| Comment | If you're buying it as a place to live for some years, rather than a straightforward financial investment, don't worry about the actual value if you're not at risk of negative equity.
If you're going to live in it for 10 years, you have literally no idea what the market is going to do over that time period and what it'll be worth when you come to sell.
All that matters really is whether the monthly cost to you is worth it as a place to live, and to compare against the sunk cost of renting.
As a comparator, I bought my first house for around that value in 2005 at the peak of the market. I sold it nearly a decade later for £20k less than I bought it for - which is an impressive loss in the UK housing market.
Over that period, taking into account the loss, I still saved 10s of thousands of pounds compared to renting.
Or to put it another way - which would you regret more - moving in having paid £96k, or bidding £90k, missing out and discovering you could have got it if you have bid £96k? Also, if you love it enough to consider that amount, almost guaranteed someone else feels that way too. In the current market, I'd be surprised if you got it for £90k. |
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