bought new house dont know what to do now

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buyers are assuming houses are for sale because vendors "have" to sell. I expect there will be a stalemate between buyers and sellers - as from sellers point of view - why should sellers give away their property?? what will happen is houses will go off the market if people don't get what they need to move/trade up etc. Why do people on this forum think that sellers will just accept any price as they are desperate. IMO they want to sell, do not need to sell.
 
obviously you're talking in a general sense but what would your advice be to the OP who has probably spent around 20k in interest on a property he has never lived in that cost 196k and hasn't received a single offer (not even a 'silly' offer) at the current asking price of 230k - do you not think he 'has' to sell? particularly as rent won't even cover an interest only mortgage?
 
the OP's circumstances are different - as in every sellers circumstances are unique. I was just saying it is assumed all sellers are in a situation where they need to sell. I recently sold my apartment with a 20% straight profit on what i paid for it in 2004. Now, i did not have to sell. If i didn't get my bottom line I would have withdrawn the property. I guess I was one of the lucky ones. My advice to the OP is try to at least break even. If not try to sort out the circumstances in that he has a house lying empty. At least rent the place out so that as much of his mortgage is covered as possible. It would be a mistake to sell at a loss.
 
He'll be making a loss every month if he rents it out though. How long would you be willing to put up with that situation in order to 'break even'?
 
well i would rather be paying €100 a month to cover mortgage [as he will get €800 in rent] rather than take a nearly 50k cash loss as what was suggested here.
 
When giving advice do people look at how they would handle their own affairs? If the majority of vendors that 'had' to sell simply cut 1/3 of their price off of course they would sell and there would be some happy investors out their waiting to pounce. there is a middle ground and that is what I'm suggesting, there is need to give way in the price, but it should be done sensibly to find the interest.
 
pinkie123 said:
well i would rather be paying €100 a month to cover mortgage [as he will get €800 in rent] rather than take a nearly 50k cash loss as what was suggested here.
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how would you feel about paying €100 a month and then a much greater cash loss down the line. At what point do you think the OP won't have to take a loss?

If this is an investment property and the point of it is to make money, then isn't your attitude all about denial
 

I give advice that follows how I would handle the situation if I were in it. If I had an investment and all evidence pointed to it rising in value then I would hold onto that investment. Or if I thought that investment might be slowing devaluing I would want to offload it at the highest price it would sell it at but I would be aware that it was all the time devaluing and being realistic about what that price it would sell at was.
 
"loss down the line" is a gamble. sure wouldn't OP be sick if he took a huge loss now and then in 3 years time prices were up again. Either way its a gamble. anyway, how will OP pay the loss back to the bank? ie it was suggested here he should sell for less than he owes. How can anyone suggest he sells at a loss. C'mon people.
 

it's called cutting your losses, rather common investment tactic
 
i thought proper investors should be in it for the long term? I think cutting your losses after 2 years is naiive in the extreme
 
pinkie123 said:
i thought proper investors should be in it for the long term? I think cutting your losses after 2 years is naiive in the extreme
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Property investment involves rental income generating hopefully solid yields. Property speculation is holding onto a house in the hope of capital appreciation.
 
pinkie123 said:
How can anyone suggest he sells at a loss. C'mon people.
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Do you believe that nobody should ever have to realise a loss on property? Why?

The OP is already losing money and people are suggesting he cuts his losses
 
Very interesting to here peoples views on this thread. One thing that strikes me is that when prices were going up most people thought in was a one way street, now they are going down people still think its a one way street only in the opposite direction! The word lemmings springs to mind. The key word is cyclical, if you don't HAVE to sell don't, the only point about this is it's hard to know long investors who purchased at the top will have to hold on in the current market to make a profit, nobody knows, thats the risk of investing whether it be in property, shares or flavor of the month - commodities. If you do HAVE to sell the value of the property is not one cent more than a buyer is willing to pay.........people who panic don't make good investors.
 
well people thanks for the help to my little question i never thought it would attract so much intrest im sure people learned from it.
apart from a few negative thinking people,i must say some replys were very well put.i know just how bad things are but i also know things arent complety doomed.
may i say MR MAN made some very valuable points he certainly knows what he is talking about,ans the last poster RORY is spot on.
so guys what i am going to do is drop the price only very slightly get more advertising etc.
ia m certainly not going to sell at a loss as some misguided posters have said and i am fully convinced i will make a profit as i asid before i did not buy to make a quick buck also suggested by a few guys if they had read my post they would have understood this instead of insulting me.
people are still buying houses not too many but some are.
i am going to make sure that my house will be sold to one of them and at a profit to me.
think positive is my motto
so thanks again people for the advice and i will keep ye posted
 
ocean said:
i am going to make sure that my house will be sold to one of them and at a profit to me.
think positive is my motto
so thanks again people for the advice and i will keep ye posted
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Well I admire your attitude!
Although I get the impression you came looking for a particular answer and weren't prepared to consider other opinions.
I'm not denying for a moment that Mr Man knows what he's talking about, but the rest of us aren't all stupid either.

Anyway, good luck and let us know how you get on.
 
hey john im sorry you think like that under no circumstances do i think any of you are stupid in fact i think there are loads of intellegent people on here. the reason i mentioned MR MAN was because as well as good advice he spoke up for me and had a go at some guys that were not so nice.
any john thanks for your reply and good luck
 
Folks

This thread has run its course.

Some posts have also crossed the line into speculation on property prices.

Brendan
 
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