House Prices/Credit Crunch/Recession etc - Article from FT..

[cjd]

But just how much does a house cost? I know that's a vague question, but, for an average 'affordable" home, roughly how much would it cost to build in comparison to it's market value?

When you buy a new car the value falls greatly almost immeadiatly but a house, which may have been built many decades ago for just a few hundred £'s would now be valued in hundreds of thousands.

I,m sure others know much better, but if you worked on roughly a £1000-£1200 per square metre of floor space, you wouldn,t be too far out.

 

[seagullsovergrimsby]

That stupid tart on location x 3 has a lot to answer for

Phil Spencer ?

 

[Il Duce]

I'm currently house hunting at the moment, as a first time buyer. There are plenty of lenders who will give you a mortgage on a 10% deposit (such as Nationwide, previously mentioned). They have special low fees (£300-ish) for their FTB mortgages. Fixed rates are a bit more expensive than 6 months back, but you can still get a workable deal. The market may fall 10-15% over the next 12 months but it isn't going to be much worse than that. As long as you factor that in to any offer you'll be fine. You certainly don't need £30k as a set deposit. House prices may be lower than 6 months ago, but I think that's good. More realistic, affordable prices does not mean there's a crisis on. Quite the opposite. Plenty of transactions going on in the South East at least, so no real problem as far as I can see. If you're a f***ing idiot who overpaid on a load of new build flats in Carlisle or Grimsby hoping to rent them out and make thousands, then tough shit. You don't judge a market by moronic amateurs making ignorant, foolish mistakes. Judge it by people who know what they're doing. There's plenty of good stuff out there. Chill.

 

[seagullsovergrimsby]

House prices will fall this year and next. With a general election in 2010 , a feelgood factor will return when Labour are kicked out. Prices will rise again thereafter.

 

[Caveman]

Halifax Plc are launching some very good new fixed rates on Monday.

Is this out today? I might be blind but I can only see a tracker rate....

Halifax - Switch And Save

Personally I think a tracker at the moment is a bit risky as surely if the house prices are going to fall the interest rates will start to rise? ? ?

 

[steward 433]

Is this out today? I might be blind but I can only see a tracker rate....

Halifax - Switch And Save

Personally I think a tracker at the moment is a bit risky as surely if the house prices are going to fall the interest rates will start to rise? ? ?

I am pretty sure that's the way they will head slowly to start with at first then gain momentum.

I am gonna hold off for a bit and get a bigger deposit methinks

 

[Uncle Spielberg]

Interest rates are now expected to be around 5% for the foreseeable future. The best rates are 75% loan to value and under.

 

[Uncle Spielberg]

Abbey have just launched a 3 year fixed rate at 5.99% with a free survey, free legals and fee added up to 70% loan to value.

 

[Caveman]

Interest rates are now expected to be around 5% for the foreseeable future. The best rates are 75% loan to value and under.

Are Halifax bringing out a "fixed" though?

What is the best fixed at the moment would you say?

 

[Uncle Spielberg]

As above, are you taling about new purchase or re mortgage ?.

 

[Caveman]

As above, are you taling about new purchase or re mortgage ?.

Sorry, didn't see the above post.

Re mortgage, mine runs out Jan currently on 4.69%. I know I have no chance of matching that, but at least the rates have fallen since earlier in the year.

 

[Uncle Spielberg]

Are Halifax bringing out a "fixed" though?

What is the best fixed at the moment would you say?

As you quoted the Halifax Plc switch and save I assume its a re mortgage so Abbey 5.99% as above. PM me if you want more details.

 

[Uncle Spielberg]

Sorry, didn't see the above post.

Re mortgage, mine runs out Jan currently on 4.69%. I know I have no chance of matching that, but at least the rates have fallen since earlier in the year.

I would start seriously looking around September and compare the best market rate with what your present lender can offer. Do not start the process much less than 2 months before your present rate runs out if you want to re mortgage.

 

[Uncle Spielberg]

Cheshire Bs have a 5 year fixed rate with fee added, free survey, free legals to 90% loan to value at 6.49%.

 

[Caveman]

I would start seriously looking around September and compare the best market rate with what your present lender can offer. Do not start the process much less than 2 months before your present rate runs out if you want to re mortgage.

Thanks for the advice.

 

[Freddie Goodwin.]

Thanks for the advice.

Hope it's better than the horsey tips!

 

[Buttinhams]

London housing market 'showing signs of recovery'
Published by Jon Land for 24dash.com in Housing
Tuesday 15th July 2008 - 9:05am



TODAY IN HOUSING

London housing market 'showing signs of recovery'
The housing market in London is showing signs of recovery after being hit by the credit crunch, figures showed today.

Instructions to sell property in the capital have increased for the third consecutive month, according to the Royal Institution of Chartered Surveyors (RICS).

The group said confidence in price outlook was strongest in London, despite the number of homes changing hands across England and Wales reaching a record low.

Luke Pendlet of Knight Frank, Wandsworth, said: "We had more sales in June 2008 than in June 2007.

"If I did not read the papers I would be thinking we were on for a good year."

Surveyors in London reported a growing gulf between the top end and mainstream housing market, with top end clients eager to buy.

Noel Flint of Knight Frank, Knightsbridge said: "The mainstream market has slowed.

"The top end is still seeing a significant level of activity.

"We currently have a healthy list of international buyers frustrated at not being able to find anything."

The research also revealed how "opportunistic" buyers are taking advantage of the downturn by negotiating huge discounts from desperate vendors.

David Sherwood, of Fenn Wright, Colchester, said: "Buyers and sellers now accept that prices are dropping. On the one hand, vendors are willing to accept a compromise and take an offer, equally though, opportunistic buyers are cynically dropping their offers at the point of exchange. Hardly cricket, is it?"

The housing market in the West Midlands experienced the sharpest deterioration in prices during June and the fastest decline in property sales, according to RICS.

Surveyors in the region said restrictions on first time buyers had slowed over all sales.

John Ozwell, of Hunters, Solihull, West Midlands, said:

"Sales levels are now 60% down on previous years.

"There is no movement at the bottom end of the market to release the blockage higher up.

"First time buyers have no stamp duty or deposits saved up, therefore they can not kick start the market."


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[Stumpy Tim]

I know

I have noticed the people who abused me when i said it haven't appered on here yet

What - 40 minutes after the thread started. Some of us have lives away from NSC

 

[steward 433]

What - 40 minutes after the thread started. Some of us have lives away from NSC

Most of them were online at the time!! Do you think i didn't check :

 

[User removed 4]

cpi just came out at 3.8% , so expect rates to go up next month!