House prices by 2015

ukcarper

Graham_Devon wrote: »

I think we've strayed quite some way from the actual point that was being talked about.

Yes, of course it would be advantageous to borrow to buy in that case, as in many cases.

But the point being made was, from a few pages back, where it seemed the answer to all current problems was more lending, allowing us to be wealthy again. I don't believe that is the case, believe we have enough problems as it is, hence the figures etc.

Not sure what the argument is anymore though

I was just responding to Jimmy’s post. I don’t think we should return to lax lending and there should in fact be some tightening up of credit card borrowing. But I don’t see a problem with lowering the deposit on houses to 10% and maybe 5% in certain situations as long as some form of affordability test is applied.

chucknorris

Graham_Devon wrote: »

I think we've strayed quite some way from the actual point that was being talked about.

Yes, of course it would be advantageous to borrow to buy in that case, as in many cases.

But the point being made was, from a few pages back, where it seemed the answer to all current problems was more lending, allowing us to be wealthy again. I don't believe that is the case, believe we have enough problems as it is, hence the figures etc.

Not sure what the argument is anymore though

It's apparent to me that some of the bears cannot distinguish between sensible borrowing and reckless borrowing which is probably why some of them cannot get their timing right for when to buy (and some never do, I think probably Carolt is a classic case of this)

I see the term debt junky so often but really the term is often missused.

chucky

ukcarper wrote: »

It's obvoulsy better to be debt free but if you don't take on any you won't be able to buy the house will you.

Lets take another example I believe Graham needs his car for work if his car engine blows up and he needs to borrow £1000 to repair it would it be better if he borrowed the money or lost his job.

you have other factors too - if you save up to buy a house without a mortgage you stop yourself contributing for a pension for a very, very long time - which means you'll probably start paying into your pension when your over 50.

fortunately your mortgage is inflation proof so buying without debt then becomes a double whammy of variables that will work against you.

chucknorris

chucky wrote: »

you have other factors too - if you save up to buy a house without a mortgage you stop yourself contributing for a pension for a very, very long time - which means you'll probably start paying into your pension when your over 50.

fortunately your mortgage is inflation proof so buying without debt then becomes a double whammy of variables that will work against you.

I personally don't pay into a private pension chucky, I have a minor DC one (only about 30k) that I started when I was about 20 but stopped soon after. Now that I am working part time in the public sector have the advantage of their final (probably soon to be 'average') salary scheme), that will probably only be worth about 9k a year.

But as I will easily have enough income to live on I do not like the idea of losing control of money paid into pensions, however I respect your opinion and would be interested in any counter arguements you (or others) would put forward as it is dangerously arrogant to just assume you are totally correct and not listen to others.

chucky

chucknorris wrote: »

I personally don't pay into a private pension chucky, I have a minor DC one (only about 30k) that I started when I was about 20 but stopped soon after. Now that I am working part time in the public sector have the advantage of their final (probably soon to be 'average') salary scheme), that will probably only be worth about 9k a year.

But as I will easily have enough income to live on I do not like the idea of losing control of money paid into pensions, however I respect your opinion and would be interested in any counter arguements you (or others) would put forward as it is dangerously arrogant to just assume you are totally correct and not listen to others.

sorry, should have said that differently - i meant save for retirement instead of a pension.

i've made plans for multiple streams of income for retirement instead of just depending on just my pension fund.

Poshbird

gubdlog wrote: »

Will house prices go up more than inflation the next few years?

I think they will go up but not as much as real inflation.