Can you imagine the destruction in the UK if the property market crashed

James_Green_1982

Exodi wrote: »

With the key difference being the majority of these people wouldn't have deliberately put themselves in a situation where they don't own a home to claim public funding.

You have no issue paying tax to cover unemployment benefit, but if I was to tell you I planned on being unemployed for the rest of my life because working is effort and I'd prefer to play games everyday, would you not express an objection that you are, to an extent, subsidising my new choice?

I don't want to stay on this point, it's clear we're at opposite ends. I personally think it's a s**t thing to do but you see it as a smart thing to do so let's leave it there because I doubt we'll agree.

No. I wouldn't actually. Because I know that the whole system is a bit of a sham anyway.
The government can just print all the fiat money it wants (as proved by QE). The government can control and distribute assets as it wishes. Which groups it favours is the government's own choice.

Like you, I used to believe the whole ''Taxpayers v Scroungers'' narrative - but post 2008 it's all been proved nonsense.

phillw

Exodi wrote: »

Whether the council decided they had deliberately deprivated their assets or not (and I'd wager a 70+ year old selling their mortgage free house and proceeding to spunk the proceeds over the next few years would be pretty clear-cut), I'm most niggled by the attitude of "I'll sell my house, go on the mother of all spending sprees, then everyone else can pay for my care!" :mad:

It's only deprivation of capital if they can prove that you did it to achieve that end.

If you sell your house and then spend that money on rent, food, clothes, etc & do it over a reasonable period of time then I doubt they could really say anything.

I doubt the first thing they ask when you make a benefits claim is whether you used to own a house that you sold.

lisyloo wrote: »

James isn’t smart on this issue and has no idea what he/she is talking about.

Peoples homes are disregarded when they are living in them.

Until you need to go into care, then they get you to sell it or put a charge on the property.

Owning a house when you're dead is a little superfluous as well. Living it up on the capital would be more fun. I'm a little way off making that decision though.

MobileSaver

phillw wrote: »

I've been in mine 13 & I'm saving up to gut the place. New kitchen, bathroom, carpets, decorating, boiler, board out loft, replace some double glazing. By the time I've finished I think I'll be breaking even in terms of how much mortgage interest and maintenance I've paid

Every one of those things though is discretionary, your personal choice, and not essential maintenance that you absolutely have to do.

The two things repeatedly trotted out by Crashy Time and the HPC fruitcakes are a new boiler and a new roof; in 30 years of home ownership I've never had to replace either.

In my current home I've spent literally hundreds of thousands of pounds updating it to exactly how I want it to be but practically everything was by choice; about the only things I can think of that weren't were replacing light bulbs and two panes of glass and I suppose painting the external wooden windows would be considered "essential." There's probably a couple of things I've missed but in total it's an insignificant amount of money that I had to spend on maintenance.

AG47

Does anybody else get the feeling that we are at a very important time in history for the uk.

This could be a monumental moment with incredible changes to society

House prices could fall a long way.

James_Green_1982

AG47 wrote: »

Does anybody else get the feeling that we are at a very important time in history for the uk.

This could be a monumental moment with incredible changes to society

House prices could fall a long way.

Well Mike Maloney points out that financial crisis often leads to political crisis - with subsequent wealth transfer etc. That has already happened in one sense in 2008 - with the QE inflating assets priced in fiat etc. But at first it only really reflated the stocks etc that had dropped in 2008.

Both Mike Maloney and Peter Schiff think a ''socialist'' democratic govt could win this next election in the USA. But I don't think it would make much difference, as Trump's govt have been borrowing and spending so much anyway.

Over here, Corbyn could win. I personally don't think he's the Far Left bogeyman the media claims. And even if he was, parliament would need to agree any big changes. I think the markets will over-react and if he does win, I'm going to be buying utility stocks etc - that I think will be oversold.

I do think long term the UK will see what many would consider ''Far Left'' socialism in control. Purely because it will be the only thing left to try. Since 1989 ''The Left'' in the UK has given up on actual economic socialism and concentrated on political correctness instead. But once fairness has been achieved for women, homosexuals, ethnic minorities, transvestites etc, etc. Then Brexit. Then the environment. Then animal welfare. Then sooner or later they will go back to economic redistribution. But I think I may be long dead by the time it happens.

AG47

James_Green_1982 wrote: »

Well Mike Maloney points out that financial crisis often leads to political crisis - with subsequent wealth transfer etc. That has already happened in one sense in 2008 - with the QE inflating assets priced in fiat etc. But at first it only really reflated the stocks etc that had dropped in 2008.

Both Mike Maloney and Peter Schiff think a ''socialist'' democratic govt could win this next election in the USA. But I don't think it would make much difference, as Trump's govt have been borrowing and spending so much anyway.

Over here, Corbyn could win. I personally don't think he's the Far Left bogeyman the media claims. And even if he was, parliament would need to agree any big changes. I think the markets will over-react and if he does win, I'm going to be buying utility stocks etc - that I think will be oversold.

I do think long term the UK will see what many would consider ''Far Left'' socialism in control. Purely because it will be the only thing left to try. Since 1989 ''The Left'' in the UK has given up on actual economic socialism and concentrated on political correctness instead. But once fairness has been achieved for women, homosexuals, ethnic minorities, transvestites etc, etc. Then Brexit. Then the environment. Then animal welfare. Then sooner or later they will go back to economic redistribution. But I think I may be long dead by the time it happens.

Mike Maloney is awesome
His free Hidden secrets of money series on YouTube should mandatory viewing for all kids leaving school.

MobileSaver

AG47 wrote: »

Does anybody else get the feeling that we are at a very important time in history for the uk.

Well, yes, as we are about to leave the EU which has brought us great prosperity over the last few decades.

AG47 wrote: »

This could be a monumental moment with incredible changes to society

Again, yes, this is a possibility as an awful lot of people in this country are about to find out that the EU was not the reason they have not been successful in life and I'm not sure who they are going to blame next; 'cos it's always someone else's fault, right?

AG47 wrote: »

House prices could fall a long way.

But, no, I am afraid that you, Crashy Time and the rest of the HPC zealots are not going to see 50% off house prices by Christmas.

AG47

MobileSaver wrote: »

Well, yes, as we are about to leave the EU which has brought us great prosperity over the last few decades.



Again, yes, this is a possibility as an awful lot of people in this country are about to find out that the EU was not the reason they have not been successful in life and I'm not sure who they are going to blame next; 'cos it's always someone else's fault, right?



But, no, I am afraid that you, Crashy Time and the rest of the HPC zealots are not going to see 50% off house prices by Christmas.

50% crash in unlikely, more like 30% real term crash over the next few years, maybe even serval years

MobileSaver

AG47 wrote: »

50% crash in unlikely, more like 30% real term crash over the next few years, maybe even serval years

Other than the truly desperate how many sellers do you think will put their largest asset on the market with a 30% hit?

How easy do you think it will be to get a mortgage if house prices are dropping 10% a year over the next few years?

As the saying goes, be careful what you wish for...

phillw

MobileSaver wrote: »

Other than the truly desperate how many sellers do you think will put their largest asset on the market with a 30% hit?

It'll certainly be at the top end of the market, rich people abandoning the uk for a better life elsewhere away from the poverty.