I bought my house about 5 years back, before this mad price rush that seems to be going on and am quite chuffed that I did (didn't realise what was going to happen with prices, just decided to buy at the time).
Now my mates all want to buy houses and are having problems due to the high prices. As an example, I paid just over £50k for mine 5 years back and my friend tried to buy one 5 doors down from me the other day and it ended up going for around £115,000!! Has the world gone house mad? :eek:
Anyway, I spoke to this person today as I am trying to help them find a house but they've decided to stop trying to buy now and continue to rent. They said they spoke to two different sources (not sure who) and also heard a report on the radio and all said it was no longer worth first time buyers to buy a house due to the high prices and that they will fall soon and all the people buying now will be stuck in massive negative equity.
Now I'm no house or mortgage expert at all, but I was wondering if anyone knew if the above is true or have they been misinformed?
I know they really want to buy asap as they are fed up of renting and are also getting married in October and would like a fresh start to their new life together etc.
Anyone got any thoughts on this as I haven't a clue and they are asking for my advice....
I didn't find the right solution from the Internet.