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To buy a house now?

(15 Posts)
TinCanAlley2 Sat 23-May-20 13:26:07

Ok so it's not so much AIBU but is DH BU to want us to buy a house now?
The plan before this shitstorm kicked off was to buy this time next year
We're in no rush to move so I want to wait a year and see how the land lies by then
DH thinks now is the time to buy as sellers will be desperate to sell and he can't see any reason the market will crash hmm
We should wait right?

TheThingWithFeathers Sat 23-May-20 13:30:26

I had planned to buy in the autumn, I'm now planning to wait until at least this time next year. I don't think the market will completely crash, but it's likely that prices will drop, so I am hanging on.

TinCanAlley2 Sat 23-May-20 13:41:00

He's arguing that if the market does crash then our house will be worth less but then so will the house we're buying so it makes no difference if we buy now or next year especially as we intend to stay in the next house for the foreseeable future
I'm struggling to come back with a counter argument , I just feel uneasy about it right now

TinCanAlley2 Sun 24-May-20 10:29:25

Bump.

longearedbat Sun 24-May-20 10:45:45

The bank of England is currently mulling over whether to introduce negative interest rates, which essentially means that savers will end up paying the bank to look after their money. If that happens property prices may rise as investors will be looking for other ways to make their money work (although interest rates have been derisory for years). Negative interest rates will obviously also hit the deposit savings of potential buyers. Coronavirus will only be a small part of the financial disaster that is going to unfold over the next few years.
I would say if you are in a position to buy, buy. If you wait for this or that condition to be right you may never actually move forward.

sst1234 Sun 24-May-20 10:48:35

He’s right about your house dropping in value too. Depends how much you’re upsizing in value by. Most people are hanging on to see how the employment market reacts before taking on a bigger commitment.
How much is current propriety and how much will you new one be? How much do your mortgage repayments go up by?

MarkBrendanawicz Sun 24-May-20 10:52:22

We are still hoping to buy this year but we are hanging on until later in the year. We were originally supposed to be buying this summer.

TinCanAlley2 Sun 24-May-20 10:54:34

@sst1234 our mortgage and mortgage payments will actually decrease due to us having a large deposit to put down which is totally separate from the equity in the house we are in now . I'd like to say we're lucky to be in this situation but I've only got the deposit due to the early death of a parent

sst1234 Sun 24-May-20 11:31:54

OP sorry for your loss. The reduction in mortgage repayments is a an amazing advantage. You could be using this as leverage and selling your house now before prices do really take a hit and negotiate a discount on your next place too. Win win. Also with interest rates so low, unless you are in precarious employment, I can’t think of a better time for someone in your position to sell and buy.

Truthpact Sun 24-May-20 11:45:53

The bank of England is currently mulling over whether to introduce negative interest rates, which essentially means that savers will end up paying the bank to look after their money.

What?! That's not true surely?

ButtWormHole Sun 24-May-20 12:12:03

I would say it is worth a try. Stick your property on the market and see what happens.

longearedbat Sun 24-May-20 12:15:36

@Truthpact I am no good at doing links, but google it. It was widely reported in yesterday's papers.

CoRhona Sun 24-May-20 12:22:44

I think buying a house is like having children.

It's a huge commitment; there's never a 'right' time; and there are a million reasons not to.

But like with children, life can be much better for taking that leap.

thatcarolebaskinbitch Sun 24-May-20 13:01:53

I think if you are going to be in your next property for a long time I would go for it now, even if you go almost straight into negative equity it won't matter as you will be staying put for a long time.
If the market crashes/prices drop and then you decide to sell, you are going to struggle as banks will be very cautious about lending, especially to people with only a 10% deposit which is the norm now.
I'm looking to buy my first house but despite having a big enough deposit, for other reasons I can't move for 12-18 months, I'm worried I'm essentially going to miss the window to buy and the market will have crashed by then. Just got to hope that with a 20-25% deposit I will get a mortgage ok.

TinCanAlley2 Sun 24-May-20 18:21:33

Trouble is there's not a lot on the market at the moment
I noticed a good number of properties disappearing from Rightmove and I don't think it was because they sold

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