Tackling them debts

[AtW]

so we'll see what happens next

We won't just see it, we'll feel it!!!

[AtW]

I'd expect some sort of inflationary monetary policies of the sort that will justify my next renewal coming with a 20% hike.

We live in strange times, where inflation applies to - fuel, food, rent, transport etc.

On the other hand deflation applies to - wages, plasma TVs.

[AtW]

Banks have tightened up their interest only lending criteria (too far in my opinion) because of a few instances where people took out interest only mortgages many years ago and chose to bury their heads in the sand favouring lower repayments each month to support better lifestyles

Banks still lend way too high multiples. If they had not done so then property bubble would not have happened in this country because nobody would be able to buy at inflated prices (other than rich foreigners).

Interest only mortgages defy common sense and should not exist in principle and in any case deposits must be sufficiently high to ensure people act responsibly.

So what did Govt do?

1) helped reduce deposits to 5% by putting tax payer on the hook for any losses
2) keeps rates very low to maintain bubble - so now those who buy now won't have a chance to service debts when rates go back up to 5% where they belong.

[amcdonald]

So what did Govt do?

1) helped reduce deposits to 5% by putting tax payer on the hook for any losses
2) keeps rates very low to maintain bubble - so now those who buy now won't have a chance to service debts when rates go back up to 5% where they belong.

It's all about creating financial timebombs for the next party to inherit, as the electorate only thinks shortterm is it any wonder those in government act likewise

[AtW]

It's all about creating financial timebombs for the next party to inherit, as the electorate only thinks shortterm is it any wonder those in government act likewise

Indeed.

Electorate is just cannon fodder caught in cross fire and this time they are going to nuke from orbit to be sure...

[sasguru]

atw you make me laugh. Still renting after all this time, and now prices are going to accelerate again.
If you had bought a house in the early noughties, it would have made more money for you than SKA has to date.

[Doggy Styles]

So AtW, you have no reason for posting this other than to try and make a non-existent point about the economy from short-term ups and downs.

[scooterscot]

One of two things will happen

We pay them off over the next 50 years (optimistic)

Cap in-hand to the IMF and declare ourselves bankrupt (which we are)

Or third option, sell London to Saudi.

[AtW]

So AtW, you have no reason for posting this other than to try and make a non-existent point about the economy from short-term ups and downs.

My apologies for quality of my posts being radically different from that degenerate sockie of yours that posts inane tulip about trains

[AtW]

Or third option, sell London to Saudi.

They prefer to rent...