DOOM: House Prices

[AtW]

“ Three in four homes in some parts of the country are having their valuations reduced by as much as 20% as lenders become increasingly fearful of a sharp fall in house prices.

In a clear sign that banks are becoming nervous about rising property prices, valuations — carried out when people apply for a mortgage — are proving to be well below the price agreed by the buyer and the seller.

In one west London suburb, the buyers of a four-bedroom house were forced to pull out after the home on which they had had a £700,000 offer accepted was valued at £550,000.”

Will house prices crash? Plunging valuations fuel fears | News | The Sunday Times

[BR14]

SOYMF

[Paddy]

“ Three in four homes in some parts of the country are having their valuations reduced by as much as 20% as lenders become increasingly fearful of a sharp fall in house prices.

In a clear sign that banks are becoming nervous about rising property prices, valuations — carried out when people apply for a mortgage — are proving to be well below the price agreed by the buyer and the seller.

In one west London suburb, the buyers of a four-bedroom house were forced to pull out after the home on which they had had a £700,000 offer accepted was valued at £550,000.”

Will house prices crash? Plunging valuations fuel fears | News | The Sunday Times

Location, Location, Location,

[Whorty]

“ Three in four homes in some parts of the country are having their valuations reduced by as much as 20% as lenders become increasingly fearful of a sharp fall in house prices.

In a clear sign that banks are becoming nervous about rising property prices, valuations — carried out when people apply for a mortgage — are proving to be well below the price agreed by the buyer and the seller.

In one west London suburb, the buyers of a four-bedroom house were forced to pull out after the home on which they had had a £700,000 offer accepted was valued at £550,000.”

Will house prices crash? Plunging valuations fuel fears | News | The Sunday Times

It's behind a paywall so I can't see the whole story, but from what I can see it just sounds like made up numbers to create a story. Do they, for example, state the actual property that has supposedly been reduced from 700k to 550k? That's one hell of a drop and I can't think of many areas in West London where you could get a 4 bed house for 550K now, or for that matter 10 years ago!

And as for the " 3 out of 4 houses being reduced by valuations" .... again, where is the evidence of this? I can't see that far into the story, but do they list real evidence or is it just the journo making something up to sell a story? As you all know, nothing sells better than doom

Edit: just wanted to add too ... "by as much as 20%" is one of those claims that could mean anything from 0% to 20% Same as those advertisements that claim that by buying product x toothpaste your teeth can be up to 100% whiter ... yeah, 0% is "up to 100%"

[BR14]

like i said........... SOYMF

[Whorty]

like i said........... SOYMF

TURWAWMKWYS *








* Try using real words and we might know what you're saying

[BR14]

I don't know that i can be simple enough for you, sorry

[ladymuck]

TURWAWMKWYS *








* Try using real words and we might know what you're saying

https://www.contractoruk.com/forums/...ml#post2819567

[PCTNN]

yes, those numbers do sound made up to make a story.

having said that, if you go have a look at the mortgages section of the moneysavingexpert forum, you'll find a few people having this problem with lenders and having to pull out of a deal.

good luck to whoever is waiting on a mortgage application or is about to start one.

[rootsnall]

good luck to whoever is waiting on a mortgage application or is about to start one.

Is that good luck that you get turned down and don't buy just before a drop or !? I can't see it dropping much myself with such low interest rates.