Buying property *cash*

[Bagpuss]

But nothings selling and no ones buying, but valuations are stuck at the peak.


Tempted to buy a load of cheap 2 and 3 bed houses cash at auction, give them only a spring clean and put them straight back onto the open market at £20K higher than the auction price.

Got to be a way of making serious easy money at the moment, since the real cheap property is at auction and that is only open to cash buyers.

Some flats are now half or less than the 2007 peak and the rental incomes are 8-10% many with tenants still on contract

[DimPrawn]

Some flats are now half or less than the 2007 peak and the rental incomes are 8-10% many with tenants still on contract

Not interested in flats, only family homes with parking and a garden, to buy at auction and then put straight back onto the open market at markup, and make about £10K profit for doing nothing on each one. Rinse and repeat.

[chef]

where's the eastern european?

i meant where's the poll..

[sasguru]

Dream on. No one's buying, no one's selling. Estate agents valuations are complete tulip. The Nationwide/Halifax figures (-15%) are based on a small number of transactions. Now that people are losing their jobs, the flood gates will open up as people are forced to sell and price drops will accelerate.
Buying now is silly.

[Bagpuss]

If that were so doable, why did it get to auction? Firstly the banks will try to sell on the open market, which is when the good properties are sold. All I see at auction is flats (thanks to oversupply), and houses in less desirable areas that would be hard to sell in a good time

[SantaClaus]

Good family houses especially in London will always hold their value.

I agree there has been an oversupply of flats. But I dont see any houses going down in my area.

[Bagpuss]

Good family houses especially in London will always hold their value.

.

London property prices will crash the most in '09
By Lorna Bourke | 00:01:00 | 02 December 2008

Even the rich are feeling the pinch with the value of Prime Central London properties crashing for the second month in a row. Latest figures from chartered surveyor Knight Frank reveal that prices fell 3.6% in November, the second largest fall on record after the collapse of 3.9% in October

Prices are now 14.1% lower than a year ago, the biggest one year fall since the index began in 1977, and have dropped by 9.3% over the last three months alone. ‘Prices for prime central London property have now been falling for eight consecutive months,’ commented Liam Bailey, head of residential research, Knight Frank. ‘In June 1990, at the height of the last slump, the annual fall amounted to just 10.6%.’

And the falls are across the board with houses, which until recently had held up well, now falling as fast as flats. ‘The value of houses in prime areas of the capital fell by 4.1% in November, a greater decline than the 3.2% recorded for flats. Consequently, areas with a greater number of entire houses, such as the northern areas of prime central London, are no longer outperforming the market,’ Bailey said.

[chris79]

Always makes me wonder when people say "paying cash"..

I mean, how else are they going to pay for it?....

[BrilloPad]

Do I go in now at say 20-30% below current asking price or wait another 12 months or so to clean up?

Buy now or wait?

Wait until repossessions return to "normal" levels. There will be 2/3 years when prices are flat.

[BrilloPad]

Always makes me wonder when people say "paying cash"..

I mean, how else are they going to pay for it?....

With a finance deal. Always adds a complication.