This YouGov survey is interesting

YouGov

Interesting that the expectations of the general public have swapped very quickly between April to June from continued rises to a falling market.

Looks like all the warnings have scared buyers off sufficiently… and expectations of a falling market tend to lead to people sitting on their hands and waiting to see what happens, which then drives down prices as sellers can’t sell.

Flats in SE London are already being reduced in price – although it’s from absolutely insane (£400k) to still ridiculous £375/350 – which suggests sellers’ expectations are changing too…

twinw4ll – Member
Got some plans in a drawer for 24 houses in my garden, drawn up in 2005, unfortunatly the flaming torches and pitchforks brigade got wind.
Not being a money grabbing git i put it on the back burner.
Might be time to have a rethink.

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Sell the land with the planning permission and let someone else take the burden

Estate Agent riding buddy (SE close to London) tells me prices are ‘softening’ now and expects falls of around 5% next year. Going by recent sales on my old road, my old house in London is worth 60% more than when I sold it 7 years ago but my house in a pleasant Surrey commuter village is only worth 20% more.

A low interest environment is here to stay. There are huge deflationary forces in the global economy which mean higher interest rates aren’t needed to control inflation to the same extent as in the past. The biggest deflationary force is technology – “software is eating the world”, etc.
The side-effect to low-interest rates is asset bubbles and no more is this apparent than in UK housing. Interest rates aren’t going to increase significantly for a long time, but many home owners may start struggle to service their mortgages even on 0% interest.

yes I think new asking prices in London are softening – its academic for most owners as I have no intention of selling, maybe buying another but its an investment decision.

Sadly if they do fall 5% or so, buyers buying at the current peak will be into -ve equity in year 1.

I blame the media – it must sell papers on slow news days.

Sadly if they do fall 5% or so, buyers buying at the current peak will be into -ve equity in year 1.

No deposit? Not common in London surely.

Speaking to a lad at work who does house viewings for extra cash…..and friends who are trying to buy

Folks in aberdeen on 1/2 bed flats in town are being rejected at 30k over asking – and folks are getting the price they want !

On bigger 4/5 bed properties folks the gap widens to about 60k over asking

Makes the 5k more i paid 2 years ago to get it off the market quick seem like pocket change. ( and at the time i got called crazy on here – markets going to crash- market has to crash – this cant go on for ever…….)

Friends of mine are looking for 2/3 bed house with garage- they bid 15% over asking and got rejected.

Another couple bought a new build for way over the odds as they got fed up playing the game.

Definitely softening in London, I couldn’t get a viewing in the last couple of months but now I’m getting a couple of properties a day being mailed to me and they are actually available rather than “oh that’s gone to an offers over sealed bid already”

Lets keep it simple.
Of course prices will go up. could your house have been bought for what its worth 50 years ago? No. There.
Where was this recession anyway? The only thing I have noticed over the past 10 years is fuel going up. is that what people mean?

I am currently mid way through selling/buying. Earlier in year there were few properties around, more buyers and it was frantic. Most places going to sealed bids and going for way over the asking price.

Now there are lots more properties on the market, which is perfectly normal at this time of year. Asking prices have not reduced but places are taking longer to sell, and a less competitive atmosphere must mean slightly lower offers are being accepted.

The demand to live in popular areas is still high though in Bristol, and if people are (just) earning enough to afford them, I can’t see why prices will suddenly fall. Supply and demand.

Maybe that’s not the case for the whole country though, but most media reports use averaged figures which are misleading.