Channel 4: Property Boom` -- Merged

[Executive Sadman]

Why the heck is it regarded as good to allow Chinese people to come over and buy up flats to rent them back to us?

Because we've nothing else much to sell them in return for the crap they sell us.

There's Range Rovers...still the most unreliable 4x4 you can buy, but they have a badge. I guess we just need to make everything else have 'a badge/

[Si1]

Because we've nothing else much to sell them in return for the crap they sell us.

There's Range Rovers...still the most unreliable 4x4 you can buy, but they have a badge. I guess we just need to make everything else have 'a badge/

Apart from jet engines, micro chip intellectual property and chemicals

[TheCountOfNowhere]

I probably should have said assumptions.

I assumed that,

Edited December 2, 2014 by TheCountOfNowhere

[Blod]

The blonde economist lady was worried that all these boomers re-mortgaging or downsizing to fund their offspring's deposits would mean they would be able to fund their care. FFS

The guy from Galiards was obviously playing to the camera, I bet if we could identify where that development was we'd see price drops.

[Venger]

Pretty much a ramp-fest. As mentioned, not a fking sausage on the possibility that house prices could go down. Just endless enthusiasm for further inflation of the pyramid shaped bubble.

Volunteer me up, like always, to protect these victims when market turn. Already given them QE galore, 0.5% rates for 5 to 6 years. I know for a fact many hpcers think my savings are ripe for the taking as it's the opposite side of these debtors debts... so they will want direct taking of savings to protect the hpi.

"They didn't know what they were doing." "They just wanted a home" (basic semi in nondescript town at £400,000)" "They couldn't have expected a crash." "They saw tv shows on how easy HPI was."

[Bloo Loo]

What I posted sounds a bit harsh, I don`t mean the lady any harm (she is probably a plant anyway) but the whole ridiculous nature of the Ponzi was laid bare in her situation. They said the tulip bulb was bought for 100k, now worth 375k, but she can`t sell it for 375k, and still seems to be heavily mortgaged up. The daughter can`t afford to get on the ladder, so the mum believes she has to sacrifice so that the daughter can buy another tulip bulb at 375k, but she can`t really help them until she sells her tulip bulb etc. etc.

They should have all just pooled their resources and paid off the mum`s mortgage and lived happily under the same roof (which they are doing anyway because the daughter and new husband can`t afford to rent ) but that wouldn`t be "aspirational" enough for a thriving modern vibrant cesspit like the UK would it? Until the sheeple stop being "ASSpirational" we are stuck in this little loop it seems.

edited for clarity.

Edited December 2, 2014 by Bloo Loo

[Bloo Loo]

Volunteer me up, like always, to protect these victims when market turn. Already given them QE galore, 0.5% rates for 5 to 6 years. I know for a fact many hpcers think my savings are ripe for the taking as it's the opposite side of these debtors debts... so they will want direct taking of savings to protect the hpi.

"They didn't know what they were doing." "They just wanted a home" (basic semi in nondescript town at £400,000)" "They couldn't have expected a crash." "They saw tv shows on how easy HPI was."

You should know that Government is a big fan of MSE, and he advises the first thing to do is pay off debt with your savings.

Im not sure he actually meant other peoples savings, but in Government speak, that is your savings.

[Venger]

What I posted sounds a bit harsh, I don`t mean the lady any harm (she is probably a plant anyway) but the whole ridiculous nature of the Ponzi was laid bare in her situation. They said the flat was bought for 100k, now worth 375k, but she can`t sell it for 375k, and still seems to be heavily mortgaged up. The daughter can`t afford to get on the ladder, so the mum believes she has to sacrifice so that the daughter can buy another flat at 375k, but she can`t really help them until she sells her flat etc. etc.

They should have all just pooled their resources and paid off the mum`s mortgage and lived happily under the same roof (which they are doing anyway because the daughter and new husband can`t afford to rent ) but that wouldn`t be "aspirational" enough for a thriving modern vibrant cesspit like the UK would it? Until the sheeple stop being "ASSpirational" we are stuck in this little loop it seems.

This is some of what I was trying to describe in a post of yesterday; fools well over-stretching and outbidding others at crazy high prices, and others (bomad) dangerously increasing their vulnerability to prices softening, against their 'locked in hpi'

dws - you're forgetting they might have persistence and determination - they will sort out all their excessive debt positions by setting up new McDonalds or equivilent. Too many believe world revolves around them, next lucky break around the corner, going to be X-Factor star big money etc.

Never had you down as a middle class snob Mr V but hey first time for everything. As we used to say in IBM a career is just another word for a job without over time or as Calvin Coolidge famously said (not Ray Kcoc as many suppose)

Nothing in the world can take the place of persistence. Talent will not; nothing is more common that unsuccessful individuals with talent. Genius will not; unrewarded genius is almost a proverb. Education will not; the world is full of educated derelicts. Persistence and determination alone are omnipotent."

Edited December 2, 2014 by Venger

[Bloo Loo]

I must have missed that part. I got the impression that the only problem they identified is that these people couldn't get the credit they needed and that was seen as a bad thing. And house prices are going to infinity and beyond so BUY NOW!

BTL should be taxed into oblivion. I'd vote for any party that had that as a pledge....even the Greens! (Well maybe not them.)

It the same old argument...THEY are not allowing me the CREDIT to buy.

Of course, the time not to buy is when CREDIT is maxed out....prices only have one way to go in such a circumstance...unless CREDIT is made available again....and interest rates are at near 0 already.

Note, Multi generational mortgages were becoming available in the Far East in the 1980s....markets where they made their appearance blew up.

Edited December 2, 2014 by Bloo Loo

[SarahBell]

Something on telly last night (Might have been the end of the tatler program) said 6 scottish estates come up for sale each year and they're all being bought with foreign money. That's what'll help keep that end of the market buoyant.

[Bloo Loo]

Something on telly last night (Might have been the end of the tatler program) said 6 scottish estates come up for sale each year and they're all being bought with foreign money. That's what'll help keep that end of the market buoyant.

Prima Nochta

[Venger]

Something on telly last night (Might have been the end of the tatler program) said 6 scottish estates come up for sale each year and they're all being bought with foreign money. That's what'll help keep that end of the market buoyant.

A large Scottish Estate came to market last year - learned about it when doing some research on the BoE Governor's wife.

For all the talk of a ‘renewed recovery’ by the new Bank Of England Governor Mark Carney, some of his in-laws might seem to disagree.

His brother-in-law, Lord Rotherwick, is patriarch of the fabulously wealthy Cayzer family. And now a cousin has suddenly put the family’s Scottish seat, complete with castle, six lochs and 5,400 acres, up for sale.

Sir James’s baronetcy passed to Robin Cayzer — the third Lord Rotherwick — whose wife Tania is Mrs Diana Carney’s sister.

http://www.dailymail.co.uk/news/article-2418311/Member-Cayzer-family-puts-Scottish-estate-sale-writes-RICHARD-KAY.html

[TheCountOfNowhere]

I must have missed that part. I got the impression that the only problem they identified is that these people couldn't get the credit they needed and that was seen as a bad thing. And house prices are going to infinity and beyond so BUY NOW!

BTL should be taxed into oblivion. I'd vote for any party that had that as a pledge....even the Greens! (Well maybe not them.)

Yeah, credit, well, that's the thing.

If you can find some idiots ( tory government IMHO this time around ) who are prepared to lend the general public vast sums of money at 1% interest at 10 x income + guarantee their 20% deposit to buy houses plus allowing foreigners to buy British houses for speculation or passports, then house prices would be....welll, at April-August 2014 prices.

Take any of those props away then prices will tumble. ( we've already lost 2 of them ).

Can/Will they add any more props, I sincerely hope not.

Idiotic Sub-prime lending on over-inflated house prices was shown in 2005-2007 to be a very bad idea.

The tory government are effectively the Northern Rock of 2014.

When they are forced to stop their insane lending ( which might have already happened ) then we have a new credit crunch and that low volume mega bubble has nowhere to go but down.

If they decide to threw more money at the equity rich home owners ( and themselves of course ) I foresee BIG trouble.

Edited December 2, 2014 by TheCountOfNowhere

[Andy T]

About 3 minutes in, the estate agent at 6ft house swallowing his own lie

The Chinese apartment sales lady flippantly said something along the lines of 'the people who can't afford to buy in London will be weeded out' I bet that angered a lot of Londoners watching.

Usual lack of substance, facts, balance.

[WatchingFromTheHills]

Agree.

I thought it was shallow and sloppy.

It turns out that London is expensive, prices have gone up hugely, foreigners are buying our houses, people are getting into BTL.

If the mark of good journalism is that is tells you something you didn't know and shows you something you haven't seen, this failed.

Judging by the weather and an understanding of TV production lead times, I think this was shot and produced in late summer, early autumn.

However, I suspect it was written - in that someone decided what the story was then went out and found the appropriate filming opportunities - back in early summer when the market was at its height.

Basically, showing it in December means it's not true any more.

Lazy.

[19 year mortgage 8itch]

Agree.

I thought it was shallow and sloppy.

It turns out that London is expensive, prices have gone up hugely, foreigners are buying our houses, people are getting into BTL.

If the mark of good journalism is that is tells you something you didn't know and shows you something you haven't seen, this failed.

Judging by the weather and an understanding of TV production lead times, I think this was shot and produced in late summer, early autumn.

However, I suspect it was written - in that someone decided what the story was then went out and found the appropriate filming opportunities - back in early summer when the market was at its height.

Basically, showing it in December means it's not true any more.

Lazy.

It was tragic, so sad to watch.

I hope crashmonitor was watching. On seemingly the only foray from London, even the Leeds property was expensive and overpriced. As for that BTL HMO woman, I wondered if she feeds her kids free range or battery hen eggs? Because she's well keen on battery farming "young professionals".

[@contradevian]

It was tragic, so sad to watch.

I hope crashmonitor was watching. On seemingly the only foray from London, even the Leeds property was expensive and overpriced. As for that BTL HMO woman, I wondered if she feeds her kids free range or battery hen eggs? Because she's well keen on battery farming "young professionals".

I can't believe the Leeds property market and its 'micro shoebox's.' Makes London look good in comparison!

[dances with sheeple]

I can't believe the Leeds property market and its 'micro shoebox's.' Makes London look good in comparison!

In the next downturn cities like Leeds will get hammered?

[dances with sheeple]

I must have missed that part. I got the impression that the only problem they identified is that these people couldn't get the credit they needed and that was seen as a bad thing. And house prices are going to infinity and beyond so BUY NOW!

BTL should be taxed into oblivion. I'd vote for any party that had that as a pledge....even the Greens! (Well maybe not them.)

Yes, the show just said "This is how it is.....and these are some of the effects we see because of how it is" No mention of it being an unsustainable bubble in the process of bursting. Laughable really, but it is obvious that informed discussion about the property market will not be appearing on TV screens any time soon.

Edited December 2, 2014 by dances with sheeple

[19 year mortgage 8itch]

In the next downturn cities like Leeds will get hammered?

No.

The steer in the programme (and on HPC for that matter) is that as London slows the rest of the UK will boom.

So get in now before you miss the boat.

[dances with sheeple]

No.

The steer in the programme (and on HPC for that matter) is that as London slows the rest of the UK will boom.

So get in now before you miss the boat.

So as the London based BTL`ers who bought in Leeds see their portfolios collapse in London they will see gains in Leeds to balance it out?

[19 year mortgage 8itch]

So as the London based BTL`ers who bought in Leeds see their portfolios collapse in London they will see gains in Leeds to balance it out?

I've no idea. I think these people just think they will get richer. I. E. Static London prices, booming (rising) prices elsewhere.

My only hope is that when people say they are expecting the UK market to outperform the London market, they mean 40% price falls versus 50% price falls.

I could live with that sort of out performance.

Edited December 2, 2014 by 8 year itch

[@contradevian]

Just watched on 'Catchup'. Leeds, first thoughts were flooding so close to the River Aire! Anyway were wanting to create extra rooms out of family house but were concerned about 'parking for tenants.' Then turned down somewhere in student housing ville as they didn't think 'tenants' would want to live where there is student housing. No you spend three years living in student housing, then get work and find...you are back in student bedsit land again!

London just utter fcked up madness you would expect. Dreadful flat in Catford where you have to step through a 'bedroom' (which has no room for a bed) to get to the back garden.

The Chinese investors seemed to buying in Deptford. Does it not occur to these investors that if locals are priced out from buying this might not be a good investment? I guess they just need somewhere to park money.

[dances with sheeple]

I've no idea. I think these people just think they will get richer. I. E. Static London prices, booming (rising) prices elsewhere.

My only hope is that when people say they are expecting the UK market to outperform the London market, they mean 40% price falls versus 50% price falls.

I could live that sort of out performance.

So if rent demand is surging in the Northern cities (supposedly, not seeing it in Edinburgh) then who is going to buy all the houses to push up the price, the BTL`ers themselves, the Chinese,... the Martians?

[dances with sheeple]

Just watched on 'Catchup'. Leeds, first thoughts were flooding so close to the River Aire! Anyway were wanting to create extra rooms out of family house but were concerned about 'parking for tenants.' Then turned down somewhere in student housing ville as they didn't think 'tenants' would want to live where there is student housing. No you spend three years living in student housing, then get work and find...you are back in student bedsit land again!

London just utter fcked up madness you would expect. Dreadful flat in Catford where you have to step through a 'bedroom' (which has no room for a bed) to get to the back garden.

The Chinese investors seemed to buying in Deptford. Does it not occur to these investors that if locals are priced out from buying this might not be a good investment? I guess they just need somewhere to park money.

They want priced out locals to rent from them, that is why they think it is a good investment. The UKIP vote is going to skyrocket because of this programme alone.