Jump to content
House Price Crash Forum


  • Content Count

  • Joined

  • Last visited

About bobby9983

  • Rank
    HPC Regular
  1. You've got to support the Tories for making banks pass on interest rate cuts to businesses and consumers. The current regulators the FSA are all ex-bankers running the industry for the benefit of their friends. The latest figures show that bank margins have never been higher than now; they are making billions and continuing to pay ridiculous bonuses, whilst at the same time having record complaints for shoddy service, all whilst we the taxpayers own them. The tories will scrap the FSA and return the regulation of banks to the Bank of England. This fact alone is worthy of a blue vote.
  2. the problem a lot of LL's have here is that many councils are now paying housing benefits direct to the claimant and guess what they spend it on (tip - it's not rent)?
  3. Nothing selling + No reductions = Stagnation As other poster has noted the 4 D's will barely move the market. Until interest rates rise and then people will be forced to sell. For a true insight into the Psyche of an in denial homeowner watch the program House Swap on BBC 1. The most recent episode showed a young couple looking to trade up. They were quite happy to accept a 10k knock down from their initial asking price of 190k. When the older lady in her detached house was asked to knock a bit off her asking price - around 5% - she said she would never sell. In my opinion that's where the problem lies, the baby boomer generation is sat on a mass of unrealised equity and bugger them if they are going to accept their property has dropped a penny from 2007 as a £20k drop for them means about 40 missed holidays in their retirement. The greedy gets won't stand for it. Screw you younger generation, we've completely cocked the world up, taken all the oil, made sure we screwed all your pensions just after we took our nice defined benefits and now we want you to pay ridiculous prices for our houses even though there's no way you can afford unless you take out a whopping great big mortgage.
  4. I know depends on the individual company / house in broad terms this makes up the difference, and more in a touchy feely way
  5. I don't think you can knock the average landlord. With a choice to invest money in assets that are tangible like property or intangible (for your average punter) like shares, the decision as to which would they rather is obvious. When you look at the average property market down 21% vs a tracker fund on the FTSE 100 between Jul 2007 to present down approx 29%, you can certainly forgive them. Yes property is illiquid I hear you say, and highly geared that's bad. But for every sob story there is a very happy bunny paying from nothing to 2% over base thank you very much. Absolutely coining it in. The press is just saying today that the UK will lag every major economy, central bankers and economists alike are forecasting low interest rates for some time, so for many landlords times have never been better. Cue the shouting...
  6. No one is doing a runner in my example. The land registry figures show a purchase price of £100,000. The £25,000 bridged deposit monies are declared to the lender as deposit from 'investments' (the buyer joins an investment club, who lend the deposit over a short time). Just google 'BMV property' or 'bmv mortgages'. It's rife and yes, the lenders are all incompetent.
  7. It's funny how when times are good the banks keep schtum and then as soon as they lose money they shout fraud from rooftops. The fraud they are talking about involves some derivative of the following process; I find a property worth £100,000 I can get a £75,000 buy to let mortgage I convince the vendor to sell to me at £75,000 I submit my mortgage application and the property is valued at £100,000 I instruct a solicitor who is competent in arranging such deals to act for me, and another familiar firm to act for the vendor. Vendor and I use the solicitor's process to complete the purchase, which probably involves a third party to 'bridge' the deposit monies. The purchase likely goes through at £100,000 and the difference of £25,000 is probably recovered after sale using same solicitors.
  8. Ok I've read this thread and whilst it is interesting the article it refers to itself is more so. In my opinion Osborne's argument is right. From the very top to the very bottom of the economy the governance of finance over the last decade has been heavily skewed to rewarding debt and punishing equity. From the high leverage of private equity and ridiculous tax rules for pension schemes, to the fact that the average Joe with 50k to invest can get a mortgage in 5 minutes to buy a property, exempt from stamp duty for which he can claim full tax relief and sometimes reduced VAT, whereas if he wanted to do put this in shares he would have to go through the pain of four hours with an IFA and then have to pay full stamp when he makes the trade.
  9. A natural consequence of government stimulus the world over is a return to normal for a short time, but all the same mistakes that were made to get us here, i.e artificially low interest rates that induce irresponsible borrowing, have been made all over again but ten times worse. In 2003 the base rate reached as low as 3.5%, and that added jet fuel to the bubble. The government can't keep this up forever, already the market is increasing borrowing rates which have now become completely detached from the base rate or Libor. Swap rates have spiked in the last couple of weeks, which will run through to borrowing of all types in the next few weeks. Later this year the second stage of the credit crunch will start with imploding prime residential mortgage and commercial backed securities. Banks will keep their margins as they are because they have to try and stay solvent, they will start to hoard cash again.
  10. Said Russian business leader and bank are probably in hoc to German banks for a large proportion of that indebtedness...
  11. Britney, that is THE worst poem I've ever read.
  12. This is what I don't get with this business of landlord margin calls... Say the landlord is in a position where the lender feels they should make a margin call so they ring said landlord and ask them to cough up. The landlord says "take me to court I'm not paying". The lender knows if they do this and ultimately force repossession then they will have massive costs and either have to manage the property themselves, putting them in the same position they are in now, or sell, which in today's market would mean a nice big fat loss and the pain of having to pursue a landlord for the difference who could well go bankrupt anyway. It doesn't matter if you are a big or small landlord. The lender really is going to go for you as a last resort if you are way behind on your payments. Unless of course, your lender is the one that is really in trouble, and has been ordered by their regulator to liquidate at whatever cost to reduce their balance sheet. This is what's probably happened with your landlords Spanish properties and could be the case over here, especially if he were with a fully taxpayer owned bank like Northern Rock or Bradford & Bingley, as they know the tax payer ultimately pays so they don't give a stuff if they lose millions.
  13. QUOTE (Super Ted @ May 21 2009, 09:47 AM) * This could be it. This may be the trigger. The trigger for what? The trigger for Super Ted to lose his marbles big time.
  14. +1, if not a bit harsh though. I think that many over these sheep brained idiots were duped into it by fraudsters. I definitely have an exception to my thoughts on this matter where investors are concerned. I don't think any honest family or person looking to buy a home to live in should ever be repossessed. The lender should take responsibility for them and negotiate the terms of their mortgage to suit. Investors on the other hand, let them rot if they can't keep up payments. It's just business.
  15. WOW. 97%!!! It just proves the fact that the biggest hypocrasies of humanity are played out in the property market. Out walking on the street you would say that 97% of people have nothing but good faith in mind for their fellow humans. Put them in at the sharp end of capitalist system, however, hiding behind the auctioneers and estate agents, letting them do the dirty work for them, and all the very worst aspects of humanity come out. Gazumping, Gazundering, wasteful, pointless contract races, unrealistic prices, vulture investing picking the bones off the dead and feckless. We all do it.
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.