Help to Buy is not causing a housing bubble

chucky

brit1234 wrote: »

Channel 4 news - Housing crisis: time to burst the bubble?

http://bcove.me/r65kmuiw
http://www.channel4.com/news/catch-up/


It is clear we have a bubble in South East and London, everyone apart from the very rich priced out.

Comments like this is what makes this forum so special with some special posters.

London is never going to be cheap but it does have affordable property. Whoever tells you it doesn't has a few issues that probably need addressing.

AndyGuil

It is assumption that London has priced everyone out. I don't class myself as being in an exceptional position and I have a property in London. I takes a little while to get the deposit together but you get there in the end.

mayonnaise

AndyGuil wrote: »

It is assumption that London has priced everyone out. I don't class myself as being in an exceptional position and I have a property in London. I takes a little while to get the deposit together but you get there in the end.

Exactly.

If there is a bubble, it's limited only to prime property in Central London due to the influx of foreign money. But these properties were never on the radar of the average London FTB anyway and never will.

Is London expensive? Absolutely.

But Londoners with a decent salary are still able to buy in decent areas within an easy commute of the main employment hubs.

Was watching a program by Peston on BBC a few days ago on China. Wuhan, a city of 10 million, apartments with 'river view' (if the smog allows) going for 300K with the average salary being 7K. More than 15% standing empty. Now that's a bubble.

JencParker

brit1234 wrote: »

Channel 4 news - Housing crisis: time to burst the bubble?

http://bcove.me/r65kmuiw
http://www.channel4.com/news/catch-up/


It is clear we have a bubble in South East and London, everyone apart from the very rich priced out.

We have a problem in London but I don't think it can be called a bubble. There is too much money both in London and coming from abroad and too many people wanting to live there for it to cause a bubble.

That doesn't help those low paid workers though, especially once the last of the council/housing association properties are sold off, there will be nowhere for them to live.

JencParker

mayonnaise wrote: »

Exactly.

If there is a bubble, it's limited only to prime property in Central London due to the influx of foreign money. But these properties were never on the radar of the average London FTB anyway and never will.

Is London expensive? Absolutely.

But Londoners with a decent salary are still able to buy in decent areas within an easy commute of the main employment hubs.

Was watching a program by Peston on BBC a few days ago on China. Wuhan, a city of 10 million, apartments with 'river view' (if the smog allows) going for 300K with the average salary being 7K. More than 15% standing empty. Now that's a bubble.

And where to you expect those who don't have a decent salary to live?

CLAPTON

JencParker wrote: »

We have a problem in London but I don't think it can be called a bubble. There is too much money both in London and coming from abroad and too many people wanting to live there for it to cause a bubble.

That doesn't help those low paid workers though, especially once the last of the council/housing association properties are sold off, there will be nowhere for them to live.

those ex-council houses have families living in them : are those families less worthy than the poorer people?

if you bought up those, now owner occupier houses and let them out at subsidised rents to poorer people where would the others live?

there is a problem that there is insufficient housing for peoples wants
you can solve that by price or you can solve that by nationalising all property and having allocation by some criteria.


in the current situation the people who do not have subsidised under occupied property, will have to
-move out of the centre and commute
-live with less space

I find it difficult to understand why you think that an unemployed person should be entitled to live in a large property in a nice part of London whilst a (say) teacher has to live in a small property and commute.

mayonnaise

JencParker wrote: »

And where to you expect those who don't have a decent salary to live?

Hmmm...where they can afford it maybe?

I started out on a low salary too. So we bought a 1-bed terrace in Watford.

People should cut their cloth according to their means.

JencParker

CLAPTON wrote: »

those ex-council houses have families living in them : are those families less worthy than the poorer people?

if you bought up those, now owner occupier houses and let them out at subsidised rents to poorer people where would the others live?

there is a problem that there is insufficient housing for peoples wants
you can solve that by price or you can solve that by nationalising all property and having allocation by some criteria.


in the current situation the people who do not have subsidised under occupied property, will have to
-move out of the centre and commute
-live with less space

I find it difficult to understand why you think that an unemployed person should be entitled to live in a large property in a nice part of London whilst a (say) teacher has to live in a small property and commute.

I'm not surprised you find it difficult to understand something I've never said !

PS - why do you constantly use the term 'worthy'. It's not a judgement I would make, and anyone who decides that someone is worthy or not is arrogant beyond belief.

JencParker

mayonnaise wrote: »

Hmmm...where they can afford it maybe?

I started out on a low salary too. So we bought a 1-bed terrace in Watford.

People should cut their cloth according to their means.

So you started out on a low salary? Not all jobs have prospects or are a stepping stone up the ladder. Some jobs will always be low paid. You expect them to move out and pay thousands in commuting to their minimum wage jobs? Or perhaps you think London doesn't need any cleaners etc.

CLAPTON

JencParker wrote: »

I'm not surprised you find it difficult to understand something I've never said !

PS - why do you constantly use the term 'worthy'. It's not a judgement I would make, and anyone who decides that someone is worthy or not is arrogant beyond belief.

You continually lament the sale of council houses.

I ask you where would the current inhabitants of those properties live if the council property hadn't been sold.

Because you clearly don't think they should be living in them I've used the words 'less worthy' as you haven't explained your thinking.