Government money propping up the housing bubble.

CharlieSnorter

An impending disaster IMO.

dimbo61

Yes but it not government money try Taxpayer money

Thrugelmir

CharlieSnorter wrote: »

An impending disaster IMO.

Perhaps the best way of deflating a bubble is manage the release of air. Rather than than letting it burst in an uncontrolled fashion. Already signs that there's a slow but gradual reduction.

mrginge

Sorry but i can't quite get my head round your complex reasoning.
Could you simplify things for us morons?

Thrugelmir

mrginge wrote: »

Sorry but i can't quite get my head round your complex reasoning.

What do you find complex?

Is a better analogy. That you don't cure a boil by bursting it. You cover it up and let new skin grow underneath.

Dr._Shoe

I usually burst mine with a sterilised needle.

leveller2911

Thrugelmir wrote: »

Perhaps the best way of deflating a bubble is manage the release of air. Rather than than letting it burst in an uncontrolled fashion. Already signs that there's a slow but gradual reduction.

All I can say is ,it must be a bloody slow puncture............



Can you honestly see the next government allowing the sacred housing market to falter given that so many people covet their inflated wealth. Governments are elected and re-elected on the back of our supposed wealth and house values are the pinnacle of the pyramid. HTB etc hasn't slowed the rabid feaver to buy or move up the ladder.

If they wanted to slow it down then they should have placed more tax on BTL and 2nd and 3rd homeowners but what did they do? They guaranteed motgages for people who have 5% deposits whilst at the same time banks allowing benefits to be taken into account when assessing affordablity......

A slow,controlled deflation of the housing bubble is a myth.

Thrugelmir

leveller2911 wrote: »

All I can say is ,it must be a bloody slow puncture............

Q. How long does it take to repay a credit card balance making only minimum repayments.

A. 30 to 40 years.

nubbins

Judging by his name I think he had a big fat one before posting

Landofwood

Probably best to send to the debate forum.

MaxTheCat

CharlieSnorter wrote: »

An impending disaster IMO.

Yes of course housing is in a bubble and yes it won't end well BUT having lived in Australia and seen the inventive ways the Aussies are managing to keep their bubble inflated and indeed expanding the bubble could last for a lot longer and get much bigger than it is. Housing in London for example is actually cheap in comparison to Sydney and Melbourne both of which are tiny in population terms to London. The government here could do things like allow negative gearing which would allow BTL investors to offset losses against their total tax bill, a first home buyers grant could be introduced, allowing your pension to take out what is effectively a mortgage to directly invest in property.