House prices may never recover...

themanbearpig

WhiteThierry wrote: »

much as i hope you're correct, the pessimist in me thinks all the incessant ramping by the press will somehow create another bubble, i just think the press and the public by and large have already forgotten the current mess and how it started, seems like everyone loves the boom, but no-one wants the bust.

Totally agree. Even the FTBers are upset that the banks wont lend them huge sums to buy an overprice house. What they dont see is that they are just getting mugged by the generation above. The property market is just one big ponzi scheme.

ad9898_3

WhiteThierry wrote: »

much as i hope you're correct, the pessimist in me thinks all the incessant ramping by the press will somehow create another bubble, i just think the press and the public by and large have already forgotten the current mess and how it started, seems like everyone loves the boom, but no-one wants the bust.

Relax, the bubble cannot be reinflated at this time, or in the near to medium future, the reason is simple, the funds do not exist to create it, even if people are silly enough to want it. Funding is expected to be around 50% of what was available in 2007. The 'new' money that the government is crowing about is a drop in the ocean.

Sure it makes a big headline, but to put it in perspective HSBC's 'new' £1 billion of funds would keep the market going in 2007 for 1 day !! , mortgage approvals are under a third of what they were in 2007, consider the kitchen sink that has been thrown at this 'problem' since it started by the government, yet it has little impact, except maybe to drag the whole thing out longer.

The bubble has gone, relax, you have years and years before the next can be created.