.....cheaper rents would be great news for all the renters out there. We cheer cheaper TVs, flights and cars. Why not cheaper accommodation too?
... Like many of the other items that form the basket of goods used by the CSO to estimate inflation the Government, Unions, and society in general, should welcome lower rents as they would cheer lower fuel and food costs........
Likewise falling house prices are good for people who are buying houses, but bad for people who are selling.
brendan
Why do you think this?
If you are selling to trade up you will get less for your own house?
OK you pay less for the trade up.
But isn't the ratio the same?
maybe I am missing something?
While trading up, a smaller percentage drop in a larger value property can still provide savings (as illustrated in dtlyn's calcs), so even if the % drops aren't consistant (when has property ever been consistant) a saving can (sometimes) be made.House price rise / falls appear to be measured in % so it would suggest that broadly speaking if the market falls 20% and you are trading up it will probably work to your advantage.
While trading up, a smaller percentage drop in a larger value property can still provide savings (as illustrated in dtlyn's calcs), so even if the % drops aren't consistant (when has property ever been consistant) a saving can (sometimes) be made.
Basically, Brendans rule of thumb holds true. A falling market is good for buyers and bad for sellers.... it just so happens that when trading up the pro's for the buyer (trader uper) CAN (but not always) outweigh the con's for the seller (also the trader uper).
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?