What if there just isn't another property boom coming? Everything frozen where I am

[livelaughlambada]

I know it's not possible, but I sort of wish all house sellers would collectively agree to knock 10% (or whatever it would take) off their asking price. It feels like loads of people know their houses aren't worth what they're asking, but won't drop because the house they want won't drop either. Feels like the whole market where we are (south west) has frozen solid. Also round us, there are SO many older people trying to downsize who've been told that their houses are worth X when there just aren't that many people with X to spend! And lots of these houses have been on for a year, and in some cases you can see the deteriorations, but they just won't accept the prices have dropped. I do think it's really interesting in that the 65+ generation have seen so many booms and busts that I don't think they can process that there may not be another boom coming -- as in I just don't think there are enough 30 and 40 something with X to spend. It all just feels a bit weird right now.

In fairness to the pp, they were responding to a very ranty post from @Coco1379 who started off talking about economic reality and didn't like it when I pointed out that the market dictates the price and that this is the reality.
I don't think he or she was blaming older people, merely responding to the post.
In truth, it isn't one person/one group's fault that this situation exists but it is everyone's responsibility to try to find solutions and that does involve thinking about others, not just ourselves, as we have been trained to do.

It is frustrating and disappointing when people post these sort of complaining comments about how tough things are for the older generation without any appreciation that things are much tougher for younger generations.
I don't condone the casual comments about cognitive decline though.

It would hardly be a pittance for someone who has made a 500% return. I don't think anyone expects to give away their assets, merely to understand that the market dictates the price, not the seller.

It was the cognitive decline comment that upset me. I lost my Dad to dementia and currently watching MIL go through the same, it’s heartbreaking and I wouldn’t wish it on my worst enemy.

I have two adult children,’one on the ladder (shared ownership), and one not yet, so I have full sympathy for young people too, it’s awful. I purchased my first property for 20k with a 100% mortgage. From memory this was about 2.5 times my salary and I was 19! Something needs to be done I agree, but it’s not one demographic’s issue.

@Idintlikefridays this isn’t always the case. My mum is 84, not demented, but ultimately could become so. Her wishes, stated in sound mind are to remain in the family home and so we will get carers if and when the time comes. I’ll move in if I need to, my mum gave us everything, so it’s the least I can do.

She worked really hard as a single parent to buy and pay off her home and there is no where else Ashe wants to live. That should be her choice. I don’t give a sh*t about inheritance.

Coincidentally, I saw yesterday that the (not cheap) house DH and I liked in the area we want is now SSTC, after four or six weeks. So don't lose heart, folks, priced right, there is interest and movement. I shall be interested in the Land Registry record when it's gone through to see what price was achieved relative to the asking.

If the Ten Year Yield hits 5% and stays there there will never be a rebound, all the geo-politics at the moment is pushing those yields higher.

It is a debt ladder only, SO is a shockingly bad option IMO.

Opinions will differ. She’s on the market in a beautiful new property, it’s affordable. She can staircase if she wants or sell up when the time comes. She would not have been able to buy on the open market. Especially in a nice and safe area.

Yes, but if natural market forces were allowed to operate (eventually the bond market will dictate terms and the resulting property crash will be much worse for all the props that have been put in place) she could have bought it cheaper and had just mortgage debt instead of having to pay rent as well! SO is specifically designed to bail out developers by getting people to "buy" into an over-inflated market that badly needs to pop. In a property crash SO will be next to impossible to sell.

Demand seems to have dropped much more?

Here in n Wales even bungalows are sticking around for a while because downsizers retiring here just cannot shift their family homes in Cheshire, Lancashire. Prices have fallen 20% I'd say.

Good news for local buyers.

I thought that might be the case. Totally understandable. Cognitive decline is truly heartbreaking, as you say.
I agree that it's not one demographic's issue. I think many become upset by the very one sided posts when, as you say, it is the younger folk that are really in the much tougher situation. A long stagnation of prices over a decade+ would be best overall but I doubt that will happen. Perhaps it would result in less sales over a long period or perhaps mindsets about 'the next boom is around the corner' would change.

I'm surprised that the falls on these bungalows are as much as 20%. Are the unaffordable to young families in the area still?

They're too small. Two beds. You'd have to build into the roof to get extra space. First time buyers go for two bed terrace houses or real doer upper small property.

One lovely big house with land went on the market for 1.2 million in 2022. Sold late last year for £750k. Now during COVID they were snapped up cash buyer.

I haven't been following the housing market locally so inspired by this thread I had a look at Rightmove. The nearest house to me that is on the market is on for £100k more than I would have thought of for my house. It isn't identical.

Both roughly 40 years old
Both built as four bed detached but we have a double garage theirs is single. They have added an extra room behind the garage, our house was built with a room behind the garage.

So id say very similar but they have a new kitchen and ours needs doing but we still have the double garage.

I can't imagine them getting their asking price, a new development just across the road has similar priced houses but they are offering discounts, help with deposit and a low mortgage rate for two years.

So it looks like they might be expecting too much, I wonder when they will reduce the price.

That makes sense. Are you in N Wales?
As you say, the prices of the large/more expensive homes in some areas have come down a lot. It's probably worse in London and the sort of areas which have been popular with tourists and second home buyers, the ones that often experienced Covid booms. It's barely been reported in the media though.

I am in North Wales.

Barely reported, I wonder why?

I am surprised it is only 20%, I think the real figure would be nearer 30% on the average bungalow.

Not so much in a popular retirement area. We've the sea, mountain, low crime rate. High percentage of retirees.

Not Jaywick then?

Just shows how regional this all is. Not seeing anything like this where I am (SW). Market has fallen a bit but things are still moving, just not particularly quickly. Some that were on the market for a year have gone recently. I’ve noticed 3 new estate agents on this year to my surprise, in our town and surrounding area.

We went on the market a few weeks ago at 7% less than very similar house sold for summer 2024. It has been a quiet start with only one viewing but we have one today and one Saturday.

Biggest issue for us is lack of houses coming on, it is so slow and I think people sitting tight. Friend sold and went into rented at start of year having offered on somewhere last November. That still hasn’t gone through and the stress really getting to her. They have been looking for alternatives but there just hasn’t been anything, However one just come on with one of the new agents and she is viewing Sunday,

We’ll see what happens with the 2 viewings we have booked. There is one possible property just come on so we may look at that, I don’t really want an offer on ours at this point I’ve been feeling increasingly .Family member probably coming back to UK end of the month after years abroad, bit out of the blue. We have the space to make an annexe for them if it comes to it plus DD and partner moving back down south later in the year and I think could do with the safety net of coming here for a bit.

If we stay here we can accommodate everyone if needed so I think most likely scenario is we take ours off the market at the end of our y week contract next week. Moving costs are now more than 50% of remaining mortgage. We thought something a bit smaller would be sensible and free this up for a bigger family (3 of us here) and would like to be detached again after next door’s extensive renovations but they are finished now and it is seeming increasingly less worthwhile with what is currently available, I’m not moving for the sake of it.