House price change for August - what happens next?

[alreadypacked]

My view - unless you have to sell in the next couple of years then the value of your house is not really important.

Unless you want a loan, friends of mine in the motor trade tell me. people with houses changing their car that would normally be guaranteed a loan are now being refused. The equity in your house means a lot, falling values is wiping out your equity and your credit rateing.

[DimPrawn]

My view - unless you have to sell in the next couple of years then the value of your house is not really important.

Apart from:

1. You are paying more in interest than you need to be as you bought an asset that was overvalued compared to the long term average.

2. You will enter negative equity and will find it almost impossible to remortgage or get any sort of deal from a lender when you have the house valued compared to the loan.

3. You would have been better off renting and waiting for the prices to fall below the long term average.

4. You will find it impossible to move and no one will buy if you need to sell in a hurry.


Apart from that, makes no odds.

HTH

[ft101]

I'd like to see a return to traditional multiples, so a average house would cost 3.5x an average salary. Average for average, now doesn't that seem more realistic.

[Shimano105]

What happened to the Polaris World ads?

They were telling me that I had to get in quick as all the bargains had gone and now £80k for a flat on Spanish scrubland was cheap.

I bought a brace and then this happens....

http://news.bbc.co.uk/1/hi/business/7584458.stm

[Bob Dalek]

What happened to the Polaris World ads?

They were telling me that I had to get in quick as all the bargains had gone and now £80k for a flat on Spanish scrubland was cheap.

I bought a brace and then this happens....

http://news.bbc.co.uk/1/hi/business/7584458.stm

Polaris World... went tits-up a few months ago, it seems.