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House Price Crash Forum

JonathanR

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About JonathanR

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  1. Yes there is massive avoidance of IHT. You just need to go to the city to see the trading in farms and forests to avoid paying it. regarding "clogs to clogs in 3 generations" with someone like the Duke of Westminster, one of the richest people in the country and getting richer, it has come from being handed a golden spoon from generation to generation for centuries.
  2. Actually HTB is funded by the BOE. They just print it.
  3. Well it seems most people here don't understand what is happing with interest rates. Well here is the real answer: Low interest rates fund the deficit. The government borrows money to fund the deficit at the SAME rate as the BOE base rate. The BOE makes sure of this by printing money to buy government debt from the open market (aka Quantitative Easing) which LOWERS the yield (interest rate) on new government debt. Hence the current low interest rates as the government can't afford to pay more interest on its debt and the deficit is RISING not falling. So you may be asking why does Mark Carney keep talking about future rises in the base rate? Well you might notice that as soon as the market sniff a possible rise in interest rates then the value of the pound goes UP. What Mark Carney is doing by announcing future rises in interest rates is keeping the value of the GBP high. This is the purpose of his "forward guidance" monetary policy. The key here is that these announcements are a MONETARY POLICY. They are designed to keep the value of the pound high, they are NOT designed to give people future warnings of higher interest rates as many seem to think, including the market. My advice is if you want to know when interest rates will rise look at the DEFICIT don't listen to what the governor of the BOE says as his announcements are not designed to give future warning but designed to keep the value of the pound HIGH. ONLY when the deficit drops will the base rate rise.
  4. Bubbles always get a lot bigger and burst a lot louder than anyone predicts. But the Bank of England and government combined can prevent a fall in the housing market by printing money and causing inflation. When you have something like that backing house prices there is no reason why they shouldn't stay high until the whole economy collapses.
  5. I shop at Lidl and not just because it's cheaper. It's a calmer environment in there. It's the food tastes good and you're not bombarded with choice. I went in a Tesco Extra and they had over 20 different Philadelphia cheese types and variates, then on top of that they had their own brand copy version. Why anyone needs so much choice is beyond me. It also confuses me having to chose the size type variety of just one type of cheese. And that's just one cheese move on to the next item! Tesco try to fool you, they don't know what they are doing! You go in the shop and they've made it look like a pound shop with a limited number of items. But buy something else not in that pound range and you get ripped off. There is no way in a million years now that I will make Tesco my regular shopping place.
  6. Perhaps someone could ask them why their article on inflation in the BOE museum states that inflation is due solely to supply and demand and they totally fail to mention money printing?
  7. Can you tell me where on earth I can get an 8% return? Because I'm having problems getting anything over 1.5% at the moment. Maybe I should get a BTL property? Also is this £17.5k pension including the new state pension of £7.5k? If so that would mean you only need a private pension of £10k. To get a £10k pension at 67 if you don't smoke or have any serious medical conditions would cost about £150k and that's a level rate with no inflation increase.
  8. When the builder of a house offers to pay the stamp duty for the buyer. When in fact all they do is add it to the sales price. Taylor Wimpy's site in Wilford Nottingham have just recently put their prices up by about £50k but when people enquire about getting the house they offer to pay the stamp duty on the house as a form of discount. This means the buyer doesn't have to find the stamp duty but just gets it added (unknown to the mortgage provider) to the mortgage. This increases the market of people who can pay more for a house.
  9. I know he's said that but the government pays the same rate of interest on debt issued to fund the deficit as the base rate. There is no way interest rates will rise while there is a large deficit. One of the jobs of the Bank of England to maintain confidence in the pound. So if they said that low interest rates will continue indefinitely then the value of the pound would plummet as no end would be seen to the inflationary QE that is funding the deficit. I've said it many times before: You will hear a lot from the BoE about potential future rises in the base rate but you won't ever see any rise in the base rate until the deficit is greatly reduced.
  10. Mortgage Rescue Scheme This is where a housing association will buy a house from someone who is going to get their home repossessed. The housing association then rent the house to the person who was going to have it repossessed. This puts less repossessed houses on the market and so puts positive pressure on house prices.
  11. I think you'll all find that the predictions on the front page of housepricecrash are none too accurate either.
  12. What Mark Carney is actually doing is fulfilling the government secret plan to get house prices back to their 2007 levels. By say they are going to look at help to buy with the aim of scaling it back creates panic for those who would need Help to Buy. So it makes them think they must get a house before they can no longer get a house because Help To Buy vanishes. You should all know that Carney is the master of forward guidance and this was forward guidance with of course no follow through to implementing anything. Expect now a boost in Help to Buy applicants who are getting in while they think they can and an additional boost to the housing market.
  13. Actually getting a BTL property and living in it is the latest mortgage fraud. If people who don't have the income to get a mortgage for the property but have a deposit get a BTL mortgage but live in the property themselves. It's the equivalent of self-certified mortgages in 2007.
  14. Trouble with bubbles is they always get a lot bigger than you could possibly imagine and then they burst a lot louder than you ever thought possible. This bubble still has a long way to go.
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