"It shows funding for lending is working"

Thrugelmir

Originally Posted by HAMISH_MCTAVISH
Wrong again Shorty....

The market is being artificially kept down by absurdly restricted lenidng, and FTB-s are being frozen out thanks to mortgage rationing, not prices.

Time to move on Hamish. The era of easily available collapsed in 2008 in the UK. The US at the same time. European banks didn't hit crisis point until the back end of last year. So a few years behind the correction that's underway.

Still 6 years until banks have to comply fully with Basle 3 solvency regulations. CML membership is down a third as Overseas banks have totally withdrawn from the UK mortgage market.

Boom days are well and truly over.

HAMISH_MCTAVISH

Thrugelmir wrote: »

Time to move on Hamish.

Awww bless.

You really do think "it's different this time".

How...... quaint.

The era of easily available collapsed in 2008 in the UK. The US at the same time. European banks didn't hit crisis point until the back end of last year. So a few years behind the correction that's underway.

Whilst I do so enjoy these fairy stories of yours Thrug.... One day you'll have to wake up to reality.

And when you do you'll realise this current state of absurdly restricted lending is just as entirely unsustainable as the overly easy lending of 2005/-2007 which it replaced.

Public anger is rising at the damage bankers are doing to the economy, and this time it's not the investment bankers turn to have their backs against the wall, but rather the retail bankers.

Politicians are realising they cannot get re-elected when banksters are sabotaging the economy, and pressure is growing for further intervention to restore lending.

Hence why things have moved on from QE, to FFL, and there's now talk of more direct interventions until a solution is found.

A middle ground will be found. The current "era" of lending is no more permanent than the one it replaced.

Still 6 years until banks have to comply fully with Basle 3 solvency regulations.

Most UK banks already do.

The time for rebuilding balance sheets is almost over.

Boom days are well and truly over.

Until the next one..... Which will be along soon enough.

DervProf

HAMISH_MCTAVISH wrote: »

It'll work again too... which is why I fear the recovery may be too late for the Tories and we'll be stuck with another 15 years of Labour after the next election.

I'm suprised that you fear Labour Hamish. Their last stint in power gave you plenty of :beer: (HPI). Turned a bit sour near the end, but that was the fault of the Americans.

HAMISH_MCTAVISH

DervProf wrote: »

I'm suprised that you fear Labour Hamish.

I'm a social libertarian and economic centrist.

Current spat aside about whether you profile real terms cuts over 4 years or 6, there's still little difference between the major parties on the economy.

But we've barely begun to roll back the years of nanny-state, mother knows best, lefty nonsense on the social front yet, and the last thing the UK needs is more of it if Labour get back in.

Their last stint in power gave you plenty of :beer: (HPI). Turned a bit sour near the end, but that was the fault of the Americans.

Tories would have done exactly the same for HPI.

But without so much of the "big brother" surveillance state Labour seem to love so much.

Zero_Sum

HAMISH_MCTAVISH wrote: »

But we don't have "ultra low interest rates" for new buyers!!!

Particularly not for FTB-s with 10% deposits!!!

Crack on with unlimited lending at normal 5% plus rates to FTB-s with decent jobs/credit scores at 10% deposits. No reason those mortgage rates should rise markedly when base rates do.

Indeed, the governor of the BOE has already said they shouldn't rise much, but rather that the gap between the two will decrease instead.

For that matter, you can already get a 25 year fix at slightly over 5% with a 20% deposit. Make that available to FTB-s with 10% deposits and job done!

And then more houses will get built, more furnishings/white goods/etc will get sold, more people will be employed, the economy will recover, and everyone's a winner.

90% LTV is available for little obver 5%. 80% LTV you can get around 4%

Zero_Sum

HAMISH_MCTAVISH wrote: »

Wrong again Shorty....

The market is being artificially kept down by absurdly restricted lenidng, and FTB-s are being frozen out thanks to mortgage rationing, not prices.

wow, just wow

Loughton_Monkey

HAMISH_MCTAVISH wrote: »

I'm a social libertarian

I had to look this up!

Basically means 'Socialist'. I never had you down as a raving Marxist, Hamish.

HAMISH_MCTAVISH wrote: »

and economic centrist..

Also had to look this one up.

An economic centrist, they say, is someone who, on Financial matters, has nothing left and gets nothing right.