Proposed mortgage cap 'suicidal' say 'property experts'

wolvoman

A quick question to those advocating this as a good idea and suggesting the initial short-term pain is worth it. Will you be suffering the pain or are you suggesting other people should suffer it?

Hmmm.... thought so.

Next topic.

dopester

wolvoman wrote: »

A quick question to those advocating this as a good idea and suggesting the initial short-term pain is worth it. Will you be suffering the pain or are you suggesting other people should suffer it?

Hmmm.... thought so.

Next topic.

I've already suffered the pain during the crazy boom years as house prices went in to orbit, and became crazily over-valued, which forced me to rent and wait for the crash.

Now it is someone else's turn. The endless party is over. Clean up and accept your heavy hangover.

wolvoman

dopester wrote: »

I've already suffered the pain during the crazy boom years as house prices went in to orbit, and became crazily over-valued, which forced me to rent and wait for the crash.

Now it is someone else's turn. The endless party is over. Clean up and accept your heavy hangover.

What pain have you suffered?
You rented for a few years, saved up some money.

I cannot see where all this vitriol and hatred comes from. Unless of course it is jealousy.

Max_Headroom_3

Really2 wrote: »

Are you not sacrificing family's for single people?

I could only afford the same house as a single counterpart in that case so what would happen to familys?

surely a single person does not need the same property as a family?

How does your earned pound go further just because you have a family? Surely the reverse is true?

We're back to the same thing, affordability. Claiming people should be lent more because they have a family is just bizarre, their pound is still worth the same.

Different perhaps if joint incomes, but then that second income is taken into account so there's already scope to lend more in those circs.

piggeh

What's wrong with a single person buying a 3 bed semi? Though to be honest I would imagine a lot of them would also buy a cheaper one bed and pocket the difference to enjoy themselves, I don't know why one would be more deserving than the other - if they are both contributing the same to the economy then they should both have the same choices open to them.

Wouldnt it be better if families did not need two wages for living costs anyway? If you could get a 3 bed semi and support your family on one wage, whilst your partner brings up your children, is this not preferable to both parents working and sending their kids to childcare?

Pobby

You know, reading all of this, I have to wonder if all this property crisis could have been averted if
1. Deposits of a minimum of 10% had been required ( just like the old days )

2. Loans were based on strictly 3.5 x salary ( just like the old days )

Hmmm, I wonder!

Max_Headroom_3

WestonDave wrote: »

What about approaching this from a different angle.

The problem with the high levels of debt was that they were based on very high percentages of underlying assets, and high multiples of earnings, and in the end when those inevitable weaknesses came to light lenders didn't have the reserves to cope.
.

Surely it's the borrowers that we need to make sure have the reserves to cope?

Being unable to pay back a loan should not be a common issue, it only is in many instances because many people borrowed way too much.

Really2

Max_Headroom wrote: »

How does your earned pound go further just because you have a family? Surely the reverse is true?


Different perhaps if joint incomes, but then that second income is taken into account so there's already scope to lend more in those circs.

Was that not i was implying.

At 3X single or 2.25X joint a single person as the same buying power as your average working couple.

Max_Headroom_3

wolvoman wrote: »

A quick question to those advocating this as a good idea and suggesting the initial short-term pain is worth it. Will you be suffering the pain or are you suggesting other people should suffer it?

Hmmm.... thought so.

Next topic.

Maybe we were careful not to put ourselves in the way of pain in the first place?

I'm in the process of being made redundant so I know about pain, but I live modestly in a small house, have spent much less than I could have, and am reasonably well placed to cope.

So no I wouldn't feel the "pain" if house prices dropped, but that doesn't make my view any less valid.

We NEED to get back to sensible lending, we need to learn from the HUGE mistakes that have been made.

Really2

piggeh wrote: »

What's wrong with a single person buying a 3 bed semi? ?

Whats wrong with a family of 4 in a 1 bed flat?

Making presure on certain propertys causes HPI!