Is Now the Right Time to go Fulltiming?

[RockieRV]

For anyone leaning towards going fulltiming, doing it today is probably better than doing it tomorrow!

House prices are 30 per cent too high in the UK and could soon crash, the International Monetary Fund warned yesterday.

After a decade-long housing boom, it fears Britain is one of the most vulnerable countries in the world to a devastating price collapse.

The IMF said the UK has experienced one of the world's "largest unexplained increases in house prices" over the past decade.

If its doom-laden prediction is correct, an average home - currently worth £196,000 - could actually be worth just £137,000.

For homes in the South East, typically worth £400,000, the drop will be even more severe, down to roughly £280,000.

You can read more:

HERE

 

[artona]

HI

Crumbs Sharon, it looks like the building societies will become landlords whether they want to or not. I know two of my three grown up children are looking to move abroad and I am sure the third will get there.

Wonder why London is not at risk? Looks like if you have any cash folks buy a campsite


stew

 

[Jim]

I do think people worry too much about what their house might be worth. Granted if you have a house with very little equity than it must be a very worrying time, but most people could probably see at least 25% or 30% drop in prices and still not be in negative situation. We paid 15% on a 100% 80k mortgage back in 89/90 boy did that hurt. We sold that house 5 years after we bought it for same price that we paid after many years at a +£1100 a month payments but, we bought a much bigger house that had crashed as well.

If we have a house purely as an investment then buying low and selling high is the whole point but for the majority the house is a home. With all things being equal nothing changes, if you want to move to another house, the gap between your house and the one you want to buy probably wont change as both houses will drop. So who cares what it is worth?

If you are certain the crash is going to happen then selling now, fulltiming until the crash and then buying cheap might be a good gamble, but it is a gamble. Me, I won't even do an each way bet on the Grand National this weekend

 

[ruffingitsmoothly]

Whilst I can to some point smypathise with people who will find themselves in a negative equity situation sometimes they have only them selves to blame for having seen their investment in a modest home escalate in value get very greedy and stretch themselves too far thinking of the possibility of a massive return on a much more extravagent property!

I want to down size we have a large 4 bed house and only use 2 bedrooms except for guests or arguementsand I am not really worried by a so called crash ok my property will fall in value but so will the smaller one that i may wish to purchase it's all relative and as cash buyers with be able to negotiate a better dael anyway.

I dare say there will be calls by those caught for the government to bail them out for their own greedy actions!

There you are rant over.

Regards Pat

 

[johnsandywhite]

Can't wait for it to happen. Being the owner of 2 Cheapo houses. I have often wondered why my houses are worth between £80,000 and £120,000. Yet darn sarf they would be worth £250,000 to £500,000. Any drop in value to mine is minute in comparison.

^{_{Subscribers  do not see these advertisements}}

 

[peter t]

On the same subject I was listening to bbc london radio yesterday, they had some Independent Financial advisor guru on the programme ... who was telling the tales of people who now are paying their mortgage with credit cards now. and a few people have now sold their house's to rental /development companies, and are now renting the same properties ie their old house cheap, as a stop gap while they watch the market. weird world innit.

 

[michaelc]

Its all hot air

Hi all, I just think its all so much hot air, prices here in exmouth are the same, not dropping at all, I have two houses in gloucester that are standing still price wise, but thats due to the area going down hill, I will be off loading these this year and moving my tenants to better area deeper in the S/W. I also have a house in choyton thats just about holding its own price wise, but will also be letting that go this year as again the area goings down. i ALSO have a house in france the price of which just keeps me ahead of inflation. The only house going down is my old family home in bristol due to it being on a so say sink estate.
But all this is really about the powers that be wanting people to put their money back into the banks and the city, property will never go down in the long run, if it does I want to buy a bigger house next to a trout river for the price it was in 1960, yes we all no it will never happen.
michael

 

[artona]

Hi

Well its going to be interesting. With some building societies and banks saying they are not going to be doing new mortgages for the immediate future I am not sure how first time buyers are going to get going


stew

 

[michaelc]

in answer,

Hi, at the moment two banks have stopped doing deals on houses from people with no track record with the bank. As there really ever been a good time for 1st time buyers. maybe we will see the Germany way of doing things in which the whole family pay into the mortgage with no CCT at the end of it, or the way they do it with canada which is you sell the mortgage with the house, who knows these days
michael

 

[Adria 5]

blimey sharon cheer us upoh: then!!

look like i should park camp anywhere cut oap trees down and dump them in farmers gate ways use cash only and buy a hobby not yet

ray

^{_{Subscribers  do not see these advertisements}}

 

[Bulletguy]

I do think people worry too much about what their house might be worth.

If we have a house purely as an investment then buying low and selling high is the whole point but for the majority the house is a home. With all things being equal nothing changes, if you want to move to another house, the gap between your house and the one you want to buy probably wont change as both houses will drop. So who cares what it is worth?

Spot on Jim......it's all mostly relevant unless you get caught in negative equity.

However by comparison a £100k 'top 'o th' range' all singin' and all dancin' MH will plummet in value yet oddly people dont seem so concerned about that!