RomanWall

Inside The 'house Price Crash' Community

103 posts in this topic

Why do people assume that as soon as you buy a house you immediately want the price to shoot up?

Any sensible, rational thinking person would realise that (assuming they intend to move to a larger house at some stage) it is better for them to fall to close the gap between your house and the bigger house.

Are there no sensible, rational thinking people in the UK, or does everyone have a BTL?

Just COMPLETE idiots in the UK judging by the state of things.

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Are there no sensible, rational thinking people in the UK, or does everyone have a BTL?

Everyone has a silver BMW.

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I think "career politicians" are a real problem. No experience of the real world at all.

I don't think this was the case some years back. Politics was an interest, and a civic duty, not a career to the Victorians, or maybe not!

Please discuss.

Anyway Mr builder, I bought a Martin acoustic recently, and it's very wooden indeed!

But many Victorian politicians were career politicians: Eton - Oxbridge - Parliament was the typical route, perhaps with a year or two at the Bar but without any real practice or real world experience. Eg. Britain's greatest PM Gladstone entered Parliament at 23 after following this.

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Why do people assume that as soon as you buy a house you immediately want the price to shoot up?

Any sensible, rational thinking person would realise that (assuming they intend to move to a larger house at some stage) it is better for them to fall to close the gap between your house and the bigger house.

Are there no sensible, rational thinking people in the UK, or does everyone have a BTL?

I love explaining exactly what you've just pointed out (I go through an example showing 1% HPI v 10% HPI and how it's easier to "climb the ladder" with 1% - ie a £100k house and a £200k house and how the gap between those two prices will grow more with higher HPI and therefore become harder to "climb") and people are amazed. It's like they've just been given forbidden knowledge. And yet it's just f**king basic maths! **GAAH!!**

Edited by Chuffy Chuffnell

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A ridiculous vested interest article. Enough said.

See... just like lefty arguments. They use dumbed down emotional blackmail.

'These BAD people are PREYING on hard working PEOPLE who are losing MONEY. how DARE they. BAD people'

Pathetic. House price inflation has ruined the country. The sooner they come down, the better for all.

Ofc, stealing stuff from people and threatening them with violence, is absolutely fine!

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But many Victorian politicians were career politicians: Eton - Oxbridge - Parliament was the typical route, perhaps with a year or two at the Bar but without any real practice or real world experience. Eg. Britain's greatest PM Gladstone entered Parliament at 23 after following this.

Well you could hardly have had a comp or grammar school kid in the days when the plebs were mostly working in mills of coal mines, or on a farm, could you.

edit for gibberish gramer

Edited by newbonic

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Well you could hardly have had an comp or grammar school kids in the days when the plebs were mostly working in mills of coal mines, or on a farm, could you.

When Gladstone first became an MP (before the Reform Acts he helped put through) you had to own property to be able to vote. The plebs didn't even get to vote let alone stand a chance of being MPs.

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When Gladstone first became an MP (before the Reform Acts he helped put through) you had to own property to be able to vote. The plebs didn't even get to vote let alone stand a chance of being MPs.

i would be cartain there was strong resitance to that at the time.

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I love explaining exactly what you've just pointed out (I go through an example showing 1% HPI v 10% HPI and how it's easier to "climb the ladder" with 1% - ie a £100k house and a £200k house and how the gap between those two prices will grow more with higher HPI and therefore become harder to "climb") and people are amazed. It's like they've just been given forbidden knowledge. And yet it's just f**king basic maths! **GAAH!!**

I feel your pain and you made me chuckle :)

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I love explaining exactly what you've just pointed out (I go through an example showing 1% HPI v 10% HPI and how it's easier to "climb the ladder" with 1% - ie a £100k house and a £200k house and how the gap between those two prices will grow more with higher HPI and therefore become harder to "climb") and people are amazed. It's like they've just been given forbidden knowledge. And yet it's just f**king basic maths! **GAAH!!**

Yep I always use the example of a 100K flat and moving to a 200k flat.

Bascially if the price doubles - everyone THINK they have 'made' £100k - when in fact in terms of payments they have 'lost' £100k

When you explain this most simple of thing sto people it is like they have just been told some amazing fact.

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Yep I always use the example of a 100K flat and moving to a 200k flat.

Bascially if the price doubles - everyone THINK they have 'made' £100k - when in fact in terms of payments they have 'lost' £100k

When you explain this most simple of thing sto people it is like they have just been told some amazing fact.

Maybe that's where I'm going wrong. I assume that that's so obvious that I don't mention it and think that there must be something else going on that I've not worked out.

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Maybe that's where I'm going wrong. I assume that that's so obvious that I don't mention it and think that there must be something else going on that I've not worked out.

Nope - people are not told this - they are constantly bomabred with the 'High house prices are good for everyone' message. I tisnot a surprise that so many think it. I it brainwashing. Pure and simple. And I do not say that in any TFH way either. People in the UK are brainwashed. Luckily it is starting to wear off. VERY slowly though. 10 years of brainwashing is not going to be over in a couple of years. :(

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Amusingly, todays topic is how to cash in on stock market falls

But while uncertainty has made caution the overriding factor in many investors' decisions, with many surely dominated by the noise of "market crash" headlines - the flipside is that this turmoil creates opportunities for savvy bargain hunters.

Oh, the Irony.

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Amusingly, todays topic is how to cash in on stock market falls

Oh, the Irony.

But what about the poor sharebuyers who have over-extended themselves and stand to lose their shares? They have school fees to pay, mortgages to service, BMW lease payments to cover. These heartless 'bargain hunters' want to buy their shares on the cheap and derive such joy at the prospect of making a quick dime out of someone else's misery!

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Yep I always use the example of a 100K flat and moving to a 200k flat.

Bascially if the price doubles - everyone THINK they have 'made' £100k - when in fact in terms of payments they have 'lost' £100k

When you explain this most simple of thing sto people it is like they have just been told some amazing fact.

Or in terms of an extra bedroom; on a two bed £125k house the cost to go to a three bed may be £25k ie three bed costs £150k ie one salary extra, if they double in price overnight your two bed is worth £250k but the three bed now cost £300k ie two salaries and you can't afford it as it is two salaries. If you did not own even the two bed then you may as will emigrate as you will never even be able to buy a two bed.

This is essentially what happened over the last decade with rampant HPI. You end up with a property worth a fortune but can't move to one where you can bring up a family.

Edited by satch

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But what about the poor sharebuyers who have over-extended themselves and stand to lose their shares? They have school fees to pay, mortgages to service, BMW lease payments to cover. These heartless 'bargain hunters' want to buy their shares on the cheap and derive such joy at the prospect of making a quick dime out of someone else's misery!

Might I suggest something like SMI for shares rather than mortgages; a Parliamentary Initiative for Stocks and Shares where the tax payer covers the loses so they don't lose their shares and become shareless.

Edited by satch

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Or in terms of an extra bedroom; on a two bed £125k house the cost to go to a three bed may be £25k ie three bed costs £150k ie one salary extra, if they double in price overnight your two bed is worth £250k but the three bed now cost £300k ie two salaries and you can't afford it as it is two salaries. If you did not own even the two bed then you may as will emigrate as you will never even be able to buy a two bed.

This is essentially what happened over the last decade with rampant HPI. You end up with a property worth a fortune but can't move to one where you can bring up a family.

That's about the nub of it. We have all met the person who tells everyone how much money they made on their flat this year. Then you ask them out for a pint - and they say they cannot afford it !!

You would have to be an imbecile not to work out the connection.

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That's about the nub of it. We have all met the person who tells everyone how much money they made on their flat this year. Then you ask them out for a pint - and they say they cannot afford it !!

You would have to be an imbecile not to work out the connection.

The other dots they cannot connect is that the "profit" they make is due to the expansive of credit that has led to inflation. The winnings are supposed to come when they sell and downsize but the money has much less purchasing power. It's total bank ponzi.

Pay miles more for a house, have much more debt to service, a lower standard of living by having to work more hours and less disposable income, then even when you sell the £'s are worth so much less.

Meanwhile bankers take your £'s each year on the mortgage and can spend them while they are still worth something.

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That is very funny.

Schrodinger's cat.

How to hold two diametrically opposed thoughts as inalienable truths at one and the same time. :lol:

T*ssers.

I assume this also links in with the dead cat bounce.

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I love explaining exactly what you've just pointed out (I go through an example showing 1% HPI v 10% HPI and how it's easier to "climb the ladder" with 1% - ie a £100k house and a £200k house and how the gap between those two prices will grow more with higher HPI and therefore become harder to "climb") and people are amazed. It's like they've just been given forbidden knowledge. And yet it's just f**king basic maths! **GAAH!!**

Except it isn't just basic maths is it - it's finance...

£100k house, with a £100k io mortgage. 100% ltv.

Doubles to 200k.

The next step up - 150k now also doubles to 300k.

So, we've now got to borrow an additional 200k. However, we also have 100k 'in the bank'.

This is important. This now means we have a 33% deposit on the new place, and are thus considered a reasonable risk to someone who wants to lend silly money out.

Hell, lets push the boat out - grab the place that should be 200k but is 400k - we've got 25% deposit, and stick the stampduty on a creditcard!

Sure, maybe the intelligent thing to do is pay the mortgage off, but hey you have to speculate to accumulate right? You can't take it with you, may as well spend it!

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who cares anymore. these are the final days in hitlers berlin bunker.

Edited by right_freds_dead

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who cares anymore. these are the final days in hitlers berlin bunker.

So it's all down to "wonder weapons" and "phantom armies".

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Nope - people are not told this - they are constantly bomabred with the 'High house prices are good for everyone' message. I tisnot a surprise that so many think it. I it brainwashing. Pure and simple. And I do not say that in any TFH way either. People in the UK are brainwashed. Luckily it is starting to wear off. VERY slowly though. 10 years of brainwashing is not going to be over in a couple of years. :(

couldn't agree more.

we are even awake enough to see that these "issues" have been deliberately formented,and patiently await the "saviours" from this current crisis to come out of hiding...because we will be putting them straight back into hiding(after giving them a proper hiding).

as I said before......those who sought to do this to our sceptered isle and turn it into a remake of soviet/nazi snoopers and micromanagers are about to face the music....and we're fully loaded with violins and a set of turntables.

Edited by oracle

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