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Telegraph:home loans hit an 11 month high

nollag2006 · 2012-12-15 18:18:37

http://www.telegraph.co.uk/finance/personalfinance/borrowing/mortgages/9743793/Home-loans-hit-an-11-month-high.html Between this, and the good news from the CML reducing their forecast on the number of repossessions next year, there are some really strong signs of 2013 being a big year for rising house prices :beer:

Comments

HAMISH_MCTAVISH Posts: 28,592 Forumite

16 December 2012 at 9:59PM edited 16 December 2012 at 10:07PM

Thrugelmir wrote: »

Average lending multiple continues to remain around 3.2x salary for FTB's .

Average lending multiple for FTB's was only 3.4x at peak in 2007.

So there's no fuel to fire a significant price increase anytime soon.

Lending wasn't the fuel, the housing shortage was.... We have removed 70% of lending yet prices remain just 10% below peak.

It's only because we have prevented 70% of people from buying who otherwise would through truly dysfunctional mortgage rationing that prices haven't soared yet in response to the housing shortage. And instead rents have soared to record highs instead.

“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”
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