Nationwide Building Society Quarterly Regional House Price Update

[Martin@AS Financial]

Happy New Year all.

This quarterly report is an interesting read as it contains predictions for 2024.

My view is that we should hopefully continue to see the reduction in mortgage rates (subject to events on the world stage) which is now underway as banks will have new lending targets.

As rates continue to come down, I suspect it will make renting less attractive to prospective first time buyers. Lets say for example that to rent a 1 bed flat in London costs £1400pcm. Once mortgage rates hit 4%, a loan of £350,000 over 35 years would come in at £1549pcm.


Key points:

• House prices down 1.8% compared with a year ago
• Northern Ireland and Scotland the only parts of the UK to see prices rise in 2023
• East Anglia the weakest performing region with prices down 5.2% over the year

Full report here:

https://www.nationwidehousepriceinde...531C5M,Z5W8I,1

[dsc]

Happy New Year all.
Lets say for example that to rent a 1 bed flat in London costs £1400pcm. Once mortgage rates hit 4%, a loan of £350,000 over 35 years would come in at £1549pcm.

Where in London will you find anything big enough to live in for £350k? I'm outside the M25, down the A24 and £350k gets you a 45sqm "house". Also 35yrs is one hell of a mortgage period

[WTFH]

Where in London will you find anything big enough to live in for £350k? I'm outside the M25, down the A24 and £350k gets you a 45sqm "house". Also 35yrs is one hell of a mortgage period

I used to be down the A24, outside Dorking, sold up , bought a house in Devon roughly 2x the size of the old one with 5x the land and still had the best part of £100k left over.

[vetran]

Where in London will you find anything big enough to live in for £350k? I'm outside the M25, down the A24 and £350k gets you a 45sqm "house". Also 35yrs is one hell of a mortgage period

A half decent four bed detached in Slough is a million.

https://www.onthemarket.com/for-sale...rt-field=price

[JustKeepSwimming]

Average transaction value is not interchangeable with average house value.

Transactions at the lower end have fallen off a cliff, it's distorting the indices.

When the MPC is still hawkish 6-3 it's absurd how many 'property experts' are claiming that sentiment is positive.

[dsc]

I used to be down the A24, outside Dorking, sold up , bought a house in Devon roughly 2x the size of the old one with 5x the land and still had the best part of £100k left over.

Dorking is absolutely mad prices for some silly reason. Perhaps at one point 15yrs ago it was a fairly nice place, but currently it's a terrible tuliphole, the only thing saving it is the greenery around it and train connections to London. Same goes for Reigate nearby, probably even more bonkers prices actually.

[dsc]

A half decent four bed detached in Slough is a million.

https://www.onthemarket.com/for-sale...rt-field=price

In bloody Slough? eek

You'd have to be proper mad to spend a mil and live in Slough

[vetran]

In bloody Slough? eek

You'd have to be proper mad to spend a mil and live in Slough

obviously some people are

[WTFH]

Dorking is absolutely mad prices for some silly reason. Perhaps at one point 15yrs ago it was a fairly nice place, but currently it's a terrible tuliphole, the only thing saving it is the greenery around it and train connections to London. Same goes for Reigate nearby, probably even more bonkers prices actually.

I lived up a hill outside Dorking. It was great when we moved in, but became overrun with cyclists/mountain bikers who were more interested in trashing the place than caring about it. They lacked any respect or responsibility.

[vetran]

I lived up a hill outside Dorking. It was great when we moved in, but became overrun with cyclists/mountain bikers who were more interested in trashing the place than caring about it. They lacked any respect or responsibility.

saw this and thought of you