Am I stupid for thinking it's a good time to move?

[LovesFood1987]

I know I'm probably sounding stupid and naive but I don't think it's a terrible time to move ... we bought in 2019 for 519,000, have spent £20k on the house, one on our street (almost identicle with same upgrades as us) sold for £720k last month.

I think with the market dropping we'll prob get £690 so still a big return on investment, then we can offer low on the next house up (around the £900k mark) because no one is upsizing so they are just sitting around.

Plus movers/solicitors/estate agents are fighting for business because property transactions are down so we're being offered cheap rates...

Am I missing something? Genuinely curious 🙂

Its a good time to upsize. People have been saying that all along.

It's never a good time to move but people do it all of the time OP

It could a good time to upsize @LovesFood1987 if you get a good price on the house you buy and if you can sell your house for a good price in this market.

BUT the problem could be that mortgage rates are higher now than they have been for the last few years. So you could find that you can't borrow as much as you thought you could. If you get a decision in principle online and find that you can borrow enough and can cope with the payments though, it may be a good time to move with regard to house prices.

I think 2024 could be even better with regard to house prices and fixed rate mortgages are starting to come down as lenders compete for business so it may be better to leave it a few months but who knows?

Who told you it sold for 720k? Because if you are going on the sold STC advert, you should probably take 10-15% off that.

The 400-700k market is absolutely horrific atm, depending on your area of course.

Only hindsight can answer with any certainty! If you had sold last year, invested the equity and rented with a view to buying later this year or early next year that could have been a good move financially.
In some ways a falling market is a good time to upsize as the difference is smaller between the 2 properties but with interest rates higher, that smaller difference could end up costing you more.

Sellers (friends of ours) told us it's under off for £720k, was on the market at £750k. In this area £700k is the minimum for a 4 bed house (not a crazy price area but not the cheapest).

Glad it's not just me being totally stupid and missing something obvious about upsizing.

No I don't think you're missing anything @LovesFood1987

We did the same in the past. Sold in a Buyers market and had to accept a lower offer on our house than we could have got previously. But then bought a bigger house at a great price so overall we benefited from falling prices.

@LovesFood1987 sounds good OP, as long as you can get a good deal on your onwards purchase.

It's a good time to move when you want or need to move, unless you are a developer or flipper in which case you would be judging the market.

You might be able to win a bit in the current market but be careful, who knows what the market will do in the near future. If you are buying for your long term home go for it.

Move up when prices are at their lowest, down when they are at their highest (and if you can wok out when that is you're a clairvoyant 😆).
All other things being equal. Which they rarely are in real life, of course, as most people move for other reasons than money- schools, job change, house too small for increasing family, house too big for empty-nesters.......

Hello, I claim no expertise, but the grizzly bits of the market you may (may, not definitely will) encounter at the moment include:

1. Chains collapsing because mortgaging funding (see Mumsnet passim). As a buyer and seller you are exposed on both sides
2. Wasted fees on searches, surveys etc., because of 1.
3. Buyers taking the proverbial, and lowering offers moments before exchange.
4. Buyers low-balling offers generally, because of the market, so you may be way off your target price.
5. Sellers for your onward transaction stubbornly holding onto unrealistic prices.
6. Sadly, RE professional firms going insolvent because of the crash in transaction volumes.

Something to think about before the plunge and whether you could tolerate any of this.

My sense is the market is chaotic due to a dramatic repricing downwards, and nobody is really playing by the rules.

You may of course be fine and have a dream transaction. Interested to head how it goes. Keep us updated.

Atilla the Fun

The right time to move, IMO, is when it is right for your family and financial situation. I wouldn't be driven by house prices / what others are doing.
In the very long term, the mortgage will be paid off and you'll own your house. That's all that matters really.
Best thing is to make sure you're in a home that suits you and you can afford.