[Finance] Housing Market

[B-right-on]

House prices have shot up ridiculously in the last few years. My energy bills have literally doubled in the last 12 months and when we tried to see if there was a better tariff (on EDF standard now), Uswitch said don't bother until April. Food prices are going up. Fuel - don't get me started.

Hard to see where and how this all ends. Except in the shitter.

 

[Live by the sea]

It’s quite amazing really that whilst 95% of so called property market experts along with financial advisors all said the market would either fall or remain flat., the exact opposite has happened and we’ve had at least a 10% rise in house prices over the last 18 months . In prime areas like central Hove , the rise has been almost 15%.

What does that tell us ? Never trust property experts or Financial advisors because all they are doing is guessing and often they guess wrong .

 

[jakarta]

Clearly house prices depend on where in the UK you live.

Given the amount of house building HDC have allowed in and around Horsham they must have been advised there is plenty of demand so prices only going one way around here.

Pesornally (selfishly?) not really bothered one way or the other, our mortgage is paid off, Mrs Jakarta retired on a Headteachers pension, I'm looking to knock My Consultancy Business on the head shortly and cash in my pension pot while still doing a bit of University work.

We love where live and won't be moving anwhere else.

If our house 'value' halved it wouldn't make the slightest difference to our lifestyles. Although I think that scenairo highly unlikely...

 

[dazzer6666]

Clearly house prices depend on where in the UK you live.

Given the amount of house building HDC have allowed in and around Horsham they must have been advised there is plenty of demand so prices only going one way around here.

Peronally (selfishly?) not really bothered one way or the other, our mortgage is paid off, Mrs Jakarta retired on a Headteachers pension, I'm looking to knock My Consultancy Business on the head shortly and cash in my pension pot while still doing a bit of University work.

We love where live and won't be moving anwhere else.

If our house 'value' halved it wouldn't make the slightest difference to our lifestyles. Although I think that scenairo highly unlikely...

Similar here really - been in the same house 20-odd years and won't be moving, however have two kids who will at some point want to get their own places - both currently rent similar-sized flats, one pays £350 a month (Scottish Borders) and the other pays £1,100 (Burgess Hill) - the regional disparity is immense. A decent fall would help one of them out (or reduce the amount we'll need to help them out in reality) once that time comes.

 

[Binney on acid]

Only god knows, and sadly, I'm not god.

 

[Deleted member 22389]

Sold my mums house last year and purchased a new flat for her. In 6 months the same new build flat is now 10k more to buy. House prices are ridiculous and I don't see it ending anytime soon. Obviously not local people buying up, but people leaving London and Brighton who have plenty of money to buy here. Feel sorry for young people.

If it's not new builds, what they are doing now is buying up the bungalows, knocking the thing down and putting two houses up in its place. The houses are nothing special, most I have seen don't have a garage, they are asking for £400,000+ and selling them in weeks.

 

[beorhthelm]

It’s quite amazing really that whilst 95% of so called property market experts along with financial advisors all said the market would either fall or remain flat., the exact opposite has happened and we’ve had at least a 10% rise in house prices over the last 18 months . In prime areas like central Hove , the rise has been almost 15%.

What does that tell us ? Never trust property experts or Financial advisors because all they are doing is guessing and often they guess wrong .

not quite fair. predictions were based on assumption of poor recovery after covid, employment down, growth sluggish. but the recovery has been quite perky, employment risen (higher then pre-covid), growth is robust. that reflects in the housing market as people feel confident to move, or dont need to move due to changing circumstance.

 

[Eric the meek]

It's striking reading through the past comments on this thread. Everyone was predicting a fall/crash etc, and if I had posted a comment on this thread, it would have been the same. Thinking back, I would have predicted something like a 10-20% fall.

I can't think of one single person (whether property expert, homeowner, renter etc) who correctly predicted that prices would rise as a result of the pandemic. Nobody predicted that people would want to move to a bigger house, the country, or look for another bedroom or shed to work from home.

Why were we all so completely wrong?

 

[knocky1]

It's striking reading through the past comments on this thread. Everyone was predicting a fall/crash etc, and if I had posted a comment on this thread, it would have been the same. Thinking back, I would have predicted something like a 10-20% fall.

I can't think of one single person (whether property expert, homeowner, renter etc) who correctly predicted that prices would rise as a result of the pandemic. Nobody predicted that people would want to move to a bigger house, the country, or look for another bedroom or shed to work from home.

Why were we all so completely wrong?

I wasn't.

 

[Weststander]

It’s quite amazing really that whilst 95% of so called property market experts along with financial advisors all said the market would either fall or remain flat., the exact opposite has happened and we’ve had at least a 10% rise in house prices over the last 18 months . In prime areas like central Hove , the rise has been almost 15%.

What does that tell us ? Never trust property experts or Financial advisors because all they are doing is guessing and often they guess wrong .

I’ve consistently said that house prices will rise.

Supply and demand, simple.

The UK’s population has increased by 10m since 1997. Additional housing supply (social and private) has barely touched that. Planning authorities and nimbies opposing countless proposals.

 

[dazzer6666]

Clearly house prices depend on where in the UK you live.

Given the amount of house building HDC have allowed in and around Horsham they must have been advised there is plenty of demand so prices only going one way around here.

Peronally (selfishly?) not really bothered one way or the other, our mortgage is paid off, Mrs Jakarta retired on a Headteachers pension, I'm looking to knock My Consultancy Business on the head shortly and cash in my pension pot while still doing a bit of University work.

We love where live and won't be moving anwhere else.

If our house 'value' halved it wouldn't make the slightest difference to our lifestyles. Although I think that scenairo highly unlikely...

Wonder how much of the Horsham demand was calculated and predicated on Gatwick being fully functional and continuing to expand (instead of being 80% down or whatever the traffic is now with little likelihood of returning to pre-pandemic levels) ?

 

[jakarta]

Think COVID has made many people realise the daily commute into London is farcical when modern technology means you can do whatever from home.

Hence why not buy a place in lovely West Sussex, probably close enough to a Station when you have to have that ballsaching Monthly Meeting in person, the rest of the time you can do your stuff from home, possibly still in your dressing gown.

Oh and you will have trousered enough from your lovely South London property to have cash purchased your Storrington/Pulborough/Billingshurst des res.

 

[jakarta]

Wonder how much of the Horsham demand was calculated and predicated on Gatwick being fully functional and continuing to expand (instead of being 80% down or whatever the traffic is now with little likelihood of returning to pre-pandemic levels) ?

Drive past Horsham on a regular basis, don't see any Building Sites closing, see my previous post about the London Evacuation!

 

[Weststander]

Wonder how much of the Horsham demand was calculated and predicated on Gatwick being fully functional and continuing to expand (instead of being 80% down or whatever the traffic is now with little likelihood of returning to pre-pandemic levels) ?

Imho Gatwick will be rapidly get back to being a busy airport. Albeit with Virgin only at Heathrow. Freeing up the hogging of slots will help.

Consumers have paid back personal debt and repaid chunks off their mortgages, with luxuries curtailed. Omicron ended up have similar metrics to the flu (DT science article this week). Pent up demand, people want to travel and holiday again.

 

[nicko31]

Interest that apartment prices have been pretty flat in many areas for the last decade, a real gap has opened up between these and house prices.

 

[juliant]

Similar here really - been in the same house 20-odd years and won't be moving, however have two kids who will at some point want to get their own places - both currently rent similar-sized flats, one pays £350 a month (Scottish Borders) and the other pays £1,100 (Burgess Hill) - the regional disparity is immense. A decent fall would help one of them out (or reduce the amount we'll need to help them out in reality) once that time comes.

£1100 a month for a flat in BH ? Wow my little flat in Newport road 25 years ago was £350 a month !

Its not even like BH has much going for it nowadays except a deserted town centre and high costs to go with it.

Feel so sorry for the kids of today will have such a nightmare getting on the property ladder

 

[Westdene Seagull]

So wrong when inflation is charging along at 5%+, pre GFC rates would be 7% and you'd be paying 8-8.5%

Why's that so wrong ? Surely it's a good deal for people with a mortgage ?

 

[Stuart Munday]

Put our 2 bedroom house on the market a few weeks ago for 300k, huge amount of interest mainly from young first time buyers, sold for £335k, absolutely ridiculous amount.

 

[Uncle Spielberg]

Good call from the people who voted prices will increase. They have gone up 20% in the last 2 years

 

[Deleted member 22389]

Put our 2 bedroom house on the market a few weeks ago for 300k, huge amount of interest mainly from young first time buyers, sold for £335k, absolutely ridiculous amount.

That's what my mum got for bungalow last year, but it also had a big room in the roof. It needed a lot of work. The new guy who moved in, now has the builders in. Probably ripping the old property apart to make it open plan. Once done up, it would easily fetch £450,000+