistan is going to let them through their borders.

[Frank Hovis]

46 minutes ago, eek said:

How do they get here - no one between here and Afghanistan is going to let them through their borders.

 

Oh, they'll be assisted. Don't you worry about that.

 

[dnb24]

23 hours ago, Castlevania said:

Anyhow Prime Central London peaked in 2013 just before George Osborne wacked up taxes on foreign ownership and anti money laundering checks came in. The areas where the wealthy but not super rich live in such as Fulham, Clapham etc peaked in 2014. As you go further out and into previously undesirable areas the peak prices came later. I used to live in Brockley and for flats and terraced houses that area peaked in 2016. The exception here are the big Victorian villas and townhouses that haven’t been sub divided into flats and have massive gardens, they’re selling for record amounts. Although they were comparatively cheap. There was a good window where you could trade up from an average terrace in somewhere such as Clapham for a 3000 square foot townhouse with a 100 plus foot long garden.

100%, I have a very niche string to my bow with work, its a typical London type niche, ie overpaid and useless but I loved it because I met the really rich people, the type who don’t even think about money. 2014/15- they were all getting out of London- selling up if they were into investments etc. Their investment guys knew it was over and at its peak. They moved into rentals- Chelsea in the main.

[eek]

27 minutes ago, Frank Hovis said:

 

Oh, they'll be assisted. Don't you worry about that.

 

What to cross the borders into Turkey and Bulgaria / Greece.

 

Not nowadays they won't be, all the border guards now shoot first.. 

[reformed nice guy]

4 hours ago, eek said:

How do they get here - no one between here and Afghanistan is going to let them through their borders.

[sancho panza]

13 hours ago, reformed nice guy said:

Will 100,000+ Afghans flooding in help keep prices up?

Maybe not prices,taxes ?

[Hancock]

Was looking to find the price of houses close by to one my parents are looking at.

Highlights the reality for those who say there hasnt been epic HPI inflation in Northern England is, this is an average area on the outskirts of the ring road, posher areas are truly insane.

[Hardhat]

7 minutes ago, Hancock said:

Was looking to find the price of houses close by to one my parents are looking at.

Highlights the reality for those who say there hasnt been epic HPI inflation in Northern England is, this is an average area on the outskirts of the ring road, posher areas are truly insane.

That third one... 200k in 4 years?? 

[Hancock]

26 minutes ago, Hardhat said:

That third one... 200k in 4 years?? 

Crackers isn't it. 

As i say anywhere in northern England where you'd want to live,  that not so long ago the the working and upper working class could afford is at insane bubble prices.

Main difference with the south is you can stll buy a run down shithole in Stabsville on the cheap.

[Hancock]

3 hours ago, Hardhat said:

That third one... 200k in 4 years?? 

Or to put it another way, thats about 8 years average local salary, given to them tax free, in just 4 years worth of HPI.

A couple could downsize and retire on that sum alone ... whereas most workers in the private sector wont come close to achieving such a sum.

Why work when you can just get the property to do all the earning for you.

[BoSon]

Levelling up the north is going well. Soon the northerners will be able to enjoy southern property prices.

https://www.bbc.co.uk/news/business-58256169

Northern English regions drive house price growth

 

Quote

 

UK property prices rose by 13.2% in the year to the end of June, the Office for National Statistics (ONS) said - the fastest rise for 17 years

Prices were typically £31,000 higher than at the same time last year.

This increase was driven by the North West and North East of England, as well as Wales, Yorkshire and the Humber.

The price of the average UK home was £266,000, the ONS said.

Mark Harris, chief executive of mortgage broker SPF Private Clients, said: "Once again the North West leads the charge, while London property prices lag.

 

UK average property price now only 8 times average salary. Bargain.

[Noallegiance]

We really need a face-palm vote button on this website.

[Bobthebuilder]

New landlord.

https://www.bbc.co.uk/news/articles/cjkdyy9xgn3o

 

 

[Green Devil]

On 18/08/2021 at 12:50, BoSon said:

Levelling up the north is going well. Soon the northerners will be able to enjoy southern property prices.

https://www.bbc.co.uk/news/business-58256169

Northern English regions drive house price growth

 

UK average property price now only 8 times average salary. Bargain.

In a way thats good. Its an indication that the south is utterly unaffordable. Put Another way, the south has hit max pain and people are leaving in droves and moving north. The uk south has hit its mad gainz ceiling. 

 

[Don Coglione]

2 hours ago, Bobthebuilder said:

New landlord.

https://www.bbc.co.uk/news/articles/cjkdyy9xgn3o

 

 

7.5% yield?

[Bobthebuilder]

4 minutes ago, Don Coglione said:

7.5% yield?

Do they have to pay interest on their own loans???

[sancho panza]

2 hours ago, Don Coglione said:

7.5% yield?

It will be when they repossess the BTLers on their books who get reamed by S24 and have to sell at a discount-sorry-below market value...

[sancho panza]

5 hours ago, Bobthebuilder said:

New landlord.

https://www.bbc.co.uk/news/articles/cjkdyy9xgn3o

 

 

I'd welcome some institutions replacing a lot of the tight wad/cheap toilet seat type 55 year olds currently providing homes in disrepair.

[Option5]

I bet they insist you have a bank account with them so they get first call on your salary going in. Linked rent account managed by them?

[Don Coglione]

22 minutes ago, sancho panza said:

It will be when they repossess the BTLers on their books who get reamed by S24 and have to sell at a discount-sorry-below market value...

Simultaneously letting them avoid writing down the loan as impaired.

Seriously, I think there is an element of arse-covering in this move.

[spygirl]

1 hour ago, sancho panza said:

It will be when they repossess the BTLers on their books who get reamed by S24 and have to sell at a discount-sorry-below market value...

Nah.

Lloyd's are building blocks. Dont want Rigsby slums.

I think this is driven by  a couple of things -

Falling number of mortgages sold.

Attempt to try and find a new asset class that could be used in an annuity fund.

[Hancock]

On 18/08/2021 at 14:37, Noallegiance said:

We really need a face-palm vote button on this website.

Yes i still dont have a clue what bogged means.

[dnb24]

16 minutes ago, spygirl said:

Nah.

Lloyd's are building blocks. Dont want Rigsby slums.

I think this is driven by  a couple of things -

Falling number of mortgages sold.

Attempt to try and find a new asset class that could be used in an annuity fund.

Yep, the huge amount of new builds in east London- all of them blocks of flats have institutional names all over them- pension funds, banks etc,

[sancho panza]

1 hour ago, Don Coglione said:

Simultaneously letting them avoid writing down the loan as impaired.

Seriously, I think there is an element of arse-covering in this move.

For sure.

If you think of all the underperfoming IO BTL loans that are out there( @spygirl has covered this many many times).The bank has two choices repo and sell at a loss,or repo,roll it into anotehr loan to antoehr company at a much cheaper price with better LTV/Loan to income ratio and Bob's your uncle.

As I've said before,msot of the BTLers I know aren't aware that their home(well it's equity anyway) is in the default chain if their BTL empire goes pop.Good news for Llloyds.They make the BTLer tkae a loss,smack a second charge on the BTLers main home and rinse and repaet the loan to their own vehicle at better rates and everyone's a winner except the BTLer.

[sancho panza]

20 minutes ago, spygirl said:

Nah.

Lloyd's are building blocks. Dont want Rigsby slums.

I think this is driven by  a couple of things -

Falling number of mortgages sold.

Attempt to try and find a new asset class that could be used in an annuity fund.

I'm not so sure,there are an increasing number of BTL loans that no longer wash the banks face.They currently have them on their books covering the interest but know tighter regs or rising IR's are around the corner.

This is a ponteially neat and tidy way of clearing the mess up.Also easier for teh govt to bail it out.