| Topic: | Re:Re:Re:Re:Re:Re:Re:Property Market Stable But Confidence Is Shaky??! | |
| Posted by: | Ken Munn | |
| Date/Time: | 14/06/08 08:47:00 |
| Jonathan - you just don't get it do you? Your flat hasn't fallen in price. It has no price because it's not for sale. It has only fallen in value, which, if you're not planning to sell, is totally irrelevant to you. The cost/benefit equation you accepted when buying your flat is what set its price then, and if the analysis you made then has proved acceptable, you have nothing to worry about now. If you bought on a short-term fixed mortgage, which needs to be renegotiated, then your cost/benefit analysis may change in a way that is unacceptable to you, in which case you'll have to sell, and depending on what price you bought at, suffer a loss. However, residential mortgages (as opposed to buy to let) are still relatively good value, especially viewed in historic terms, and the cost/benefit analysis should still stand up except in a small number of extreme cases, or where the buyer's circumstances have changed materially. |