sophia

http://news.scotsman.com/edinburgh/Shock-a...ices.5826906.jp

Shock as city house prices fall 12% (Edinburgh)

I know this might sound odd to some, and it certainly isn't meant as preaching. But, if we buy, we will be lucky to have a decent house we can call our own, not owing money to anyone if we choose that. Much of which is due to advice gleaned on this site (so thanks!). And that will put us in a very privileged minority.

Does sound odd to me at all I am also in a privileged position and hope to buy without owing money to anyone.... don't want to be a debt slave anymore.

I am renting but am looking to buy 2011.

Went to view a house the other day (which was overvalued) and has been chasing the market down for 3 years. Vendor told me they bought a new build house at peak prices before it was built and they have just moved into it. Their new neighbour with the exact same house just bought it for 150k cheaper than them!

The market here has dropped nearly 40%.

I viewed the house beside them a while ago. The vendors need to downsize for financial/work reasons because they too bought at the peak.

BUT, I don't feel it is my job to bail these people out, and indeed in most cases the surveyor wouldnt even value the houses at the amounts they need to sell at.

This is why I have decided to wait till I buy, hopefully things will be a bit more normal by then

Look at the size of the houses for sale as well sophia, you get a lot better and often bigger size house even though the average has gone up. If they were force to quote a £perSquareMetre then we would all see it still falling.

mmm interesting concept, never thought of that thanks.

A friend of mine expressed surprise that the house price bubble was taking a long time to deflate - I agreed with him but bear in mind that all levers that can be pulled to slow down the crash have already been pulled - there is no more ammo left.

no ammo left I like it

Have decided when I buy again (perhaps 2011) will do so without a mortgage. My hubby is in public sector employment and it is going to be cut big time here and I also think Dr Bubb has a point about future property taxes.

Thanks for all your input guys, I love this forum as I learn so much , have a good weekend all.

Prices have been going up recently, but on much lower sales levels. The removal of self cert, no income check mortgages from the market means that only those that can prove their income and put up a big deposit can afford to buy at current levels. House prices went up on the back of a self cert fuelled boom between 2000 and 2007 and house prices still reflect the fiction of prices achieved in a liars market because of the attempts and policies of Government and the BoE to keep prices as high as possible. The reality is that real income levels do not support current house prices, but they can be kept artificially higher through sales to high earners. Fact is that current mortgage approval levels are 50-60,000 a month compared to 100-130,000 a month at the self cert peak. The headlines only report the increases, not the reality of the market which is still a long way from being healthy if you believe that actual sales levels are important.

Thanks for that No6.

House prices here are still falling everyday, I monitor them on propertybee and another website that shows house price drops here.

I suppose I knew we would be getting a 'dead cat bounce', house prices are a bit more affordable now but still not affordable for the average First Time Buyer.

The only people I know who are moving are those that bought 5+ years ago, on to their 2nd or 3rd homes, maybe more of these types of homes are being sold, and not the traditional FTB homes - perhaps that is why we got such a large increase here?

Transaction are still heavily down and I do believe the market here is a long way from being healthy as you say, I just can't be bothered with all the ramping we are going to get from our local newspaper and their vested interest rubbish!

With the highest uk quarterly rise in Northern Ireland (over 9%), and first house price rise here for 2 years.

I'm kind of fed up with this waiting to buy a house nonsense now, I'm trying to hold out till 2011 - but if interest rates don't go up etc, will this thing just be dragged out for years?!