clairemarie70

hi, i spoke today with my estate agent and it has been suggested i drop my house again 4th time...origanilly it was up for 230k..we did some work on it before we left....i am now selling it for 177k..i wouldnt bother doing any renovations to me it doesnt matter what you do to your house right now it will make no difference to a buyer....hopefully it will now sell..as i am giving my house away....i just want it sold now anyway..but would have been nice to come out of the sale with something...oh well

262kph

Yes we have had the quotes. It is currently on with the est agent at £190k, we have reduced it by £5k already. We have contacted 3 of the companies and the quotes range from £140-£146k Its still enough to pay off the mortgage and get us to Nova Scotia, but the hole idea of all of this emmigratemigrationtry and settle with a tiny mortgage in NS, nice house and nice relaxed life. I know all of this is still possible, smaller house etc, or more stressful job, but it still sucks. Trust us to finally get everything sorted after 4 years waiting for the visas, then the house market dies. The final stumbling block

Tableland

I know how you feel. At least you're going to a cheap part of Canada - those en route to Australia pretty much have to wait for a crash there as well to be able to afford anything decent. I notice the Telegraph reported today that the OPEC cartel issued a warning that oil will go up to $170 BBL over the summer. This would make diesel more like £1.50 a litre and inflation will go up even more. Of course, they will have to raise rates to fight the inflation, and this means more problems for the housing market. Difficult times.

DebbieK

I guess that they are always out there... I was shocked the other day when I was at home working during the day and the t.v. was entertaining itself in the corner... I suddenly realised that in my peripheral hearing (is there such a thing?? ) - I had picked up that virtually every advert break was offering to roll up all your debts in one for the simple cost of selling yourself and family into financial slavery long term. I was really shocked that they could make it sound like you were doing yourself a favour, while really they were robbing you blind. Scary!!

Tableland

And there are other signs already coming through. Saw Autotrader advertising used cars the other day - haven't seen that in a while. I guess all those beamers are going back to the showroom. Also, supermarkets now in price war, and Tesco advert yesterday referring to things being a bit tighter now or something.

And remember, this is with oil at $140 BBL, and the full effects of that haven't been felt yet (only in the fuel tank where the effect is immediate). Think about another 30% increase in fuel price and the comcomitant effect on your grocery & energy bills.

sinope

Domestic energy prices will increase by 40% by the end of the year according to most analysts. The cost of living is going up and up and the lovely Alistair Darling tells us all to show restrain when it comes to pay deals.

Tableland

And the 40% increase is in reaction to oil going up to $130 BBL. Imagine, if you will, the cost of heating and fuel when it's $170. That's another 30% again.

DebbieK

I wonder what the cost of razor blades and lemons are? I'm just working out if I can afford to cut my wrists, and pour lemon juice in to make the suffering even worse

Souvenir

I wonder to what extent the effect of that will be felt in QC?

I see in the Globe & Mail that TD Bank is reporting a slowdown in Canada's housing market. It's more of an easing than a downturn, except in AB.

Tableland

I don't know about QC at all. Like you (or someone else possibly, so forgive me if I am putting words into your posts) said the other day, a lot of places have hydro so that might mitigate part of the increasing cost of oil. But only part though because you still need food and fuel brought to your towns, etc. I read online a few days ago that BC properties have lost quite a percentage in some regional areas but nothing like the US. In my view, nowhere escapes this downturn. There are people on the Australian forum in heavy denial about this. US, UK, Australia & Canada and other European and Asian nations are going to feel this. Savings in UK at all time low since 1959, pubs and restaurants closing at their fastest rate ever, house buyers at an all time low and prices already about 10% off from peak in many places. Massively restricted credit for mortgages barely kicked in yet, and OPEC warning that oil will be up another 30% over the summer. Canada has 80% of its trade with the US, so when the US sinks, Canada looks for life rafts. Some have said Australia's greater links to Asia will save it, but wrong again - the Shanghai Compsite down 50% in 12 months.

So I don't think it matters where you are really, you need a good job, lots of savings and a small mortgage to be best placed to deal with this. I add in edit this, think for a second about how fast this happened. Just one year ago there was not a word of this, and everyone was busy getting loans for luxury cars and MEWs for overseas holidays, then.... bang.

Souvenir

I agree about the food/fuel etc. Quebec's electricity is 97% hydro. I think the rest is nuclear. The utility is also a crown corporation. We benefit from some of the lowest electricity charges in the world. House prices in my area are low to begin with, and haven't shown large increases in the last couple of years. I don't think they'll fall much.

Atlantic Xpat

Grrr. Lower Churchill, grrr, mutter, bloody garlic eaters, etc etc.

Tableland

It depends on who you believe, really. Some say prices will fall back to 2004 levels (in the UK, again, I don't know enough about the Canadian market) in which case the losses will be minimised. Others say 2003, or even earlier, which would catch out many more people.

Pre-crash I thought Canada was fairly well placed to deal with this because while the UK and Australia allowed, through inflexible planning laws among other things, property prices to go through the roof, the Canadians kept their prices low. But, and it's a big but, so did the US, and look at what has happened to their prices - in some cases a third off in less than a year. So I am not sure at all about Canada. I am sure about UK and Australia though: big crashes all round between now and 2010.

sinope

Hmm, I think plenty of people have been in denial about a global downturn, though the signs have been there. Realistically, sub-primes were always a bad idea and likely to bite everyone on the butt; the UK housing market hasn't been sustainable for years. The suprise really is the futures betting on oil - there isn't a shortage (just yet) but the speculation that there will be a shortage is driving prices up and up. Having said that, if you look at how India and China have been hoovering up raw materials for the last 5 years, oil prices would have been predictable too. I don't know which countries will ride it out the best, but I think the US will weather the storm pretty well - it is after all, the worlds biggest manufacturer which in itself will drive the economy. Canada will be saved by the oil sands (Alberta, at least). Britain will suffer badly as our service-based economy is knackered as soon as people stop spending.

DebbieK

*Debbie leaves the room looking for those razor blades and lemon juice*