Reply to: House prices are BOOMING!!!!!!!!1

[mcquiggd]

Well, frankly, she isn't much to write home about...

[Joe Black]

I really enjoyed Sarah Beeny's prog last night.

She'd found a new ager who was concerned about putting crystals under the floorboards and taking all the internal walls out of 3 stories of her house.

And a pair of space cadets (one was an astronomer) who were into recycling bits of tat out of skips....

Mind boggling.

You were watching Sarah Beeny and that's all you remembered from the programme?

Young lizards of today and all that...

[BlasterBates]

I did hear on the grapevine that the Government was thinking of recognising families with multiple husbands, who would then share the burden of a mortgage.

[hyperD]

I really enjoyed Sarah Beeny's prog last night.

She'd found a new ager who was concerned about putting crystals under the floorboards and taking all the internal walls out of 3 stories of her house.

And a pair of space cadets (one was an astronomer) who were into recycling bits of tat out of skips....

Mind boggling.

Don't you get the feeling that these people are victims of school's insistence that the science curriculum is too expensive and could lead to lower performance results and hence should be scrapped?

[hyperD]

House prices - "To infinity and beyond!"

Sounds better than "We're doomed!"

[DimPrawn]

It's incredible. Think, in 100 yrs, the average 3 bed semi can be paid off and the equity would be enough to buy a small 3rd world country or large tropical island.

Everyone in the UK will have the wealth of Bill Gates.

All through the diligence and skill of Gordon Brown. Gawd bless im.

[The Lone Gunman]

...well I've finally capitulated, for the last three years I've been waiting for a housing crash, but it aint going to happen, I now predict that house prices will rise indefinitely at 10% a year.

Heck if I lived in the UK I wouldn't work I'd just live off the capital increases take out bigger mortgages, paying off the bigger mortgage with an even bigger mortgage the following year.

With your ability to read the market I am now considering selling. If beans agrees with you I am selling and moving abroad.

[hyperD]

Don't you get the feeling that your "perceived wealth" isn't worth quite as much as it was ten years ago? Perhaps fractional reserve banking has something to do with it...

[DimPrawn]

House prices - "To infinity and beyond!"

Sounds better than "We're doomed!"

[BlasterBates]

...well I've finally capitulated, for the last three years I've been waiting for a housing crash, but it aint going to happen, I now predict that house prices will rise indefinitely at 10% a year.

Heck if I lived in the UK I wouldn't work I'd just live off the capital increases take out bigger mortgages, paying off the bigger mortgage with an even bigger mortgage the following year.

[hyperD]

The next step is to introduce 100 year or family mortgages that can be passed on to your kids.

Yes, happened in Japan with a low/zero interest rate, slowdown in consumer spending economy. No reason why it shouldn't happen here.

[The Lone Gunman]

Don't laugh: the Ruskies did that to the Hungarians.

re: 8% - with wage rises ~ 3% you would expect a market correction/slowdown unless of course there is pressure on demand, such as immigration.

The correction has been avoided due to lenders changing policy.
According to a report I read on the BBC yesterday (cant be arsed to find it again for a link) lenders are now willing to loan 6 times salary as opposed to the 2.5 it used to be. This is allowing the bubble to expand.
Obviously this can't go on forever. The next step is to introduce 100 year or family mortgages that can be passed on to your kids.

As long as mortgages are affordable the price will keep on rising.
Apparently all the pointers for a stable economy for the lenders are good. Low inflation, steady/low unemployment and steady interest rates are all part of it.
<Anybody else see a slight problem here?>

Dont shout at me I am only relaying what I read.

[hyperD]

That is until the New Lie in 2010 bring in the "home ownership fairness initiative legislation" which means all homes are snatched by the government and then handed to the 15,000,000 asylum seekers.

Don't laugh: the Ruskies did that to the Hungarians.

re: 8% - with wage rises ~ 3% you would expect a market correction/slowdown unless of course there is pressure on demand, such as immigration.

[DimPrawn]

What's interesting is over the same period, average pay WILL NOT match 8%, making home ownership less and less affordable.

That is until the New Lie in 2010 bring in the "home ownership fairness initiative legislation" which means all homes are snatched by the government and then handed to the 15,000,000 asylum seekers.

HTH

[Joe Black]

Average house prices in England could rise from £195,000 to nearly £290,000 by 2011, research from Oxford Economic Forecasting (OEF) has said.

On a back of the fag packet calculation that works out as just 8% per year.

The numbers sound nice, but I'm in two minds as to whether anyone should get excited about it.

On the HIP side of things, does this mean NL might actually consider bringing in something useful instead?