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Ea Today - Ftb Numbers Slide


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HOLA441
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HOLA442

rantnrave, you do HPC a good service over at estateagenttoday I love reading your well reasoned posts.

One interesting comment on there

Bank shares are collapsing this week and last - it looks as if we are in the early weeks of a second global banking crisis.

In the US the Bank of America, Citigroup and Morgan Stanley look to be in trouble. In France it is Societe Generale and here Lloyds is in a mess. They all lend to each other and are dependent on each other for loans in the billions.

Falling bank shares means the banks are worth less which means, by law, they have to lend less as they have to increase their cash reserves to off-set their lower share value. They LEGALLY have to take action to increase their cash reserves and the only way they can do that is by:

1. Reducing lending on mortgages, car loans, ordinary loans, etc, dramatically.

2. Putting up interest rates on the above already outstanding loans.

That is the reality of the situation. Nothing that any estate agent, surveyor or housepricecrash person on here says can change that.

Since the last banking crisis, when lending for houses dried up almost completely, the rules have been changed globally on how much cash reserves each bank has to have. The rules are now much tougher on the banks.

So it looks like we are in the first few days of a second global banking crisis which will inevitably result in banks lending less mortgages - only an idiot estate agent or surveyor or housepricecrash person will think that the housing market will not be affected.

Time to batten down the hatches?

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HOLA443

rantnrave, you do HPC a good service over at estateagenttoday I love reading your well reasoned posts.

Cheers. I feel I have found my 'niche' there. Mind you, I seem to have ruffled at least one person's feathers today :D

At the end of the day, I'm merely recycling and summarising the wisdom of others on this site.

Keep an eye out for posts by F-Fortescue Smyth BTW over there. I've yet to disagree with anything he's posted and I see he's on form again in that thread too. I really hope that a shake out of the EA industry doesn't see people with his wisdom badly affected.

Edited by rantnrave
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HOLA444

rantnrave, you do HPC a good service over at estateagenttoday I love reading your well reasoned posts.

One interesting comment on there

+1

Having read some of the counter 'arguments', it made me wonder - RnR have you ever considered a career teaching special needs :P

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HOLA445

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