House Prices

Bill Walker

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At the beginning of the Pandemic we were told house prices would fall by 30 or 40% due to people being in strife with mortgages, due to losing their jobs, limited viewings of houses for sale, the share market plummeting and a host of other reasons. With the whole world shut down this seemed inevitable.

House prices have done the opposite over the last 2 years. Prices rises as much as 40 or even 50% !! Average price in Brisbane is now $1 Million
I know similar has happened in NZ, Canada, (prices have soared in these countries) parts of the USA and big increases in the UK.

What do you think has caused this, I find it hard to explain.
 

Legacyfan1986

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I think the fact that people have been stuck at home for so long has had a major effect. People want more space or just a new location.
 

Mad Eyed Screamer

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Gone through the roof here in Florida. And they keep building more apartments.....
People can't afford to live anywhere near the water so move inland pushing prices up in those areas too.
Renting is even worse..... landlords increased the prices ridiculously last 12 months as demand is high
 

Slipper One

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A big problem here Bill is that prices rose dramatically in Toronto, which then led to people selling their houses there and moving out into this rural area for a quieter lifestyle, surrounded by lakes. If they needed to commute for five or six years, then they were happy to do that. That simply increased the house prices here.

COVID came along, and people thought they would always continue to work from home, so there was another exodus and prices rose even more............and then more. For those who they were called back, now couldn't afford to move back to the city.

With that came a scarcity and now anything advertised always sells a couple of hundred thousand above asking price........with NO conditions. If you have conditions, you may as well not even submit an offer.

The old option of 'fixer uppers' is not on the table for the younger generation, the purchase prices are just too much to make it viable.

These days it's not just the purchase market that is unaffordable, rental properties are seriously in demand, because there just aren't any.

We own a second investment home and rent it out for a fair rent and occasionally we'll get a moan from the tenant. When I get that, I feel like telling him to find somewhere else, because I know he'll be paying at least $800/month more and we'd have no problem whatsoever finding new tenants. They would be lined up for it.

It's a sad situation, because at present the younger generation have zero chance of getting onto the ladder without substantial support from elsewhere. My son will inherit the house we presently live in, but hopefully I've got perhaps 15/20 years in me, so what does he do until then?
 

blue b4 the moon

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We were trying to sell in Oldham pre-covid but our buyer ducked out at the 11th hour as we were going to move to Lincolnshire, we decided to stay where we were while the world was fucked with the pandemic.

We're now about 10-20 days off completion with another buyer and are getting s good 25% more after painting and a bit of a tidy up while lockdown.

Unfortunately, we've been priced out of the area we wanted to move to which has gone up even more but, have found somewhere nice on the coast on the edge of Fleetwood & will make a profit on the deal as well.

Prices overall have gone up but depending on area, transport links, work availability etc some areas much more than others.
 
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bluethrunthru

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Buy land they aren't making it anymore..... Mark Twain

As long as the UK makes less housing and less affordable housing than it needs this will happen - most buyers don't need a five bed detached with 3 bathrooms but people buy them so housebuilders construct them to make profit.

My lad has had his 2nd section 21 notice served in 4 years - landlords raising rents above and beyond what they think tenants can afford.

The UK housing market has a whiff of a Dutch Tulip Bubble about it
 

idahoblues

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Prices have blown up in my neck of the woods too, people who’d dreamed of living in the mountains can now work remotely from home and are flocking here. Another huge factor that’s affecting renters is the Air b n b market, it’s crushing our small community
 

RadcliffeRick

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Kuala Lumpur Via Radcliffe
Prices have blown up in my neck of the woods too, people who’d dreamed of living in the mountains can now work remotely from home and are flocking here. Another huge factor that’s affecting renters is the Air b n b market, it’s crushing our small community
They have houses in Idaho?? When did that happen??
 

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