Collapse of the UK housing market

[Gerry557]

Well I know of one old biddy that is no longer with us. He was on his own in a large 4 or 5 bed house. It's a quite dated house and probably needs a good makeover. It's on a large plot so would be ideal as a complete modernisation and extend.

I assume it will eventually house more that one person once probate is sorted. I also know of others divorcing, so will be needing two houses not one. There was an article on how stamp duty is clogging up downsizers. The costs involved out way the bill savings.

There are lots of pressures on the housing stock and all the extra people arriving won't want to be stuck in hotels much longer especially if they meet someone and have kids.

I also read that Leeds council is getting 18k off its waiting list by declaring them sufficiently housed. I'm not sure what that actually means in real life. If you have a mates sofa to sleep on?

[Charlottesquare]

And I dunnit without mentioning that apocryphal stork anywhere!!

What you do with your margarine is your business

I thought it was butter that was used in Last Tango?

[ZacSc]

-54% of homeowners do not have a mortgage

Those tend to be retired people who do not move house very often.
Just 31% of house buyers are using cash. In the south east it's less than 20%.
Older people buying for cash are often downsizing to release some equity. This can tilt the market so that large houses fall in value while 2 bed apartments are still rising.

Personally, I highly doubt retirees buy with cash. Rather, retirees finishing up their mortgage payments.

[Lanark]

Those tend to be retired people who do not move house very often.
Just 31% of house buyers are using cash. In the south east it's less than 20%.
Older people buying for cash are often downsizing to release some equity. This can tilt the market so that large houses fall in value while 2 bed apartments are still rising.

Personally, I highly doubt retirees buy with cash. Rather, retirees finishing up their mortgage payments.

If someone has paid off the mortgage on their 4 bed house and then decided to downsize to a smaller place, why would they need another mortgage?

[ZacSc]

Personally, I highly doubt retirees buy with cash. Rather, retirees finishing up their mortgage payments.

If someone has paid off the mortgage on their 4 bed house and then decided to downsize to a smaller place, why would they need another mortgage?

Okay. This is a case where after selling 1 house, you can buy another residence with cash.

[Charlottesquare]

If someone has paid off the mortgage on their 4 bed house and then decided to downsize to a smaller place, why would they need another mortgage?

Okay. This is a case where after selling 1 house, you can buy another residence with cash.

Not unusual, we still have the family home (still have one of the kids at home) but have no mortgage, my wife is retired but I have two more years. Once I retire we will sell it and move (hopefully last time ever) to somewhere with a garage, a garden and no stairs, that will be a cash purchase.

As a interesting note my grandfather purchased the first house he ever owned (he only ever owned two) as a cash purchase, but WWII was good for house buyers re prices.

[Mike4]

I'm semi-retired, own my home outright and still have five mortgages.

Nothing is ever simple is it?!

[bungeejumper]

I'm semi-retired, own my home outright and still have five mortgages.

Nothing is ever simple is it?!

Boats?

BJ

[Gerry557]

Personally, I highly doubt retirees buy with cash. Rather, retirees finishing up their mortgage payments.

If someone has paid off the mortgage on their 4 bed house and then decided to downsize to a smaller place, why would they need another mortgage?

It could be various reasons. Buying the smaller property and spending time doing it up before moving in or just wanting to get their desired property before selling their main. It might be just to keep their lump in a tax free wrapper. It's probably about flexibility for most.

It also might be timed with taking a tax free lump from the pension.