How far will house prices fall [volume 5]

How far will house prices fall [volume 5]

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menousername

2,106 posts

141 months

Friday 3rd July 2020
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troika said:
Yep
Im in the wrong game

p1stonhead

25,489 posts

166 months

Friday 3rd July 2020
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troika said:
I think there will be a bit of a bloodbath in the autumn. However, friend of mine just put his place on for 1.3, sold in a week at full asking price. There are still plenty of folk with cash who’ll spend it on something they like.
I spoke to an EA friend of mine nearby and he said as soon as the restrictions were lifted, things went absolutely nuts. Seems true as a lot round my way has gone sold STC.

I guess if you think how many people might have been looking for 3 months if it wasn’t for Covid, suddenly all came looking all at once.

loafer123

15,404 posts

214 months

Friday 3rd July 2020
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I think peoples homes have become more important in their lives than they were before.

anonymous-user

53 months

Friday 3rd July 2020
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loafer123 said:
I think peoples homes have become more important in their lives than they were before.
This is true. Before COVID, i had perhaps 5% of net worth in property. Now I'm happy to go up to 50%.


ooid

4,049 posts

99 months

Friday 3rd July 2020
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This one just been sold in two weeks recently.

https://www.zoopla.co.uk/for-sale/details/55246624...

The next house also sold just in a few weeks just before the lock-down, similar price point.

coffee

p1stonhead

25,489 posts

166 months

Friday 3rd July 2020
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sambucket said:
loafer123 said:
I think peoples homes have become more important in their lives than they were before.
This is true. Before COVID, i had perhaps 5% of net worth in property. Now I'm happy to go up to 50%.
Mine is literally 85-90%. Kinda always has been.

anonymous-user

53 months

Friday 3rd July 2020
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p1stonhead said:
Mine is literally 85-90%. Kinda always has been.
I used to live in a country with little capital gains, and also legally buying a house was a right pain the ass. So I generally rented and paid rent with dividends from the invested deposit. Worked out quite well, purely by luck. And the habit stuck.

That's all been turned on it's head now with a perfect storm of market volatility, kids and home working etc.

Edited by anonymous-user on Friday 3rd July 21:34

p1stonhead

25,489 posts

166 months

Friday 3rd July 2020
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sambucket said:
p1stonhead said:
Mine is literally 85-90%. Kinda always has been.
I used to live in a country with little capital gains, and also legally buying a house was a right pain the ass. So I generally rented and paid rent with dividends from the invested deposit. Worked out quite well, purely by luck. And the habit stuck.

That's all been turned on it's head now with a perfect storm of market volatility, kids and home working etc.

Edited by sambucket on Friday 3rd July 21:34
Must admit I’ve coped 100% fine with the lockdown but we literally moved into a new much larger house with a big garden in November.

I don’t underestimate how much of the ease has come from having just ‘space’ to do stuff.

Now I’m permanently working from home even more so. Timing it was incredible luck.

I can’t imagine how I’d be feeling in my old house or even say my first flat.

servantleader

113 posts

126 months

Friday 3rd July 2020
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p1stonhead said:
I spoke to an EA friend of mine nearby and he said as soon as the restrictions were lifted, things went absolutely nuts. Seems true as a lot round my way has gone sold STC.

I guess if you think how many people might have been looking for 3 months if it wasn’t for Covid, suddenly all came looking all at once.
I've viewed 14 or so flats in SW London over the past 2-3 weeks and I made a couple of offers. About 10 of them are now under offer, the majority of them only on the market for a couple of weeks.

dmahon

2,717 posts

63 months

Friday 3rd July 2020
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Ive always been bearish on property as prices have always seemed absurd to me. I even spent far too long posting on House Price Crash Forum. However, even I can see some bullish trends for property:

- Cash rich people turning for bricks and mortar for security
- New round of people looking at BTL for yield now interest rates are pinned to the floor
- People’s homes rising in importance as a lifestyle factor
- People thinking “you only live once” and being a bit more bullish
- People cashing in their chips and leaving London

I personally was happy with our house and had my savings in the markets back in February. Now I find myself in all 5 of those categories above to varying extents.

I think with short term pent up demand and a bit of this, we could remain in silly season for most of the summer.

Seattaken

496 posts

48 months

Friday 3rd July 2020
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How not to sell a £1m house:




UpBeats

122 posts

50 months

Friday 3rd July 2020
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People cannot exit london on mass with equity intact. It will cause a crash. Who are the sudden buyers of their houses in London? Some may escape but not all.

John Locke

1,142 posts

51 months

Saturday 4th July 2020
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kingston12 said:
John Locke said:
Those are my thoughts; we have accepted an offer of 8% less than the house was valued at in 2017, which seems fair enough, yet up the chain sellers expect buyers to underwrite their apparent losses for them.
How do you know they have actually made any losses?

Different area, but if I was to sell my place now, I'd expect to take a similar hit compared to 2017 values. The houses I would be looking at in a higher price bracket all have asking prices significantly higher than they would have done in 2017, but considering they appear to be selling through quickly I've no reason to think that isn't the correct valuation.

It doesn't mean that the higher value houses won't be hit as well in the future though.
I referred to apparent losses for a reason; some have been trying to sell at 2017 values for a year or more, others bought around that time, and are now trying to sell for the same price, but can't, the latter represents a real loss, particularly after allowing for SDLT tax.

BMW A6

1,911 posts

63 months

Saturday 4th July 2020
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Seattaken said:
How not to sell a £1m house:



It'll probably still go over asking price.

Thankyou4calling

10,595 posts

172 months

Saturday 4th July 2020
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This thread is demonstrating some superb cherry picking and using what they’ve heard from an EA as a reliable guide.

All the actual data clearly shows that sale prices are down and sales volumes are down.

We can all find examples that are the opposite in the same way you still have an MVP when your team loses 5-0 but the facts are the facts.

rovermorris999

5,195 posts

188 months

Saturday 4th July 2020
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BMW A6 said:
Seattaken said:
How not to sell a £1m house:



It'll probably still go over asking price.
That wouldn't put me off at all. A couple of hours and all that is gone. Whether it's priced correctly is another matter. I've always bought tatty but structurally sound houses by choice.

p1stonhead

25,489 posts

166 months

Saturday 4th July 2020
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Thankyou4calling said:
This thread is demonstrating some superb cherry picking and using what they’ve heard from an EA as a reliable guide.

All the actual data clearly shows that sale prices are down and sales volumes are down.

We can all find examples that are the opposite in the same way you still have an MVP when your team loses 5-0 but the facts are the facts.
As an average yes perhaps.

Popular areas are still popular shocker. Most people are only mentioning their immediate areas.

troika

1,862 posts

150 months

Sunday 5th July 2020
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Some very odd things going on right now. One of my tenants was in the process of buying a house, no chain, just been gazumped.

rover 623gsi

5,230 posts

160 months

Sunday 5th July 2020
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rovermorris999 said:
BMW A6 said:
Seattaken said:
How not to sell a £1m house:



It'll probably still go over asking price.
That wouldn't put me off at all. A couple of hours and all that is gone. Whether it's priced correctly is another matter. I've always bought tatty but structurally sound houses by choice.
indeed - it is bizarre how many people cannot see past the decor when buying a house. I know of someone who decided against a particular property because they didn't like the wallpaper.

soxboy

6,060 posts

218 months

Sunday 5th July 2020
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rover 623gsi said:
indeed - it is bizarre how many people cannot see past the decor when buying a house. I know of someone who decided against a particular property because they didn't like the wallpaper.
I used to be an estate agent and it happened all the time. The one that stood out was 'I like the size of the house and the garden, but I don't like the tiles in the bathroom, so it's a no'!!

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