House Prices

[LGBirmingham]

House prices still seem to be rising? Does anyone else think this?

Try this variation.

Within 5 miles of my market town in SW in the last 14 days
54 homes, of which
2 SSTC/Under Offer
28 New
24 Reduced

Goes from 88 houses total to 92 so just 4 SSTC in my area.

@XVGN just noticed your search is 14 days, are you quite rural if not that is slow. I've been searching a market town, 188 results in the last 14 days 3x as many as you. I'm glad I'm not house hunting where you are. Average house price in the area in June was £400k where steadily rising since March. I would be interested to see what July - now look like.

Mortgage lending is hitting decade lows. Maybe this will encourage banks to create more attractive rates especially given the BoE holding last week.

https://www.mpamag.com/uk/mortgage-industry/market-trends/mortgage-lending-growth-to-hit-decade-low/465642?hsmemberId=1942651&tu=&utm_campaign=&utm_medium=20231106&_hsmi=281334917&_hsenc=p2ANqtz-9G4A9o5RKvN0NadB3OgvMVDghXdbQc5IVgKGRt_pLIIR29V4_5V7iMdnSpBtldaSXmpzLsuJZmMaWKB7KJqt83eSs2ww&utm_content=&utm_source=

To those speculating on a house price crash - do you already have a house or are you renting? What kind of price are you hoping for and is it so you can buy? To keep it straight forward if a house was 250k what price would you want it to drop to to buy? (

I'd love a 20% drop as that would help me personally with my next purchase. But the knock on effect would probably undo any wins. So in reality I expect, and I would like to see a bit of a stagnation while wages catch up a bit so that that nobody looses money on their homes, no negative equity, a slow correction would be perfect. When my kids come to buy I hope that house prices across the Uk are a bit more even and that homes are a bit more affordable.

According to total jobs in my county the average full time salary is 28,300 According to Rightmove the average house price 435,250.

So average house price is 15x average salary. Even with two people full time employed this is to big a gap.

I remember a few months ago someone (presumably HPC person) predicted 60% crash.
So, to answer @Lm1981 , it would be £100K on the house that is currently 250K.
Somehow I seriously doubt this..
Out of curiosity I looked up my town on houseprices.io.
Last page shows zero properties with a reduction in nominal change so far, but in a few months I think there will be. Agree with @Twiglets1 .
I'm definitely seeing properties are sitting on rightmove for ages, but it would take a really, really, really desperate seller to accept 60% price reduction .

Prices might look high still, but I haven’t seen many to be sold. Everyone that’s brave to list just sitting on the market with no offers, unless priced realistically, but it’s rare.

I wonder if it’s EA that getting sellers hopes up or it is the sellers dictating delusional pricing? I would understand if it'd be happening for a month or so, but now it’s been a year with hardly any movement. I have some properties favourited from previous year even and they haven’t sold. Yet, agents keep putting up similar ones for just as much or more when it’s already clear no one’s gonna buy them.

From the reported stats though, the sales volumes are still only 10% down on the pre-covid average, so it certainly isn't tumbleweed out there.

There may be specific areas or specific property types that are struggling more, but any suggestion that the market is dead is a little over-blown.

Maybe just my area then.

We have really struggled to find somewhere to buy in our part of SE London, very little on the market and house prices still listed as Covid bubble + 10%.

We just got an offer rejected 5% under asking on a property that’s been reduced and on the market for two months. Seller and EA keeps saying they want more, but it’s just not worth it. Have had friends pay asking price because if they don’t, they just can’t upsize as those in the larger houses on small mortgages just won’t move unless they get the prices they want.

Good post, FOMO was a massive driver of sentiment, now it is FOTMD for most people.

Indeed they can wait it out for a bit until major repairs like roof, unexpected care bills etc. A lot of people are still cash poor despite having a property with fictional pricing and can’t afford houses they are living in comfortably. So at some point things will even out, just the wait is frustrating.

Everyone wants this thing to hurry up and happen so that normal life can resume. However it really is like a super-tanker we're only a year in to what I think will be a 2 to 3 year grind down. The saying will be apt: "The darkest hour is just before dawn". We're still at dusk!

Depends on how badly people want to move and where the house is etc.etc.

People on here were laughing recently at the idea that you couldn`t get 2018 prices any more.

https://www.mumsnet.com/talk/property/4936264-how-to-politely-change-estate-agents

"So in reality I expect, and I would like to see a bit of a stagnation while wages catch up a bit so that that nobody looses money on their homes, no negative equity, a slow correction would be perfect. "

Nice thought but really how markets work is it? People with too much property debt are going to be hurt, I don`t think anyone doubts that now?

Can you investigate South Birmingham too? I'm sure it's just static here. But I'm not checking it on a daily basis so I could be wrong

I would like at least a 20% drop for our next size up house to be in the realms of what I would consider affordable with the new higher interest rates (not what banks consider affordable for us).

I'm really only asking to go back to pre-covid prices which were still very inflated.

Perhaps prices are dropping then but I'm not seeing it on rm. They're just getting negotiating down after they've come off the market?

I’d be amazed if 1 in 3 buyers were actually gazundering on exchange day. I just don’t think 1 in 3 people are such dicks. 1 in 3 asking for money off after the survey, maybe.

Gazundering usually only works if the buyer is a cash or ftb and have nothing to lose.
If you are in the middle of a chain and try gazundering on exchange day I can't see you getting anywhere tbh

Yes I agree.

It would have a huge implication if in a chain as could mean the person is no longer able to afford the next house up - can’t see it working to be honest and is likely just wishful thinking