Property crash, just maybe it really is different this time

[Wight Flight]

8 minutes ago, spygirl said:

Younger jounros are more likely tyo shareing a HMO, like everyone else undfer 45 in London.

 

It is surprising how many of the Talk Radio / GB News people are renters or sharers.

[JoeDavola]

1 hour ago, Yadda yadda yadda said:

They will both be glad of that in a year or two.

Yes I warned him a couple of years back that taking on an extra £100K+ of debt at 40 (which is what it would have taken to buy even a house of comparable size that wasn't in a housing estate like his is) was a terrible idea when he earns less than min yearly wage (4 day week at min wage rates), and likely the banks wouldn't just let him do it anyway. To be fair he's so laid back he was never going to be arsed but I was wary the wife might bully him into maxxing out his debt though I don't think she really thought through the numbers.

There's no way they're ever moving now anyway, as the increase in the normal cost of living and feeding the kids has used up all his savings in recent years.

Edited June 17, 2023 by JoeDavola

[Yadda yadda yadda]

15 minutes ago, JoeDavola said:

There's no way they're ever moving now anyway, as the increase in the normal cost of living and feeding the kids has used up all his savings in recent years.

That is actually scary. They will be spending a lot less on their mortgage than someone in the exact same circumstances but renting.

I suppose there is the option of working more hours and the prospect of being mortgage free in 14 years or so. I expect there are benefits involved too due to the kids so extra hours may not pay. That needs to change.

[Yadda yadda yadda]

1 hour ago, Darude said:

Yes to an extent, but younger journos are generally from wealthier backgrounds so more likely to have access to family money to put down as a deposit.

Agree. Journalism is largely middle class now.  There will be some very young journos renting and some outliers but the majority will own property. Shrinking industry too so an increasingly ageing workforce.

[JoeDavola]

12 minutes ago, Yadda yadda yadda said:

That is actually scary. They will be spending a lot less on their mortgage than someone in the exact same circumstances but renting.

I suppose there is the option of working more hours and the prospect of being mortgage free in 14 years or so. I expect there are benefits involved too due to the kids so extra hours may not pay. That needs to change.

Autism bennies for one of the kids. He claims there's no more bennies than that but I don't believe him - I think there's a chance his wife is getting a load of bennies that she just doesn't tell him about as she runs the main bank account that stuff goes into.

Edited June 17, 2023 by JoeDavola

[spunko]

On 14/06/2023 at 16:14, HousePriceMania said:

it's relentless...

 

 

One of the replies to that Tweet:

“And for people who have made an untaxed £300,000 gain on their house, but are now complaining that vine tomatoes are a bit expensive, I have two words of advice. The second one is ‘off’.”

[Long time lurking]

The killer with this is equity is always the first casualty ,your 60% LTV can quickly become 90%

 

Edited June 17, 2023 by Long time lurking

[Bus Stop Boxer]

On 15/06/2023 at 23:38, leonardratso said:

must be some cash left over from all that 70's fake wrestling TV action.

Spent it all on fancy capes.

[leonardratso]

11 minutes ago, Bus Stop Boxer said:

Spent it all on fancy capes.

and samurai face masks for kendo;
 

 

[The Grey Man]

Car crash UK.

 

[CVG]

Starting to see a lot more of this scenario.

House on the market for significantly less than Houseprice.IO predicts house would be worth if sold for inflation adjusted price.

(For Wighty)

https://www.rightmove.co.uk/properties/136196642#/?channel=RES_BUY

[CVG]

Another (in Littlehampton)

https://www.rightmove.co.uk/properties/131644964#/?channel=RES_BUY

[HousePriceMania]

Annecdote from a BBQ...bloke who was very bullish about selling his house and put it on the market with much fanfare...has turned full on property bear, not one single viewing in a month and was despondent about the news this week. He's Holding onto hope that BoE won't raise rates further. 

Cheered me up no end he did.

[Wight Flight]

42 minutes ago, CVG said:

Starting to see a lot more of this scenario.

House on the market for significantly less than Houseprice.IO predicts house would be worth if sold for inflation adjusted price.

(For Wighty)

https://www.rightmove.co.uk/properties/136196642#/?channel=RES_BUY

Nice house.

Sea view is stretching it a bit though. That was taken with a heck of a zoom lens or the mainland has moved a lot closer.

[spygirl]

9 hours ago, The Grey Man said:

Car crash UK.

 

I wonder if Sur Kier n Rach will keep up the 'Failed Tories, high mortgages rates   ... attack'

Theyve had the No money talk from the Treasury.

Now tgey must be having tge rates won't fall if Labour get in.

 

[spygirl]

1 hour ago, HousePriceMania said:

Annecdote from a BBQ...bloke who was very bullish about selling his house and put it on the market with much fanfare...has turned full on property bear, not one single viewing in a month and was despondent about the news this week. He's Holding onto hope that BoE won't raise rates further. 

Cheered me up no end he did.

Ah but whys he selling?

Is it a liked to move sale?

Or is it a have to sell move.

I'm seeing several of the latter as people I suspect have IO mortgage suddenly hofrom 2% to  7% and start facing down the fast approaching endd lf mortgage.

[Option5]

9 hours ago, The Grey Man said:

Car crash UK.

 

Did anyone else sing this list and add "and a partridge in a pear tree"?

[Axeman123]

2 hours ago, spygirl said:

I wonder if Sur Kier n Rach will keep up the 'Failed Tories, high mortgages rates   ... attack'

Theyve had the No money talk from the Treasury.

Now tgey must be having tge rates won't fall if Labour get in.

I think you are right.

Maybe the latest Partygate video surfacing is intended to facilitate that pivot.

11 hours ago, The Grey Man said:

Car crash UK.

11 Housing ministers sounds like it was a one year job; announce something, move on before the lack of results becomes apparent, repeat. When the underlying dynamic was prices to the moon via restricted supply and inflated demand every housing minister must have seen it as a bag-holder post.

[BoSon]

11 hours ago, The Grey Man said:

Car crash UK.

 

The long game of hooking the gullibles on ever increasing property prices via historically low interest rates is now well into the phase of ramping up the interest rates to squeeze all that money off them while they're locked into a situation where the only way out is to sell it for less than it's worth, which causes them to be rats stuck in the trap of 'I'm not giving it away'.

All that jubilation of increasing property prices 'my house is worth £x' at dinner parties while unaware of the sucker punch to come.

[The Grey Man]

3 hours ago, BoSon said:

The long game of hooking the gullibles on ever increasing property prices via historically low interest rates is now well into the phase of ramping up the interest rates to squeeze all that money off them while they're locked into a situation where the only way out is to sell it for less than it's worth, which causes them to be rats stuck in the trap of 'I'm not giving it away'.

All that jubilation of increasing property prices 'my house is worth £x' at dinner parties while unaware of the sucker punch to come.

I expect to flog my house in the next year.

What I am worth, the bricks are worth has never been there. I factor in how much rent I would have had to pay for the period. The fact it needs work and the economic environment. I will be the only nutter around, arguing with the estate agent for a lower sale price.

[One percent]

Well looks like they are going to shove another prop under the housing market. Twats. 
 

https://www.bbc.co.uk/news/business-65922072

Help for people struggling with their mortgages is being kept "under review", cabinet minister Michael Gove has said.

[Herby]

I've gone and done it. Saw a house three weeks ago,, put an offering, it was 200,000 under asking so got it for 450k, no mortgage needed,  and it's perfect.  everything is state of the art and the s***** ones next door so a few months ago with OAP type fittings sold for five hundred and fifty thousand pounds.

I've always been an advocate of the other side tos but I feel I landed on my ass here . Instead of paying 1,300 a month I will be paying zero

 

[Wight Flight]

2 hours ago, One percent said:

Well looks like they are going to shove another prop under the housing market. Twats. 
 

https://www.bbc.co.uk/news/business-65922072

Help for people struggling with their mortgages is being kept "under review", cabinet minister Michael Gove has said.

My guess is they will order banks to let people pay what they can afford and roll the difference on to the principle loan. Maybe a gov guarantee thrown in if this takes a loan into a low equity zone.

Banks will be happy, BofE can raise rates without too much bleating from homeowners. Pound strengthens, inflation drops, everything back to normal.

Until they try to reduce rates again.

[tank]

23 hours ago, The Grey Man said:

Car crash UK.

 

What a fucking shambles the Tory Party are. 

Simply unfit to govern in normal circumstances.

However 'normal' circumstances did not prevail between 2015-20 because Ed Miliband had let the SWP loons back into the Labour Party asylum. In 2019, the cranks 'led' by Jeremy Corbyn had Dianne fucking Abbott lined up as Home Secretary. Jesus Christ. 😀😀

Edited June 18, 2023 by tank

[JoeDavola]

Anedotal but was over in East Belfast for Fathers Day and all I saw were "Sale Agreed" signs all over the shop on these pokey wee semi's that are 30%+ more expensive than they were pre-pandemic.

Had to laugh as one of them I passed had the word "Stunning" underneath the EA's sign just in case you didn't spot that it was stunning. You were likey to miss this on account of it not being stunning at all.

Left with the impression that the IR rises don't seem to be making much of a difference in East Belfast yet.

Edited June 19, 2023 by JoeDavola