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Original poster

Your predictions for house prices next year please

27 replies

WideWebWitch · 22/12/2009 15:06

Up? Down?

OP posts:
IDontLikeDisciples · 22/12/2009 15:07

Depends on the area really.

I think large cities will rise as people move for (potential) work.

Original poster
WideWebWitch · 22/12/2009 15:08

And why? Do you think there are more drops to come because of rises over the past 10 years? Or because the recession isn't over? Or because there will be more forced sales next year?

OP posts:
flashharriet · 22/12/2009 15:09

I think they'll be much the same as this year - can't see significant rises on the horizon but equally, don't think they'll fall much either.

Does that help

VoluptuaGoodshag · 22/12/2009 15:10

Down.

Until the average house price is back to about 3 times the average wage we are still living in an unsustainable housing market.

brettgirl2 · 22/12/2009 17:10

Disagree about the three times thing, that assumes that no-one has any savings or income from anything apart from work and that there are enough houses to satisfy demand.

However, I think down from now, back to the bottom. The slight rise this year was just because of low supply. I think there are about a million people ready to go on the market because they think things are better. This supply will drive prices down. This year it was really hard to find something (I speak from experience as we moved)

brettgirl2 · 22/12/2009 17:11

The three times thing also assumes that people only buy property to live in themselves, which is clearly not the case.

EldonAve · 22/12/2009 17:20

down
more forced sales next year
supply will increase
some jobs in the city will go overseas plus reduced money from bonuses

Speckledeggy · 22/12/2009 17:51

Agree with EldonAve...

Down

Elibean · 23/12/2009 15:04

Generally speaking, down. Agree that this year's rise was a Dead Cat Bounce thing.

That said, there are pockets - like where we are in SW London - that are very unlikely to drop unless there is a sudden crisis, a la crunch.

VoluptuaGoodshag · 23/12/2009 21:28

But I was saying 'average'. There will always be pockets of desirable housing that will buck the trend but if you really look at the future, what about the people who cannot get a foot on the ladder. 20 years ago people left home much earlier because they could afford mortgages for houses/flats in decent enough areas. Not now. They are staying at home much longer, still not having saved enough deposit and having to use bank of mum and dad. That is not a sustainable situation. If that trend continues then the first time buying houses must drop in price and this will have a knock on effect.

I just cannot get my head round the idea that huge rises in house prices is a good thing and that we measure our economic growth on it. The only people who benefit are estate agents

toja555 · 24/12/2009 10:17

My prediction: 3-5% up in London, 3-5% down in other areas.

brettgirl2 · 24/12/2009 11:05

I agree with much of what you say voluptua but the three times thing is a very simplistic conclusion, that's all I'm saying.

Toja why up in London and down elsewhere?

toja555 · 24/12/2009 11:51

brettgirl, because London attracts workforce more than any other place in the UK, and because of the Olympics. Also coming East London Line might drive prices up for the surrounding properties.
I cannot see much increase though for recession-affected other areas...
But this is my very personal opinion, I am not an expert at all.

lalalonglegs · 24/12/2009 12:35

Am I the only one who is extremely about the Olympics effect?

beyondfurious · 24/12/2009 12:38

Stable and perhaps up slightly

nothing on market in my area and there has been very little all year - so has kept prices buoyant.

skihorse · 24/12/2009 15:34

lala haha no way are you the only one! I'll sign up with you.

Down I think, I'm also very wrt "demand outstripping supply" type waffle - given that there are ¬1 million empty properties in the UK...

sweetkitty · 24/12/2009 15:50

I really don't know, we don't plan to move but build an extension to create more space.

I cannot stand house price bores several of which are in my family, who have to tell you how much they bought their house for and how much it is worth now, or that the hosue round the corner went for X amount and it doesn't have as big a conservatory as theirs. Oh get a life.

The thing is if your house is rising chances are every other house in your area is too so unless you plan to downsize and pocket the money you aren't going to see any of that profit.

I do a lot of people who have done equity release and borrowed against the house price increase, is that madness in this climate?

brettgirl2 · 24/12/2009 20:16

I am quite about London houseprices, seemingly no-where else is anywhere near as unsustainable. Isn't London worse hit than anywhere by the recession as it's reliant on financial services? But then there are always the wealthy foreigners who buy property in our hallowed capital while graduates are unable to buy a terraced house...... Perhaps London will go up further, anything is possible in the lunacy that is the UK property market.

But then I guess people 'up north' just work in Asda don't they? No-one actually has a good job (with a much smaller mortgage than those in the south). DH's family are from the London area and we are always being told how lucky we are.

I couldn't agree more sweetkitty, they need punching. It's not real money, it's just monopoly money because you still have to live there don't you?

saltyseadog · 24/12/2009 20:22

I think down too.

Having said that, we have chosen to buy (we are currently in rented accomodation) as having offered on 5 houses in the past six months (and lost them all) we have finally found a house which we believe is the right house for us for at least the next 10 years - hopefully 20.

I think it's too easy to get hung up on house prices. We are buying this house as it will be our home which to us is the important thing.

saltyseadog · 24/12/2009 20:23

I think down too.

Having said that, we have chosen to buy (we are currently in rented accomodation) as having offered on 5 houses in the past six months (and lost them all) we have finally found a house which we believe is the right house for us for at least the next 10 years - hopefully 20.

I think it's too easy to get hung up on house prices. We are buying this house as it will be our home which to us is the important thing.

EldonAve · 22/02/2010 20:31

quick bump to see what others think the market will do this year

ThatVikRinA22 · 22/02/2010 20:56

we asked a few local estate agents this question. they mostly thought that prices would stay about the same and slowly rise so that by 2012 they will be somewhere akin to where they were in 2007. not sure how true that is. ours has fallen by around 10% since we bought it in 2006.

ampere · 23/02/2010 11:35

House prices will stagnate in the home counties, may rise slightly in highly sought after inner south of England cites or fantastic school catchments, and will fall to the point of freefall in depressed areas.

Interest rates will begin their inexorable rise upwards, there will be many more repossessions.

It will be a painful process to return to an equilibrium of 3x income. It may be seen as old-fashioned etc but it was fancy financial complications, sleights of hand and general monetary shenanigans that GOT us into this mess. 3x salary is cut and dried.

EldonAve · 23/02/2010 17:30

asking prices seem to have gone up a little here but houses are selling for less

said · 23/02/2010 18:47

I never get this "3x salary is cut and dried" thing. What houses is this formula referring to?