Housing market

[MK Shrimper]

Indeed. Our house has more than doubled in value since we bought it about 10 years ago, but I'm not deluded into thinking that will actually lead to anything. There'll be a collapse in the housing market sooner or later, and that will be well before I'll be thinking of selling.

Will there? The BOE seem very hesitant to raise interest rates. Even if they do I'll be amazed if its over 0.5% The housing bubble is incredibly fragile, and a lot of people are at the very limit of their finances.

 

[Berrichonne shrimper]

Your 1% deposit would buy you a house outright here but on the downside you would have to put up with no crime no tax bills as such and the French.

 

[MK Shrimper]

Your 1% deposit would buy you a house outright here but on the downside you would have to put up with no crime no tax bills as such and the French.

Maybe in the countryside, but a house in (say) the suburbs of Paris......

The average price of a house in the inner suburbs of Paris in late 2007 was just over €340,000 and in the outer suburbs just under €290,000.

 

[Gremlin]

The worst thing that ever happened to London was winning the 2012 Olympics.

The Luftwaffe really didn't try hard enough did they?

 

[londonblue]

Will there? The BOE seem very hesitant to raise interest rates. Even if they do I'll be amazed if its over 0.5% The housing bubble is incredibly fragile, and a lot of people are at the very limit of their finances.

I'm not basing that on any analysis of the economy. I'm basing it on my cynicism. I expect there to be a collapse at some point, when that will be is anyone's guess.

 

[mattitouk]

I was listening to LBC on the wireless this morning, and it was mentioned the average person has to have a wage of just over 60k (outside of London) to be considered for a mortgage, and a wage of £100k (inside London). Obvioulsy this is based on a single one person mortgage not combined as a married couple etc.

I found it frightening, after all, im sure there are'nt many single young people that come straight out of university debt free that walk straight into a 60k+ - 100k+ job, let alone the the non university kids.

 

[Massimo Giovanni]

What does the future hold for the housing market?
A huge amount depends on the Brexit vote; if the UK votes to leave then interest rates will rise, the pound will fall, prices may rise initially but will then drop as the demand caused by the 300,000 new migrants slows. Maybe some richer ones will come to the UK because of the good value currency etc but that ought to be high rollers in the main.
Alternatively the above may be all bollox and simple guessing!

 

[rigsby]

Interesting report on ITV London News. In the last five years there has only been six prosecutions for overcrowding (illegal HMO's). Some boroughs don't even investigate as they don't have the staff.

Many of the migrants, both legal and illegal, end up in living in ordinary 3 bed semis 10 to a house. With a 25% increase in the London population predicted, this will obviously spread further into Essex. It does of course drive house prices ever upwards.

Next time you see a Politician saying we need a rent cap, you'll know they are completely bullshitting and they know it. We don't even stop the very worst slum landlords so how would they begin to police a rent cap.

 

[MK Shrimper]

The Luftwaffe really didn't try hard enough did they?

Very good. You know I meant in recent history.

 

[Berrichonne shrimper]

Maybe in the countryside, but a house in (say) the suburbs of Paris......

The average price of a house in the inner suburbs of Paris in late 2007 was just over €340,000 and in the outer suburbs just under €290,000.

really you shock me say it ain't so

 

[Ricky Otto]

Don’t get me started! I’ve had to go down the share to buy route, paying £51,300 for a 30% share in a one bed apartment, putting down a £10k deposit (which has taken me an eternity to save) and I’ll be paying £582 a month (rent £273 service charge £134 mortgage £175). All that for 30% of a tiny one bed apartment but the longer I wait to get on the ladder the worse it gets!

 

[Up the Shrimpers]

Don’t get me started! I’ve had to go down the share to buy route, paying £51,300 for a 30% share in a one bed apartment, putting down a £10k deposit (which has taken me an eternity to save) and I’ll be paying £582 a month (rent £273 service charge £134 mortgage £175). All that for 30% of a tiny one bed apartment but the longer I wait to get on the ladder the worse it gets!

I guess this is a route a lot of people are having to take. I have no idea how these things work, so is your total mortgage about £41k and towards the other 70% share you have to pay the £273 rent? Is there an option to increase the mortgage repayments and reduce the rent repayments?

Well done for at least getting on the ladder.

 

[Ricky Otto]

I guess this is a route a lot of people are having to take. I have no idea how these things work, so is your total mortgage about £41k and towards the other 70% share you have to pay the £273 rent? Is there an option to increase the mortgage repayments and reduce the rent repayments?

Well done for at least getting on the ladder.

I'm not there yet but hoping everything will be tied up soon. You are right I will be paying rent on the 70% but it is housing association owned so I'm not in line for any shock increases. There are options to remortgage and up the shareholding.

 

[rigsby]

which of course

Don’t get me started! I’ve had to go down the share to buy route, paying £51,300 for a 30% share in a one bed apartment, putting down a £10k deposit (which has taken me an eternity to save) and I’ll be paying £582 a month (rent £273 service charge £134 mortgage £175). All that for 30% of a tiny one bed apartment but the longer I wait to get on the ladder the worse it gets!

What a great con that is. Puts future buyers off, which of course will mean the property will not increase at the same rate as other similar property in the area.

 

[Napster]

Your 1% deposit would buy you a house outright here but on the downside you would have to put up with no crime no tax bills as such and the French.

and the iffy food and wine.

 

[Berrichonne shrimper]

and the iffy food and wine.

To be fair only in the gaff im sitting in but im sure MK AKA THE POPE will hark up that im wrong.

 

[Ricky Otto]

What a great con that is. Puts future buyers off, which of course will mean the property will not increase at the same rate as other similar property in the area.

You are not wrong but so few of these buy to share come up in Chelmsford that this one in a building with this sort of charge is my only real option. Something I just have to swallow to get on the ladder

 

[MK Shrimper]

To be fair only in the gaff im sitting in but im sure MK AKA THE POPE will hark up that im wrong.

Can I have another nickname please, I'm an athiest. :dim:

 

[Jim Levenstein]

I'm a first time buyer, and finding it hard. Need to be near a station anything half decent which is in my price range is gone after a day.

 

[rigsby]

You are not wrong but so few of these buy to share come up in Chelmsford that this one in a building with this sort of charge is my only real option. Something I just have to swallow to get on the ladder

Yes I understand the difficulties, Back in 1988 my mortgage went up to £500 per month on a take home pay of £800 working in London cost me £100 in travel expenses. Had to have two part time jobs just to eat and pay the rates.

Careful of the service charge. I know a local Estate agent/thief who took over a large contract and pushed the charge up to around £200 per month on very average flats. When they came on the market he was buying them up cheap, probably 15/20% below the market price.