I've been of on my regular weekend trawl of houses and every one that I phoned about had an offer on below the asking price - in some cases quite substantially below. Is this a blip or the start of a downturn in the housing prices? Answes on an e-card to this thread!

I've been of on my regular weekend trawl of houses and every one that I phoned about had an offer on below the asking price - in some cases quite substantially below. Is this a blip or the start of a downturn in the housing prices? Answes on an e-card to this thread!

hasn't anyone told you? house prices only ever go up. they haven't crashed yet so they never will.

Sorry for the sarcasm!

Seriously, there is a massive global credit crunch coming as a result of the sub prime disaster in America and the unwinding of the yen carry trade in Japan. Add in the new HIPS and I think we are heading for a downturn.

Only my opinion, so i expect lots of people who don't want a downturn to have a go.

Gosh

An articulate reply!!!!

Deepak

PS Its gonne bomb big time - dont buy

Im hoping the market does crash....then I may be able to afford to buy something semi-decent !

if people don't get the price they're happy with they wont sell, they'll stay where they already are... if they don't sell then supply will be restricted, and the shortage in supply will drive up prices back up to the level at which those selling are happy to do business at....

For the record I don't think there will be a crash - more likely a period of stagnation with maybe a slight drop in real terms as inflation exceeds rises in house prices.

For the record I don't think there will be a crash - more likely a period of stagnation with maybe a slight drop in real terms as inflation exceeds rises in house prices.

I agree, but not quite yet. I think Sheffield is still cheap tho when compared to other cities of our size.

Things still seem pretty bullish here IMHE - I looked round one for 520k last weekend and there were 5 offers in on it even though it had only just gone on the market.

Not sure that the UK market will follow the US either. The UK sub-prime market is very different to the US as it usually relies on a 15% + deposit where 100% is common over there so there is a cushion of equity. Land is scarse, planning difficult and much higher densities so demand should hold up much better. :thumbsup:

I usually use this to keep an eye on the housing market:
http://www.upmystreet.com/property/prices/terraced/l/sheffield-4610.html

there are different graphs for different housing types, or you can 'view all', I usually use the terraced graph though because those figures are not often skewed by new builds like the semis and detatched ones are - and the flats just throws everything out wildly :loopy:

if people don't get the price they're happy with they wont sell, they'll stay where they already are... if they don't sell then supply will be restricted, and the shortage in supply will drive up prices back up to the level at which those selling are happy to do business at....

if the market stagnates, then Mr Blundell will have to trade down to a Mini. Alternatively, the estate agents can start to talk about a crash in the hope that people will look to sell before the prices drop any further.

Don't forget estate agents make money through sales, thats all they are bothered about. In a rising market they tell you 'buy now before its too late', in a falling market they do the opposite. Hence go the cycles of the property market......

hasn't anyone told you? house prices only ever go up. they haven't crashed yet so they never will.

Sorry for the sarcasm!

Seriously, there is a massive global credit crunch coming as a result of the sub prime disaster in America and the unwinding of the yen carry trade in Japan. Add in the new HIPS and I think we are heading for a downturn.

Only my opinion, so i expect lots of people who don't want a downturn to have a go.

you been reading HPC.co.uk?

(i agree entirely, btw)

I've been of on my regular weekend trawl of houses and every one that I phoned about had an offer on below the asking price - in some cases quite substantially below. Is this a blip or the start of a downturn in the housing prices? Answes on an e-card to this thread!

A house sold within a fortnight near to us which I thought was way overpriced. It prompted the sale of another one three doors down which had been on the market since just before Christmas.

It may depend on the value? I'm competing primarily with buy to let people (or it seems that way) so maybe it's that market which is having quivers and a knock on effect from there?

if the market stagnates, then Mr Blundell will have to trade down to a Mini. Alternatively, the estate agents can start to talk about a crash in the hope that people will look to sell before the prices drop any further.

Don't forget estate agents make money through sales, thats all they are bothered about. In a rising market they tell you 'buy now before its too late', in a falling market they do the opposite. Hence go the cycles of the property market......

most other companies make money through sales. Its opinions like yours who give us a bad name, most of the time undeservedly. There are scammers amongst most sales people - whatever they sell.
Contrary to popular belief we cannot be blamed for house prices. Threy are what they are - if we over price to inflate - people won't buy them. Sellers are more to blame for over-inflation, not ourselves. We just want to sell to earna living - any profit making authority will not turn down business. :rant:

as a buyer my choice would be to offer lower than the asking price. as a seller i'd wiat until more then one wnat it and bid them against one another.

my house value has increased 5k since December - howver i could bet my mortgage that the first offer recieved were i to sell it would be on or below the asking price.

I usually use this to keep an eye on the housing market:
http://www.upmystreet.com/property/prices/terraced/l/sheffield-4610.html

there are different graphs for different housing types, or you can 'view all', I usually use the terraced graph though because those figures are not often skewed by new builds like the semis and detatched ones are - and the flats just throws everything out wildly :loopy:

That makes scary reading! I live in hope that I might get back on the property ladder at some point, so a downturn in prices would be good for me. Its encouraging to learn that offers below the asking price are being accepted.

well, it turns out the boom was manufactured by the boe and the government, and the reason? they were scared of Osama et al in the wake of 9/11. Absolutely scandalous.

http://news.sky.com/skynews/article/0,,30400-1256664,00.html

This should be massive news but the bbc seem to be ignoring it.

Lord George - who headed the Bank for a decade until June 2003 - revealed that he knew the approach was not sustainable as he gave evidence to a committee of MPs.


That pushed up house prices, it increased household debt ... my legacy to the MPC if you like has been `sort that out'."

We tried very hard not to do more than we needed to keep within the inflation target limits but we knew that that was going to cause problems later on which are still with us




If it wasnt sustainable in 2003, it certainly aint now.

You beat me to it. Now I know why most of the government got into the BTL game. I think its called insider dealing isn't it?

Huge news. It's everything we have been talking about for years. Cheap credit. 5x mortgages. People scrambling to get on the ladder. The whole thing is a sham and is about to topple....

You beat me to it. Now I know why most of the government got into the BTL game. I think its called insider dealing isn't it?

damn straight it is... Champagne socialists of the highest (lowest?) order...

Some years ago we contemplated moving to Leeds, and couldn't afford it. Seriously. To get a house of equivalent size to our own and in a similar area we were looking at around twice the price you'd pay here.

Recently Leeds values have slowed in their increase, and selling is becoming harder. Sheffield's prices have increased and are now levelling.

I don't think the lenders will permit a crash - they may be willing to write off some of the resultant debt but with house equity underpinning a lot of consumer spending I think they'll provide 40 year mortgages to soften the cost and remove salary multipliers, and base your mortgage on a 'What you can afford to pay' basis - a little like the self-cert mortgages that those of us who are self employed have had for years.

My own money is on stagnation in most of the market with a reduction in areas where BTL has pushed prices up to silly levels.

I don't think the lenders will permit a crash - they may be willing to write off some of the resultant debt but with house equity underpinning a lot of consumer spending I think they'll provide 40 year mortgages to soften the cost and remove salary multipliers, and base your mortgage on a 'What you can afford to pay' basis - a little like the self-cert mortgages that those of us who are self employed have had for years.



Lenders wont be able to stop a crash, theyve never managed it before - they may be able help current motrgage holders manage their repayments - although i think this is doubtful - but there is no way in hell they can manipulate what people are prepared to pay, once sentiment turns. You cant buck the market.

Salary multiples are long since gone and 'what you can afford' has been largely responsible for folk going up to their neck in mortgage debt, its just it was 'what you can afford' at historically low, and intentionally downwardly manipulated linterest rates.

tick-tock-tick-tock...

It may depend on the value? I'm competing primarily with buy to let people (or it seems that way) so maybe it's that market which is having quivers and a knock on effect from there?

Exactly. we are looking to move too and some houses we have looked at have sold for above the asking price within 2 weeks and others are still on the market having been on for about 6 months.

Irrespective of whether there is a crash or downturn or not, there are still good value (and poor value) buys.

I've been of on my regular weekend trawl of houses and every one that I phoned about had an offer on below the asking price - in some cases quite substantially below. Is this a blip or the start of a downturn in the housing prices? Answes on an e-card to this thread!

Article about it here:
Are we at the end of the road for the housing market mini-boom? http://business.timesonline.co.uk/tol/business/money/consumer_affairs/article1529783.ece

+ plenty of links!

With the average age of first time buyers age of 31? (I think The Guardian said) I'm banking on the number of people able to stretch themselves to 110% mortgages drying up at some point sooner rather than later.

Posted by: someone not willing to take out a 40 year 110% mortgage.

it gets me everytime this one.

Like someone has said Sheffield is so behind on prices to everywhere else its hard to see a drop.

People have been saying this since late 90's in the hope for a drop, its a complete pain in the ass but I am so happy I got on the ladder and stretched myself as now with some hard graft and increase in value and can now take the second step where I will stretch again and hopefully go with the natural rise and be quids in.

As demand outstrips supply I just cant see how prices will drop or even remain constant, its basic economics the price will be driven up. Especialy as it appears 5-10 people bid on houses in good areas, not to mention the crazy sheffield market where no one actually sells for asking but 10k over !

My advice to anyone woul be to buy whilst you can.