House market - how low will it go?

[Whorty]

I don't have a picture of you to send him...

PM sent to you to rectify that omission

[MrMarkyMark]

Will we definitely see a crash? Or would we see the whole market simply shut down - nobody in their right mind is going to buy in the next few months?

There is of course going to be recession but IF companies retain staff maybe we'll see lots of people wanting to move after being stuck in their houses for 6 months

The housing market has already shutdown.

As people were saying earlier the mortgage holidays are for three months only, so prices will hold until then.

The main difference, this time, is the recession is a global one, many companies large and small are going to go to the wall.
Why are you going to retain staff, in the longer term, when/if your future business looks bleak?

Once the government money is gone existing wages may stay the same 80% of current, in some circumstances, but will be lower for new roles, as there will be so many people on the market.

Except for the very rich, most people, even well paid contractors, have no savings, large amounts owed on credit and often multiple properties leveraged to the hilt.

Expect, possibly, a 50% drop and a 40% one in London and more popular areas and that is if things go "well".

I'm very surprised you can't see it

[jamesbrown]

Also remember that those furloughed on higher incomes are probably not getting 80% of their usual salaries unless the companies are topping them up (they aren't). If you're on 80-100k with concomitant outgoings, 30k pa doesn't look like much.

[MrMarkyMark]

Also remember that those furloughed on higher incomes are probably not getting 80% of their usual salaries unless the companies are topping them up (they aren't). If you're on 80-100k with concomitant outgoings, 30k pa doesn't look like much.

Oh....... Tulip you have just raised me an extra buggeration!!!!

Yes, of course, this too

[AtW]

Also remember that those furloughed on higher incomes are probably not getting 80% of their usual salaries unless the companies are topping them up (they aren't). If you're on 80-100k with concomitant outgoings, 30k pa doesn't look like much.

Looks a lot more than 0k.

[clearedforlanding]

But for the owner, the good news is it's only 5 miles from the nearest BMW dealer

I'm out of the game soz. That is why I put it up for sale.

[scooterscot]

Isn't Japan a particularly weird case though, .

not at all - just 20 years ahead of the rest of us

The BoJ have been printing money to buy up ETF & Stocks those past 10-15 years - sound like anyone we know lately?

Japan owns Japan. Private companies own most of the UK... this time next year however, the landscape could be very different.

[cont123]

any guess what will happened to help to buy property scheme tax payer are already bailing out big companies who will bail out this scheme?

[DodgyAccountant]

The housing market has already shutdown.

As people were saying earlier the mortgage holidays are for three months only, so prices will hold until then.

FWIW I believe you are right. If there are repossessions and forced sales, prices will drop. Otherwise sellers can wait it out. There may be some supply - probate / distressed BTL / divorce / second and holiday homes.

I remember looking at houses in 1991 - every second one was a repo - carnage.

It may be a long downward grind (until hyperinflation).

[eek]

But for the owner, the good news is it's only 5 miles from the nearest BMW dealer

If I could afford that house, why would I be driving a BMW - it would be a range rover for practical purposes and probably a Mclaren or Ferrari or 3 for other journeys.