House prices....

A question about : House prices....

There's always a fair bit of debate about this on the forum so I wanted to get a few opinions.
I'm wondering if there is general acceptance that house prices are at 2005 levels, particularly from people who are trying to sell at the moment?
I'm also wondering if other people have heard that the mortgage providers' surveyors are using the LPSNI Capital Values (the figure used to calculate everyone's slice of the rates pie) to determine the value of a house and therefore the amount of money they are willing to lend for a particular house?
We're about to put some offers in on houses and I'm feeling my way in the dark a bit, despite having been a keen student of the housing market for some time!
Thanks in advance.
LM

Best answers:

• They're probably back to 2005 prices if not below.
  No idea whether banks/surveyors are using the LPS rates list for valuations, but they are being strict about deposits (rightly so imho).
  I think prices will fall quite a bit further. The Executive hasn't even agreed a budget yet, VAT has yet to rise, there will be huge public sector cuts as in the rest of the UK, there is even talk of IR rises in 2011. Etc etc.
  We're looking around every so often but haven't seen ANYTHING in an area we would live in that represents good value yet.
  If you do make offers, make them nice and low and let us know how you get on. Good luck.
• The market is back there but I do not believe most sellers are... A lot of the properties which I see are way above 2005 and they are also the ones that sit on the market and have no viewers.
  Nevertheless, I agree with tara. With uncertainty, things could get worse so make sure that you aren't simply able to afford now, but also in the case that you were paying 6/7/8% interest rates. It might not happen but would you want to risk it?
• Maybe if we wait we'll get a better house for less. However I'm just sick of renting. It's time to buy somewhere and put down some roots. We sold a few years ago so we have gained anyway even if we don't wait for the market bottom.
  We'll throw a few offers on places and see how we get on.
• I take no notice of LPS, UPS, RBS, AIB, propertynews or anyone else when I decide how much a house is worth. It's worth what I'm prepared to pay and not a penny more.
• John Lewis online.
  No cashback or discount codes but Free delivery, deals to be had if you call them when buying more than 1 appliance, extended guarantees on most appliances for free (2 years when only 1 year elsewhere) and excellent customer service!
• We just sold our house for 5k over what we paid for it in 2004, so it would be safe to say that houses are around the 2005 price, a bit gutting for us, but we needed to sell, and thats what people were willing to pay! If we were buying again I'd definitely be making a cheeky offer!
• Leftie I also agree we have probably reached 2005 price levels. How much further will prices fall? Budget/job losses may well have an impact in 2011, but I think it will be down to the banks to stop the slide by making more affordable mortgages available.
• Mortgages are very affordable - we can get a 2.39% variable rate mortgage. We can get about 3-4% fixed rates. That is unprecedentedly cheap. Banks are restricting lending to people who have a deposit (which protects the banks from negative equity on repossession) and have a steady income. I don't see that changing in the future.
  House prices here are too high still. I don't dispute that. Houses don't sell because most people (generally owner occupiers) don't accept current value as it is and buyers can't pay over the odds for houses because the banks won't sanction the loans for them. The stuff that we have a chance to buy is all repossession/investors off-loading/probate.
• Just to go on with that theme....
  https://www.telegraph.co.uk/finance/e...ul-Fisher.html
  These are not just scare tactics... all those complacent on very low, variable or short term 'special' rates should be very aware of this and will hopefully have factored it into their thinking.
  Another link for you is:
  https://www.bbc.co.uk/news/uk-northern-ireland-12065981
  It is clear that not all of the off-plan buyers will be getting away without too much pain. With more and more of these cases coming up, we could see a bit of a torrent of properties coming onto the market as the developer is able to sell at 'market' value knowing that the initial buyer has to cover the difference.
  Some lovely bear food for christmas - all of us waiting for market sense can only be happy at these developments.