Zzzzzzzzzzzzzzzzzzzzzzzzzz Posted September 21, 2005 Share Posted September 21, 2005 (edited) Just spoken to a strongly Blairite MP - quite close to Tony and also a whip. I actually phoned up on another point and dropped housing in to the conversation. He went on and on and on and on for over 15 minutes - I hardly got a word in edgeways. He said that the emphasis had to be on the supply of new housing and land for housing. I raised the issue of BTL and irresponsible mortgage lending as well, and the need to re-regulate mortgage lending. He said that wouldn't happen until repos hit the level they did in the 90s and he didn't see repo levels reaching those levels any time soon - he added that repos weren't a problem in his constituency at the moment. I told him that if they waited until repo levels rocketed, before action was taken, it'd obviously be too late, and I suggested that the government should intervene now. He didn't reply to that. He also mentioned SIPPS and said the impact would be limited as they're so complicated and very few people would be able / be bothered to access them. Edited September 21, 2005 by gruffydd Quote Link to comment Share on other sites More sharing options...
Grime- skint wouldbe ftb Posted September 21, 2005 Share Posted September 21, 2005 So yet another government minister misreading the supply/demand equation at the moment. Surely supply now far outstrips demand, its just the fact that its overpriced that those in power can't admit. Unless the MP is in possession of population vs housing data we don't know about, along the lines of Brainclamp's "Immigration means there's no crash" argument..... Quote Link to comment Share on other sites More sharing options...
BuyingBear Posted September 21, 2005 Share Posted September 21, 2005 [..] along the lines of Brainclamp's "Immigration means there's no crash" argument.....<{POST_SNAPBACK}> Yes, god bless all those filthy rich Polish immigrants who are prepared to sell off their entire village at home just to buy a 1 bed hovel in some dodgy part of the UK Quote Link to comment Share on other sites More sharing options...
Michael Posted September 21, 2005 Share Posted September 21, 2005 No-one knows what the SIPPS effect will be but if they do affect the market it'll be to increase demand and increase prices....so the whole idea is stuffed... The idea of SIPPS (like stakeholder pensions) is to encourage pension saving but as with stakeholder pensions less well off people won't be able to afford them or find them worth having....so again it's just a tax break for the well-off most of whom have reasonable pensions anyway................. Quote Link to comment Share on other sites More sharing options...
Zzzzzzzzzzzzzzzzzzzzzzzzzz Posted September 21, 2005 Author Share Posted September 21, 2005 I asked the bloke whether he thought that SIPPS would 'increase the number of second homes.' After a long pause, he replied 'maybe'. Quote Link to comment Share on other sites More sharing options...
patprimer74 Posted September 21, 2005 Share Posted September 21, 2005 So yet another government minister misreading the supply/demand equation at the moment. Surely supply now far outstrips demand, its just the fact that its overpriced that those in power can't admit. Unless the MP is in possession of population vs housing data we don't know about, along the lines of Brainclamp's "Immigration means there's no crash" argument.....<{POST_SNAPBACK}> What 'government minister'? Why would you expect an MP, even if 'close to Blair', to express an opinion on the question of houses being overpriced? What the hell would they know or care about the subject? Do you really want MP's/government to get involved and then interfere in the residential property market? I'd suggest that the market is/will sort itself out which is why prices are drifting gradually lower. p Quote Link to comment Share on other sites More sharing options...
Michael Posted September 21, 2005 Share Posted September 21, 2005 What 'government minister'?Why would you expect an MP, even if 'close to Blair', to express an opinion on the question of houses being overpriced? What the hell would they know or care about the subject? Do you really want MP's/government to get involved and then interfere in the residential property market? I'd suggest that the market is/will sort itself out which is why prices are drifting gradually lower. p <{POST_SNAPBACK}> I suspect Labour politicians wish house prices hadn't risen so much but none of them has got the political will to tackle the consequences........ Quote Link to comment Share on other sites More sharing options...
patprimer74 Posted September 21, 2005 Share Posted September 21, 2005 I suspect Labour politicians wish house prices hadn't risen so much but none of them has got the political will to tackle the consequences........<{POST_SNAPBACK}> What method of interference in the market do you want them to have the political will to indulge in, Michael? p Quote Link to comment Share on other sites More sharing options...
BuyingBear Posted September 21, 2005 Share Posted September 21, 2005 I suspect Labour politicians wish house prices hadn't risen so much but none of them has got the political will to tackle the consequences........<{POST_SNAPBACK}> "I will not allow house prices to get out of control and put at risk the sustainability of the future." - Gordon Brown, Chancellor of the Exchequer November 1997 That's why they've been 'allowed' to rise >150% since then, just shows you that Brown doesn't actually control anything and cannot honestly take any credit for sucess only for not f**king things up during that time. He is the hostage of good fortune, or not. Quote Link to comment Share on other sites More sharing options...
BuyingBear Posted September 21, 2005 Share Posted September 21, 2005 What method of interference in the market do you want them to have the political will to indulge in, Michael?<{POST_SNAPBACK}> How about not shoving inflationary £60k loans into the pockets of 'key workers'? That's a nice bit of market manipulation that serves nobody in the longterm, if they let the market correct then every worker 'key' or otherwise could buy anyway. How about not putting a load of cronies on the MPC and driving rates to 3.5% and relaxing lending criteria and reserve ratio's so banks can throw money at anyone, even letting people lie to buy any given multiple of their income. They gave the banks as much free beer as they wanted left them to it and expected them to behave themselves. Quote Link to comment Share on other sites More sharing options...
patprimer74 Posted September 21, 2005 Share Posted September 21, 2005 How about not shoving inflationary £60k loans into the pockets of 'key workers'? That's a nice bit of market manipulation that serves nobody in the longterm, if they let the market correct then every worker 'key' or otherwise could buy anyway.How about not putting a load of cronies on the MPC and driving rates to 3.5% and relaxing lending criteria and reserve ratio's so banks can throw money at anyone, even letting people lie to buy any given multiple of their income. They gave the banks as much free beer as they wanted left them to it and expected them to behave themselves. <{POST_SNAPBACK}> Do you really believe that the £60k loans to key workers are stopping the market from correcting? How large an effect have they had? Give us an indication. So, you want the 'lending police' to examine every mortgage application and you want the MPC members to be so 'independent' that they only move interest rates in the direction that suits your particular needs. Perhaps there's a conspiracy to stop you buying a house - everyone, right to the top, are involved! p Quote Link to comment Share on other sites More sharing options...
Guest horace Posted September 21, 2005 Share Posted September 21, 2005 (edited) I seem to recall Screaming Lord Sutch (the longest serving leader of any political party in the 20th century) replying to the question "How would you run the economy" said "We`ll **** it up like the rest of them". Very astute imo. horace Edited September 21, 2005 by horace Quote Link to comment Share on other sites More sharing options...
right_freds_dead Posted September 21, 2005 Share Posted September 21, 2005 Do you really believe that the £60k loans to key workers are stopping the market from correcting? How large an effect have they had? Give us an indication.So, you want the 'lending police' to examine every mortgage application and you want the MPC members to be so 'independent' that they only move interest rates in the direction that suits your particular needs. Perhaps there's a conspiracy to stop you buying a house - everyone, right to the top, are involved! p <{POST_SNAPBACK}> you cant deny there has not been a conspiracy to promote house buying by progressive uk governments. Quote Link to comment Share on other sites More sharing options...
Bobbio Posted September 21, 2005 Share Posted September 21, 2005 My nucle is quite a cheese in the labour party and from what he tells me, its quite well known and exepected within certain circles in the party that there will be a drop of at least 15% at worst 25% (real terms) in the next few years. He's even sold some property he had left over from 94 from an old aunt in late 04. He even thinks that Brown will probaly lose in the next election because of the state of the economy. Quote Link to comment Share on other sites More sharing options...
BuyingBear Posted September 21, 2005 Share Posted September 21, 2005 Do you really believe that the £60k loans to key workers are stopping the market from correcting? How large an effect have they had? Give us an indication.<{POST_SNAPBACK}> You asked how the government should 'manipulate the market' as if they were totally innocent in such matters, I was giving you an example of how they have already manipulated the market in the other direction. Sadly for the government interest free loans cannot prop up the market, of course there's a lot more to it than that but it doesn't help. All those loans have done is push smaller properties further out of the range of FTB'ers, ironically by inflating prices on the lower rung they may of helped kill the volumes and lots of chains, they are now suffering from the absence of those FTB'ers who have been pushed out. Quote Link to comment Share on other sites More sharing options...
Time to raise the rents. Posted September 21, 2005 Share Posted September 21, 2005 Just spoken to a strongly Blairite MP - quite close to Tony and also a whip. I actually phoned up on another point and dropped housing in to the conversation. He went on and on and on and on for over 15 minutes - I hardly got a word in edgeways. He said that the emphasis had to be on the supply of new housing and land for housing. I raised the issue of BTL and irresponsible mortgage lending as well, and the need to re-regulate mortgage lending. He said that wouldn't happen until repos hit the level they did in the 90s and he didn't see repo levels reaching those levels any time soon - he added that repos weren't a problem in his constituency at the moment. I told him that if they waited until repo levels rocketed, before action was taken, it'd obviously be too late, and I suggested that the government should intervene now. He didn't reply to that. He also mentioned SIPPS and said the impact would be limited as they're so complicated and very few people would be able / be bothered to access them. <{POST_SNAPBACK}> So you asked an MP to support a HPC & to get the taxpayer to pay for housing tenants again & he went silent.......suprised? Get a life! Quote Link to comment Share on other sites More sharing options...
Zzzzzzzzzzzzzzzzzzzzzzzzzz Posted September 21, 2005 Author Share Posted September 21, 2005 (edited) There's no need to be rude is there. I am entitled to express my opinions - this is a democracy. Irresponsible lending will worsen the crash when it comes. Can you not see that? Edited September 21, 2005 by gruffydd Quote Link to comment Share on other sites More sharing options...
patprimer74 Posted September 21, 2005 Share Posted September 21, 2005 (edited) you cant deny there has not been a conspiracy to promote house buying by progressive uk governments.<{POST_SNAPBACK}> I don't understand your post. Do you mean (after removing the double negative) 'you _can_ deny there _has_ been a conspiracy...'? Which 'progressive uk governments' are you thinking of? Or was it 'successive' that you couldn't think of? p Edited September 21, 2005 by patprimer74 Quote Link to comment Share on other sites More sharing options...
Casual Observer Posted September 21, 2005 Share Posted September 21, 2005 (edited) I don't understand your post.Do you mean (after removing the double negative) 'you _can_ deny there _has_ been a conspiracy...'? Which 'progressive uk governments' are you thinking of? Or was it 'successive' that you couldn't think of? p <{POST_SNAPBACK}> I thought Bears wanted the promotion of house buying? I thought that was what the site was all about, and that it was against the situation where people couldn't buy houses (because of the prices)? I don't understand the post either. Edited September 21, 2005 by Casual Observer Quote Link to comment Share on other sites More sharing options...
Time to raise the rents. Posted September 21, 2005 Share Posted September 21, 2005 There's no need to be rude is there. I am entitled to express my opinions - this is a democracy.Irresponsible lending will worsen the crash when it comes. Can you not see that? <{POST_SNAPBACK}> What irresponsible lending? Do you really think banks hand out money with no regard to if/when it will be repaid? Quote Link to comment Share on other sites More sharing options...
Guest Charlie The Tramp Posted September 21, 2005 Share Posted September 21, 2005 Do you really think banks hand out money with no regard to if/when it will be repaid?<{POST_SNAPBACK}> Yes, one large lender has already been exposed. Here`s one Quote Link to comment Share on other sites More sharing options...
apom Posted September 21, 2005 Share Posted September 21, 2005 I have contacted the shadow economic minister about the economy. Personal debt and what would happen to the economy if the prices remained this high.. I asked him if the economic downturn could be turned around with the current debt burden.. No reply to that yet. i have my local MP looking into self certified mortgages... yeah.. They will both be right there.. Quote Link to comment Share on other sites More sharing options...
JST Posted September 21, 2005 Share Posted September 21, 2005 (edited) What irresponsible lending?Do you really think banks hand out money with no regard to if/when it will be repaid? <{POST_SNAPBACK}> Plenty of irresponsible lending abounds and yes I really do worry for the sanity of some lenders who seem to have little regard for ability to pay. As an example, I still come across FTB's who buy with no savings (usually ex council type properties) with a mortgage lender who's name I won't mention. They buy using both a secured and unsecured loan, way in excess of usual income multiple and over the the value of the house (often 110% or so). These people are already in negative equity before they start. Edited September 21, 2005 by JST Quote Link to comment Share on other sites More sharing options...
Time to raise the rents. Posted September 21, 2005 Share Posted September 21, 2005 Do you mean the ones that buy their council places at a discount? Thought so.... I find it very hard to get loans. I have to supply 6 months bank statements (27 pages), 3 years tax returns and an application for that takes at least 20 mins to fill in. Quote Link to comment Share on other sites More sharing options...
JST Posted September 21, 2005 Share Posted September 21, 2005 (edited) Do you mean the ones that buy their council places at a discount? Thought so....<{POST_SNAPBACK}> No I don't. If I did it may make sense. EDIT: Seriously. I know people buying ex council terraces etc. for 100,000+. Which would probably have been bought under the right to buy legislation a few years ago for less than half that. They are taking out loans of over 110,000 to buy these including assistance with fees etc. Edited September 21, 2005 by JST Quote Link to comment Share on other sites More sharing options...
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