Britain would go to the ‘back of the queue' for US trade deals post-Brexit

[AtW]

People Are not usually allowed 2 mortgages ....remember prices have fallen by a half, so your mortgage on your primary property is now nearly 100 percent of its value, so you can't BTL it.

And his interest payments will increase, that will be necessary to prevent sterling from dropping below parity level with EUR/USD and controlling inflation on every imported thing into UK.

[fool]

I think Leave are just going for the race card now, forget economics as it's too difficult for the dumbed down voters to understand:

Yeah, but most of the negatives people seem to talk about is from non european immigrants, so what exactly does that have to do with the ref?

[tomtomagain]

People Are not usually allowed 2 mortgages ....remember prices have fallen by a half, so your mortgage on your primary property is now nearly 100 percent of its value, so you can't BTL it.

Plus of course the whole banking system would be massively in trouble, with many billions of exposure to the housing market.

Because it doesn't matter what "Your" position is in isolation. You've got to look at it as a whole market.

The banks, if they weren't being bailed out by the taxpayer again, would not be lending at all.

There'd be a massive hit in consumer confidence, nobody would be buying anything, never mind a house. And that would have a knock on with all sorts of businesses. From retail all the down the food-chain to energy companies.

Companies would retrench and you'd see a cut in investment.

And who'd be the first out of the door? Why the contractors of course.

So no, a 50% house price crash, is not something you actually ever want to experience. House price stagnation .... that's what we need.

But these things don't happen very often.

You need some sort of external, significant, game-changing shock to the system, to kick it off.

Luckily there's nothing on the horizon that could do that .....

[AtW]

There'd be a massive hit in consumer confidence, nobody would be buying anything, never mind a house. And that would have a knock on with all sorts of businesses. From retail all the down the food-chain to energy companies.

The only people buying property will be those who have got cash in bank to do so and they would only be snapping up quickly falling property because banks would not be able to guarantee safety of the deposits beyond pathetic 75k GBP.

[sasguru]

Anyone get the impression that MM didn't really think things through .....

[fool]

So no, a 50% house price crash, is not something you actually ever want to experience. House price stagnation .... that's what we need.

But these things don't happen very often.

You need some sort of external, significant, game-changing shock to the system, to kick it off.

Luckily there's nothing on the horizon that could do that .....

I largely agree but there has been several changes. Stamp duty, BTL changes, foreign cgt, ltds can no longer avoid stamp duty, ARPT, dirty money crackdown (wait for it) and probably more that I just don't recall. It looks like the higher end of the market is coming down and with the BTLers are no longer getting a free ride.

[jamesbrown]

House price stagnation .... that's what we need.

Completely agree. It's the only (relatively) benign way to improve affordability. However, as we know, UK house prices are strongly correlated with the business cycle, and the current cycle has been dramatically amplified by cheap credit (at least in the South East and London where housing is more susceptible to speculation). The next correction is far more likely to be rapid and dramatic than a gradual depreciation in real terms. The gov't and the BoE will ultimately have hoisted themselves by their own petard.

[AtW]

It looks like the higher end of the market is coming down and with the BTLers are no longer getting a free ride.

Top end is crumbling down for sure, but when the pieces fall they would hit those at the bottom too.

Getting Brexit on top of things Govt already done to screw up the market could certainly tip it over the edge.

[SueEllen]

I think Leave are just going for the race card now, forget economics as it's too difficult for the dumbed down voters to understand

Farage who dislikes Romanians like the Cheeky Girls, but loves Germans so much he married one....

I'm sure Farrage wanted to say "Roma" but knew he would get in much more trouble....

[tomtomagain]

I largely agree but there has been several changes. Stamp duty, BTL changes, foreign cgt, ltds can no longer avoid stamp duty, ARPT, dirty money crackdown (wait for it) and probably more that I just don't recall. It looks like the higher end of the market is coming down and with the BTLers are no longer getting a free ride.

So why did you attribute my post to someone else?

I am nobodies sockie ....