Do you think house prices will decrease

[greydaisys]

Do you think house prices will decrease

No

Yes

While we have extremely low interest rates buying is always going to be more attractive than renting if you can raise the deposit

Nope. They’re cutting interest rates and all sorts to prop up house prices. It would be a disaster if half of the country was in negative equity.

Not really, maybe a tiny bit for a very short while as people haven't been able to go out and physically look at houses etc, but I think it will bounce back very quickly.

Even if there was a recession?

No

Yes

Oh goody, another thread on house price decreases.

We’re currently thinking about selling and I’ve been surprised at the prices. Nothing has decreased. And properties are moving.

I did initially but actually seeing how much things have shifted near me in the last two weeks I don't think they will reduce where I live.

I did think so at first but houses are selling within a couple of days in the areas we are looking at, and for the same or higher prices than before lockdown

I’m not sure. I think there will be more of a demand further away from cities as people want more space for working from home.

I think in general there will be a slight decrease in the first few months, but then it will rebalance and start going up again.

However, there are always local variations and if you live in a desirable area then you're unlikely to notice. This is not the same as 2008 because much of those problems were directly linked to mortgages.

I live on a desirable new build estate and people have continued to buy houses at the normal price. That would suggest to me that in my own estate anyway, there will be no drop.

In addition, many experts also think that property type will have an impact on any price decrease/increase as well, because spending so much time in your current property had caused many people to re-prioritise, and want a garden, bigger property etc. So you might find flats suffer more than houses for instance.

I don’t think they will, or only slightly if they do.

Of course they will. We have seen none of the ill effects of people being made redundant yet. They certainly will over the next few years.

Depends how many people can no longer afford their current mortgage.

I know lots of people would like cheaper houses. A massive house price crash is not a pleasant thing.

Doesn't matter how low interest rates are if you can't afford the repayments, can't afford to remortgage, can't get a mortgage holiday. Distressed sales mean reduced house prices. They also need people in a position to buy and move.

Shitty times.

Yes. It appears there is going to be a delay before the full impacts of the coming deep recession are felt in the housing market. But there is going to be a massive worldwide recession and no government intervention will stop house prices falling in those circumstances.

Nope, the government will do anything to distort the housing market and keep it rising. Even if they have to create a new scammy scheme to 'help' first time buyers buy a 5% share of a microscopic one bed new built flat in the middle of nowhere.

Depends how many people can no longer afford their current mortgage
This. People won’t sell their houses cheaply by choice. They’ll have lost their jobs and be repossessed or forced to sell. Of course the people who want to buy won’t be able to because they’ll have lost their jobs too and banks won’t be lending.

I think we’ve already seen the decrease, as the economy ramps up they will rebalance back to where they were, so not really no.

The Bank of England said they would short term if we have mass unemployment following lock down, but the other side was they would right themselves if the economy comes back.

Estate agents are saying they have seen a flurry of low ball offers, people trying to capitalise on Covid, but that sellers are holding tight and refusing them.

Yes but probably not until interest rates eventually rise which could be years away.

I suspect they’ll stagnate for a while but don’t think there will be the huge drop that was previously suggested

I'm hoping it'll be a short term decrease and then a steady but slow rise (Brexit will stop it increasing at any quick rate I think, with no knowledge on the matter!)

We are in the process of selling our house for 4% less than asking, I was hoping to be able to sell slightly higher but we want to get moving and needed to be practical with the current situation. We are buying a new build at the same price it was on before all this, but got about £20,000 in incentives so I'm not concerned about that as it's a long term house. I just hope prices have picked up by the time we come to refix, as we are taking a higher risk with it being a new build.

We are just about to sell only and we and our estate agent were both expecting a big drop in house prices but not so far. With incomes reducing and banks reducing lending would expect a big fall but would be very happy to be proved wrong. I think it may start falling soon as redundancies start to come through.