People talking about houses dropping 30%

[ayvian]

AIBU to think they should shut up.

Banks are still lending, furlough has saved millions of jobs and no one is going to sell their biggest asset at a 30% loss. It just won't happen all it will create is a mexican standoff that will freeze the market until buyers get a sense of reality. We want to move, but not that desperate to accept a loss of what something was worth a few weeks ago. We'll hold on. It's wishful thinking that anyone can get a bargain right now

well if it happens for home owners, then the same should happen to renters. They can just pay interest on their landlords mortgage too then. Let’s see how that goes down. Who will compensate the banks for all these interest only mortgages? Oh yes, same as last time, taxpayers

I've seen lots of talk like this on twitter - 'if my landlord can take a mortgage holiday I just shouldn't pay rent for three months!' - and I can only assume that these people don't understand what a mortgage holiday or switching to interest-only actually means.

If you can't afford your mortgage thru rising interest rates or losing well paid job you have to sell, even if at a loss

Up until very recently, most landlords mortgages had a clause that prevented UC claimants from renting their properties. Very new mortgages have the clause removed. So I disagree and repeat, renters do t get any help or assistance.

Oba mortgage holiday your mortgage would get bigger as you would still be accruing the cost of the interest

And renters who work don’t get any help but while mortgage holders can pay interest only renters still have to pay extortionate rents. Which also prevent many from saving a deposit

And also, I am not going to get my tiny violin out for landlords. Buy to let mortgages should banned as it has been one of the major contributers to the housing crisis we face

When you have to pay £1200 to a landlord every month, how can you even start to save for a deposit? And it’s the renters fault for spending too much or not earning enough. The ignorance is unbelievable. Covid has changed the housing market and will make it equal and fairer for all. Most people on here have their fingers in their ears saying la,la,la can’t hear you, as the titanic goes down.

littleblackdress04
no one is asking you to get your violin out. Just pointing out the unrealistic ideas.

Buy to let mortgages should banned
fab. So cash rich buyers and investment companies can have the exclusivity of the market, and the lower and middle class can be penalised. Yes, sounds fair

Ok then, ban second home ownership then! None need more than one house do they?

jenny1211
When you have to pay £1200 to a landlord every month, how can you even start to save for a deposit?

I can only tell you how people like me did: we chose NOT to spend £1200 on rent but started in house shares and fairly grotty accomodation.

Covid has changed the housing market and will make it equal and fairer for all.
I don't think you realise how EVERYBODY will suffer from the recession, and it won't be as easy as renters getting next to free house to buy...
Let's not even go to people who will need the NHS and people with children who will need state school.

If I decided to rent a family house with garden today, I would have not much left after paying the rent.

The point is (and I am a homeowner) that the ‘market’ is tipped far too in favour of property owners and there needs to be a reset. The fact that it’s even called a ‘market’ speaks volumes when millions of kids live in unsuitable housing.

Ok then, ban second home ownership then! None need more than one house do they?

I'd love to see how this would work in the country where we idolise the royal family and land & property owners like the Duke of Westminster

Unless you plan to do something similar as set up for inheritance tax, and the super rich get exempt? Yeap, sounds fair again...

Of course it's called a market. Any area where things are bought and sold for non fixed prices is called a market.

The fact that it’s even called a ‘market’ speaks volumes when millions of kids live in unsuitable housing.

I'd rather living in a market situation than a socialist situation as other countries have tried in the past personally. It never stopped unsuitable housing, it actually made it worst for a start.

Buy to let mortgages should be banned, one house per family. These mortgages have forced so many families into rented accommodation. If you have any morals, you would agree with this.

Exactly, today. You wouldn’t be able to buy today at 17 x average salary. The housing market is distorted today.

@jenny1211 I agree with you totally. The fact that people here are quoting the royal family (who should be abolished) as an example of multiple home ownership tells you everything you need to know about the views about property on here & it’s why we are still in the housing crisis we are.

And a land tax would be the fairest way

ittleblackdress04

I am pointing out the royal family because people are putting all "second home owners" in the same boat and confusing the super rich with your average mortgage payer...

Exactly, today. You wouldn’t be able to buy today at 17 x average salary. The housing market is distorted today.

You misunderstood, yesterday or today I couldn't buy if I had chosen to rent an expensive property. Many of us bought because we chose to struggle for a few years. Yesterday just as much as today.

Oneand. I wonder how many families you outbid with your interest only buy to let mortgage? Families can’t compete. And you think it’s ok for families to move into shared accommodation? Unbelievable!

An expensive property? Flats are £1000 per month and 2 bed terrace houses are £1200. The minimum wage salary is £1300 per month. Families don’t choose to rent, they are forced to, because the housing market is distorted.

Oneand. I wonder how many families you outbid with your interest only buy to let mortgage? Families can’t compete. And you think it’s ok for families to move into shared accommodation? Unbelievable!
This is complete nonsense . Wow...

Families don’t choose to rent, they are forced to
You seem to imagine "families" are built from a kit; one size fits all? Your point is completely lost on me, I'm afraid.

jenny1211
Again you are missing my point - of course you are struggling to save if you have decided to have a family first and rent house! That's nothing new and most people who bought decided to do it when they were working full time, no childcare, and could live in a shared house and/or buy a grotty first property in an undesirable area because that's all they could afford.

There's nothing wrong in choosing to have a family over a property, but it's choice. You cant' have it both ways - most of us didn't. Don't blame the market because you made a choice.

Lucky are the ones who got family help and are gifted a house or a high deposit to celebrate their first child, most of us never got any help.