To think saying house prices could crash if we brexit will be a plus for many

[feellikeahugefailure]

The BoE and other banks say this as if it is universally bad news. If it stops the vast amount of foreign speculation on UK property then many will see it as a good thing.

Even if you own your own home, its paper gains unless you sell it. So even homeowners might want prices to fall as otherwise their children may never own a home.

Yes lots of people in negative equity will be great for the economy . The knock on effect on the economy of people not spending money will be devastating.

Don't get me started

jelly shit why didn't I think of that?!
My 16 year old car and 20 years since a holiday other than uk camping says otherwise.
DH self employed with 10 employees. Aging parents already an hour away. Should we make all those redundant, take my kids out of a community they are part of, sod the fact my parents will need more support in the coming years?

In years gone by we would have been able to get a council house. Instead we would need a n £80,000 deposit (we saw the bank) with house prices increasing at £1000 a week, how do we save the extra that entails?

Nobody needs an £80k deposit to buy a house. You might need an £80k deposit to buy the house you want in the area you want but you do not need an £80k deposit to buy a house.

I agree with jelly, I bought my first house in an area I dint want to live in. I slept on a mattress on the floor and did without a lot.

If you need an 80k deposit you need to relocate. There are areas you can buy a house for 80k!

I don't understand hopit, even people who are self employed can get a 95% mortgage on help to buy? Where do you get £80,000 deposit from? You need to see a mortgage broker, not your bank.

Can't see a crash around here. A nearby house like ours sold for £75k more than we bought ours for a few years ago, only been on the market a week. Lots of huge houses being built around here going for £5-600k and all selling like hotcakes. This is Derbyshire not SE. Lots of ftb's buying - two jobs, saving like mad, foregoing holidays abroad etc.

A crash could mean that people only sell if they have to meaning less houses for sale, landlords would buy more properties if they had the cash or large deposit, people wouldn't bother to downsize as they got older and move out of big family homes.

If you are fed up with your lot you need to figure out what to do about it, a housing crash will not be your answer.

I bought my first tiny flat in an area my friends turned their noses up at but it wasn't far from the tube and my workplace was over an hour away on the other side of the city so I needed to be near good transport.

I was skint, it had no floor in the bathroom! The kitchen was a state, it had a broken window and the boiler broke down two seconds after I moved in. The boiler repair man could see I was so skint that he repaired it for free!

Some of my friends want a great flat in a good area, they really don't want to buy in a poorer area and do the place up over a number of months/years. I suspect they'll be renting forever. I advised one friend to buy in Tottenham a while back and she pretty much laughed in my face. She can't afford to buy there now. In London I'd be looking at places like Edmonton next to Tottenham, you can still why affordable houses there. There is affordable housing around if you are okay with living somewhere currently unfashionable.

You and others are right to feel resentful.
The younger generation have been comprehensively screwed over by the policies of labour (yes) and cons govts.

Thanks milly, I have young friends who think putting £200 into the help to buy isa is a strain while living at home (and having copious spray tans and holidays abroad) who would never rent as it's 'throwing money away' I pay over £850 a month on interest ALONE on my very average 3 bed semi! Far more than it would cost to rent, and there's capital repayment on top of that. Owning a house isn't the end of your money worries, it's the start of them!!!

People keep saying house prices are too expensive however unless you are in London there is always affordable housing - it might be in an area you don't want o live in but that doesn't mean it's not affordable. If you can't afford to buy where you live then that might mean you need to move to somewhere that is affordable for you.

Where I am you can get a 2 bed bungalow for less than 50k and there are at least another 50 properties for sale under 50k in various areas of the town. None of the areas are particularly bad either and No unemployment isn't particularly bad where i am either.

it would be a full on 10 redundancies, pack up a good business he's built for 15 years to get a lower paid job for DH. Where we would struggle to get a mortgage with lower wages and new jobs.

It's really fucking hard, throw in the mix being part of a community, having kids with special needs who wouldn't cope with the move 2 and a half + hours away (so 3/4 from ageing parents).

It shouldn't be this difficult, you used to have to move to the next town for an affordable home not 3 hours away

I would have thought negative equity on a large scale would destabilize our banks ?

Hopit even if you are in london you can buy property for less than £1.6m . Nobody is saying that it's easy but it simply isn't true that you need £80k to buy a house.

Conservatives won't alienate their core vote by failing to at least maintain house prices
Don't forget that a large proportion of the electorate is made up of people who despite earning good money are forced to rent rather than buy a home
Hard working families getting real pissed off having to work hard to enrich landlords who have helped to over inflate house prices
The btl market is increasingly being held responsible for the disconnect between wages and property prices
www.bbc.co.uk/news/blogs/the_papers

the bank wanted £80,000 to lend £250,000
They even upped our income to get to that figure

thats the cost of a 1 bed flat by the way.

A crash could mean that people only sell if they have to meaning less houses for sale
The over leveraged would be forced by their lender to sell, more not fewer properties for sale

Don't forget the wages x 3 calculation in your 1.6million quote.
Try nearer 40k

One of my other fears about Brexit is that we will start to lose a lot of the employment rights that being in the EU has given us. if more people have unstable employment, because we know what our government thinks of people who have to work for a living, it will be much harder to get mortgages anyway.

Getting sick of reading this.

1. As pointed out upthread, most rights came from UK in any case.
2. Don't you like/value democracy? Because what you are saying is "our own democracy isn't giving me what I want, so I prefer to rely on rights I think come from outside". Wouldn't it be better to ask why our democracy is failing rather than just be glad it's getting bypassed? What happens if/when the EU decides these rights are no longer needed?

A crash isn't a plus for anyone except those with plenty cash to buy or those in a position to speculate and take advantage of other people's misery. A crash means those in negative equity cant move up the ladder freeing up homes for those wanting to get on the ladder. A crash means people cant remortgage to improve their home which has a knock on effect for those in the building trade. A crash has a domino effect, it creates instability and unemployment, not ideal conditions for anyone looking to borrow money. A crash is not the magic answer to the housing bubble Talk to anyone who has been through it and they will not want to go there again.

The advice I would offer any young person wishing to buy would be to stay with your parents if possible for as long as you can and save for a deposit. Try to not get caught in the rental trap. Then buy a small place in an unfashionable area which is close to job opportunities and transport. You can do it up and trade up.

I would also buy before having kids. I know it sounds boring and traditional but it is far harder to find the money when you have dependents. Plus you won't have the worry of having to move far from the school if you're renting and the landlord wants to sell.

The over leveraged would be forced by their lender to sell, more not fewer properties for sale

Why? Surely an "over leveraged" borrower still servicing their loan is a better prospect than a homeless one who owes the lender thousands they can never pay?

Buy to let landlords will just increase rents when interest rates rise
If only it were that simple
Btl business model is bust
The writing is on the wall, the noose is tightening

But that's because you live in london hopit. I'm not trying to be difficult or actually even unsympathetic but the reality is that if you live in London the likelihood of you getting on the ladder is low. But despite all the "ties to the area" arguments that are frequently trotted out, it is at the end of the day your choice to live in one of the most expensive cities in the entire world.

If your joint income is £40k then in all likelihood you could be earning just as much in any other part of the country and could be living in your own three bedroomed house. It's a choice.

Suzanne it is that simple, it's been going on for years! It will continue. Don't forget lots of those btl landlords have bought years ago.bhave you not seen the millions of people who's rents rise or are forced to move so that the landlord can increase rents?

Re the over leveraged.
Peoples homes are only at risk if the fail to service the mortgage so that's not true either.