Telegraph-Spare a thought for HousePriceCrash whingers as prices prepare for take off

Thrugelmir

CLAPTON wrote: »

I'm not really sure whether banks will be encouraged to lend more to high LTV people as the rules don't say what effect they will have on the banks capital ratios

Banks have less money to lend. Going forward lending will contract further.

Hence the endless number of Government \ BOE support schemes. As a sudden fall would put enormous pressure on bank balance sheets. Merely adding further pressure to a delicate operation, i.e. appearing to give out with one hand while taking more away with the other.

thelawnet

the_flying_pig wrote: »

well, he's absolutely right to say that HPI creates a loser for every winner.

Not necessarily. It can create more losers than winners. For instance, if the value of your house goes up, that doesn't actually do you any good until you sell it and move to Costa Rica/a retirement home. OTOH anyone unable to afford a house is a loser due to HPI.

HAMISH_MCTAVISH

thelawnet wrote: »

Not necessarily. It can create more losers than winners.

It can also create more winners than losers.

For instance, if the value of your house goes up, that doesn't actually do you any good until you sell it

Completely untrue.

HPI benefits....

-2nd home owners
-Landlords
-Mortgage holders at renewal time, as it drops LTV brackets for cheaper lending
-People who inherit a house
-Downsizers
-People who may wish to borrow against a house, for example, to start a new business

.... and many others.

And ultimately ALL wealth is passed on to future generations, and always will be, unless we find a way to abolish death.

OTOH anyone unable to afford a house is a loser due to HPI.

The total cost of buying a house today (including mortgage interest) is cheaper than all but a few years out of the last 4 decades, when measured as a percentage of income.

Mortgage rationing has prevented far more people buying than high prices ever did.

Graham_Devon

Gotta say, regardless of the message, that's a pretty poor article for the telegraph.

Seems more like baiting a website from a journalist than anything else, which is very sub standard for the telegraph.

Not bad though if you are Cowie and you can get paid to publish such baiting nonsense.

IveSeenTheLight

Murphy_Gooner wrote: »

new build property which we all know are usually overpriced and cheaply built and small as possibly built.

Not so, you could choose to self build through an NHBC builder operating on an individual property build basis.

I'm currently building a home and will achieve a higher spec, 100 square meter larger property than one we had an offer for turned down last year.

Shop around, bargain with the builders and you could get a very good deal.

grizzly1911

IveSeenTheLight wrote: »

Not so, you could choose to self build through an NHBC builder operating on an individual property build basis.

I'm currently building a home and will achieve a higher spec, 100 square meter larger property than one we had an offer for turned down last year.

Shop around, bargain with the builders and you could get a very good deal.

Most people aren't like you, takes a bit of thought, risk and hard work pulling all the strands together.

A bit like saying you get a much better jumper if you knitted one.

System

Hah, I wonder if this will appear in their "hpc in the media" section.

Mr._Pricklepants

Graham_Devon wrote: »

Not bad though if you are Cowie and you can get paid to publish such baiting nonsense.

Ian Cowie was named Consumer Affairs Journalist of the Year in the London Press Club Awards 2012.

I know, not much of a credential compared to graham_devon with his 45K posts on MSE but just saying.

the_flying_pig

HAMISH_MCTAVISH wrote: »

...
HPI benefits....

-2nd home owners [yes when they sell it to a person who disbenefits by paying more]
-Landlords [yes when they sell it to a person who disbenefits by paying more. landlords is a bad example (for you) because if they own 2+ 'investment' properties then HPI creates 2+ losers and only one {big} winner]
-Mortgage holders at renewal time, as it drops LTV brackets for cheaper lending [fine]
-People who inherit a house [yes when they sell it to a person who disbenefits by paying more]
-Downsizers [yes when they sell it to a person who disbenefits by paying more]
-People who may wish to borrow against a house, for example, to start a new business [kind of but you're only really saying that debt begets more debt]....

i know we've been through this a zillion times but just comments added above for posterity.

dryhat

When house prices are rising, I'm sure these HPI nutters have a picture in their head of a bank clerk adding crisp notes into their special jar on the shelf.
So when they see a headline saying "house prices rise £100 a day", they see the cash getting put in the jar.

And when they want some "free money" they go along and they get given the money out of their jar.


THAT'S NOT HOW IT WORKS YOU MORONS.