The 95% club

macaque_2

Net lending on mortgages for 2011 is projected to be down by 95% compared to 2006. To put it another way, net lending in 2006 was 1800% higher than 2011's projections.

Net lending, which strips out redemptions and repayments, is expected to total just £6billion next year, down from an estimated £9billion this year and £110billion in 2006, before the credit crunch struck, according to the Council of Mortgage Lenders.

http://www.pressandjournal.co.uk/Article.aspx/2053863?UserKey=#ixzz18GUmrMjQ

These figures are staggering. House sellers can ask whatever price they like now but they are only talking to themselves. Buyers have simply walked away.

The bulls tell us they intend to stay on the Titanic because if they wait long enough, it will come back up again. All I can say is; good luck guys but I think you have missed the life boats.

Important notice from the 70% Club
In view of recent events, the 70% has put out a general warning to the affected groups as follows:

Home buyers: If you are about to put down a deposit on a house, make sure you get good professional advice. If you are on a tight budget, talk to your GP. He should be able to get you psychiatric help on the NHS.

Lenders: Try to pull in as many 40% deposits as possible using attractive interest rates. Your opportunity to deleverage is running out quickly.

Home sellers: If you have a buyer for your house, don't get drops of sweat on the contract. Sweat can carry fear pheremones which will be detected by the buyer.

Estate agents: If you are going to value the house of a new instruction, make sure you carry a rape alarm with you.

Buy to Let: House prices are set to double in the next five years. Now is the ideal time to snap up a bargain before prices take off in spring (note: the last item of advice was sponsored by the RICS and NAEA)

CRASH_BANG_WALLOP

old boy according to the bulls this story doesnt matter because its net lending. I have no idea what the furore is all about then

IveSeenTheLight

I'm not sure why I browse at these 70% club notices.

that said I'm impressed there is a link for people to review for themselves

Loughton_Monkey

.....yawn..........
....zzzzzzzzzzzzzzzz.......

AD9898_2

I hate the term 'credit crunch', there was no credit crunch only the end of a 'credit boom' fuelled by bad IR decisions, very poor borrowing (liar loans) and even worse lending (silly dual income multiples, no checking of ability to pay etc..)

It was a decade long credit binge that is now over. The so called 'credit crunch' is normality slowly returning.

IveSeenTheLight

Dirk_Rambo wrote: »

envy probaberly . im sorry m8 but your gonna have to join the lenghty waiting list just likes every-one else has to

envy lol, do you know what that means?

Envy (also called invidiousness) is best defined as an emotion that "occurs when a person lacks another's (perceived) superior quality, achievement, or possession and either desires it or wishes that the other lacked it."[1]

As were discussing property, that would come under the posession umbrella.

I can't be labelled as envious as I'm in the position of possession whilst those wishing the massive unrealist 70% drops presumably aren't

RenovationMan

IveSeenTheLight wrote: »

I'm not sure why I browse at these 70% club notices.

I think there great fun.

RenovationMan

"On a brighter note, it said it was unlikely that the base rate would rise significantly in the short term, and it was possible it would remain at its current record low of 0.5% for the whole of next year."

This is brilliant news for my house buying gamble. If this prediction is true, then I should be able to carry out the major renovations to my home and still make the full 10% repayments on my mortgage that I'm allowed.

The underlying factors that are causing the current lending drought and impacting house prices are also the reason why interest rates are so low. Once the banking crises has been sorted and lending goes back up we will see a rise in house prices, which means that interest rates will go up. Lets therefore, for the good of my finances, hope that house prices fall for a few years!

IveSeenTheLight

Dirk_Rambo wrote: »

i can sense your a bit frusterated. ill ask the seceratary [shes a loverly lady ] at the 70 per cent club to fast track youre membership appllication. you should be in with-in 18 months. thats the best i can do m8

I'm not frustrated in the least.
I can imagine that's something that the members of the 70% club suffer from as they stand in the never reducing line waiting for houses to become 70% cheaper.

That's a good definition of frustration.

Merry Christmas Everyone

IveSeenTheLight

Dirk_Rambo wrote: »

bad news m8. ive just had a word with the membership seceratary about youre application. youve been black-balled. the 70 per cent club is a very exclusive 1. many apply but few are choosen

I'm glad, because any application from me to that club would have bee fraud

benb76

Dirk_Rambo wrote: »

i can sense your a bit frusterated. ill ask the seceratary [shes a loverly lady ] at the 70 per cent club to fast track youre membership appllication. you should be in with-in 18 months. thats the best i can do m8

Wow! That's a single paragraph with what I counted as 14 simple grammatical or spelling errors (not even including the text speak at the end)! I try not to be a grammar/spelling Nazi, but that is astounding. I hope the 70 percent club's financial predictions are better than their written English.