Fairyland

The Guardian: PM among cabinet members earning money as landlords Sorry, I can't paste the image using 'Insert image from url' link. http://interactive.guim.co.uk/uploader/embed/2018/04/cabinet_property/giv-3902LlcLasQx4Sd6/

Telegraph: Families will struggle if interest rates rise to just 2pc, Bank of England fears

The Guardian: Savills is auctioning £7.2m worth of former social housing

"they will either have to increase their earnings or look for other work" Are they allowed to start another business?

The Guardian: Universal credit to slash benefits for the self-employed

Bloomberg: The people who set interest rates don’t know what causes inflation, how to measure it, or how to move it up and down.

They are probably thinking: 1. The younger generation wants everything now, now, now. 2. We have worked hard to able to afford these houses. We lived on baked beans when we bought our first house. 3. Why can't the younger generation buy a fixer/upper and do it up. 4. Or, " goodness me, the housing crisis looks terrible. Glad we bought before it began. What a wise financial move"

Penalties are harsh. So whoever has signed one year rental contract after October 2017 are affected by this? They cannot evict the Tennant either. Interesting to see what happens next.

"why work when you can't afford a home" As much as I would want work to provide for a home what choice do we have? We need food on table. Clothes to wear.

Bloomberg: https://www.bloomberg.com/news/articles/2018-03-16/millions-of-indebted-in-u-k-face-pain-as-rock-bottom-rates-rise Where are we heading? Work should provide for basic needs at least.

Will that be in addition to the 15% drop that has already happened in London?

Dow closes more than 200 points lower, as Boeing slides on fears of a China trade war Kudlow says he favors a strong dollar, has no reason to believe Trump isn't for one either

Bloomberg: Zara Loses Its Zip Minsumerism or empty pockets?

I could think of: 1) HTB(first batch) remortgage time 2) IO to repayment switch 3) VR to fixed rate switch before rate hikes 4) BTL portfolio reduction resulting into restructuring/remortgaging?

In my knowledge rate advantage disappears once you reached 40% equity/60%LTV.

Yes there is room to fall. In fact it may even help them to sell. I am not sure if LTV is a good way to measure average debt.True, LTV is low due high HPI in London, higher the HPI lower the LTV. But, as often said here, house prices are illusory, so is LTV. Yet, mortgage owed(debt) is real and so is it's servicing cost (IR). A person with £500K property and £200K mortgage is as vulnerable to IR rise as someone with same income level, owning £1m property and £200K mortgage, right ? Unless of course they decide to sell up.

Average London mortgage debt in 2016 was £215,280 - http://www.thisismoney.co.uk/money/mortgageshome/article-3438660/The-regions-biggest-mortgage-debt-revealed-Use-interactive-maps-town-city-compares.html If we consider a typical mortgage of £200,000 then 1% IR hike = £2000 additional cost per year. What will happen if IRs return to long term average of 5-6% ?

Bloomberg: London House Prices Are Dropping at the Fastest Pace Since 2009 Bloomberg: Sweden Responds to Worst Housing Slump Since 2008 With Supply Some big change seems to be on it's way? The debt train is probably fully loaded. Chances of IR rise are becoming more apparent. UK and Sweden are reporting HPC. Wonder, which countries are joining in next? Some may have already joined as we talk.

Is she renting/own her house?

Thank you for this information. What I am struggling to understand is how does the buyer(second owner) afford the house if the first buyer required HTB? For a few houses this may not be a problem but on an average the second buyer should also need HTB equity loan which isn't available as it is no longer a new build. Am i missing something?

True but most of the things start from the commercial sector and gradually move to domestic sector. It shouldn't be that hard to build a prefab terrace/semi that can just replace the existing one. Prefab extensions are already there. Planning should see some change as mentioned in TM's speech. Upwards extensions likely to get easier.

Power of Technology: No more builders, construction workers ??? When will this become mainstream?

You are right. HPI gains would not be realised until you sell. Try explaining this to the masses who are in their own " I have something very valuable" ego bubble. Even those who bought when houses were very affordable(going with flow) think they were some kind of smart investors and the younger generation lacks those skills/work ethics. Then there are others who justify saying " we started from zero but we will have at least have something to hand over to our off springs so they don't have to go through we did". I am pretty sure their offsprings will not have the same chance despite higher education. Times have changed.

Ah found it .. I was an angry young renter who railed against the mortgage industry. Until I bought a house

Sadly this may be the case. It reminds me of one the Telegraph articles where the journalist says something on the line of "I was an angry renter for a decade. Following an eviction of my family I finally decided to buy. First I gave my wallet to the mortgage Industry and now my soul wishing for HPI"