Scathing attack on help to buy

TruckerT

Thrugelmir wrote: »

Not mask it but provide stability. Markets hate uncertainty. Once consumers lose confidence then they will act lemmings.

The housing market has been pretty stable since 2008.

Many economic experts seem to feel a need to re-introduce instability.

TruckerT

Thrugelmir

TruckerT wrote: »

The housing market has been pretty stable since 2008.

Ask yourself why? Could it be the enormous liability that has been transfered to the taxpayer in terms of mortgage debt. At the point RBS and HBOS were nationalised, including Northern Rock along with Bradford & Bingley. The UK taxpayer was on the hook for 45% of outstanding mortgage debt or around £540 billion pounds.

A sharp fall in house prices would have been terminal for the UK. As the banks would have simply collapsed.

TruckerT

Thrugelmir wrote: »

Ask yourself why? Could it be the enormous liability that has been transfered to the taxpayer in terms of mortgage debt. At the point RBS and HBOS were nationalised, including Northern Rock along with Bradford & Bingley. The UK taxpayer was on the hook for 45% of outstanding mortgage debt or around £540 billion pounds.

A sharp fall in house prices would have been terminal for the UK. As the banks would have simply collapsed.

A sharp fall in house prices was avoided because of negative equity.

Having been mis-sold mortgages in excess of 100% etc etc, borrowers had no choice but to refuse low offers.

TruckerT

Sibley

I think its a great idea.
Anything that puts people in homes.

At the end of the day it will get prices to rise. That's all that matters.