House price crash

N8 said:
It's all explained in this easy presentation
http://docs.google.com/TeamPresent?docid=ddp4zq7n_0cdjsr4fn&skipauth=true&pli=1
Click to expand...
:lol:
o06d1.gif
, but this is (more or less) reality
 
agentundercover said:
You may be a in a strong position.

Basically we have lived on tick for the past 20 years, but we can not afford to pay it off.

So lots of people may be forced to sell and the cost of borrowing will be reduced so people can well...afford to buy more stuff they probably cannot afford.

Putting the first time buyer in a buyers market, with access to cheap money, in a potentially strong position.
Click to expand...

Sorry, that's wrong and it won't happen.

Borrowing is getting much harder because the banks won't lend to each other so much anymore and are being a lot more cautious. Mortgages will be a lot more expensive and a lot harder to get with more deposit required so even though houses may be cheaper borrowing will be a lot harder and a lot more expensive.

If there is a crash only those with large amounts of cash for deposits or a large amount of equity to release into the market will benefit.
 
Yes, N8, but what that means is that you've got to put down 20% not 10%, for example. OK, that might be harder for some. But you're still going to save on the monthly payments.

The cost of borrowing probably won't go down much. Lower central bank rates balanced out by less available credit.
 
cant believe turnmills is closing this weekend and people are talking about the housing market
:spank: 8)
 
Morbyd said:
Yes, N8, but what that means is that you've got to put down 20% not 10%, for example. OK, that might be harder for some. But you're still going to save on the monthly payments.

The cost of borrowing probably won't go down much. Lower central bank rates balanced out by less available credit.
Click to expand...

See what you're saying but as a lot of FTBs now are moaning that it's too expensive to save up a deposit then saving up twice as much is going to make it harder still....

As for saving on monthly payments, the lenders are putting mortgage rates up despite what the central banks are doing!
 
Ferd said:
cant believe turnmills is closing this weekend and people are talking about the housing market
:spank: 8)
Click to expand...

So you won't be buying a flat when they've turned Turnmills into a block of them? :lol:
 
N8 said:
As for saving on monthly payments, the lenders are putting mortgage rates up despite what the central banks are doing!
Click to expand...
Perhaps, but if you're paying less for the property then your payments will be less!
 
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