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The Masked Tulip

First-Home Buyers Missing 'deal Of A Lifetime'

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First-time home buyers are missing out on the deal of a lifetime because banks are restricting mortgage lending while affordability is at a decade high, a top economic consultancy has warned.
Houses are more undervalued than at any time since the end of 2001, according to a key indicator, but first-time buyers cannot get on the ladder because of the large deposits banks are demanding.

Melissa Kidd, an economist at Lombard Street Research (LSR), said: "Housing affordability is at peak levels, but access to mortgages is restricted compared with the pre-crisis years."

http://www.telegraph.co.uk/finance/newsbysector/constructionandproperty/7931837/First-home-buyers-missing-deal-of-a-lifetime.html

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there's another fatupous stupid VI article in the telegraph alongside this one

don't they f00king get it? if the funding isn't there then prices will continue to drop - and 2001 was not undervalued!

there's a 2nd article -

UK property: 50 years of going in cycles

finishes:

Although we are in for a bumpy and unpredictable few years, positive long-term fundamentals in both residential and commercial property remain. The UK's high population density and planning restrictions mean meeting demand with supply will always be difficult. Although economic growth is fragile at present, its return should keep demand bubbling away so that every Englishman, not to mention Scotsman, Welshman and Irishman, can still count his home as his castle.

err - these morons presumably don't in the slightest bit understand bubble lending, bubble government subsidy, on an epochal scale, as well as very negative demographic drivers. fools. and no comments section.

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Affordability,..........to loose your 25% deposit, while paying an interest only mortgage fixed at a low rate for 2 years so as to keep the balance sheets of the bank in the black. After which you become a debt slave, with no equity.

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there's another fatupous stupid VI article in the telegraph alongside this one

don't they f00king get it? if the funding isn't there then prices will continue to drop - and 2001 was not undervalued!

Yes it was look at the Nationwide trend!!

there's a 2nd article -

UK property: 50 years of going in cycles

finishes:

err - these morons presumably don't in the slightest bit understand bubble lending, bubble government subsidy, on an epochal scale, as well as very negative demographic drivers. fools. and no comments section.

Edited by endofcrash2

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And newspapers wonder why no one wants to buy them anymore.

Spot on.

I think the "mainstream media" is actually dying before our eyes. They are becoming less and less relevant. This sort of VI ramping is getting really desperate now.

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So, housing affordability is better than it has ever been, but no-one can take advantage of this because they can't afford the houses. I see.

I am going to give it 12 months and (unless they get the printing presses out again) will be paying cash for my home. That will be the ultimate level of affordability.

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I seem to recall during the last bout of falls, the VIs were trotting out the 'affordibility' (ie based on CURRENT interest levels)line too.

Well Melissa, my own 'affordability index' tells me that prices are much too fvcking high and I don't want to be saddled with a huge fvcking mortgage for the rest of my working life. So thanks for the heads up but you can find another mug to support the great housing ponzi.

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So, housing affordability is better than it has ever been, but no-one can take advantage of this because they can't afford the houses. I see.

Sorry cybernoid... I'm stealing that for my sig.

Best quote ever

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Yes it was look at the Nationwide trend!!

dear endofCrash2 - how do I put this subtley - oh no I can't - the price being beneath the trendline is not a measure of under or overvalue, it is simply measuring the current price (or in this case 2001) against a time-smoothed average

you haven't helped your argument to be honest

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Yes, Northern Rock had the right idea, 6x salary and 125% mortgages, if they are so affordable and property is a one-way bet then why is no one offering them ... perhaps the property values and the affordability can fall.

I would have thought that the DT would know that a mortgage is a long-term commitment and would refain from such stupid and sloppy journalism.

Yup................ Here we go again...........

Take out a

LIAR LOAN..........

And make pwoperty "affordable"............

F***ING UNBELIEVABLE...... :wacko::wacko::wacko::wacko::wacko:

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From the article:

High affordability is only relevant for existing owners on variable rate mortgages

There you go. House prices are only affordable if you already own a house and you are on a tracker/SVR so that 'affordability' could be wiped out very quickly when rates rise.

Just when you think the MSM are getting it, they print a stupid article like this.

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And we call these 'news' papers. Maybe they should actually try reporting some instead of making up fiction to scare the young into buying houses.

Well it's hardly working..no-one I know in their 20s is interested in house buying. Totally different mindset amongst this group, they much prefer the flexibility renting provides.

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Well I can't argue that it's a 'deal of a lifetime'.

It's simply that the lifetime in question is one of enormous debt in order to buy a pokey pile of crap.

Where do I sign..?

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Well it's hardly working..no-one I know in their 20s is interested in house buying. Totally different mindset amongst this group, they much prefer the flexibility renting provides.

That's Good News. It's saying we finally have a private rented sector that works, and doesn't imply living in a slum.

Let's have lots more BTL - intensify competition amongst landlords and choice for tenants!

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That's Good News. It's saying we finally have a private rented sector that works, and doesn't imply living in a slum.

Let's have lots more BTL - intensify competition amongst landlords and choice for tenants!

yes. BUY to let...Not BORROW to let.

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  • 145 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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