Aaron
Member
Registered: 9th Aug 04
Location: Cottingham, East Riding
User status: Offline
|
With the recent/current "credit crunch" happening in the US and UK (and probably other nations). How badly do you think this will affect the housing market?
I bought my flat for 78k just over a year ago, the flat opposite me sold for 85k 4 months ago.
There is another property that I’m interested in buying for a buy to let, but what bothers me is all this negative equity talk.
What are people’s general opinion on the housing market and which direction it’s going? A hear totally different opinions all the time ranging from "prices are going to come right down" to "there will always be a need for housing so prices will continue to rise but not as fast as they have been doing in the past"
Discuss
|
AndyKent
Member
Registered: 3rd Sep 05
User status: Offline
|
It'll flatten out for a bit I reckon, over-priced properties will loose a bit off the asking prices, but nothing major. It'll pick up again in a while no doubt.
Personally, I'd like a mini crash, might be able to afford something better then 
All IMO obviously.....
|
Aaron
Member
Registered: 9th Aug 04
Location: Cottingham, East Riding
User status: Offline
|
If there is a crash, will the interest rates be dropped to allow people to get mortgages again do you think. This will obviously start the ball rolling again
|
AndyKent
Member
Registered: 3rd Sep 05
User status: Offline
|
The BoE would drop interest rates to encourage growth again, but places would be cheaper so you wouln't need to borrow so much.
Even negative equity isn't the end of the world, so long as you can keep paying. Prices will always rise again, you at some point (as long as you don't loose your job) you'll go back into positive equity.
|
Cosmo
Member
Registered: 29th Mar 01
Location: Im the real one!
User status: Offline
|
I seriously doubt their will be a nationwide crash in prices, but I would expect some areas will see more of a drop in prices than others...but I dont think your talking much at all, more of things just getting a little more stable than they have been in the past 4-5yrs.
If you can find the right priced house for the area than buy-to-let will still workout for you, but your main problem will be finding that property as its a highly competitive market place at the moment.
|
