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Buying a home - are you pulling out?

(22 Posts)
Foodbabie Tue 28-Jun-16 13:01:59

Just wondering if anyone is pulling out of buying a home now that things are uncertain in the future market?

Me and my OH have put in an offer but are now unsure what to do and if to go ahead with the sale.

annielostit Tue 28-Jun-16 15:58:24

By pulling out will you be not paying rent or bills etc.
Regardless of what might or not might happen you still need to live.
What if you were 8 weeks down about to move in or moved in? Would you move out?
In or out the eu, life will still go on. Are you going to stop??

annielostit Tue 28-Jun-16 15:59:52

Life happens and sometimes shit happens.

MunchCrunch01 Tue 28-Jun-16 16:00:32

Well the good thing is mortgage rates look to stay cheap for at least the next 3 years. We're still waiting to see if our buyers pull out. How much deposit do you have, how secure are your jobs and is this a forever home or somewhere you intend to be for 5-10 years only?

JE678 Tue 28-Jun-16 16:01:38

We've just lost our buyer in London.

Ilikedogs Tue 28-Jun-16 16:05:11

We are going ahead with our purchase (as long as the chain stays intact). Prices in our area are high but it's already a very limited market which will only get worse if house prices drop. Houses like the one we are buying rarely come up as it is.

As pp said hopefully the interest rates will stay low to stimulate spending.

RaeSkywalker Tue 28-Jun-16 16:06:27

Honestly, if I was just at the offer stage, I'd probably withdraw. I do think that house prices will drop. Are you currently renting? The obvious downsides to pulling out are:

- is this your dream home? If it is, maybe don't gamble.
- rental prices might increase if the housing market slows- an issue if you're renting.
- redundancy etc might mean that you can't get a mortgage in the future when you do want to sell.
- if you continue to rent, you're not putting equity into an asset. On the other hand, if you buy and the prices go down, you could be stuck with negative equity. This isn't such an issue if you consider the move to be a long-term one though!
- if you have a large deposit saved, and the Bank of England sets interest rates to 0%, you'll earn barely anything on it. So it might be better to invest in property.

As I say though, I'd honestly pull out and wait a couple of months to see how the land lies.

RaeSkywalker Tue 28-Jun-16 16:07:59

My friends are trying to sell in the London commuter belt. They'd accepted an offer and were a week away from moving when the buyer pulled out. They haven't had a single viewing since the result (and this is a very, very popular area).

OurBlanche Tue 28-Jun-16 16:08:58

Why are you buying? If for a BTL, then OK, if you want to. If as an investment, to buy now and sell in decades when you downsize, well, OK, if you want to.

If it is to buy your own home, a place you will live and have no reason to sell in order to make a profit, then no. That would be an odd thing to do. Anything that may or may not happen to mortgages and house prices will be reflected in rental prices too! You will be swapping a swing for a roundabout - no real loss/gain.

scarlets Tue 28-Jun-16 16:50:06

So many ifs and buts. No one knows what will happen. If you want this house and you can afford it, have it. Owning is always more secure than being at the mercy of a landlord, unless you over-borrow and end up upsetting the lender by failing to pay your mortgage! Life goes on.

peggyundercrackers Tue 28-Jun-16 17:08:26

I would continue - people still need to live somewhere no matter what the outcome of the vote was. house prices will go up and down as time goes on.

Daytona79 Tue 28-Jun-16 17:23:42

I seen a economist talking on news yesterday they said people should not panic with regards to house buying and go about business as normal as there will be no great effect any time soon. All this hysteria was uncalled for he said.

Foodbabie Tue 28-Jun-16 17:24:23

We have a decent deposit 25,000 it's not our full savings we have 50,000 more it'll be our first home together and currently we live in a property inherited I have joint ownership so we are not in a difficult position however it is a home we do love we would be living there for a long time it's an area we want our kids to grow up in, but we're not willing to loose any money at the same time.

The seller could decide pull out we just have to wait and see. We're both in two minds but might end up moving out and renting because the property were in now is not just mine and other ppl want in on the profit now.

So it's either rent for a year or two then buy or buy now

I agree it's a bit of an odd thing to do in my position so waiting it out might be the better option, just desperately want to move on from the area I'm in also but that can also be solved by renting. It's horrible being so uncertain

Bambamrubblesmum Tue 28-Jun-16 20:42:51

Mortgages are actually based on the cost of borrowing; therefore as the UK credit rating has significantly decreased it will get more expensive for banks to borrow and lend. So mortgages may not be that cheap in the future.

If you already have a tracker mortgage though you could be quids in if interest rates are cut.

Personally if you can I wouldn't buy at the top of the market, I'd wait for the readjustment and see where things settle.

Numberoneisgone Tue 28-Jun-16 20:45:50

I would hold off. We saw a fantastic house circa 2008. By now it has dropped 1/3 in value. We thank god we did not go ahead as we would be in chronic negative equity.

witsender Tue 28-Jun-16 20:45:53

Not losing money isn't a certainty at any point...regardless. If you don't want to lose money, there is no such thing as a sure bet. Besides, if you are going to live there for a long time it is kind of immaterial, the value of a house is only really relevant if you sell.

scaredofthecity Tue 28-Jun-16 20:57:38

We're a few weeks off exchange and Still going ahead. We've thought long and hard about it and decided that it's the right thing for us to just carry on. Our circumstances mean we're in the best position we've been in for a while and probably will be. Delaying will mean putting off having another child and our DS had already had such a disrupted first year he needs a home and we need to provide some stability for him.
However we negotiated a good deal and the house needs work doing so we can add value. The vendor has only made 40 grand (25%)in the last 7 years in an area where many houses have increased by more than 50% in the same time period.
We feel this means it is less risky position than some people are in.
There was not much choice, and there is going to be even less choice if the market does crash. If you decide to wait it is probably going to be for at least a year maybe more.
It is so hard and I'm not 100% sure it is the right thing to do but I don't think we've got a lot of choice but to go ahead.

Smartiepants79 Tue 28-Jun-16 21:03:51

We are hoping to exchange in the next 6 weeks. We will continue as planned unless our buyer pulls out, which I hope is unlikey.
Our seller is downsizing so not going to pull out.
We are not planning to sell again for many years and mortgages going up would be our main issue ( or not job but that could happen any time).
Waiting would have a big impact on our lives and what I want for my children.

MunchCrunch01 Wed 29-Jun-16 21:10:58

We can't decide - so far our buyer isn't pulling out although also no final confirmation they've got their mortgage but we're in Scotland which looks to be going independent and at the edge of our affordability, it wouldn't take much to make our mortgage unaffordable. OTOH, small children in a cramped too small flat means we have to move somewhere and we don't want to rent again (pets).

RebelandaStunner Wed 29-Jun-16 22:40:50

We are exchanging at the end of this week. We've paid cash and don't intend to sell for a very long time. Also we're not selling to buy this.
I hope there is not an housing crash but it wouldn't really affect us.

Foodbabie Thu 30-Jun-16 13:08:25

Thanks for your views guys, still thinking about it but thinking more towards going ahead with it x

sandiedc01 Fri 01-Jul-16 07:43:36

Houses are not dropping at the mo and they're dropping the interest rate - if you all start pulling out you'll have a self fulfilling recession....

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