Stop wasting your- rent - set up housing Co-operative

Running_Horse

It's terrible isn't it? A leader of superior intelligence emerges with a revolutionary new housing model, only to be frustrated by a bunch of dullards on a message board. There must be another forum in this world not occupied by the ignorant, where these plans can be implemented by loyal followers to rapturous acclaim.

Pixie5740

All people have done is ask some questions about how this "co-op" is going to work. At present your sums don't seem to stack up so people are sceptical. Rather than try to explain things better you put the lack of understanding down to people being thick.

If a bonefide genius such as Stephen Hawking can explain cosmology and complex mathematics to the layman without being patronising and calling people names then you really ought to be able to explain your housing co-operative idea better than you currently have.

James_B.

mohawk wrote: »

Lord Baltimore,

I presume you are a troll as what you say is so childish. But on the offchance it is just plain ignorance and general lack of education I will answer your point & explain in a really simple way anyone can understand.

Well you have to really, as OU students are hardly likely to be able to keep complex concepts in their little minds...

And before you get upset at my (well informed and correct) classification, please note that it's in response to your own silly insults. Don't give it out if you can take it...

antrobus

mohawk wrote: »

can you explain what only one degree or so less insane than the standard FMOTL rubbish....

I could write a short essay on the subject. But for starters, they want to "completely remove the power that banks have to create money". The only way to do that would be to prohibit banks from lending money. Which would make the business of banking a tad redundant.

mohawk wrote: »

...I understand English, but do get rather unstuck with acronyms, which, if not explained are very, very silly.

Was Google broken? Well they've fixed it now, and typing in 'FMOTL' will tell you that it means FreeMan-On-The-Land aka lawful rebellion and give you all sorts of links to useful sites that tell you the easy way to get out of debt.

Bart1

I'll take one of those flats please

fishpond

Mohawk
Have you considered moving to North Korea?

antrobus

mohawk wrote: »

.....Financial rules also allow co-ops to borrow money from the public by means of selling redeemable shares bearing whatever interest rate the coop decides is suitable.....

I'm not so sure that's true. There is a Mutuals' Redeemable and Deferred Shares Bill currently before Parliament which would allow co-ops to issue redeemable shares, which kinda implies that they are unable to do so at the moment. And I'm not so certain that even if that bill became law it would permit a co-op to sell redeemable shares to the public without jumping through the usual regulatory hoops.

http://www.thenews.coop/33756/news/democracy/mutuals-redeemable-shares-bill-2013-detail/

antrobus

Pixie5740 wrote: »

All people have done is ask some questions about how this "co-op" is going to work. At present your sums don't seem to stack up so people are sceptical. Rather than try to explain things better you put the lack of understanding down to people being thick. .....

If I'm reading things correctly the OP wants to set up a "co-op expressly to enable it’s members to build up a deposit for them to buy their own home", and appears to believe that this co-op could "borrow 100% of the purchase price of a house" somehow.
They refer to a "crowdfunding website was recently set up called Landbay" which they say "helps show the basic idea really does actually work", when actually it demonstrates the exact opposite. As Landbay operates on the principle of the 'Importance of 72' i.e. it operates on a maximum LTV of 72%.

Which is the point. No one in possession of an ounce of sense is going to lend a group of people 100% of the purchase price of a house. Indeed, one might point out, that doing that kind of crazy deal was the very kind of thing that led to the whole banking crisis in the first place. But never mind that, any housing co-op would typically be in a position were it could only borrow about 70% of the purchase price of a property and, if this co-op consists of people who don't have the 10% deposit they'd need to be able to take out a mortgage themselves, it rather raises the question of how, collectively, they're going to be able to raise the 30% deposit they need to get the co-op off the ground.

https://landbay.co.uk/the-importance-of-72/

mohawk

For those of you who think I'm talking rubbish about the banks creation of 97% of money and the problems caused have a look at this link where the Chief Economics Commentator of the Financial Times Martin Wolf gives a lecture to influential members of the Financial Industry at the Institute for Chartered Accountants.

Martin Wolf, Chief Economics Commentator of Financial Times speaks at the event “Does Money Grow on Trees?” at the hall of the Institute for Chartered Accountants on 9th September 2014.

“Why should we let such a social creation [money] be handed over to profit-seeking private enterprises?” he says in his lecture.

Watch the presentation (32 min)

http://www.positivemoney.org/2014/10/martin-wolf-financial-times-stop-banks-creating-money-video/?mc_cid=bbb672de8e&mc_eid=dd88b00e5d

antrobus

mohawk wrote: »

For those of you who think I'm talking rubbish about the banks creation of 97% of money ....

So what? What has any of that got to do with the practicalities of setting up a housing co-op?

Don't you see the absurdity of someone, on the one hand banging on about the evils of the 'debt machine', and on the other and wanting to borrow 100% of the purchase price of a property?