Go Back   English Forum Switzerland > Help & tips > Housing in general  
Reply
 
Thread Tools Display Modes
  #41  
Old 22.05.2019, 20:31
krlock3's Avatar
Forum Legend
 
Join Date: Feb 2006
Location: Zürich
Posts: 2,969
Groaned at 46 Times in 33 Posts
Thanked 2,182 Times in 1,057 Posts
krlock3 has a reputation beyond reputekrlock3 has a reputation beyond reputekrlock3 has a reputation beyond reputekrlock3 has a reputation beyond reputekrlock3 has a reputation beyond reputekrlock3 has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Quote:
View Post
This must be a copy/paste comment I've been reading for the last 8 years
Much longer than that, although it might turn out to be true at some point.
Reply With Quote
  #42  
Old 22.05.2019, 20:52
Member
 
Join Date: May 2008
Location: Zug
Posts: 188
Groaned at 14 Times in 10 Posts
Thanked 89 Times in 53 Posts
mike_n has annoyed a few people around heremike_n has annoyed a few people around here
Re: Bank says home worth 90k less than asking price

Quote:
View Post
This must be a copy/paste comment I've been reading for the last 8 years
Probably an additional reason to sell now and take advantage of the high prices. Sure they can go even higher, but chasing the top is hard. Where I live the price at least doubled in the last 8 years.

Either the incomes and rents will go higher or the prices will go down. I would say the second. Most companies outsource to lower cost countries and even if they employ in Switzerland they give smaller salaries.
Reply With Quote
  #43  
Old 22.05.2019, 21:37
dblacklion's Avatar
Member
 
Join Date: Jan 2008
Location: Zürich
Posts: 156
Groaned at 6 Times in 2 Posts
Thanked 74 Times in 51 Posts
dblacklion has slipped a little
Re: Bank says home worth 90k less than asking price

I heard the same story third time for Baden area, even myself... It seems like it is crazy on demand, home owners go for bidding process. At least Banks are more realistic, not taking the risk.

I intended to buy a house in Nussbaumen 2 years ago, and very same UBS told me that it was not a new house (built in late 70s), expect high renovation and hidden costs etc.. and UBS did an official evaluation, came up with around 110k CHF less than the asking price, I got it within an official letter and showed to the landord, trying to outsmart him, he just smiled, he said I just sold it today To be honest, I was quite down for a while, however i think that was crazy to pay 110k more than the evaluated price..
Reply With Quote
This user would like to thank dblacklion for this useful post:
  #44  
Old 22.05.2019, 21:55
V__'s Avatar
V__ V__ is offline
Forum Veteran
 
Join Date: Aug 2010
Location: Lausanne
Posts: 670
Groaned at 22 Times in 16 Posts
Thanked 528 Times in 271 Posts
V__ has an excellent reputationV__ has an excellent reputationV__ has an excellent reputationV__ has an excellent reputation
Re: Bank says home worth 90k less than asking price

Quote:
View Post
Probably an additional reason to sell now and take advantage of the high prices. Sure they can go even higher, but chasing the top is hard. Where I live the price at least doubled in the last 8 years.

Either the incomes and rents will go higher or the prices will go down. I would say the second. Most companies outsource to lower cost countries and even if they employ in Switzerland they give smaller salaries.
So sell now and pay 50k a year in rent? No thanks
Reply With Quote
  #45  
Old 23.05.2019, 09:17
Today only's Avatar
Forum Legend
 
Join Date: Dec 2010
Location: Europe
Posts: 7,884
Groaned at 873 Times in 593 Posts
Thanked 9,834 Times in 4,670 Posts
Today only has a reputation beyond reputeToday only has a reputation beyond reputeToday only has a reputation beyond reputeToday only has a reputation beyond reputeToday only has a reputation beyond reputeToday only has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Quote:
View Post
Not here, here it states the purchase price.

Tom

Here in Vaud it states on the official papers, the black mopney isn't official and therefore is not mentioned and i am more than convinced Ticino is no different to anywhere else here


What do you really think Chf 1'000.-- notes are for, buying chewing gum at lhe locaL Kiosk ?
Reply With Quote
This user would like to thank Today only for this useful post:
  #46  
Old 23.05.2019, 09:58
Junior Member
 
Join Date: Sep 2017
Location: Luzern
Posts: 34
Groaned at 1 Time in 1 Post
Thanked 19 Times in 11 Posts
memihai has no particular reputation at present
Re: Bank says home worth 90k less than asking price

Quote:
View Post
Thats arguable but I get it, the Swiss have a different view on this. The fact of the matter is right now I am shelling out 25k a year for a small flat 45 min outside of town, and to rent a place the size of the I am planning on buying would be upwards of 35-40k a year. I would rather that money be going toward principal on a loan than in the trash. So either I pay 4k in interest plus maintenance a year on a house, or 25k+, the math is pretty simple, so although its not exactly an investment, its a vehicle that helps protect the money from being wasted.
I am sorry, I don't get it.
rent is 25k a year
buying would be 35-40k/year, from which the most part goes not into equity, but into maintenance

Than what would be the point of buying?
Reply With Quote
  #47  
Old 23.05.2019, 10:39
Tom1234's Avatar
Forum Legend
 
Join Date: Jan 2007
Location: Kanton Luzern
Posts: 13,577
Groaned at 425 Times in 336 Posts
Thanked 18,640 Times in 7,781 Posts
Tom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Quote:
View Post
I am sorry, I don't get it.
rent is 25k a year
buying would be 35-40k/year, from which the most part goes not into equity, but into maintenance

Than what would be the point of buying?
The equivalent rent on the place he wants to buy would be 35-40K/year.

Mortgage repayments are usually cheaper than rent but there are many other costs associated with buying.
Reply With Quote
  #48  
Old 23.05.2019, 10:45
fatmanfilms's Avatar
Forum Legend
 
Join Date: Apr 2010
Location: Verbier
Posts: 18,060
Groaned at 290 Times in 239 Posts
Thanked 15,610 Times in 8,684 Posts
fatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond reputefatmanfilms has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Quote:
View Post

Mortgage repayments are usually cheaper than rent but there are many other costs associated with buying.
Based on historically low interest rates, as Swiss mortgages are not paid off in 25 years this could certainly have implications in retirement if interest rates rose to 5%, something quite possible on a 30 year view.
Reply With Quote
The following 2 users would like to thank fatmanfilms for this useful post:
  #49  
Old 23.05.2019, 11:49
Tom1234's Avatar
Forum Legend
 
Join Date: Jan 2007
Location: Kanton Luzern
Posts: 13,577
Groaned at 425 Times in 336 Posts
Thanked 18,640 Times in 7,781 Posts
Tom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Quote:
View Post
Based on historically low interest rates, as Swiss mortgages are not paid off in 25 years this could certainly have implications in retirement if interest rates rose to 5%, something quite possible on a 30 year view.
Yeah, I agree. People should also have some sort of re-payment element of their monthly mortgage repayments as well as the interest element so, if house prices do fall again, they limit or prevent their negative equity.
Reply With Quote
This user would like to thank Tom1234 for this useful post:
  #50  
Old 23.05.2019, 12:00
Junior Member
 
Join Date: Sep 2017
Location: Luzern
Posts: 34
Groaned at 1 Time in 1 Post
Thanked 19 Times in 11 Posts
memihai has no particular reputation at present
Re: Bank says home worth 90k less than asking price

Quote:
View Post
The equivalent rent on the place he wants to buy would be 35-40K/year.

Mortgage repayments are usually cheaper than rent but there are many other costs associated with buying.
Agree. But IMO the 15K saved each year are offset by:
-having to put this money aside for ... unforeseen rises in interest rates (basically put aside for amortisation and amortise only if needed)
-having to re-put money in the 2.Pillar if used
On the positive side - if interest rates do not go up after say, 10 years, then he has 150K saved.
So maybe it could be cheaper but for the first 10 years it is actually not cheaper if you want to cover future risks.
Reply With Quote
  #51  
Old 23.05.2019, 12:59
Mrs. Doolittle's Avatar
Forum Legend
 
Join Date: May 2007
Location: Aargau
Posts: 5,950
Groaned at 120 Times in 87 Posts
Thanked 6,961 Times in 3,289 Posts
Mrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond reputeMrs. Doolittle has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Home owners in Baden often have a very unrealistic view of what their house is worth, but the demand to live in Baden is still there, and when the demand exceeds the supply you get people with deep pockets who can afford to buy.

We took the decision to move from Baden years ago and every once in a while a property pops up which we think might be worth looking at. It is usually a complete waste of time.

There are villages a little further afield where you can commute by train to Baden where prices are not as crazy.
__________________

Reply With Quote
The following 2 users would like to thank Mrs. Doolittle for this useful post:
  #52  
Old 23.05.2019, 13:08
Tom1234's Avatar
Forum Legend
 
Join Date: Jan 2007
Location: Kanton Luzern
Posts: 13,577
Groaned at 425 Times in 336 Posts
Thanked 18,640 Times in 7,781 Posts
Tom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Quote:
View Post
Agree. But IMO the 15K saved each year are offset by:
-having to put this money aside for ... unforeseen rises in interest rates (basically put aside for amortisation and amortise only if needed)
-having to re-put money in the 2.Pillar if used
On the positive side - if interest rates do not go up after say, 10 years, then he has 150K saved.
So maybe it could be cheaper but for the first 10 years it is actually not cheaper if you want to cover future risks.
On the last two places I owned, I made so much money on the profit when I sold that the costs you mention were pretty inconsequential in the grand scheme of things.
Reply With Quote
  #53  
Old 23.05.2019, 13:19
eyebeebe's Avatar
Forum Veteran
 
Join Date: May 2009
Location: Pfäffikon SZ
Posts: 1,606
Groaned at 16 Times in 15 Posts
Thanked 1,718 Times in 807 Posts
eyebeebe has a reputation beyond reputeeyebeebe has a reputation beyond reputeeyebeebe has a reputation beyond reputeeyebeebe has a reputation beyond reputeeyebeebe has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Quote:
View Post
On the last two places I owned, I made so much money on the profit when I sold that the costs you mention were pretty inconsequential in the grand scheme of things.
Past performance, no indicator of future etc

We bought a doer upper last year and have poured a large fortune into it. If we’ve got 100k sweat equity in it I’ll be happy, but I certainly don’t expect to make big capital gains on it in the future. So far we’re certainly saving decent money paying mortgage interest and Nebenkosten vs. Renting. I just can’t see any headroom for big capital growth from the fundamentals.
Reply With Quote
The following 2 users would like to thank eyebeebe for this useful post:
  #54  
Old 23.05.2019, 13:49
krlock3's Avatar
Forum Legend
 
Join Date: Feb 2006
Location: Zürich
Posts: 2,969
Groaned at 46 Times in 33 Posts
Thanked 2,182 Times in 1,057 Posts
krlock3 has a reputation beyond reputekrlock3 has a reputation beyond reputekrlock3 has a reputation beyond reputekrlock3 has a reputation beyond reputekrlock3 has a reputation beyond reputekrlock3 has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

OP has certainly gone quiet!
Reply With Quote
  #55  
Old 23.05.2019, 15:21
Tom1234's Avatar
Forum Legend
 
Join Date: Jan 2007
Location: Kanton Luzern
Posts: 13,577
Groaned at 425 Times in 336 Posts
Thanked 18,640 Times in 7,781 Posts
Tom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond reputeTom1234 has a reputation beyond repute
Re: Bank says home worth 90k less than asking price

Quote:
View Post
Past performance, no indicator of future etc

.
That goes without saying. It's not all luck. Location, location, location.
Reply With Quote
  #56  
Old 23.05.2019, 19:39
JamiSteven's Avatar
Junior Member
 
Join Date: Jan 2012
Location: ZURICH
Posts: 96
Groaned at 1 Time in 1 Post
Thanked 21 Times in 16 Posts
JamiSteven has no particular reputation at present
Re: Bank says home worth 90k less than asking price

Thanks all - we are buying the place, will scrape together the extra funds as the large consensus here and from everyone else we have asked is that:
a: All the banks are stating all the properties are 100k or more over priced
b: Market is at a high, but its been this way for a while, and there are no indicators that its going anywhere anytime soon besides unsubstantiated rumors/fears that the 1990 crisis will repeat itself.
Reply With Quote
This user would like to thank JamiSteven for this useful post:
  #57  
Old 23.05.2019, 22:26
Forum Veteran
 
Join Date: Jan 2017
Location: St Gallen
Posts: 534
Groaned at 44 Times in 29 Posts
Thanked 283 Times in 167 Posts
Gramatyka356 has earned some respectGramatyka356 has earned some respect
Re: Bank says home worth 90k less than asking price

Quote:
View Post
Thats arguable but I get it, the Swiss have a different view on this. The fact of the matter is right now I am shelling out 25k a year for a small flat 45 min outside of town, and to rent a place the size of the I am planning on buying would be upwards of 35-40k a year. I would rather that money be going toward principal on a loan than in the trash. So either I pay 4k in interest plus maintenance a year on a house, or 25k+, the math is pretty simple, so although its not exactly an investment, its a vehicle that helps protect the money from being wasted.

Quite right. I'm actually feeling stuck now to the place I rent since it cost me < 6k a year It's worth on the market 2k /mo easily. In fact I have agreed to pay for it 2k/mo but then I discovered the previous rent and after contesting I got it down to 480 chf/mo
Reply With Quote
Reply




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Yamaha Subwoofer - less than half price manderin Items for sale 1 09.04.2018 13:39
Property Evaluation - Asking price and opinion of the bank ip2012 Housing in general 6 04.04.2015 16:15
Resident for less than 3 months - how do I get a permit / bank account PSmith Permits/visas/government 7 08.08.2014 17:57
Buying a house with less than 20% of price as own funds: possible? Angela-74 Housing in general 16 17.12.2013 13:31
Small Bank Loan for Resident of Less than 1 Year Express999 Finance/banking/taxation 0 17.11.2011 22:49


All times are GMT +2. The time now is 05:01.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2019, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0