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Wurzel Of Highbridge

It Was The Evil Speculators That Did It...

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Carney knows full well that the forward guidance would backfire and rates could not be kept down. The whole concept behind the forward guidance was to buy the BOE and government an excuse that the evil speculators made interest rates rise and thus their precious house prices fall.

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Carney knows full well that the forward guidance would backfire and rates could not be kept down. The whole concept behind the forward guidance was to buy the BOE and government an excuse that the evil speculators made interest rates rise and thus their precious house prices fall.

Could be

Had my cynical head on last night ,I was thinking of the effects of rising rates and the conclusion I came to was the private BTL sector will be the first to fall over as it`s a interest only game and highly leveraged

So if the above happens (and perhaps you are right they knew it was coming) what could the PTB do to cushion the blow, could it be the second part of HTB is sat in the wings ready to bailout the banks yet again through the back door?

Edited by long time lurking

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Rates have been on an upward trend since mid 2011, long before foward guidance was mentioned. QE either did not affect or actually caused rates to rise. Its all hubris. Rates will do what rates will do whatever they say.

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what could the PTB do to cushion the blow

Nationalise BTLs - maybe increasing some tax on it with one hand and using public funds to buy BTLs back as public housing.

They can't just let them drown as too many high earners or inheritors have bought for letting - they just have too much political influence. 30% of people I know have another home they let. There has also been moves to get pension funds more involved in letting.

Maybe a lot of the smart money will get out quickly with transactions starting again - certainly seeing that with the boomers locally - dozens of properties coming to market at 500K+.

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James Mackintosh ‏@jmackin2 26m UK unemployment was 7% or above from Aug 1980 to Aug 1997, apart from six months in 1990 #forwardguidance

Well, 'james', what was economic inactivity in the early 90s...oh yeah barely half what it is now.

If I could force a couple million to stay on in full time education until theyre 22 and not join the unemployment rolls, increase govt non-jobs by a couple of million and shove the rest on disability, I could get unemployment below 7% back in the 80s.

At least unemployment stats in the 80s bore some relationship to reality.

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Nationalise BTLs - maybe increasing some tax on it with one hand and using public funds to buy BTLs back as public housing.

They can't just let them drown as too many high earners or inheritors have bought for letting - they just have too much political influence. 30% of people I know have another home they let. There has also been moves to get pension funds more involved in letting.

Maybe a lot of the smart money will get out quickly with transactions starting again - certainly seeing that with the boomers locally - dozens of properties coming to market at 500K+.

Far as I know they still only have one vote? They will BURN not drown :lol:

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Far as I know they still only have one vote? They will BURN not drown :lol:

People with 2M+ properties have only one vote - but look how fast the land tax / mansion tax idea was shot down.

He who has the gold makes the rules and right now lots of people at the political influence end of the income spectrum have an extra house or two instead of traditional savings.

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Nationalise BTLs - maybe increasing some tax on it with one hand and using public funds to buy BTLs back as public housing.

They can't just let them drown as too many high earners or inheritors have bought for letting - they just have too much political influence. 30% of people I know have another home they let. There has also been moves to get pension funds more involved in letting.

Maybe a lot of the smart money will get out quickly with transactions starting again - certainly seeing that with the boomers locally - dozens of properties coming to market at 500K+.

Nationalise them? How? Publc sector debt is already £1.2 trn. The UK govt can't afford a fvcking toaster. :lol:

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Nationalise them? How? Publc sector debt is already £1.2 trn. The UK govt can't afford a fvcking toaster. :lol:

Printing money to buy 'bad' debt for the greater good is now a mainstream concept.

- public get more social housing

- underwater rentiers get an exit and keep their shirts

- housing market is supported for another 6 months

- stock market goes up

What's not to like?

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They can't just let them drown as too many high earners or inheritors have bought for letting - they just have too much political influence. 30% of people I know have another home they let. There has also been moves to get pension funds more involved in letting.

In my experience it is all the high rollers in Ireland who got burnt speculating, as this particular group all want to be millionaires by this time next year.

I you want to read some sob stories of people earning in excess of €100k have a read through here: http://www.askaboutmoney.com/forumdisplay.php?f=93 as you will learn 99% of these stories involve 'high rollers' with 2/3 'investment' properties now in negative equity to the tune of €1000,00's.

It can happen in the UK.

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In my experience it is all the high rollers in Ireland who got burnt speculating, as this particular group all want to be millionaires by this time next year.

I you want to read some sob stories of people earning in excess of €100k have a read through here: http://www.askaboutm...isplay.php?f=93 as you will learn 99% of these stories involve 'high rollers' with 2/3 'investment' properties now in negative equity to the tune of €1000,00's.

It can happen in the UK.

:P

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Nationalise BTLs - maybe increasing some tax on it with one hand and using public funds to buy BTLs back as public housing.

They can't just let them drown as too many high earners or inheritors have bought for letting - they just have too much political influence. 30% of people I know have another home they let. There has also been moves to get pension funds more involved in letting.

Maybe a lot of the smart money will get out quickly with transactions starting again - certainly seeing that with the boomers locally - dozens of properties coming to market at 500K+.

This makes me angry.

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