Recovery of the Housing Market will come Quickly

Dithering_Dad

keeprenting wrote: »

The banks.

They've got a major hangover now. Well except those who were sensible and had 'soft drinks' and stood back watching the excesses of the other banks, tutting and rolling their eyes like Mrs Dither does with me on a night out.

If the banks feel as ill as I do after a big party, then they're really suffering!

Turnbull2000

michaels wrote: »

Just like to point out at this point that some of those who can only see prices falling are the very same people who accused the 'HPI Crowd' of myopia when they could only see prices rising?!

If the banks are in such trouble why have the fixed rate spreads fallen in line with the libor spread over the last few weeks?

HPI crowd = prices rising and staying beyond average levels
HPC crowd = prices falling and returning in line with average levels

Bit of a fundamental difference there.

dudleyboy

Just as long as they don't come knocking on my door for a fruit smoothie and some paracetamol...

Having spent the best part of the last decade paying off my own debts (and building a deposit fund) I'm loathed if I'm going to spend the next decade paying off other peoples'! :mad:

polaroid

just to butt in!! - i ve just read the other posts with interest. i think there are so many mixed messages because nobody really has a clue what the banks or gov are going to do, we dont know how bad it is, how much worse it may get or when/ if it will recover. all i know is I have had my house on the market since January, we have had offers but then people struggled to get the finance, i was begining to lose the will to live as all my money is tied up in the property, then this weekend someone came round out of blue and has put in a reasonable offer, i have accepted and they have this morning shown proof of funds and want to complete within 4 weeks. so, people still have to move and the market is still moving to some extent...i think people are making their own minds up now

FraudBuster

I'm loathed if I'm going to spend the next decade paying off other peoples'!

But you will.

Northern Rock.

keeprenting

dudleyboy wrote: »

Just as long as they don't come knocking on my door for a fruit smoothie and some paracetamol...

Having spent the best part of the last decade paying off my own debts (and building a deposit fund) I'm loathed if I'm going to spend the next decade paying off other peoples'! :mad:

I wouldn't joke. The banks greatly enjoyed their decade-long party, paid for by priced out FTBs and homeowners paying monthly interest on ridiculous sums. They are now demanding to be bailed out by the same taxpayers they have been ripping off for the past decade. See the CML's repeated demands for a government bailout. They want the government to guarantee the mortgages they offer. The effect would be that the banks can start making silly loans again, so they can keep the housing bubble inflated and continue to take home interest payments on gargantuan sums - but the government (read: the taxpayer) would take the capital risk on those loans. A scam run by the banks at the expense of taxpayers.

Generali

dudleyboy wrote: »

I'm loathed if I'm going to spend the next decade paying off other peoples'! [debts]

Oh there's not just Northern Rock that you'll have to pay off. All these banking losses will have to be paid for somehow. Then there's all those lovely liabilities and debts that successive Governments have been building up over the past 100 years. They'll need to be paid and serviced. And the Baby Boomers' pensions.

Then there's what ever half bottomed scheme that the Government puts together to try to 'rescue' the housing market. I hope that they stop at tinkering/scrapping stamp duty but I'm sure they won't or at least they'll try not to.

Finally it looks likely that there's going to be a massive welfare bill heading our way as people lose their jobs. I've been laid off and I'm having a helluva time trying to find anything.

baby_boomer

Generali wrote: »

And the Baby Boomers' pensions..

And MP & public sector workers' pensions of all generations .

neverdespairgirl

Generali wrote: »

I've been laid off and I'm having a helluva time trying to find anything.

Sorry to hear that - hope you find something soon.

WTF?_2

Generali wrote: »

Oh there's not just Northern Rock that you'll have to pay off. All these banking losses will have to be paid for somehow. Then there's all those lovely liabilities and debts that successive Governments have been building up over the past 100 years. They'll need to be paid and serviced. And the Baby Boomers' pensions.

Then there's what ever half bottomed scheme that the Government puts together to try to 'rescue' the housing market. I hope that they stop at tinkering/scrapping stamp duty but I'm sure they won't or at least they'll try not to.

Finally it looks likely that there's going to be a massive welfare bill heading our way as people lose their jobs. I've been laid off and I'm having a helluva time trying to find anything.

Good luck on the job hunting.

Yes - we will (in fact, are) all paying for the fatcat bozos who had an almost decade-long party.

The main galling factor is the "Privatise the profits, socialise the losses" ethos that these weasels follow. The regulatory system has failed us, bigtime. Much of the banks losses comes from frankly stupid lending that should never have been allowed. There's plenty of evidence around to suggest that risk management was thrown out the window by the big boys in the face of the pressure to pump profits and bonuses up even more - but I doubt we'll see any FSA investigations into that somehow.