First it was dead cat bounce

shakerbaby

nearlynew wrote: »

The problem was the boom / bubble, not the subsequent bust we are seeing now.

Why didn't anyone think of people wanting to trade up, start a family etc, then?

The bulls didn't want to think about it then because they weren't losing £££'s daily. :j Funny how money presses the mind. :rotfl:

Dan:_4

shakerbaby wrote: »

The people who get trapped in NE can simply put their lives on hold as many others have. :beer:

Other industries will blossom. Why are the building and construction ones so special?

And cheap houses benefit ALL not just me. :T

It's not always appropriate to put their lives on hold, for example, if they are trying to raise a child in a 1-bed flat.

I mentioned the building and construction insudtries because they are related to houses, and will be affected by your crash.

A house price CRASH does not benifit all - people will have to lose out for you to benefit.

shakerbaby

Really2 wrote: »

Sorry if you evaperate 50% of the value of houses you have just wiped out every job and bank.

could you explain the benefit for others than just you or a FTB. (but the country going bust I do not see as beneficial to either)

Less money spent on financing an extortionate mortgage frees up more to be spent in the economy thus creating opportunities and employment. :rolleyes:

Really2

Its

Bearwars

Attack of the VI's

This forum does make me laugh.

Dan:_4

Anyway, we have had a house price crash of 20% - this is more then the 1990s. If you still can't afford to buy, then maybe home ownership is not for you.

Really2

shakerbaby wrote: »

Less money spent on financing an extortionate mortgage frees up more to be spent in the economy thus creating opportunities and employment. :rolleyes:

What about the wiping out of 50% of the country's wealth and failure of all banks in the process as they could not afford to keep up with the writedowns.

Did you not think of that.... Oh no you didn't.

I don't belive people think you can wipe out the value of property without it have wider implications.
Also do you not think mortgage payments come back in to the economy anyway. (people employed at banks, tax, investment, new loans etc.)

I take you just sold your last house at 3.5X the average wage in your area?

Dan:_4

shakerbaby wrote: »

Less money spent on financing an extortionate mortgage frees up more to be spent in the economy thus creating opportunities and employment. :rolleyes:

What happens to everyone with more then 50% LTV?

nearlynew

Dan: wrote: »

A house price CRASH does not benifit all - people will have to lose out for you to benefit.

The crash itself will mean there are losers, yes.

But the subsequent lower prices and, hopefully, a more stable and sustainable economy will bring long term benefits for all.

Both economically and socially.

shakerbaby

Dan: wrote: »

Anyway, we have had a house price crash of 20% - this is more then the 1990s. If you still can't afford to buy, then maybe home ownership is not for you.

I don't believe it's over. With rising unemployment the next leg down is in the pipeline.

Really2

shakerbaby wrote: »

Less money spent on financing an extortionate mortgage frees up more to be spent in the economy thus creating opportunities and employment. :rolleyes:

I take you just sold your last house at 3.5X the average wage in your area?