GG's solution

Gorgeous_George

A few things that the Government could do to make things better.

1. Force lenders to offer a deal that costs no more than BofE BR+1% (and no fees) to any borrower who comes to the end of a fixed rate and who has not missed a payment.

2. Re-introduce the credit controls that the Tories canned (10% deposit required).

3. Gifted deposits outlawed (punishable by a fine up to 5 times the gifted deposit).

4. Force lenders to increase the term of the mortgage to normal retirement age for all borrowers so requesting it.

5. Build more council homes.

6. Force LLs to give a year's notice to end a tenancy where the tenant has paid in full, on time and has met all the other conditions of the tenancy.



GG


ETA: Tighten the bankruptcy rules.

ETA:
7. Force lenders to allow borrowers to carry their negative equity forward to a new home (subject to affordability criteria being met).

ad9898_3

or

Sellers could just face reality that 2007 prices have gone for a generation and instead of dragging this out over years, just reduce their prices.

I sold to rent and wouldn't touch this market with a barge pole and with BTL'ers being dead men walking, the market has to bring in people like me.

Gorgeous_George

ad9898 wrote: »

or

Sellers could just face reality that 2007 prices have gone for a generation and instead of dragging this out over years, just reduce their prices.

Only one party needs to face reality. It doesn't matter if it is sellers or buyers.

Sellers who bought over recent years have no choice but to demand top dollar as they have mortgages to clear.

GG

Rover

Gorgeous_George wrote: »

Sellers who bought over recent years have no choice but to demand top dollar as they have mortgages to clear.

GG

Sellers can demand any price they wish. Whether said price will be achieved is quite another.
Actual selling prices are just starting a two year slide, it is inevitable. And furthermore, I'm sure you're quite aware of this GG.

Plasticman

Plasticman's Solution

A few things the govenment could do to make things better:

1. Resign

that'll do for now.....................

Realy

How about troubled banks are forced to sign their assets over to the goverment (EG comercial property etc) in return for funds and they have to rent or buy them back. (see how they like it.)

Gorgeous_George

Plasticman wrote: »

Plasticman's Solution

A few things the govenment could do to make things better:

1. Resign

that'll do for now.....................

That wouldn't help at all...

... we'd only get another one.

GG

Gorgeous_George

Rover wrote: »

Sellers can demand any price they wish. Whether said price will be achieved is quite another.
Actual selling prices are just starting a two year slide, it is inevitable. And furthermore, I'm sure you're quite aware of this GG.

I fully agree but sellers who owe 95% of their asking price to a lender cannot sell for 94% without paying the 1% difference.

They will probably chase the market down and will sell cheaply as a last resort when they are desperate. I don't like any decent human being being desperate.

GG

ad9898_3

Gorgeous_George wrote: »

Only one party needs to face reality. It doesn't matter if it is sellers or buyers.

Sellers who bought over recent years have no choice but to demand top dollar as they have mortgages to clear.

GG

So basically what they are after doing is passing on their huge amount of debt to some other sucker, I don't think its going to work. They will have to stay where they are and hope, unemployment, illness, divorce or a death doesn't come knocking on their door.

Generali

Gorgeous_George wrote: »

A few things that the Government could do to make things better.

1. Force lenders to offer a deal that costs no more than BofE BR+1% (and no fees) to any borrower who comes to the end of a fixed rate and who has not missed a payment.

All scarce things must be rationned in some way, that is the very first thing you learn if you study economics and probably the only thing you learn that is unarguably correct. I reckon funds available to be lent are finite although I'd be happy to argue the toss.

So if funds are finite and you aren't going to allow lenders to ration using price, how will you ration mortgages? The only way I can see it being done is if the Bank of England will lend at the base rate to the banks up to the entire amount of all of the mortgages they are being forced to write.

If funds are inifite, why do we have a credit crunch and why does anyone pay to borrow money?

neverdespairgirl

Gorgeous_George wrote: »

That wouldn't help at all...

... we'd only get another one.

Whoever I vote for, the government always wins...