TheCountOfNowhere Posted April 16, 2014 Author Share Posted April 16, 2014 What I would like to know is where all this debt and cash money is going from the bubble prices sales....all the bubble London property sales only means the sellers that have That's easy....it's going to bail out the banks as we see the greater of the greatest fools using their new found wealth to buy BTLs off of the people up to their eyeballs in it. This whole thing is about the banks...not about the lucky or unlucky mortgage owner. Quote Link to comment Share on other sites More sharing options...
winkie Posted April 16, 2014 Share Posted April 16, 2014 That's easy....it's going to bail out the banks as we see the greater of the greatest fools using their new found wealth to buy BTLs off of the people up to their eyeballs in it. This whole thing is about the banks...not about the lucky or unlucky mortgage owner. Not strictly true because there is no need to sell to buy extra property to let out. Quote Link to comment Share on other sites More sharing options...
dances with sheeple Posted April 16, 2014 Share Posted April 16, 2014 How cheap would a house in the Somme have to have been to find a buyer between 1914-18? Basically, this isn't going to be the '90s. "Aren't we clever?" say the politicians and bankers. "Look how high we've managed to pile these blocks of nitro!" The SE crashing will have no resemblance to the Somme though, there will just be a trickle of people cutting prices, then a flood, it will all still be perfectly liveable and attractive to buyers? Quote Link to comment Share on other sites More sharing options...
Guest Posted April 16, 2014 Share Posted April 16, 2014 The last fifteen years have pretty much convinced me that it really is different this time. It looks from here like 2008 was the last chance to stretch yourself, load up with a lifetime of debt, and buy. All the people warning about missing the boat look to have been right. From here on all I see is a neo-feudal future where those with existing property wealth swap bricks at prices completely decoupled from wages. The club is closed to new entrants. Quote Link to comment Share on other sites More sharing options...
tomandlu Posted April 16, 2014 Share Posted April 16, 2014 The SE crashing will have no resemblance to the Somme though, there will just be a trickle of people cutting prices, then a flood, it will all still be perfectly liveable and attractive to buyers? Well, that's the question, isn't it? I'm not claiming any great insight, just a niggling suspicion that they will keep pushing it, like a gambler who's already lost everything, until a catastrophe is unavoidable. I just don't see a managed crash from this point - just a lot of 'unexpected' repercussions. I could easily be wrong - I hope so. Quote Link to comment Share on other sites More sharing options...
Bruce Banner Posted April 16, 2014 Share Posted April 16, 2014 The SE crashing will have no resemblance to the Somme though, there will just be a trickle of people cutting prices, then a flood, it will all still be perfectly liveable and attractive to buyers? I agree with you, but Somme, or trickle then flood, the outcome is similar insofar as one would do better not to buy now. Quote Link to comment Share on other sites More sharing options...
long time lurking Posted April 16, 2014 Share Posted April 16, 2014 Of course not - but IMO when it finally bursts it'll be against the backdrop of all out economic mayhem and few people will be in the position to stroll in and pick up a 'bargain'. Apart from the Banks and the 1%er they will buy back @ pennies on the £ Tighten money supply then raise IR then they will do the above ? but of course the problem that cause this to happen will be caused by somewhere else on the planet just like it all started in America last time Quote Link to comment Share on other sites More sharing options...
long time lurking Posted April 16, 2014 Share Posted April 16, 2014 (edited) The last fifteen years have pretty much convinced me that it really is different this time. It looks from here like 2008 was the last chance to stretch yourself, load up with a lifetime of debt, and buy. All the people warning about missing the boat look to have been right. From here on all I see is a neo-feudal future where those with existing property wealth swap bricks at prices completely decoupled from wages. The club is closed to new entrants. Yep that worked REALLY well for the Irish until it didn`t Edited April 16, 2014 by long time lurking Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted April 16, 2014 Author Share Posted April 16, 2014 Yep that worked REALLY well for the Irish until it didn`t It's different his time. Classic. Ask the folk in Edinburgh ho until 18 months ago ere saying just that..... Quote Link to comment Share on other sites More sharing options...
Wurzel Of Highbridge Posted April 16, 2014 Share Posted April 16, 2014 MSE anecdotal that the market has ground to a halt. Housing Market in South East I'm currently trying to buy in the South-East and during the last 6 months it has well and truly gone crazy.On some days I have had to queue outside the front door whilst waiting to view properties and on others I have struggled to even get on viewing lists! All of the properties have been snapped up and the agents don't bother contacting me. (obviously I would pro-actively submit offers). However, in the last fortnight I have seen three or four properties which are either still on the market or the agent has contacted me more than once to ask for feedback and push for offers. This feels a little different to the behaviour I have become accustomed to. Maybe things are becoming a little less manic? (Wishful thinking on my side probably). As a wannabe buyer, I am getting a bit spooked by all the 'housing bubble' stories. Are other people? Or is it pushing you to get in asap and pay well over asking to secure a property? I think for me personally I'm at a stage where I want to buy now in order to obtain a home (and will have to suffer the loss of an inevitable fall in value in a few years once the madness subsides). Is anyone else experiencing this? I know that London continues to see rising properties and busy open days. Quote Link to comment Share on other sites More sharing options...
billybong Posted April 17, 2014 Share Posted April 17, 2014 (edited) Maybe things are becoming a little less manic? (Wishful thinking on my side probably). As a wannabe buyer, I am getting a bit spooked by all the 'housing bubble' stories. Are other people? Or is it pushing you to get in asap and pay well over asking to secure a property? That's why HtoB is a wicked policy. Like the Barber Boom Dash For Growth purely for election purposes with many young and inexperienced people likely to be buying a house at a price over the already overpriced price and at the likely tail end of a house price mega bubble (in London at least) with a strong chance of a collapse in the near future with all the financial difficulties that could entail. Edited April 17, 2014 by billybong Quote Link to comment Share on other sites More sharing options...
disenfranchised Posted April 17, 2014 Share Posted April 17, 2014 I dont think any of us were wrong in 2009....most of us have said all along the bottom would be 2016 ish. I was wrong. I called mid-2013 as bottom. Gave up on that in 2012. Who knows where this is going, markets are driven by behaviour, behaviour is driven by perception / belief / sentiment. Quote Link to comment Share on other sites More sharing options...
Venger Posted April 17, 2014 Share Posted April 17, 2014 The last fifteen years have pretty much convinced me that it really is different this time. It looks from here like 2008 was the last chance to stretch yourself, load up with a lifetime of debt, and buy. All the people warning about missing the boat look to have been right. From here on all I see is a neo-feudal future where those with existing property wealth swap bricks at prices completely decoupled from wages. The club is closed to new entrants. Yes. It has been looking ever more that way. The miss-the-boat masses (and they're not just bankers people love to blame... but VI home-owners), and forgive as "don't know what they're doing" "affected by media" (nothing to do with VI greed) calling it right. Doesn't help with the equity rich home-owner VI / jumbo-mortgage-takers / inheritor-position portraying HPC as carnage and suffering and unfairness on the innocents. If only they had an insight into the misery reckless HPI has inflicted onto people who didn't get carried away with excessive debt, proven correct as the system crunched. Same people who tell of their fears of HPC don't tend to offer any sympathy for that position. Owners/debtors/future inheritors are superior. Oh well over half a trillion pounds of QE and other measures to stop the suffering of home-owners. Quote Link to comment Share on other sites More sharing options...
tomandlu Posted April 17, 2014 Share Posted April 17, 2014 The last fifteen years have pretty much convinced me that it really is different this time. It looks from here like 2008 was the last chance to stretch yourself, load up with a lifetime of debt, and buy. All the people warning about missing the boat look to have been right. From here on all I see is a neo-feudal future where those with existing property wealth swap bricks at prices completely decoupled from wages. The club is closed to new entrants. It's a worrying prospect, but I honestly don't think the current dynamic is stable enough for that. As someone said further up this thread (I think), name a bubble that didn't burst. Quote Link to comment Share on other sites More sharing options...
tomandlu Posted April 17, 2014 Share Posted April 17, 2014 Oh well over half a trillion pounds of QE and other measures to stop the suffering of home-owners bankers. Fixed it for you... Quote Link to comment Share on other sites More sharing options...
19 year mortgage 8itch Posted April 17, 2014 Share Posted April 17, 2014 The last fifteen years have pretty much convinced me that it really is different this time. It looks from here like 2008 was the last chance to stretch yourself, load up with a lifetime of debt, and buy. All the people warning about missing the boat look to have been right. From here on all I see is a neo-feudal future where those with existing property wealth swap bricks at prices completely decoupled from wages. The club is closed to new entrants. If you don't think the 'club' will throw its weak and recent members under the bus as your neo-fuedal future arrives them you're in for a big surprise. You are not part of the plan. They want your house too. Quote Link to comment Share on other sites More sharing options...
19 year mortgage 8itch Posted April 17, 2014 Share Posted April 17, 2014 (edited) The last fifteen years have pretty much convinced me that it really is different this time. It looks from here like 2008 was the last chance to stretch yourself, load up with a lifetime of debt, and buy. All the people warning about missing the boat look to have been right. From here on all I see is a neo-feudal future where those with existing property wealth swap bricks at prices completely decoupled from wages. The club is closed to new entrants. . Edited April 17, 2014 by 7 Year Itch Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted April 17, 2014 Author Share Posted April 17, 2014 Fixed it for you... +10. The bankers now have a scheme where they can extract 20% more debt interest out of suckers or if you fail to pay extract the 20% out of the state. This is either gross stupidity/naivety or corruption on part of the government. Take your pick. Quote Link to comment Share on other sites More sharing options...
tomandlu Posted April 17, 2014 Share Posted April 17, 2014 If you don't think the 'club' will throw its weak and recent members under the bus as your neo-fuedal future arrives them you're in for a big surprise. You are not part of the plan. They want your house too. Well, quite. If the future is neo-feudalist, then I don't see a hair-dresser deep in mortgage debt, living in a shoebox in East London becoming our lord and master. Apart from anything else, if neo-feudalism is going to 'work', it will be global and the victors will be global. Quote Link to comment Share on other sites More sharing options...
StainlessSteelCat Posted April 17, 2014 Share Posted April 17, 2014 If you don't think the 'club' will throw its weak and recent members under the bus as your neo-fuedal future arrives them you're in for a big surprise. You are not part of the plan. They want your house too. Indeed. I'm of the belief that the idea is to get everyone on soul crushingly high repayments and continue to squeeze throughout the whole mortgage with slow interest rate rises or have them on interest only. It's like renting, but you're paying to maintain the bank's asset for them in the delusion that you might own it one day. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted April 17, 2014 Author Share Posted April 17, 2014 Indeed. I'm of the belief that the idea is to get everyone on soul crushingly high repayments and continue to squeeze throughout the whole mortgage with slow interest rate rises or have them on interest only. It's like renting, but you're paying to maintain the bank's asset for them in the delusion that you might own it one day. That is possible....but people are fickle, sentiment can change on a six-pence, for all we know there are queues forming our side a collapsed bank as we type. If it were that easy they'd have been doing if for the last 300 years with none of the boom or bust. My old man said something about they had take years of struggle by the working man and pushed us all back into serfdom. It all started with thatcher and it will end at some point. With so many 99%-ers these days the 1%-ers should be worried. Quote Link to comment Share on other sites More sharing options...
zugzwang Posted April 17, 2014 Share Posted April 17, 2014 Everything's traded on margin i.e. with borrowed money. Even the loan arrangers have debts to repay. Quote Link to comment Share on other sites More sharing options...
Sour Mash Posted April 17, 2014 Share Posted April 17, 2014 That is possible....but people are fickle, sentiment can change on a six-pence, for all we know there are queues forming our side a collapsed bank as we type. If it were that easy they'd have been doing if for the last 300 years with none of the boom or bust. My old man said something about they had take years of struggle by the working man and pushed us all back into serfdom. It all started with thatcher and it will end at some point. With so many 99%-ers these days the 1%-ers should be worried. I think what's happened is that the extreme greed exhibited by the financial sector in the run up to the 2007/8 crisis more or less broke the nice cushy system of boom/bust that has been used to shake down the Western population for as long as anyone can remember. Total meltdown was kept at bay at the time by extraordinary measures. As a result we are now in a situation where any bust is going to take the current system down, so those at the top are keeping it going for as long as they can and extracting as much wealth for themselves as they possibly can get away with, in anticipation of the ultimate crash and reset. Quote Link to comment Share on other sites More sharing options...
billybong Posted April 17, 2014 Share Posted April 17, 2014 (edited) Replying to The London Mega Bubble Crash It must be possible to get the words "monster" and maybe even "loony" into the above sentence - probably a few others as well. The London Monster Mega Loony Bubble Crash? It deserves it. Ok keep it simple - The London Mega Bubble Crash it is. Edited April 17, 2014 by billybong Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted April 17, 2014 Author Share Posted April 17, 2014 I think what's happened is that the extreme greed exhibited by the financial sector in the run up to the 2007/8 crisis more or less broke the nice cushy system of boom/bust that has been used to shake down the Western population for as long as anyone can remember. Total meltdown was kept at bay at the time by extraordinary measures. As a result we are now in a situation where any bust is going to take the current system down, so those at the top are keeping it going for as long as they can and extracting as much wealth for themselves as they possibly can get away with, in anticipation of the ultimate crash and reset. They've done more than keep it going.....they've tried to restart the cause of the initial problem rather than trying to manage it down...or maybe they are trying to manage it down and people now think things are about to boom so are piling in, hence why we see the mortgage based approval indexes soaring but the land registry a bit more sane. Or maybe collapse is what they want...so they can just take what they want. Welcome to Thatchers Britain. I'm just sorry she want be alive to see the ultimate outcome. I'd still like an answer to my question, which banks are lending heavily on London property ? If I get an answer I will be removing my money from there forthwith, penalty or no penalty. Quote Link to comment Share on other sites More sharing options...
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