Wake up...... IT'S OVER

ukcarper

Average house prices in surrey have never been 3.5 average salary not since the war anyway and rampent house price inflation can happen with low multiplies it did the early 70s.

macaque_2

Dan: wrote: »

Is this that article someone dug out from the Daily Mail, and no one had ever heard of this 'Respectable Researcher' oh, and he said Britain would be Bankrupt by next year?

An emotional outburst but somewhat lacking in substance. By the way, the article was 'dug out' from the Times.

http://www.timesonline.co.uk/tol/news/uk/article5908388.ece

Take a tip from me and do a little bit more homework next time.

saveallmymoney

Everyone calm down, its just a bear trap. Mortgage securitisation is gone forever..

chucky

macaque wrote: »

An emotional outburst but somewhat lacking in substance. By the way, the article was 'dug out' from the Times.

http://www.timesonline.co.uk/tol/news/uk/article5908388.ece

to be fair Macaque that 'wealth' that was lost never really existed - it was equity that was built up in a property. it's only wealth or even a loss if you materialise it and sell the property.

it's just as stupid people bragging about HPI in their property previously it's just the stupid that brag about house price falls.

pensions is a bit different but similar in that you only really need to materialise this wealth when you go to buy an annuity or even a few years before when you prepare to do so.

Oblivion

wolfman wrote: »

The age of borrowing unrealistic amounts is over. People can now only borrow reasonable amounts, and this will go on for quite some time. Because of this, house prices will continue to drop until they reach an affordable level.

You can spout your experiences with little evidence or information, but I can bet there are plenty more people that can spout the opposite in this current climate.

When will people realise cheaper houses benefit everyone.

I was chatting with one of our local estate agents this week after he had shown some clients around a property near us.

He confirmed that things were slow, but that his business was now experiencing a lot of interest from foreign cash-rich buyers who were keen to snap up a bargain and take advantage of the weak pound. It might well explain why there are 'sold' boards going up, but few stories of successful British buyers.

Dave.

chucky

saveallmymoney wrote: »

Everyone calm down, its just a bear trap. Mortgage securitisation is gone forever..

have you been seeing the ABX markets?
once the mark-to-market decision comes out they will be moving one way and that's upwards

Dan:_4

macaque wrote: »

An emotional outburst but somewhat lacking in substance. By the way, the article was 'dug out' from the Times.

http://www.timesonline.co.uk/tol/news/uk/article5908388.ece

Take a tip from me and do a little bit more homework next time.

The article you refer to is also lacking in substance.

Also this is not the same article you referred to in post #58. Today's article from the Times mentions:

Last week Numis Securities, a City investment bank, warned that property prices could fall a further 55%.

but is not the headline article posted last week from the Mail

lostinrates

I guess we'll all find out in the coming months whether its a bull trap or not. I don't consider my self sophisticated enough to make a guess. I'm looking more actively, and yes, I am seeing things move...I'm also noting more reductions. Personally my intentions remain the same as it pretty much always has been: to try and buy something suitable when it arises but NOT to jump on to something that I can't make work longish term for the sake of buying in what might be a very short term recovery, at a very precarious time in the ''global economic picture''.

Pobby

Surely whatever is happening the silly low rate of .5% base rate must have a bearing on all this. I am sure the " they won`t let it happen " brigade are out there and if they can get a mortgage they would be tempted to buy. However, I really can`t see that the base rate can remain low for too long. Me, I am not clever when it comes to the subject, but I can`t see any asset right now that is producing a decent return.

Mind you, if I can corner the market on sock puppets, that might well change!

mp2

chucky wrote: »

i think that you could be wrong have you seen the comments out of Citigroup and Bank of America?? they may have been in trouble but not now is a different story...

Bank of Amwerica is predicting £36,000,000,000 profit this year - that doesn't sound bankrupt does it
http://uk.biz.yahoo.com/13032009/140/banking-giant-profits-spark-turnaround-hope.html

all the investment banks are bankrupt, citi and boa are high street banks but they were also bankrupt, which is why they have had to take money off the government to prop them up. both shares are trading at just above $1 on the stock markets which is essentially priced as a nothing company in american terms.

in any event no investment bank will be creating risky loans anymore. that market has gone forever.
if you want a loan it will just be normal high street loans based on normal high street bank standards, like the days (pre 1999) before all this off the balance sheet financially engineered loans.