30% fall in property if no deal brexit

triathlon

The-Joker wrote: »

The emergency low interest rates have to continue because the emergency is not over, it’s just getting worse

I totally agree it is getting worse for those that sat on the fence and delayed buying a home in the hope of a property crash.

Goldie-K15

This is great, I love reading this sort of thing. It is totally irrelevant. Just because the prices fall by 30% (if we believe this) then who is to say we have to sell at that level. Yes we would all love prices to keep going up if we think that is how our worth is measured, but what does it matter what your house is worth if you have no intention of selling? i think as mentioned above, this will have no effect on most home owners, but it will entice the investors in, and rents will stay just as high as ever, and mortgages will be warder to come by, as the banks will be wary that a further drop is round the corner.

The-Joker

Goldie-K15 wrote: »

This is great, I love reading this sort of thing. It is totally irrelevant. Just because the prices fall by 30% (if we believe this) then who is to say we have to sell at that level. Yes we would all love prices to keep going up if we think that is how our worth is measured, but what does it matter what your house is worth if you have no intention of selling? i think as mentioned above, this will have no effect on most home owners, but it will entice the investors in, and rents will stay just as high as ever, and mortgages will be warder to come by, as the banks will be wary that a further drop is round the corner.

Yes banks will be wary that further drops are round the corner

That’s because they are, the emergency low interest rates still haven’t gone back to normality

The-Joker

The only thing that is certain is more uncertainty

Right to buy from private tenants will change everything

There mere mention of it has spooked foreign property investments in the uk

Not long ago it looked very unlikely Jeremy Corbyn could ever get in so right to buy was remote chance

Now everything is so uncertain anything is possible

RelievedSheff

You have got more chance of becoming PM then Corbyn!

RealElement47

The-Joker wrote: »

Yes banks will be wary that further drops are round the corner

That’s because they are, the emergency low interest rates still haven’t gone back to normality

No chance of the crisis being over enough to put interest rates back up so that they have some room to lower them again in the next crisis.

The next crisis will come as the last one keeps getting worse

chucknorris

RealElement47 wrote: »

No chance of the crisis being over enough to put interest rates back up so that they have some room to lower them again in the next crisis.

The next crisis will come as the last one keeps getting worse

OMG! That is about the 27th time this year that we have been doomed again, let's just hope like the previous 26 times that it was idiotic doomsters once again losing self control. So you are saying that I may have to put up with an interest rate cut, that will increase my profits, OK then, I'll just have to live with that..

RealElement47

There is not enough room to cut interest rates because they were not able to raise them up enough, the crisis isn't over it never was over, it's just got worse and worse since 2008

triathlon

RealElement47 wrote: »

There is not enough room to cut interest rates because they were not able to raise them up enough, the crisis isn't over it never was over, it's just got worse and worse since 2008

I don't think it is possible that I can laugh any harder

parking_question_chap

triathlon wrote: »

I don't think it is possible that I can laugh any harder

At what?

They are quite right. We are in a much worse position if we enter another recession.

Back in 2008 central banks around the world worked to prevent an even worse disaster: bailing out banks, cutting interest rates to near zero, and improving liquidity with quantitative easing.

Unfortunatley I dont think there have not been significant reforms to stop the reckless behavour from the banking system that was a big factor in the lead up to 2008. Whatsmore the tools we had available to us back in 2008 are not available to anywhere near the same extent. Debt levels (UK government and personal) are a lot higher and unlike in 2008 there is next to no wriggle room to cut interest rates.

If the next recession comes too soon then 2008 will seem like it was a walk in the park.