house prices + Brexit

[krooton]

The only real criteria I'd suggest for buying a house is to make sure it's somewhere you'll expect to be for the next 5-10 years at least. If you can, and have the income/savings to do it, then it's probably always a good time to buy.

Regarding a house price crash it seems unlikely. If it does happen expect the BoE to fire up the printing presses and inflation to spike again (should mean wages also rise)! Banks are basically kept solvent by mortgage debt so a price crash will be avoided at all costs!

As far as I can see house prices peaked about 10 years ago and haven't really changed much since then. Based on that now doesn't feel like a bad time to buy IMO.

But yeah, nobody can predict the future and anything can happen!

It looks more like the entry-level pricing that has hiked over the years, with the middle and top end being a bit more flat.

I think this as a 1 bed flat that was £150k in 2010 sold for £350k in 2016, and a 2-bed flat that was £160k in 2012 sold for £400k in 2018.

I am also seeing new studio flats starting at £350k in the same areas 0_o

 

[HangTime]

As far as I can see house prices peaked about 10 years ago and haven't really changed much since then

If you compare with historical trends I'm not convinced that is the case though; there was a peak in 2007 followed by a significant dip, a partial recovery, a couple of flat years and then a surge to higher than the previous 2007 peak. Arguably the past ~10 years have pretty volatile giving us the full spectrum of a big fall, multiple big gains and a flat period.

edit: I don't dispute the overall sentiment however that property is usually a decent mid-long term investment. We lost money on our first house because of the timing of the purchase / sale (about 2.5 years apart with the sale in late 2008), but had we kept hold of it it would be worth more than we paid for it now.

 

[LabR@t]

I hope houses prices drop by 50% to honest, makes no difference to me as I have a house, but would make a masive differencefor the youngsters. The prices should never have been allowed to get so high. A house is a home not an income.

 

[LabR@t]

If it is a very disruptive Brexit it could cause a significant recession, on the other hand if Brexit is cancelled then it would unlock a lot of the delayed investment for the UK.

Rubbish, stop feeding from the fear trough.

 

[DarkHorizon472]

Rubbish, stop feeding from the fear trough.

Come back, you forgot to explain why

 

[LabR@t]

Come back, you forgot to explain why

Quite obvious isn't it?

 

[DarkHorizon472]

Quite obvious isn't it?

It could be if you explained it, but we both know you won’t

 

[LabR@t]

It could be if you explained it, but we both know you won’t

Did you believe Osborn when he told you there would need to be an immediate emergency budget if we voted for brexit? Did we have one, no. Did you believe it when you was told ww3 will happen? Has it no! Did you believe clegg when he said EU army is danegerous fantasy, well guess what, yes that's happening. Stop being sucked in by the fear machine.

Why do you believe these unfounded fears, are you naturally fearful, are you a pessimist?

 

[Mr Badger]

Did you believe Osborn when he told you there would need to be an immediate emergency budget if we voted for brexit? Did we have one, no. Did you believe it when you was told ww3 will happen? Has it no! Did you believe clegg when he said EU army is danegerous fantasy, well guess what, yes that's happening. Stop being sucked in by the fear machine.

Why do you believe these unfounded fears, are you naturally fearful, are you a pessimist?

You are aware that all the above has been debunked numerous times in the Brexit thread. And if you really are saying that a very disruptive Brexit won't risk a significant recession for the UK then you are simply in denial of reality.

 

[Amp34]

Same thing happening all over the world. Like in Vancouver, BC, Canada. Nobody can afford what is known as a single family dwelling/plot.

It's all multi family dwellings being made on sites you would normally have had a single family plot.

It's the future of the world as land is getting more and more expensive the closer you are to a main city.

I'm Vancouver some areas a detached home is $12million. Richmond starting prices are $1m and average decent house in a fishing village is like $5m.

People earning a normal wage can only dream of buying a house there.

It's not just cost. Several Canadian cities are purposely pushing for greater housing density, just as many places in the UK are. There was significant urban sprawl in the 50-70's with lots of large bungalows and low rise family homes on what were then the outskirts of the city. Now they're practically inner city, yet have low density housing on them. City planners now want those areas to have much greater densities to reduce commute times and reliance on personal vehicles (as well as ease house price issues) and so plots are being split and having multiple multi story housed built on them.

Where I live (Calgary) you can buy a single family bungalow for $500k-$1m and fit at least two good sized semi detached houses on it, selling both for $1M each. Good for the city planners and good for the developers, but changing the neighbourhoods significantly. The neighbourhoods are generally older ones, with lots of OAP's, they're replaced by younger couples and families moving into the new houses.

 

[bayo000]

We were going to move this year but decided to wait to see what happens after Brexit.

 

[LabR@t]

You are aware that all the above has been debunked numerous times in the Brexit thread. And if you really are saying that a very disruptive Brexit won't risk a significant recession for the UK then you are simply in denial of reality.

Risk there is a risk of a recession all the time, brexit is just a convenient bogey msn., There is risk of recession if we don't leave, leaving could well kick start our economy over the long term into the Stratosphere. That's the point no one can say one way or another so it should not be the deciding factor, unless you are looking for a lazy argument.

 

[The_Abyss]

Why not just keep the Brexit specific debate in the existing Brexit threads. This is about house prices, not a means to get around discussions that some users have been banned from, for presumably good reasons.

 

[LabR@t]

As stated house prices could not low enough for me, I am a house OWNER it's irelevant the cost as I just live in it. But cheap houses would help my children and the youth of today.

You don't spend thousands on a car, expecting to make money,.

 

[DrCheese]

Aye, whist it's nice my house's value goes up - So does any other house I'd move into after so really I'm not all that better off anyway. It's those who aren't on the ladder at the moment who are screwed by it.

 

[Kaka]

Not necessarily. Property prices don't go up or down as a solitary move across the nation. Depending on the region you are looking to move into you could still net a profit.

 

[LabR@t]

Dirty bomb in London, watch prices drop in the South, soar in the north.

 

[bigmike20vt]

I hope houses prices drop by 50% to honest, makes no difference to me as I have a house, but would make a masive differencefor the youngsters. The prices should never have been allowed to get so high. A house is a home not an income.

I see what you are saying and even agree to a point however ....,. Not everyone wants to buy, some people want/need to be mobile so renting is a better fit. Therewill always be a demand for rental homes so it may as well be "normal" people renting out a property who just have 1 extra one rather than massive companies .

Cambridge university for instance owns a huge number of properties and make a small fortune . I am no expert but iirc the new tax hikes for landlords DONT affect big business but just the small time 2nd/3rd property owner which is outrageous imo. (But I do stand to be corrected on that one)

 

[Psycho Sonny]

I see what you are saying and even agree to a point however ....,. Not everyone wants to buy, some people want/need to be mobile so renting is a better fit. Therewill always be a demand for rental homes so it may as well be "normal" people renting out a property who just have 1 extra one rather than massive companies .

Cambridge university for instance owns a huge number of properties and make a small fortune . I am no expert but iirc the new tax hikes for landlords DONT affect big business but just the small time 2nd/3rd property owner which is outrageous imo. (But I do stand to be corrected on that one)

Big business can reclaim all costs too with option to tax, etc.

Rental market needs regulation.

Foreigners as in people who don't live here 300+ days per year cannot buy more than 1 home, etc.

 

[LabR@t]

I see what you are saying and even agree to a point however ....,. Not everyone wants to buy, some people want/need to be mobile so renting is a better fit. Therewill always be a demand for rental homes so it may as well be "normal" people renting out a property who just have 1 extra one rather than massive companies .

Cambridge university for instance owns a huge number of properties and make a small fortune . I am no expert but iirc the new tax hikes for landlords DONT affect big business but just the small time 2nd/3rd property owner which is outrageous imo. (But I do stand to be corrected on that one)

I get that but either way cheaper houses will equal cheaper rent (eventually)