Things getting worse?

Bf109

pandamonia wrote: »

so what?

im not talking about them being forced to lend im talking the ones that have had help.

its shameful that the best ones on the market were from a building society.

now they are disappearing too

So banks supported by the taxpayer should be allowed to compete with decent institutions that didnt behave in an appalling manner for short term gain?

What is so shamefull about building societies? Are they in some way dirty or below you?

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pandamonia wrote: »

well its good for me looking to buy "eventually" but the majority are home owners and they wont be happy with their home losing 50% of its value.

bankruptcies will rocket and the economy will get worse.

The bubble had to pop, the fallout in the short term for some will be not be good, which is unfortunate, in the long term however, the economy will benefit enormously, people will actually have a life instead of being a slave to debt.

Cat695

pandamonia wrote: »

what you fail to understand is that this market is built on people with 10% deposit. a sudden shift to 25% will cause a lack of buyers and prolonged period of sustained falling prices.

imagine a 22yo who needs to start saving. they will be forced to save for 2-3 times as long causing a lack of buyers. so prices will have to fall to reflect the lack of new buyers

What your failing to understand that banks don't have endless cash flow....if they keep lending at 10% then they will have less money to lend (which is what has happened) so by making it 25% it gives the banks more cash to lend out.....

basically they are punishing the people who haven't bothered to save larger deposits.......which inturn will force house prices down.....which will kick start the market again.....though this will obviously not happen over night

People need to realise the only way to kick start the market again (housing) is to lower prices....it really is as simple as that because 10% deposits become 20/30% and banks will lend

Trollfever

imagine a 22yo who needs to start saving. they will be forced to save for 2-3 times as long

Before the CML decided to remove their statistics from public view in January, the average age of a FTB was 29.

pandamonia

Bf109 wrote: »

So banks supported by the taxpayer should be allowed to compete with decent institutions that didnt behave in an appalling manner for short term gain?

What is so shamefull about building societies? Are they in some way dirty or below you?

i didnt say that.

i meant that its the little guys who are looking the best value. You would of thought the big banks to be offering decent deals.

Bf109

pandamonia wrote: »

How about the £1500 fees on some mortgages? the rates at 5-7 times the baserate. 40% deposit required. This amounts to profiteering.

im not talking about money from taxpayers im talking in general.

the market cannot be sustained for prolonged periods of this criteria.

people with 40% deposit will have their equity eroded to nothing because banks are being over protective now.

No, tell me which banks are making a profit. Not the ones you percieve to be offering poor deals for your own purpose.

And do you think "the market" could be sustained lending 125% self-cert mortgages to anything with a pulse? Or do you think that what caused the problem in the first place?

Whats is this "the market" you talk about anyway?

As to prices going down another 40-50%, GOOD! Sky-high house prices have torn apart the fabric of our society. Mothers being forced to commute for 4 hours a day, then work another 12 hours, just to pay the frikkin mortgage on a tiny shoe box.

Meanwhile our children are the unhappiest in the developed world, ignored and disregarded by a society more obsessed with pwoberty than their own children.

I hope houses end up worth mere pennies. For the good of our country and our society, I sincerely hope this comes to pass.

Bf109

pandamonia wrote: »

i didnt say that.

i meant that its the little guys who are looking the best value. You would of thought the big banks to be offering decent deals.

Who says building societies are small? Nationwide is a BS. The big banks cant lend because they are broke. They are poor. If RBS was an african child, it woul have flies in its eyes and no goats.

And I'm, sorry but you did imply that bailed out banks should be competeing with sane BS's and banks.

pandamonia

Bf109 wrote: »

No, tell me which banks are making a profit. Not the ones you percieve to be offering poor deals for your own purpose.

And do you think "the market" could be sustained lending 125% self-cert mortgages to anything with a pulse? Or do you think that what caused the problem in the first place?

Whats is this "the market" you talk about anyway?

As to prices going down another 40-50%, GOOD! Sky-high house prices have torn apart the fabric of our society. Mothers being forced to commute for 4 hours a day, then work another 12 hours, just to pay the frikkin mortgage on a tiny shoe box.

Meanwhile our children are the unhappiest in the developed world, ignored and disregarded by a society more obsessed with pwoberty than their own children.

I hope houses end up worth mere pennies. For the good of our country and our society, I sincerely hope this comes to pass.

it has been stated before that the UK mortgage market is highly profitable for banks its the US market thats caused the huge losses and now we are paying for it. by over charging us they are propping up their balance sheets.

RBS has been making alot of money in the uk market and still does. their losses are not from this market.

So its us that is bailing them out and us that is propping up their profits per mortgage.

Personally i dont care if houses fall in price to a very very low level since i will benefit.

im just talking subjectively.

RecoveringAlcoholic

RBS may not have any goats, but it has got Fat Cats.

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Bf109 wrote: »

As to prices going down another 40-50%, GOOD! Sky-high house prices have torn apart the fabric of our society. Mothers being forced to commute for 4 hours a day, then work another 12 hours, just to pay the frikkin mortgage on a tiny shoe box.

Meanwhile our children are the unhappiest in the developed world, ignored and disregarded by a society more obsessed with pwoberty than their own children.

Amen to that.