Location, Location, Location - Thurs 5th Sept - East Dulwich

[jimmyraj]

There's a hilarious quote from a local estate agent (Mr Wooster of Wooster and Stock) in today's Sunday Times. Without a hint of irony he says: 'It's frightening - I don't know where we're going.....People are getting greedy - it's bringing out the worst in them.'

[honeybee79]

*jimmyraj* I like your Mr Wooster quote! It's unfortunate that our attitude to our homes seems to involve viewing them as cash cows instead of, well, homes. And don't get me started on the smugness of some of my friends who bought in Peckham Rye back in about 2006 and have seen the value of their homes almost double in some cases, through no skill of their own, just by being able to buy at that time in that area.

There are still some reasonably priced places around Nunhead if you're prepared to take on some work and live with dated decor for a while until you can afford to fix it.

[Cyclemonkey]

Well, historically low interest rates, low levels of building and a government intent on inflating the market through poorly conceived policies like help to buy and you've got yourself a housing bubble right there.

[honeybee79]

Agreed, Cyclemonkey

[taper]

The value of my house (Peckham) has doubled in eight years. I can't see how it's worth what it's "worth".

In the twenty odd years i've been in London, I've always been forced to move into less salubrious areas to buy the property I want. Invariably these have then become popular and the house prices have soared accordingly (including now with Peckham). There is still a lot of value in places like Catford, Lewisham, Forest Hill, and so on for around ?200k.

[rgutsell]

Oh well, there goes the neighbourhood.

As if ED needed another reason for unaffordable, unrealistic pricing.

RGutsell.

[richardblack]

Well we've left East Dulwich (renting) to move to Catford (buying). We did look around the area's surrounding, but either just couldn't afford it, or there seemed to be very poor value. (size, condition, storage space, standard of fitting out etc)

[PN33]

Blackcurrant Wrote:

> November to December is the best time to pick up

> bargains. The dark evenings make everything look

> less appealing and people are distracted by

> Christmas, so demand is lower and prices are a

> touch softer, usually.

>

> I think the second phase of help to buy will be

> watered down until it becomes irrelevant, as it's

> a totally stupid idea. But Osborne can't do a

> U-turn at the moment without looking daft, so

> don't expect any announcement. Same situation

> applies to the governor of the Bank of England who

> has set himself up to look like an idiot over

> forward guidance.

>

> Mortgage rates might creep up next year. Even so,

> London keeps pulling people in and not enough is

> being built, so prices here are never going to be

> cheap.

>

> If SE London gets too expensive, have a look at

> the ends of Crossrail, e.g. from Acton to

> Reading/Maidenhead. The commute from those areas

> to the City will drop substantially, which should

> push up prices faster than the rest of London.

Thanks for this... quite a few estate agents told us on Saturday that August was a terrible month for new properties coming onto the market but they've been instructed to value quite a few in the last week or two so we should start seeing a few more potential's soon. It was quite reassuring actually, most estate agents told us we'd have no problem finding what we want, it's just a bit of a waiting game. Makes a change from some of the less-respectable estate agents (bottle of Perrier anyone?) who seem to want to scare us into thinking we have to move way out of the area to get anything near our budget.

I don't think we'll need to do anything as extreme as head towards the Crossrail links to be honest... if we can't buy in SE15/SE22, our second choice is Deptford/New Cross, and there are still a pretty decent amount of properties available in that area.

Girl82 - we have indeed considered the Queens Road area, but similarly to the rest of SE15, barely any properties have come onto the market in the last month or so.

[BecsBex]

A house near me on Barry Road has been in the process of renovations for over a year now. It's on the market for 1.1 million. On Barry bloody Road! It has 6 bedrooms, a cinema room and a 2 TVs in the bathroom (one in the shower and one at the end of the bath, apparently) but if I had 1.1 million pounds I would NOT be spending it on Barry Road. I really hope they don't get the asking price.

[Louisa]

You'd have to be on some sort of illegal substance to pay over a million quid for a house anywhere in SE London other than Dulwich Village. True story.

Louisa.

[HopOne]

Whether you think any house is worth it is another matter but no illegal substances required. Just an example:

http://www.sebastianroche.com/property/view?property=587

[balanceforlife]

Mr Wooster and Stock are selling this 2 bedroom for ?850,000 near Peckham Rye park - http://www.woosterstock.co.uk/details/11087

3 beds on same street selling for ?375,000.

CRAZY.

[jimbo1964]

That looks really nice.

[Otta]

Louisa Wrote:

-------------------------------------------------------

> You'd have to be on some sort of illegal substance

> to pay over a million quid for a house anywhere in

> SE London other than Dulwich Village. True story.

>

>

> Louisa.

Posh houses around Blackheath must go for a bomb. Went to a few parties in such houses as a teenager, and they are huge!

[elloriac]

Thanks balanceforlife! I've always wondered what that house was like on the inside :) Looks fab!

[MrBen]

The government surely now has to cancel the second part of Help to Buy planned for January. It's impact has been to push prices up further so it's not helping anyone, especially those who need it most. I find it all very depressing.

I've said it before, but things are out of control and this is another temporary debt fueled bubble. Interest rates are at a 300 year low. And when they rise (as they surely will) anyone with say a ?450k mortgage or higher will stick a minimum of ?1000+ per month onto their mortgage on a 4% rise in rates.

There are plenty new buyers now who've forgotten what 5-7% rates feel like....

[StraferJack]

"There are plenty new buyers now who've forgotten what 5-7% rates feel like...."

This. Should be the front page of every newspaper, every day

[Jeremy]

Rates will rise, but it will surely be very slow. Maybe inching up 0.25% a year over a period of several years.

[EPB]

You may well be right about interest rates, Jeremy, but do you think that wages will rise at the same rate?

[StraferJack]

"Maybe inching up 0.25% a year over a period of several years."

well, that was also the thinking people had back in the early 90s. I know times are different etc etc but I wouldn't be betting on such a gradual incline either

[ed_pete]

Mmm yes I'd love another glass of port and do tell me where you bought that epoisse - was it the Cheese Block ?

[Otta]

MrBen Wrote:

-------------------------------------------------------

> The government surely now has to cancel the second

> part of Help to Buy planned for January. It's

> impact has been to push prices up further so it's

> not helping anyone, especially those who need it

> most. I find it all very depressing.

I see your point, but it's still the only chance a family like mine has to claw our way on to the bottom rung of the ladder somewhere not particularly local. Rochester looks nice...

[Jeremy]

StraferJack Wrote:

-------------------------------------------------------

> well, that was also the thinking people had back in the early 90s.

To be pedantic... rates actually fell in the early 90s, it was the late 80s when rates rocketed from 9ish to 15ish over 2 years. But even then, there'd been a long history of rates at around the 10% mark. And proportionately, it was much less of a shock than a sudden rise from say 0.5% to 4% would be.

[Jeremy]

Otta Wrote:

-------------------------------------------------------

> Rochester looks nice...

Strangely enough, some friends of mine thought the same thing recently. Until they went there.

[Otta]

Haha! Couple of friends of mine were looking last week. Mrs Otta quite fancies it, but I am far from convinced. You can definitely get some nice property for what looks like pennies when compared to ED though!