Sunday, Apr 20, 2008
That crash word again
Independent: Lenders lock out new borrowers amid fears over housing crash
"This is all about Abbey protecting itself against negative equity," Ray Boulger from broker John Charcol, said. "Higher-value property often falls further than lower-value housing so lenders want borrowers to have more of a buffer in place."
Posted by doomwatch @ 03:03 PM (528 views) Add Comment
4 Comments
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1. uncle tom said...
"It appears lenders are choosing to limit some of their deals to people who come to them direct rather than through a broker"
I wonder what's really behind this trend - trying to get round the problem of borrowers being encouraged to lie when filling in forms - or are we about to hear of a massive organised fraud...
..there have been some rumblings on that front, but nothing very specific..
2. Icarus said...
What happened to the "posh houses don't lose their value" theory that was widely touted a few months ago?
3. planning4acrash said...
Maybe you are right Uncle. Maybe fraud trails will eventually lead to the banks.
It has occurred to me that the judiciary could be our final defence. Key moments? Indictment of the federal government for 9/11 by a trusted, impartial country bought by citizens from that country affected by the atrocities. A law suit against lenders, a law suit against the federal government that unearths uneasy truths and sends a cascade of information that cannot be ignored. Law suits that result in lawsuits within the USA and within Britain against leaders, the central banks, etc. for unconstitutional behaviour, for fraud, for deception, for genocide, crimes against humanity, you name it. All we really need is a well financed law suit put forward to an appropriately independent legal institution and the deck of cards will crumble in lightening speed, helped along by freedom of information, and the last vestiges of free speech that exist within t'internet, peaceful demonstration and non-destructive graffiti.
Pop down to Tottenham Court Road and you will see a wonderful piece of expression by Banksy put up recently. Political statements are still possible. We should use our right to protest.
4. drewster said...
The last line explains it all:
"Brokers bring volume which was hugely important. However, volume isn't the name of the game now. Keeping control on who the money is going to is key."
In other words, the banks no longer trust the brokers. They want to see first-hand who they lend to. It's a classic principal-agent problem in economics.