Is anyone moving now?
Discussion
My chain are nearly all at the stage of receiving replies to our enquiries back. There are 5 in the chain. Everyone is pretty much ready to go apart from my buyer who is porting his buy to let mortgage which seems to be taking an age, he has been hit with covid same as my house last week which means he has been out of action. I am desperate to get to exchange then I really don’t care when we complete I would complete on 24th December if I have to.
On the topic of a slowing market my Nan has been on the market since June or July SE London - Had an offer back in the summer from someone which was accepted, EA didn’t do their due diligence and the bloke had a CCJ and couldn’t get the lending he needed, 2 months wasted… fast forward to now and after changing EA under my recommendation she has had 10-11 viewings and only 3 offers all attempting to knock 75k off the asking. She has already reduced the price by 40k as the market has changed slightly but she is not unreasonably priced in my opinion and the house is in a good location and In good condition would make a good family home for someone. Is this a sign of people not wanting to be in London as much anymore ?
On the topic of a slowing market my Nan has been on the market since June or July SE London - Had an offer back in the summer from someone which was accepted, EA didn’t do their due diligence and the bloke had a CCJ and couldn’t get the lending he needed, 2 months wasted… fast forward to now and after changing EA under my recommendation she has had 10-11 viewings and only 3 offers all attempting to knock 75k off the asking. She has already reduced the price by 40k as the market has changed slightly but she is not unreasonably priced in my opinion and the house is in a good location and In good condition would make a good family home for someone. Is this a sign of people not wanting to be in London as much anymore ?
Jcwjosh said:
My chain are nearly all at the stage of receiving replies to our enquiries back. There are 5 in the chain. Everyone is pretty much ready to go apart from my buyer who is porting his buy to let mortgage which seems to be taking an age, he has been hit with covid same as my house last week which means he has been out of action. I am desperate to get to exchange then I really don’t care when we complete I would complete on 24th December if I have to.
On the topic of a slowing market my Nan has been on the market since June or July SE London - Had an offer back in the summer from someone which was accepted, EA didn’t do their due diligence and the bloke had a CCJ and couldn’t get the lending he needed, 2 months wasted… fast forward to now and after changing EA under my recommendation she has had 10-11 viewings and only 3 offers all attempting to knock 75k off the asking. She has already reduced the price by 40k as the market has changed slightly but she is not unreasonably priced in my opinion and the house is in a good location and In good condition would make a good family home for someone. Is this a sign of people not wanting to be in London as much anymore ?
I thought we were seeing a reversal of the ‘leave London & run to the country’ now covid doesn’t seem to be an issue anymore but as I say it all seems very confusing. On the topic of a slowing market my Nan has been on the market since June or July SE London - Had an offer back in the summer from someone which was accepted, EA didn’t do their due diligence and the bloke had a CCJ and couldn’t get the lending he needed, 2 months wasted… fast forward to now and after changing EA under my recommendation she has had 10-11 viewings and only 3 offers all attempting to knock 75k off the asking. She has already reduced the price by 40k as the market has changed slightly but she is not unreasonably priced in my opinion and the house is in a good location and In good condition would make a good family home for someone. Is this a sign of people not wanting to be in London as much anymore ?
Where I live currently there is virtually nothing in the 4/5 bed region for sale .
Equally where I’m looking there isn’t much for sale either but what is available isn’t selling and owners just keep changing agents.
I’m wondering if the retired generation sat in 4/5 bed houses away from London will be looking at selling up with the big rise in energy costs.
We are now at the stage of exchange.
Hopefully getting a completion date agreed with solicitors.
Our buyers have agreed and so have our sellers, so just getting it all formalised.
Only annoying thing is having to wait until the 15th to do it.
We don't want to move on a friday (childcare) so the earliest weekday our buyers could do was then.
Hopefully getting a completion date agreed with solicitors.
Our buyers have agreed and so have our sellers, so just getting it all formalised.
Only annoying thing is having to wait until the 15th to do it.
We don't want to move on a friday (childcare) so the earliest weekday our buyers could do was then.
Abdul Abulbul Amir said:
Jcwjosh said:
Is this a sign of people not wanting to be in London as much anymore ?
Probably more a sign that people are getting mortgage offers at 6% rather than 1.5%. A lot will depend on how the lenders react. Are they still merrily agreeing loans at 4-5x income despite the increased interest burden?
People these days seem less worried about going right to the edge of their affordability, but it still requires the lender to actually allow them to do that.
kingston12 said:
Abdul Abulbul Amir said:
Jcwjosh said:
Is this a sign of people not wanting to be in London as much anymore ?
Probably more a sign that people are getting mortgage offers at 6% rather than 1.5%. A lot will depend on how the lenders react. Are they still merrily agreeing loans at 4-5x income despite the increased interest burden?
People these days seem less worried about going right to the edge of their affordability, but it still requires the lender to actually allow them to do that.
A sad habit I have is to occasionally check what my current lender is offering on the same terms as we have. We fixed for 5y at 1.02% in autumn 2021. A couple of weeks ago the same mortgage was at 6.5% and today it’s 6.1%, with other lenders from 5.6%. Hardly an exhaustive study, I know!
lizardbrain said:
If average pay rise is nudging 7% maybe many people will just suck up the extra mortgage costs?
That 7% could be eroded by fiscal drag (tax bands) as well as actual increased living costs.Most people will have no choice but to suck up the extra mortgage costs, but I can't imagine many people would want to actively take on a new mortgage at 6% unless the property purchase price offers good value. I'd certainly be waiting-and-seeing. Existing mortgage holders could be mitigating the impact by cutting out holidays, new car purchases etc
GT3Manthey said:
I thought we were seeing a reversal of the ‘leave London & run to the country’ now covid doesn’t seem to be an issue anymore but as I say it all seems very confusing.
There's been some very bad 'analysis' of this released in various newspapers over the past few months. It strangely seems to mostly be the right-leaning titles who are interested in demonstrating a return to London. I can't possibly imagine what their agenda is...johnnyBv8 said:
kingston12 said:
Abdul Abulbul Amir said:
Jcwjosh said:
Is this a sign of people not wanting to be in London as much anymore ?
Probably more a sign that people are getting mortgage offers at 6% rather than 1.5%. A lot will depend on how the lenders react. Are they still merrily agreeing loans at 4-5x income despite the increased interest burden?
People these days seem less worried about going right to the edge of their affordability, but it still requires the lender to actually allow them to do that.
A sad habit I have is to occasionally check what my current lender is offering on the same terms as we have. We fixed for 5y at 1.02% in autumn 2021. A couple of weeks ago the same mortgage was at 6.5% and today it’s 6.1%, with other lenders from 5.6%. Hardly an exhaustive study, I know!
lizardbrain said:
If average pay rise is nudging 7% maybe many people will just suck up the extra mortgage costs?
Existing homeowners have not got any realistic choice but to suck up the extra costs if they are remortgaging, but I'm not sure a 7% pay rise will go far if your biggest monthly payment is increasing by 70% with all of the others going up as well.It's new buyers and home movers who have more of a choice, and I'd expect some of those to bow out or lower their expectations with rates this high, pay rise or not. We'll see what happens.
kingston12 said:
Existing homeowners have not got any realistic choice but to suck up the extra costs if they are remortgaging, but I'm not sure a 7% pay rise will go far if your biggest monthly payment is increasing by 70% with all of the others going up as well.
It's new buyers and home movers who have more of a choice, and I'd expect some of those to bow out or lower their expectations with rates this high, pay rise or not. We'll see what happens.
I’m quite concerned that next year when I list that the mkt dies a death although I’m not seeing that currently. It's new buyers and home movers who have more of a choice, and I'd expect some of those to bow out or lower their expectations with rates this high, pay rise or not. We'll see what happens.
We’ve had flyers from local agents though the door saying they have waiting buyers but I always suspect this is just the usual marketing exercise.
If I was looking to trade up I’d be putting the brakes on right now so I suspect that’ll become very evident in the new year.
GT3Manthey said:
kingston12 said:
Existing homeowners have not got any realistic choice but to suck up the extra costs if they are remortgaging, but I'm not sure a 7% pay rise will go far if your biggest monthly payment is increasing by 70% with all of the others going up as well.
It's new buyers and home movers who have more of a choice, and I'd expect some of those to bow out or lower their expectations with rates this high, pay rise or not. We'll see what happens.
I’m quite concerned that next year when I list that the mkt dies a death although I’m not seeing that currently. It's new buyers and home movers who have more of a choice, and I'd expect some of those to bow out or lower their expectations with rates this high, pay rise or not. We'll see what happens.
We’ve had flyers from local agents though the door saying they have waiting buyers but I always suspect this is just the usual marketing exercise.
If I was looking to trade up I’d be putting the brakes on right now so I suspect that’ll become very evident in the new year.
Around here (SW London suburbs), asking prices for new instructions seem to still be at early-2022 prices at minimum and some are still just put on at a 10% increase from whatever has sold before. It doesn't feel quite a speculative as the last couple of years, but not too far off yet.
I have noticed quite a few coming back onto the market after a long time under offer, again at the same or higher asking price than before.*
It stands to reason, of course. Sellers aren't going to want to crystallise a loss, so if they think that the actual market has moved downwards then they are more likely to either delay selling or just go onto the market at the full price anyway.
- *This is for houses only, flats are starting to come up at prices far lower than 2020 but still not selling.
lizardbrain said:
If average pay rise is nudging 7% maybe many people will just suck up the extra mortgage costs?
Would love to see some data on what pay rises are being achieved, where and in what sectors.If the average is 7% I think that’s seriously fudgey numbers. 10% from people (sacking off having any redundancy protection and) bouncing between employers vs 0-3% for people staying where they are.
The past 4 years’ pay rises combined aren’t much over 7% around here, yet companies are having people wanting +10% to join them.
I’ve had an offer accepted on a place in the Maritime Quarter in Swansea. After guidance from MartyD I had a long talk with some bobbies on the beat that happened to be walking along when I was there and they were very pleased to the extent they’d got on top of the anti social behaviour that had been occurring. It’s still a 3 bed, 3 bathroom duplex with direct sea views - it needs some work - but it wasn’t £400k this time.
Petrus1983 said:
I’ve had an offer accepted on a place in the Maritime Quarter in Swansea. After guidance from MartyD I had a long talk with some bobbies on the beat that happened to be walking along when I was there and they were very pleased to the extent they’d got on top of the anti social behaviour that had been occurring. It’s still a 3 bed, 3 bathroom duplex with direct sea views - it needs some work - but it wasn’t £400k this time.
Congratulations. If it's the one that's up at £270k, that's far more in-line with what I would expect a flat to cost in Swansea.pb8g09 said:
I just read on BBC that Lloyds have speculated that property prices will drop 8% over the next 12 months and then continue to stagnate for the following 4 years.
Thoughts?
I've seen everything from "stalling" to "at least 10% drop" speculated on for 2023. As it suggests, it's just speculation at the moment.Thoughts?
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