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The Masked Tulip

Why Britain's Property Market Is As Dangerous As Spain's

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These things come in cycles. The idiots in charge have managed to delay our turn-down, but it's now with us for at least two years. I suspect the upturn will come again within 3 years, but who really knows? All opinion, even on this site.

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Some people still don't get that yields will be low and falling for the rest of our (mine anyway) lives.

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Up until our recent crisis, the floor for rates was always 2%. It has also always hovered a couple of percent above inflation and that is, eventually, where it will return to.

When it starts to do so, mortgages will become less affordable, the forced selling will finally begin, and prices will fall.

Which is exactly why rates must be continually held down.

Long lurch the housing market zombies...

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No upturn coming. It's a slow death until everyone who bought since 2005 are in negative equity.

Dummy tits who though house prices only ever go up are going to be paying the bank loads of money for the rest of their lives.

In other words, they are finished unless they hand back the keys. :rolleyes:

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No upturn coming. It's a slow death until everyone who bought since 2005 are in negative equity.

Dummy tits who though house prices only ever go up are going to be paying the bank loads of money for the rest of their lives.

In other words, they are finished unless they hand back the keys. :rolleyes:

There is still a LOT of sentiment about house prices only go up. The British Chinese forum for instance. With Chinese typically being saver types, a lot of them ploughed into property in 2009 and 2010 with big 50-60% deposits.

They keep saying all the typical HPI fanboy things, limited supply, growing population, london is immune, renting you get nothing.... :lol: a few of them were quite shocked at the fact that for every £1 they borrowed they paid about £2 back. I was astounded that many did not realise this. And Chinese people in the UK are supposed to be a highly educated section of society :o

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Some people still don't get that yields will be low and falling for the rest of our (mine anyway) lives.

bl**dy h*ll

broadly agree with you

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The road to Periana is almost entirely flanked by flats and mini villas. Most are half-finished: some have reinforcing rods sticking out of top storeys, suggesting there once was more to come.

Has MSW been to Greece?

In my (so far) 20-odd-year experience of Greece, even long-completed buildings have reinforcing rods sticking out of the top. I got the impression (although I can no longer recall from where) that this was some kind of property tax dodge -- rather like the beach-front tavernas with a tiny permanent building surrounded by acres of awnings and other assorted propped up coverings, because it's the area occupied by the permanent building that's used to calculate some form of building tax or other (although, again, I can no longer recall my source).

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Has MSW been to Greece?

In my (so far) 20-odd-year experience of Greece, even long-completed buildings have reinforcing rods sticking out of the top. I got the impression (although I can no longer recall from where) that this was some kind of property tax dodge -- rather like the beach-front tavernas with a tiny permanent building surrounded by acres of awnings and other assorted propped up coverings, because it's the area occupied by the permanent building that's used to calculate some form of building tax or other (although, again, I can no longer recall my source).

I was told by a Greek tourguide it was because some of the property taxes weren't payable till the building was finished.

This was nearly 20 years ago so you'd think they would have closed the loophole by now..... or perhaps not!

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I was told by a Greek tourguide it was because some of the property taxes weren't payable till the building was finished.

This was nearly 20 years ago so you'd think they would have closed the loophole by now..... or perhaps not!

I heard that is was because it made it easier to add another storey to the house as a family grew, meaning that a young couple could start out with a smaller place and add to it as they saved money. Of course, it wouldn't work in this country as we can't really have flat roofs (and the custom is to get into as much debt as possible as early as you can).

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Which is exactly why rates must be continually held down.

Long lurch the housing market zombies...

and that does what for our competitiveness?

We need to pay our people at least £900 per month just so they can reside somewhere, whereas in many other countries that would be a good gross wage.

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  • 312 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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