Your chances of owning your own home?

[TW]Fox;20078485 said:
Cutting sarcasm can't hide the fact you in one post said something was both:

a) The best form of investment ever
b) Likely to devalue 50%

Only one of those can be true really, right? If it will devalue by 50% it isn't the best form of investment. If it is the best best form of investment then it won't be devaluing by 50%?
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brilliant, do carry on:D

but anyway

it actually could be (even though it was tongue in cheek)

like everything, buy at the bottom, sell at the top, then it's a great investment.

which end of the cycle do you think we are at the moment?;)
 
Ignoring the whole "dead money" debate which has been done to death (no pun intended), my concern would be that you say you are concenred about the monthly repayments.

For most people in recent years, it isn't so much the mortgage repayments that are the problem, since both house prices and the cost of borrowing have fallen significantly - say £25k(?) off an average house and typical effective interest rates being a good 3% lower compared to 4 years ago. The problem for most people is that typical LTV offered by lenders has fallen meaning you need a bigger deposit, they can't just get on the property ladder for a few grand of savings.

I've got to be honest and I'm conscious that this may come across as condescending, if mortgage repayments are a big issue then maybe you need to wait a while until you are earning more money. Part of the 'problem' in this country is that 'we' (the lower-middle classes) are brought up with the idea of homeownership being drilled into us. I rushed into buying my first house and kinda regret it, in hindsight renting would have made more sense at the time. The reality is, property is expensive. Is is really so surprising that people earning significantly below the average salary shouldn't be able to afford an average house?
 
danoliver1 said:
You think they drop that low? :eek:
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I think that anything is possible and hence it is not a good time to take on large amounts of debt.

The banking system and sovereign finance system is rushing headlong into uncharted territory.

The worlds economies are in trouble because they are in debt and the solution they are trying is to take on more debt.

Until these countries start running a surplus, we have no way of knowing how this will end.

I do think the current cost of living in this country is unsustainable because in short we can't afford it.
 
don't get hell bent over the price of a house and waiting for it to fall, buy a house that is right for you at a mortgage rate you can afford. you shouldn't be looking at a house and thinking how much you can make on it or fearing how much it may lose in value over the next 18 months, you should buy it if the time is right and if you can afford it. it's a place to live, never forget that, it should be a place to enjoy, not come home to and fret over dropping prices, take the rough with the smooth and relax in your house.
 
Jez said:
If only it were that simple. Oh how life would be simple if things worked as they must do in your head :p

.
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As I said, it was a hypothetical situation. I have no plans to up sticks for a job at present therefore no need to consider in any way renting out this place.
 
References to Japan are a bad idea ;O) ...

japan-house-prices--nov08.gif


NickXX said:
Except that demand massively outstrips supply in the property UK property Market - which is why prices have actually continued to increase in many areas of the UK.

If you're referring to the high interest rates around the ERM era, then they won't be repeated. Why do you think interest rates will definitely go up? They haven't in Japan since the early 90s.
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mrbios said:
That's if you rented it out privately though, try doing it through an agency and from that £750 they'll likely be taking £65 - 100 dependent on the level of service you want.
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Plus the running costs to keep it in a good state of repair. You will occasionally have to spend a few grand doing the windows or the roof etc
 
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