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  1. Sorry if already posted http://www.guardian.co.uk/money/2008/dec/2...s-credit-crunch Sarah Beeny The Guardian, Monday 22 December 2008 Article history With so many magazines about property out there and many struggling to make ends meet in this ecomonic downturn is it brave or crazy for the Ultimate Guide Company to be launching a title called First Time Buyer with a cover price of £2.95? Perhaps it's a good excuse for taking a long hard look at the market and where we really are. There's a lot of fear around at the moment but if it's the right time in your life to be buying your first property then you should do it. The market may not be as high as it was, but we're by no means in a disastrous freefall. At the moment buyers are expecting a bargain and sellers are expecting to sell for a figure they expected to sell at a year ago, when the market was overheated, so there is a bit of a standoff. First-time buyers shouldn't be depressed though - there are plenty of good properties out there. If you go to an area that is not too top end, you will find something you can afford. It might not have as many amenities right next door as the place you have been renting, but realistically you probably don't need that many: in fact you're probably relatively independent and have less of an agenda than older buyers so let that lack of need work for you. My first flat was in Battersea, south London, many years ago and well before it was fashionable. It was a pig to get to and the only amenity was a greasy spoon. Those were the days when I thought a box of Asda wine was luxurious, so I was just pleased to have my own place. As a first-time buyer it's important to make sure you don't take on more than you can manage. Be cautious of massive discounts on properties: take them with a pinch of salt. I have seen some properties advertised as 70% cheaper or 30% cheaper, but if I ask £7m for my house, and then discount it by £6.5 million, that doesn't mean it was ever worth more than £500,000. Be a bit savvy, don't take too much notice of how much things were, look around the area and make your own assessment as to whether you're getting reasonable value. I'd always advise people to get a fixed mortgage, even if the rate seems high compared to variables, especially if you're young and especially if you're stretching yourself. You're better off knowing where you stand than gambling on something completely beyond your control. Apart from being disastrously stupid - it is one of the most patronising articles I've read for a long time.....
  2. The government's 2% inflation target will require a 1.5 percentage-point premium on interest rates because of spiralling food and energy prices. This will lead to sharply lower growth and rising unemployment, according to a study released today . A report by the Ernst & Young Item club, which uses the Treasury model to forecast the economy, urged the chancellor, Alistair Darling, to exclude food and energy from the inflation target or risk excessive pain for voters in the run-up to the election. Peter Spencer, chief economic adviser to the Item club, said food and energy prices alone were contributing more than 1.7 percentage points to inflation as measured by the consumer prices index. This left little room for other price increases if the government's 2% inflation target was to be met. With food prices set to rise, oil prices threatening to break $150 a barrel, and fears that household energy bills could leap 40% by the end of 2008, other prices would have to fall significantly if the Bank of England's monetary policy committee is to get inflation back on target over the next two years. Spencer said that to hit the target, interest rates would have to remain higher, resulting in a 0.75 percentage-point cut in GDP and a 60,000 increase in unemployment. He said the surge in global food and energy prices highlighted a weakness in the inflation-targeting regime and there was a case for moving to a core measure of inflation that excluded food and energy. "I think it is time to take another look at the way that the inflation target is specified," he said. "What is the sense in asking the MPC to target a price index like the CPI that places a big weight on food and energy that are set beyond its control in world commodity markets? It is imperative that UK wages and costs remain restrained. But it is not necessary to repress them further just to offset food prices. "This is not a time for dithering. The chancellor must give the Bank a clear steer and accept that the consequences will reflect his judgment on the trade-off between holding to an arbitrary inflation target in the face of a major global shock or supporting activity and employment." The report found Britain was more exposed to rising food prices than its peers, with a trade deficit in food equal to 1% of GDP. You really couldn't make it up! Surely the point of having them in there is because they are highly consumed commodities and therefore their increase in price represents a drop in the value of everyone's money that consumes them. Whether or not the MPC can influence their price with rate rises is irrelevant - they're still Inflationary! I'm obviously missing something
  3. I'm noticing a fair amount of 5-10% drops in the CT1/5/6 area - however there are a disturbing amount that are changing from 'Available' to 'Sold STC'. However, I think once the potential buyer have taken their medicine they'll pull out Worryingly a significant amount of the one's that have actually 'sold' are one's with a 10% discount, but blatantly aren't 'worth' the reduced price and were probably put on at an even more ridiculous price for a few weeks to entice the sheeple into bagging a 'bargain'. if my suspicions are right and this becomes the norm for EAs, will this reduce the effectiveness of Property Bee? i.e. the drop's in asking prices have already been factored in?
  4. Is this guy a poster on here? Seems to be towing the websites line! http://commentisfree.guardian.co.uk/rob_wi...of_cards_1.html
  5. Quite Next you'll be saying I should swap from coke to speed for my mornin' pick-me-up
  6. Where will the chavs go if their JJB store closes?
  7. Sounds sensible to me - presumably the MPC has lots of 'needles' to juggle house prices etc.... sod inflation.....
  8. Do They? Probably won't find many on here that do! Not necessarily - only the fvckwits that lied to get loans for overpriced shoeboxes!
  9. Yeah, just saw it Nice to be held in such high esteem?!
  10. http://uk.biz.yahoo.com/01042008/325/march...sures-soar.html "And if demand falls too swiftly, there is even a danger that inflation could fall too low below the central bank's two percent target for comfort." Hmmm, I wouldn't put any money on that........
  11. Can you imagine if us lot were let loose on there?! I rest my case!!!
  12. Things can only get worse Failing banks, plunging stock markets, skyrocketing inflation: Global Economic Meltdown is at hand. As credit becomes even dearer and the pound becomes still weaker, we are poised to witness nothing less than the end of human ... [read more] Posted by MorganWClist at 0822 on 19.03.08 Morgan W Clist is a journalist and author of Obama Is From Mars, Hillary Is From Venus. Comments JaneT at 0835 today That's a bit dramatic, isn't it? SixKindsOfChris at 0841 today Mr Clist has a tendency to over-egg the pudding. This is a man who still claims that Hurricane Katrina was faked, after all, and that the US govt concealed the extent of global warming by secretly painting part of Canada white. MorganWClist at 0849 today I have offered to produce documentary evidence of the latter to anyone who can guarantee my safety, but there have been no takers. What does that tell you? MegaDave at 0858 today That everyone wants something bad to happen to you. MorganWClist at 0907 today Sadly we no longer have to worry about any of that. Global Economic Meltdown is our only problem now. ElSmell at 0913 today Well I wish it would hurry up and happen. All my tins of survival food are getting near their sell-by date. BigDorrit at 0918 today Global Economic Meltdown - what does that even mean? MorganWClist at 0924 today Without getting too technical about it, it simply means that your money is dying. liberati at 0931 today So what should we be investing in now? Gold? Utilities? MorganWClist at 0936 today Petrol. liberati at 0943 today What do you mean - large refineries? International energy conglomerates? MorganWClist at 0956 today I mean petrol. Buy as much as you can afford, put it in jerry cans and bury them in the woods. You'll thank me. SixKindsOfChris at 1002 today Fundamentally the economy is stable. This credit crisis is, in my opinion, a long overdue correction. It will be painful, but it's not the Great Depression. JaneT at 1013 today That's reassuring, Chris, but my 2 year fixed mortgage deal comes to an end in May. What should I do? MorganWClist at 1024 today Lock your door, push the keys through your bank's letterbox and head for a warmer climate. Buy a tent, collect rainwater, make soup from grass. Daisy88 at 1027 today I don't know who to believe!!!! liberati at 1032 today MorganWClist: I'm intrigued by the title of your latest book, Obama Is From Mars, Hillary Is From Venus. What does it mean exactly? MorganWClist at 1036 today Exactly that. What could be clearer? liberati at 1044 today Are you saying that although they come from the same political tradition, their approaches are vastly different and coloured by fundamentals such as gender, background and race? MorganWClist at 1053 today No, I'm saying that Obama is from Mars and Hillary is from Venus. I've got pictures of them without their skin on.
  13. Nice drop of sarcasm in the comments section: "Fantastic News......I've been toying with the idea of taking out a couple of 125% mortgages and starting my property portfolio. This must surely be the bottom of the market..." Hands up - who was it?
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