Wealthier? Or deeper in debt?

[Deleted User]

noyk wrote:

The statement "House price increases benefit nobody" was perhaps too broad, house price increases benefit EA's, banks and property developers but no one else (the vast majority).

You missed 1 other - who perhaps benefits most from HPI. The government, who benefits most by the grossly unfair IHT.

RHemmings

noyk wrote:

The statement "House price increases benefit nobody" was perhaps too broad, house price increases benefit EA's, banks and property developers but no one else (the vast majority).

I've just noted this one. I'd like to point out that the statement "House price increases benefit nobody" was a straw man. Nobody in this thread ever claimed anything even remotely resembling this.

http://en.wikipedia.org/wiki/Straw_man

chris83_2

lindabea wrote:

You missed 1 other - who perhaps benefits most from HPI. The government, who benefits most by the grossly unfair IHT.

I'm not pro-government or otherwise before you bash me, but if there was no Inheritance Tax it would exaggerate the rate at which the rich become richer and the poor become poorer. That doesn't benefit anybody apart from the super-rich. So it may seem unfair to your children that you are unable to give them all of what you have worked for over your life, but trust me society is better for it and we are all better off for it in the long run.

whambamboo

chris83 wrote:

I'm not pro-government or otherwise before you bash me, but if there was no Inheritance Tax it would exaggerate the rate at which the rich become richer and the poor become poorer. That doesn't benefit anybody apart from the super-rich. So it may seem unfair to your children that you are unable to give them all of what you have worked for over your life, but trust me society is better for it and we are all better off for it in the long run.

er, complete and utter bullsh*t.

Total claptrap

The truly rich do not pay inheritance tax. They have the means to avoid it.

The people that pay it are normal people with small terraced houses in London now worth £500k bought for a few thousands thirty years ago. It has *zero* effect, none whatsoever, on smashing the fatcats, making the company directors less wealthy, or whatever other effect you are claiming.

All that happens is that whe someone dies and they didn't get around to arranging their affairs properly, they have to sell their modest house to pay Gordon Brown's bill... Just for what it's worth, IHT contributes a tiny amount to the public purse, just a couple of billion a year. It certainyl wouldn't fund the mythical 'invest in public spending' that the Labour party has claimed since 1997 will make us happier and better off, despite evidence that public spending has increased by 50% in real terms without any meaningful improvement in schools or hospitals.

Gorgeous_George

When I die, they can tax me all they want.

It would be fairer if inheritance tax was 100%. A successful person who creates wealth can enjoy that wealth while they are alive. Current generations would buy homes with the fruits of their own labours.

Without inheritance tax, the next generation would be wealthier. This would add to the upwards pressure on house prices. Your chances of home ownership would be heavily weighted by the generations who went before.



GG

ravenfield

You'll only get the most benifit if you buy a few houses. I know a couple who came from a whealthy family (also overseas), they bought about 8 houses (if not more) in london. the one they currently stayed in is worth over 1million pounds. having said that, they are now on holiday overseas in asia for 1 year!! and they let the whole house FOC to a poor friend. They even let him drives their posh and the merc. Oh btw, the merc was bought for the nanny to drive their child to school. they are so loaded that twice a week they have clearers to do cleaning up and wash the car. that poor friend every now and then invites ppl to have BBQ party at the house.

once these rich ppl decided to sell the houses for profit, the price may slump.

whambamboo

ravenfield wrote:

You'll only get the most benifit if you buy a few houses. I know a couple who came from a whealthy family (also overseas), they bought about 8 houses (if not more) in london. the one they currently stayed in is worth over 1million pounds. having said that, they are now on holiday overseas in asia for 1 year!! and they let the whole house FOC to a poor friend. They even let him drives their posh and the merc. Oh btw, the merc was bought for the nanny to drive their child to school. they are so loaded that twice a week they have clearers to do cleaning up and wash the car. that poor friend every now and then invites ppl to have BBQ party at the house.

once these rich ppl decided to sell the houses for profit, the price may slump.

I can also recommend buying Microsoft shares in 1980. I also have a nice crystal ball you can buy...

Best buy a dozen tiny flats in Peckham for £500,000 each. You'll make a fortune!!!!

Juni_3

City bonuses are one of the major causes of the rampant HPI. I know of people who get such huge bonuses that they just instruct estate agents to buy whole streets and rent the houses out as they just don't know what to do with the money.

whambamboo

Juni wrote:

City bonuses are one of the major causes of the rampant HPI. I know of people who get such huge bonuses that they just instruct estate agents to buy whole streets and rent the houses out as they just don't know what to do with the money.

sounds like total BS to me. Where in London can you buy entire streets ??? There are people living inside!

How many people can afford to buy a street of houses at £500k each. Plenty of bank workers get modest bonuses, £30k or so. Multimillion pound bonuses are *not* being used to buy horrid terraces in Brixton. The sums of money involved in the bonuses aren't even close to enough.

It's pure sentiment. City bonuses are not chasing people to buy entire streets in Moss Side at £100k/house.

Juni_3

whambamboo wrote:

sounds like total BS to me. Where in London can you buy entire streets ??? There are people living inside!

How many people can afford to buy a street of houses at £500k each. Plenty of bank workers get modest bonuses, £30k or so. Multimillion pound bonuses are *not* being used to buy horrid terraces in Brixton. The sums of money involved in the bonuses aren't even close to enough.

It's pure sentiment. City bonuses are not chasing people to buy entire streets in Moss Side at £100k/house.

Well given that I worked for ten years in the City and I have several friends who earn well over a million a year I think I should know what they do with their money.

Did I say they were buying them in London?

Plenty of footballers who own whole streets as well.