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dst2
@NotThamesWater
I just received a loooong letter from the senior partner of the estate agents for the property that I'd withdrawn an offer for.
The tl;dr is that he doesn't think prices will fall (because he just knows from 40 years of experience). And that I should buy, buy, buy. Unsurprisingly.
He does, to his credit, acknowledge that rates are likely to fall, but then fails to recognise that it would be to my advantage to wait for this to happen.
He completely obviates the fact that property pricing is entirely illiquid and discrete, and that while the individual prices might not fall, the implied demand curve has / is shifted
Should I be in a position this year / next year / the year after with a need to sell (because brexit) I would likely be in negative equity, and having to realise a significant loss.
Either way, current conditions are too uncertain to enter into a significantly leveraged position, when any pressure to move can be taken on the chin for the moment.