SSIA Maturity : House Price Inflation : ?

[simp]

Just reading where Friends First [broken link removed]...

Does anyone else think this likely? We're planning on buying this year or next, and have more of a handle on things, now that prices have stabilised - but it'd be a drag to see prices spike once more...

 

[buttonmoon]

I was going to buy a place with my girlfriend next May when the two of our ssia's mature but we think that the all the ssia money floating about will inflate prices and as well as that, we think that any new developments are likely to be snapped up so we might not even get our first choice.

So her mam got a loan of 15k for us and set the repayment date to the max (cant remember - think it is 7 years) so we pay the loan back €200 a month.

Just bought a place now and once the ssias come through in may we'll pay the rest off and still have a nice little sum left for sweets and wine. when we pay it of early we will have repayed about 15,500 eur.

You might not have that option but if you do I'd take it.

 

[tonka]

there will be some sort of spike but the overall market may be well in decline by 2007 , the market will certainly be in decline by q4 2007 once the SSIA bounce factor has been removed from the equation....thats my opinion.

 

[pricilla]

Well I was a bit worried about it too, and we were planning to buy next year but luckily found somewhere lovely last month and bought it. It's a new build that wont be ready until next year so we got the best of both worlds.
I've heard a lot of talk about prices going through the roof when the ssia money is released next year, but nobody has a crystal ball.
I'm no expert but I don't think the prices are going to go down anyway.

 

[Carpenter]

If you are buying a place as a home to live in as opposed to buy to let then it shouldn't really concern you. Prices probably wont come down, but if they do you can weather out any storm confident in the knowledge that your house is your home and not an "investment" subject to the vagaries of the market?

 

[pennypincher]

I was buying a house recently and the auctioneer seemed to think that the bounce is already being factored in to the price now for 2 reasons.
1:Stamp duty only kicks in at 317 K so FTBe who have apartments are selling in order to get a home with a garden etc before it hits the new threshold.
2:Like the previous post most people expect house prices to rise next year so they are borrowing now(mostly from family) to get in before the rush.