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Debate House Prices
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How times have changed....
Comments
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Stevie, its harder now for FTBs that its ever been, not even the rates are that good;
http://www.guardian.co.uk/business/2009/jun/13/mortgage-first-time-buyerd
I agree but that is more to do with deposits, If you are comparing it to around 1995 it is more expensive but if you compare it to 1988/ 1989 it is relatively far cheaper, even with the higher rates for a 10% deposit. (I would make it about 20% cheaper now than then).'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher0 -
1988/ 1989 was the top of a house price boom, was it not?Hello.0
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1988/ 1989 was the top of a house price boom, was it not?
Yes, just as 95 was the bottom
'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher0 -
It is a good job interest rates are a lot lower than they were then, why do people keep ignoring this?
Why do you insist on ignoring the full picture?
Low interest rates are a flash in the pan. And your ignoring the lack of mortgages out there.
House prices however are not a flash in the pan.
It's interesting how you try to persuade us that house prices are normal now, and interesting the measures you will go to to do so.0 -
Graham_Devon wrote: »Why do you insist on ignoring the full picture?
Low interest rates are a flash in the pan. And your ignoring the lack of mortgages out there.
House prices however are not a flash in the pan.
It's interesting how you try to persuade us that house prices are normal now, and interesting the measures you will go to to do so.
Low interest rates have been around for about 14/15 years. Hardly flash in the pan. And they spent several hundred years at around 4%.
Maybe it's the rates of the 70s/80s that are flash in the pan?0 -
It all depends what happens to this "Quantitive Easing".
In the 1930's rates stayed low (and people stayed out of work until a combination of technology and war got the economy going again).
In the 1970's Ted Heath (note not a Labour man) made noises like Margaret Thatcher but actually funked it and tried to keep our no oil economy going by deficit financing.
The result was a sort of lost decade of inflation, with "restructuring" delayed until the 1980's. Inflation rates were mirrored in high interest rates, but in fact they were often negative in real terms!
The 1970's were a good time to have a new technology job and a big mortgage (in hind sight). The City of London became the World's largest computer centre on the strength of American dollars from the Vietnam war. These went into sky high oil prices, then sloshed about, trying not to go back to USA. Meanwhile Britain's metal bashing industries lost the plot. (think Motorbikes and Cars) We had got a lot of flack from certain quarters for not joining in the war - but I think individuals could go over there and volunteer if they really wanted death of glory.
Who knows what will happen in the next decade - how much do you want to gamble especially if you have a wife and children and doubly so if you have children but no spouse. You have given hostages to fortune.
I think the difference this time is that everyone who works in the market economy knows that in the global economy it might be necessary to have high technical skills and be prepared to work for lower rates (or your job goes to India/China/Vietnam).
In the 1970's devaluation and pay cuts were seen as a measure of macho failure by politicians and union leaders respectively.
Unfortunately only a little over half of us work in a market economy and we are all subsidised by our own taxes in one way and another.:rolleyes:
(Yes I get a bus pass and a heating allowance)0 -
Low interest rates have been around for about 14/15 years. Hardly flash in the pan. And they spent several hundred years at around 4%.
Maybe it's the rates of the 70s/80s that are flash in the pan?
Oh my good lord.
How desperate is that.
Name me ONE time when interest rates were sub 2%?
I'm not asking for a wealth of information, or even links to your source. I'm just asking you to name one single year when they were sub 2%....and I'm being generous, could have said sub 1%.0 -
Graham_Devon wrote: »Oh my good lord.
How desperate is that.
Name me ONE time when interest rates were sub 2%?
I'm not asking for a wealth of information, or even links to your source. I'm just asking you to name one single year when they were sub 2%....and I'm being generous, could have said sub 1%.
I was basing my calcs on current mortgage rates of 6-7% for a 90% mortgage for FTB sub 2% rates are not really relevant to them ATM. 'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher0 -
I was basing my calcs on current mortgage rates of 6-7% for a 90% mortgage for FTB sub 2% rates are not really relevant to them ATM.
PMSL.
Your calculations change from one thread to the other. The other day the low rates were 3.99%, best time to buy a house. Now, the "low" rates are 6-7%.
What do we call the new average then, considering you are now calling 6-7% low?
I talked about people changing things as they see fit, then you go and call low, above average :rotfl::rotfl:
Your way of measuring house prices is to take "every" house, apart from X Y and Z.
No wonder we never see eye to eye. I can never understand what you are basing things on from one thread to the next, but, one thing you do do, is base them on something completely different to everyone else.0 -
Graham_Devon wrote: »PMSL.
Your calculations change from one thread to the other. The other day the low rates were 3.99%, best time to buy a house. Now, the "low" rates are 6-7%.
Could please point me to the thread where I said FTB with 10% deposit will get 3.99%
Come to think of it, a thread where I where I mention 3.99% will be a start 'Just think for a moment what a prospect that is. A single market without barriers visible or invisible giving you direct and unhindered access to the purchasing power of over 300 million of the worlds wealthiest and most prosperous people' Margaret Thatcher0
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