Is now the right time to buy a house?

[escapeUK]

Seen a house I like with £100k off its original asking price (its been on the market 2 years), and am seriously tempted. Good price, good location, a bit too big for me (but thats not a bad thing).

However, it would really annoy me if I bought just as we have a price crash as things in Europe really kick off.

Opinions?

[Mich the Tester]

Seen a house I like with £100k off its original asking price (its been on the market 2 years), and am seriously tempted. Good price, good location, a bit too big for me (but thats not a bad thing).

However, it would really annoy me if I bought just as we have a price crash as things in Europe really kick off.

Opinions?

I have no knowledge of such matters, but it might surprise you to learn that I do have an opinion.

IMHO if you like the house and you want to live in it, buy it. If not, find another one and buy that instead. Stop viewing houses as investments and see them as places to live. Sasguru may call me cretin for saying so, but I'm a happy cretin living in a house I like.

[Uncle Albert]

I've no idea if prices will drop any further, but if you like the house then buy it. If you spend your life worrying about whether prices will go up or down you'll never get around to living.

[escapeUK]

Stop viewing houses as investments and see them as places to live. Sasguru may call me cretin for saying so, but I'm a happy cretin living in a house I like.

Im not thinking of it as an investment, more as a financial commitment that might take a lot less money to pay off had I waited a bit longer. You know?

[Mich the Tester]

Im not thinking of it as an investment, more as a financial commitment that might take a lot less money to pay off had I waited a bit longer. You follow me?

Yep, but you can't go through life worrying that if you do something you might regret not doing in a month later or earlier. Well you can, but you'll always find a reason to be disappointed. Just get on with it and enjoy finding and living in a new house.

[alreadypacked]

Seen a house I like with £100k off its original asking price (its been on the market 2 years), and am seriously tempted. Good price, good location, a bit too big for me (but thats not a bad thing).

However, it would really annoy me if I bought just as we have a price crash as things in Europe really kick off.

Opinions?

Try to work out how much the house is really worth.

Go back to a time when house prices in the area were stable and banks were lending at reasonable ratios. (my case I went back 15 years)
Then add 6% per year compounded to the original price. Then you should have an approximate price for the house today.

Works for me.

Or just get someone to go in with an offer so low they
Your offer will seam good.

[NorthWestPerm2Contr]

Im not thinking of it as an investment, more as a financial commitment that might take a lot less money to pay off had I waited a bit longer. You know?

Yep totally get what your saying. Currently been through the same crisis. In the end I opted to buy the house, we could be at the bottom of the dip or a bit more to go either way you should be fine in 5-10 years when inflation makes your mortgage look pretty good.

[Pondlife]

Or just get someone to go in with an offer so low they
Your offer will seam good.

Great way to get the deal all sewn up.

[escapeUK]

Try to work out how much the house is really worth.

Go back to a time when house prices in the area were stable and banks were lending at reasonable ratios. (my case I went back 15 years)
Then add 6% per year compounded to the original price. Then you should have an approximate price for the house today.

Works for me.

Or just get someone to go in with an offer so low they
Your offer will seam good.

It last sold in 2002, and doing that takes the price to within £5k of the current asking price!!! But that said they have done significant work on it since then, so seems good value.

Like your low offer idea lol

[Gentile]

Seen a house I like with £100k off its original asking price (its been on the market 2 years), and am seriously tempted. Good price, good location, a bit too big for me (but thats not a bad thing).

However, it would really annoy me if I bought just as we have a price crash as things in Europe really kick off.

Opinions?

That's a hell of a whack off, whatever the percentage drop is. I'm not sure if that's a good or a bad thing. I guess it would all come down to gut feel and research into the seller, the property and the area. Is the guy selling because he needs to move? Or is he being forced into selling at a knock-down price because the area is falling in desirability, or for some other reason relating to problems with the property? If there's no structural issues, you're convinced the area is going to remain desirable, and you can afford to keep a hold of the place for 5-10 years until the markets pick up again, it could be a very good investment. I bought my house in the quiet years just as we were coming out of the last recession, and I've never regretted doing so.