Sterling recovers

[PM-Junkie]

Wrong. 2001 was the last year that borrowing and saving with banks balanced. That was one of the things the BoE supervised.

If you are referring to the recovery after the recession of the early 1990s, that's what it was, a recovery, not a bubble.

Read it again, I am not denying that the snot goblin screwed up...but to say that the housing bubble is purely down to him is wrong. Supply and demand has had an impact too - and the increase in demand for housing ownership is partly down to the tory right-to-buy policiy, partly down to demographics and the break up of the family unit, partly down to inadequate investment in housing that stretches back for decades.

To claim that we are in the mess we are in now purely because of one party or just because of policies taken in the last 8 years is naive in the extreme. And until politicians admit that, this will happen again after they are done papering over the cracks. And next time it will be worse.

[Cyberman]

I realise you are not the brightest of people, and you have clearly not twigged some if not most of the problems inherant in the UK economy are due to borrowing - both personal and government. Low interest rates encourage personal borrowing, so if you had your way we would be an even bigger mess than we are now because people would have borrowed even more because they couldn't see the storm coming.

This problem has been 15 years in the making.

Low interest rates are not encouraging me to borrow, but are allowing me freedom to spend my ,money on other things rather than mortgage interest payments. You are very simplistic in your analysis. The majority of people will not be borrowing more because of low interest rates, but instead will be able to clear more of their existing debt. Perhaps you are not so bright yourself!!

[Cyberman]

Read it again, I am not denying that the snot goblin screwed up...but to say that the housing bubble is purely down to him is wrong. Supply and demand has had an impact too - and the increase in demand for housing ownership is partly down to the tory right-to-buy policiy, partly down to demographics and the break up of the family unit, partly down to inadequate investment in housing that stretches back for decades.

To claim that we are in the mess we are in now purely because of one party or just because of policies taken in the last 8 years is naive in the extreme. And until politicians admit that, this will happen again after they are done papering over the cracks. And next time it will be worse.

Come off it !! Don't you think that unlimited immigration might just have created a bit more demand for housing. Building more or less right to buy would have made very little difference to supply and demand.
The right to buy is a good thing and encourages people to have pride and invest in their homes and local areas rather than treating everywhere like a dustbin. You haven't got a clue.

[AtW]

Come off it !! Don't you think that unlimited immigration might just have created a bit more demand for housing.

So, the house price crash as it happens now has nothing to do with 125% morgages given to locals but actually was due to low paid Polish labourers who were buying houses left right and center?

[PM-Junkie]

Come off it !! Don't you think that unlimited immigration might just have created a bit more demand for housing. Building more or less right to buy would have made very little difference to supply and demand.
The right to buy is a good thing and encourages people to have pride and invest in their homes and local areas rather than treating everywhere like a dustbin. You haven't got a clue.

Merry Christmas

[Cyberman]

So, the house price crash as it happens now has nothing to do with 125% morgages given to locals but actually was due to low paid Polish labourers who were buying houses left right and center?

The house price crash (a 6.9% rise in prices in 2008 in my area, so no crash here) is down to many factors. Just a few are :

Banks reducing lending due to liquidity problems.

High interest rates for too long

HIPS which make people reluctant to advertise homes for sale

High taxes removing disposable income and plunging people into debt

A cyclical recession that was forseeable 18 months ago and which is causing massive job losses.
.................................................. ..............


Inevitably some people overborrowed, but they are in the minority and will now be learning the error of their ways. If you think that Polish labourers doing cash in hand work and self-certificated non-status mortgages have not bought houses then you are mistaken as usual Atw.

[Cyberman]

Thankfully I have a lot more of a clue than a racist pratt like you. The right to buy was STUPID without proportional investment in housing. That is a fact that has been widely acknowledged for over 10 years by people with a brain. Which is probably why you don't understand.

So, resorting to insults as usual shows a lack of intelligence on your part. I have made no racist comments at all, unless the use of the word 'immigration' is now considered racist in your little world.
The right to buy is still occurring today under this socialist government, so it appears that not that many people think it is stupid. No amount of house buiding could have kept up with an estimated 5 million legal and illegal immigrants over the past 11 years. Apologies for using that racist word 'immigrant' yet again, but it is impossible to debate sensibly without using words.

[AtW]

The house price crash (a 6.9% rise in prices in 2008 in my area, so no crash here) is down to many factors.

What's your postcode?

[PM-Junkie]

So, resorting to insults as usual shows a lack of intelligence on your part. I have made no racist comments at all, unless the use of the word 'immigration' is now considered racist in your little world.

Merry Christmas

[ferret]

The house price crash (a 6.9% rise in prices in 2008 in my area, so no crash here) is down to many factors. Just a few are :

Banks reducing lending due to liquidity problems.

High interest rates for too long

HIPS which make people reluctant to advertise homes for sale

High taxes removing disposable income and plunging people into debt

A cyclical recession that was forseeable 18 months ago and which is causing massive job losses.
.................................................. ..............


Inevitably some people overborrowed, but they are in the minority and will now be learning the error of their ways. If you think that Polish labourers doing cash in hand work and self-certificated non-status mortgages have not bought houses then you are mistaken as usual Atw.

So nothing to do with buyers needing a six to eight times salary loan to get a shoe-box style new build then? Houses aren't overpriced everyone, just that the banks have reduced lending. As soon as they get their cash flowing again we can all pile in...

As for interest rates being too high for too long, isn't it the low interest rates in the late nineties and so far this decade that allowed house prices to rocket in the way they have done?

I do not believe prices in your area rose by 6.9%, please tell us all the rough area so we can check it out. Until you can back this up it is just hot air.