Boris Exposes Tory Thinking on House Prices

doire_2

Can the OP please point out where the article refers to the conservatives thinking on house prices?

FTBFun

PasturesNew wrote: »

Cheapest on RM right now is £1550. http://www.rightmove.co.uk/property-to-rent/West-Hampstead.html?sortByPriceDescending=false&minBedrooms=3

God I love estate agents! That's not West Hampstead, nor East Kilburn , but smack bang on Kilburn High Road which isn't the nicest part.

I bet if you look out to East London though there's bound to be a 3 bed for much, much less than that.

wymondham

robin_banks wrote: »

EU law dear boy.

when push comes to shove, EU law can be railroaded in the national interest!

HAMISH_MCTAVISH

Love him or hate him...... He's absolutely right.

"The notional assets of banks still depend on housing stocks whose value has yet to be tested, and if the housing market tanks, then the financial system tanks, too."

lostinrates

A long time ago...I really have been here too long. we discussed another piece written by Boris about house hunting and the costs.....I wih I could remember it for the search terms for a comparison....anyone else remember?

HAMISH_MCTAVISH

I like this thread.

dopester

HAMISH_MCTAVISH wrote: »

Love him or hate him...... He's absolutely right.

"The notional assets of banks still depend on housing stocks whose value has yet to be tested, and if the housing market tanks, then the financial system tanks, too."

Followed by this wisdom.

People will be unable to get the mortgages to buy new homes, and developers will be unable to get the finance to build them, and the problem of supply will get even worse.

Then prices will have to fall won't they. Labour and materials. Back to whatever level can be afforded by the system and the market.

Ohh... that plot of land fit for 4 new houses to be build just outside London which an investor holds and calculated had a value of £1.4m?

Except Boris and his followers would prefer the credit to keep flowing, and the demand to borrow to remain, so its value is maintained, because it suits banks balance sheets and and fellow holders of similar assets. x1000000000 similar cases around the UK. "Keep prices inflated." "Let someone else overpay." What kind of market is that? A dirty cheating rigged market.

twadge_face

Blacklight wrote: »

Or perhaps he knows that property prices reducing by 50% will leave most people either unable to sell if they want to, or bankrupt if they do. A potentially lethal position for most lenders.

To not want the UK economy to collapse seems like a fairly sensible view to me.

I dunno mate. Not saying you're wrong, per se, but you certainly not substantiated your position.

Much like this geezer from the ThisIsLondon (Evening Standard) comments thread on the same topic: http://www.thisislondon.co.uk/standard/article-23888784-squash-house-prices-at-your-peril-boris-johnson-tells-the-coalition.do

JustifiablyAggreavedRealist,_A_Bubble_Town,_18/10/2010_17:04 wrote:

1.] Only 7%-8% of the UK homeowning population would be facing negative equity if house prices were to lose 50% off their value.
These are the people who got onto the ladder in the last 8-10 years. During Browns artificial boom.
2.] Over 50% of UK homeowners own their property outright.
3.] By 2002/2003 BTL mortgages exceeded FTBer mortgages. However, many of these 'liar loan' mortgages. Should never have been allowed, and we are all paying for them.
4.] SO THE TRUTH IS THAT A 50% DROP IN HOUSE PRICES WILL BE GOOD FOR THE MAJORITY OF PEOPLE IN THE UK.
Exisiting homeowners would pay less 'exchange' taxes and stamp duty, if they were trade up or down.
5.] A housing crash, would kickstart the economy as many who have been priced out would buy.

JUST WHO DO YOU THINK YOU ARE PROTECTING BORIS?
BY KEEPING HOUSE PRICES RIDICULOSLY INFLATED?

Jolly interesting, hey?

HAMISH_MCTAVISH

!!!!!!_face wrote: »

Much like this geezer mentalist hpc-er from the ThisIsLondon (Evening Standard) comments thread on the same topic:

Fixed that for you.

Jolly interesting, hey?

Jolly interesting indeed.

Graham_Devon

!!!!!!_face wrote: »

I dunno mate. Not saying you're wrong, per se, but you certainly not substantiated your position.

Much like this geezer from the ThisIsLondon (Evening Standard) comments thread on the same topic: http://www.thisislondon.co.uk/standard/article-23888784-squash-house-prices-at-your-peril-boris-johnson-tells-the-coalition.do


Jolly interesting, hey?

I have to say, he's wrong.

Falling into negative equity would also be all those who have MEWed several times over.