Is this buyers remorse?

_CC_

Crashy_Time wrote: »

You missed the bit where they cut interest rates to their lowest level ever, and introduced various props for the housing market using tax-payers money, what do you think will be the next move to keep the debt Ponzi scheme going, and do you think the public will stand for that after what we have seen with Trump/Brexit etc.? The difference now is that large numbers of people WANT house prices to crash, back then we were told that the banks would shut down if they didn`t act quickly, now we know that isn`t going to happen, the only people who don`t want basic shelter to become cheap are those who think their little bungalow should be worth ten times what they paid for it IMO. The government tax moves on BTL show that they know the public mood has changed, otherwise they would be encouraging that bandwagon to keep rolling?

Similar monetary policy was followed in the US and Europe with different outcomes with regards to house prices.

Your point isn't clear, though. The rate cuts and QE were unprecedented. The powers that be look at the measures as being successful. The measures are likely to be sustained and repeated if needed. Housing crashes rarely happen in isolation from economic downturns.

Large numbers may want a house price crash. Putting aside the fact there's a far greater constituency of homeowners, the government is unlikely to introduce measures that will 'crash' prices, however. The Stamp Duty and tax changes were introduced after the BoE raised the BTL sector as potentially risky to the economy. It had the benefit of reducing the attractiveness of BTL while raising more tax. You're deluded if you think they were introduced to reduce prices. As you point out, there are plenty of policies in place that work in the other direction by helping first time buyers.

Crashy_Time

_CC_ wrote: »

Similar monetary policy was followed in the US and Europe with different outcomes with regards to house prices.

Your point isn't clear, though. The rate cuts and QE were unprecedented. The powers that be look at the measures as being successful. The measures are likely to be sustained and repeated if needed. Housing crashes rarely happen in isolation from economic downturns.

Large numbers may want a house price crash. Putting aside the fact there's a far greater constituency of homeowners, the government is unlikely to introduce measures that will 'crash' prices, however. The Stamp Duty and tax changes were introduced after the BoE raised the BTL sector as potentially risky to the economy. It had the benefit of reducing the attractiveness of BTL while raising more tax. You're deluded if you think they were introduced to reduce prices. As you point out, there are plenty of policies in place that work in the other direction by helping first time buyers.

QE has not brought on the hoped for inflation, nothing like it, and how far do you think they can still cut rates? AND the party that supposedly has the backs of "homeowners" just had their majority decimated :rotfl: I think you are being far too selective in what you choose to believe and focus on.

_CC_

Crashy_Time wrote: »

QE has not brought on the hoped for inflation, nothing like it, and how far do you think they can still cut rates?

The purpose of QE was to reduce borrowing rates. It has been very successful in that regard.

Have you looked at how cheaply governments, businesses and individuals can borrow?

Crashy_Time wrote: »

AND the party that supposedly has the backs of "homeowners" just had their majority decimated :rotfl:

How much of the last general election was fought on housing? Very little.

In fact, it was the so called 'dementia tax', aimed at paying for social care with some of the property equity older people have accumulated instead of the younger tax payers, that made May's bid start to unravel.

Plus, lets not get ahead of ourselves, the Conservatives still have 54 more seats than Labour after running a shambolic campaign.

Crashy_Time wrote: »

I think you are being far too selective in what you choose to believe and focus on.

I actually agree completely with you that UK housing is over inflated in price, especially in London and the SE. It's mainstream economic thinking.

I don't however draw the same conclusions as you as to what is likely to happen going forward and the best action for individuals to take.

ReadingTim

Crashy_Time wrote: »

I think you are being far too selective in what you choose to believe and focus on.

Pot? Kettle?

Boredatwrork

For anyone without kids, you get basically the same feeling the first few moments the baby is put into your arms.

Stress worry, excitement, fear..its all in there.

Crashy_Time

ReadingTim wrote: »

Pot? Kettle?

Crash....?

ReadingTim

Crashy_Time wrote: »

Crash....?

Still no, no matter how many times you say it.

Crashy_Time

_CC_ wrote: »

The purpose of QE was to reduce borrowing rates. It has been very successful in that regard.

Have you looked at how cheaply governments, businesses and individuals can borrow?



How much of the last general election was fought on housing? Very little.

In fact, it was the so called 'dementia tax', aimed at paying for social care with some of the property equity older people have accumulated instead of the younger tax payers, that made May's bid start to unravel.

Plus, lets not get ahead of ourselves, the Conservatives still have 54 more seats than Labour after running a shambolic campaign.



I actually agree completely with you that UK housing is over inflated in price, especially in London and the SE. It's mainstream economic thinking.

I don't however draw the same conclusions as you as to what is likely to happen going forward and the best action for individuals to take.

My view is that if prices don`t start coming down noticeably Corbyn will be the next PM, but I believe the Tories want prices to slide so that young voters can buy and banks and retail get a boost, but they want to blame it on Brexit, not a greedy bankers Ponzi scheme. QE is now firmly on the electoral agenda as well..in Europe...


https://www.usnews.com/news/world/articles/2017-08-28/austrian-conservatives-target-multinationals-and-qe-in-economic-draft

Crashy_Time

ReadingTim wrote: »

I'm not denying that - my point is that the potential consequences of not doing that (ie allowing the property market to fail or crash) are deemed to be infinitely worse - 'Turkeys vote for Early Christmas' etc

But back on topic, yeah, it's classic buyer's remorse, as per wikipedia..

By being seen to bail out debtors, the wealthy and the banks they are making things worse though, this refusal to accept economic reality has brought us Trump/Brexit/General anti-EU/anti-banker feeling etc.?

LKRDN_Morgan

I've cleaned and handed the keys to the rented house back. That was a great feeling knowing I won't be paying someone else's mortgage anymore (if I can help it Crashy )

Feeling a lot better now that things are slowly coming together and it looks more like a home. Next time we move I'll be fully prepared to be an emotional wreck!