Could the 90's property crash have been avoided

homelessskilledworker

A lot of the arguments for a property price crash by many sites use the 90's collapse as a reference point.
I was wondering after witnessing recent speculation on todays house prices and the difference of opinion over the last few years if maybe the 90's property crash could have been avoided using todays tricks of the trade.

Could todays property bears be longing for a similar scenario that was preventable, I wonder.

purch

Yes.

If Fatty Lawson hadn't been such a "prima donna" the bubble wouldn't have been stoked in the first place.

The late 80's bubble, and subsequent crash were in a large part a direct result of Lawsons fascination with the ERM, and his ludicrous idea of "shadowing" the DEM which led to a period of low interest rates.

Even after he went, the UK still went ahead and joined the ERM and the debacle that followed, as we were forced to raise interest rates due to the Germans doing the same to offset the effects of the massive stimulus caused by reunification, will live in the memory for ages

ILW

I remember 14% BoE.

About 6 months after I bought my first place.

laurel7172

Also the government gave far too much notice it was going to reduce MIRAS (the subsidy on mortgage interest) from one per borrower to one per property-leading to panic buying.

Thrugelmir

homelessskilledworker wrote: »

I was wondering after witnessing recent speculation on todays house prices and the difference of opinion over the last few years if maybe the 90's property crash could have been avoided using todays tricks of the trade.

Today's problems are on a totally different scale to that of the 90's. Any suggestion that they are anywhere near being resolved is far too early.

Sibley

All they needed was a bit of QE.

breadlinebetty

homelessskilledworker wrote: »

A lot of the arguments for a property price crash by many sites use the 90's collapse as a reference point.
I was wondering after witnessing recent speculation on todays house prices and the difference of opinion over the last few years if maybe the 90's property crash could have been avoided using todays tricks of the trade.

Could todays property bears be longing for a similar scenario that was preventable, I wonder.

Oh for goodness sake! Who cares????

Move ON.

We are now in 2012!

homelessskilledworker

breadlinebetty wrote: »

Oh for goodness sake! Who cares????

Move ON.

We are now in 2012!

No, you move on.

This is a property and economic discussion board, if you do not like the thread then just don't get involved, it is not rocket science.
Who the hell do you think you are, telling people what they should and should not post, and incidentally it was neither bullish or bearish which should come as a suprise to a bull loving Sibley admirer that you are.