eric pebble Posted January 8, 2016 Share Posted January 8, 2016 (edited) Many of us here on hpc are wondering how the HELL the UK "pwoperty market" has managed to stay upright..... In other parts of the world - e.g. USA, Spain, Ireland - they had their crash - and also today their prices are not anything like as insane as they are here in the UK. I have been thinking about this for a long time. I think we can all agree, there are a number of factors here in the UK that have made this country such a massive rip-off crap-hole for those wishing to put a roof over their heads. Which takes us back to that intriguing QUESTION: How come here in the UK the Bubble hasn't popped? Well: Here are some answers. Here are some of the reasons the whole SCAM has been kept alive: 1. Artificially surpressed interest rates. 2. Money-printing/"Quantitive Easing" and all that crap. 3. Osborne Ostwat's "Help to Buy" and "Funding for lending" and all that crap. 4. Unsustainable immigration 5. Total lack of house-building --- and particularly - when they do build -- it's such utter SH1T. 6.... Any other suggestions? I list mine in no particular order: 1. TOP OF THE LIST -- Bent Lenders who deliberately lent massive multiples of "money" to suckers - who vastly, grossly, and - not least - fraudulently inflated the "market" with that fraudulently lent "money". i.e. LIAR LOANS/MORTAGE FRAUD. [For me, this is the BIG ONE -- THIS is the PRINCIPLE cause and force for the phantasmagoric and INSANE price of housing in the UK....]. How? Because as soon as one or two people went out into each street, village, town, city with a LIAR LOAN - and used it to buy local property - almost overnight - THANKS TO THE FACT THAT LOCAL SOLD "PRICES" ARE USED TO SET THE PRICE OF LOCAL PROPERTY COMING ON THE "MARKET" "FOR SALE" IN ANY GIVEN AREA - AND ONCE IT STARTED, IT MUSHROOMED LIKE A CANCER AND SPREAD EVERYWHERE IN THE ENTIRE UK EXTREMELY QUICKLY - IN A MATTER OF A FEW YEARS C.2002 ONWARDS - PRICES WENT UP HUGELY AS MORE AND MORE LIAR LOANS WERE USED TO BUY PROPERTY ACROSS THE UK --- INFLATING "PRICES" MASSIVELY I.E. IT DID NOT "ONLY HAPPEN IN AMERICA" [LIKE THAT TW@T G BROON SAID].... IT HAPPENED HERE IN A HUGE, HUGE WAY. For me -- LIAR LOANS are the key. 2. Lack of house building. [i was going to put "lack of space" - but of course we all know - or SHOULD know - housing, factories and shops and roads ACTUALLY cover a mere 5-6% of our land...]. 3. Immigration putting huge pressure on available housing stock. [Although there are PLENTY of properties to live in for sale - only - the price goes from the stupid to the absolutely insane]. NOW: I have been avidly reading and watching all the reviews of the film "The Big Short" - AND --- if you do the same -=-- and see the film when it comes out in a couple of weeks or so, it will be absolutely dynamite and eye candy for serial and old-time hpcer's..... http://www.telegraph.co.uk/film/the-big-short/review/ http://www.independent.co.uk/arts-entertainment/films/news/the-big-short-film-ryan-gosling-brad-pitt-christian-bale-and-steve-carell-feature-in-first-poster-a6733136.html http://www.finalreel.co.uk/the-big-short-uk-release-date/ http://www.nytimes.com/2015/12/23/upshot/what-the-big-short-gets-right-and-wrong-about-the-housing-bubble.html?_r=1 WATCH THE VIDEOS =-=== Search "THE BIG SHORT" in google - and take a long hard look..... It is dynamite -- AND - UNDERSTAND that here in the UK the BUBBLE has been ARTIFICIALLY kept inflated by the Vested Interests -- What is going to happen when it finally bursts? - it is TERRIFYING..... I urge and implore you to look at all reviews and videos about The Big Short [film] --- and ponder on this frightening question: How bad is it going to be when -- FINALLY -- FINALLY - the MASSIVE UK property bubble bursts --- as it should have done when the bubbles in the USA, Spain & Ireland burst? ------------------ Oh!! And EDIT!!! SEE MY SIGNATURE BELOW: WHEN I SAW THAT BBC MONEY PROGRAMME ABOUT MORTGAGE FRAUD/LIAR LOANS ALL THOSE YEARS AGO IN 2003!!!! --- I KNEW THEN THAT THIS WAS A MONSTER..... I REALISED THIS BEFORE THOSE GEEKS DID IN 2005 IN THIS FILM!! TROUBLE IS --- I WASN'T A GEEK IN THE USA / WALL STREET WHO BET ON IT..... AND HERE IN THE UK THE GOVT AND BANK OF ENGLAND HAVE PROPPED THE WHOLE STINKING SHIP UP..... THIS ALONE IS A MASSIVE, MASSIVE SCANDAL OF HUGE PROPORTIONS.... Edited January 8, 2016 by eric pebble Quote Link to comment Share on other sites More sharing options...
sikejsudjek Posted January 8, 2016 Share Posted January 8, 2016 Money laundering is probably another. Russian Mafia money and overseas 'investors' who will panic sell when the market turns down. Quote Link to comment Share on other sites More sharing options...
eric pebble Posted January 8, 2016 Author Share Posted January 8, 2016 OK: Watch this --- it is about the BOOK - which came out some years ago: Good explanations here: Quote Link to comment Share on other sites More sharing options...
frederico Posted January 8, 2016 Share Posted January 8, 2016 (edited) Well yes. Edited to add: Getting angry doesn't help, I can see why people would be exasperated, The government became obsessed with saving the financial industry and trying to cut the deficit. They have ignored basic needs, housing is one level up from food in terms of human needs, ignore this for too long and you will get a lot of trouble. Edited January 8, 2016 by frederico Quote Link to comment Share on other sites More sharing options...
pig Posted January 8, 2016 Share Posted January 8, 2016 It's your 2 and 3. I'd add general expectation too - the general population still believe prices will go up forever. Quote Link to comment Share on other sites More sharing options...
eric pebble Posted January 8, 2016 Author Share Posted January 8, 2016 (edited) It's your 2 and 3. I'd add general expectation too - the general population still believe prices will go up forever. Well I dunno............. What is really interesting about that film The Big Short is that it EMPHASIZES how massive FRAUD & DISHONESTY brought the whole thing thundering down...... Yes - I know --- it is simply ASTONISHING that - here in the UK --- so many people are UNAWARE of how HUGE the level of fraud is...... It is just INCREDIBLE how it has been allowed to thrive for so many years.... Edited January 8, 2016 by eric pebble Quote Link to comment Share on other sites More sharing options...
Sawitcoming Posted January 8, 2016 Share Posted January 8, 2016 (edited) 6. People don't know anything else. People in this country have nothing else but the ponzi scheme. Its just like any other sh*t ponzi scheme full of deeply committed believers looking at those who have gone before and dreaming of their own glory. People in this country don't know much else. Edited January 8, 2016 by Sawitcoming Quote Link to comment Share on other sites More sharing options...
cool_hand Posted January 8, 2016 Share Posted January 8, 2016 You missed BTL. Quote Link to comment Share on other sites More sharing options...
long time lurking Posted January 8, 2016 Share Posted January 8, 2016 (edited) It`s a confidence game , if lenders are willing to lend, whether it's government backed subprime or otherwise and people are willing to borrow and are able to afford the mortgage payments it will carry on until it can`t Confidence is the key IMO the introduction of HTB is as much proof anyone needs, the take up is low but the direction the market went from the announcement is plain to see but it`s beginning to look like it`s working like QE ,each tranche produces less bang for the buck ,where do we go from here who knows ..but it`s definitely got that 2008 and feeling about it Edited January 8, 2016 by long time lurking Quote Link to comment Share on other sites More sharing options...
Barnsey Posted January 8, 2016 Share Posted January 8, 2016 Must admit I do get jealous of those in the States when it comes to prices vs earnings, even though the coastal cities have some equally insane prices along with the SW. Quote Link to comment Share on other sites More sharing options...
pig Posted January 8, 2016 Share Posted January 8, 2016 Well I dunno............. What is really interesting about that film The Big Short is that it EMPHASIZES how massive FRAUD & DISHONESTY brought the whole thing thundering down...... Yes - I know --- it is simply ASTONISHING that - here in the UK --- so many people are UNAWARE of how HUGE the level of fraud is...... It is just INCREDIBLE how it has been allowed to thrive for so many years.... For me it's just a bit of logic that's missing. Are house prices going to do THAT and wages going to do THIS. ...er forever ? Quote Link to comment Share on other sites More sharing options...
renting til I die Posted January 9, 2016 Share Posted January 9, 2016 Hmmmm... certainly not forever but I do sometimes worry that it may continue for the rest of our life times! Quote Link to comment Share on other sites More sharing options...
winkie Posted January 9, 2016 Share Posted January 9, 2016 Quote Link to comment Share on other sites More sharing options...
R K Posted January 9, 2016 Share Posted January 9, 2016 It isn't a bubble (due to secular supply shortfall) thus it won't 'burst' That is the generational reality. Quote Link to comment Share on other sites More sharing options...
Agentimmo Posted January 10, 2016 Share Posted January 10, 2016 Hahaha. No bubble eh. When my friend tells me they are waiting to hear if their housing chain will complete. The missing link is an eastern European buying via a Swiss based account and in cash. A year since the whole chain was linked and each time it collapsed due to the bottom rung not being able to pony up half a million smakeroonies. Now this money launderer looks like he's the real deal. Without this everybody in the chain lowers by 20% at least. And the launderer plans to rent it out to another eastern European client. Allegedly. And neither he nor the client have ever visited the house. Yep. No bubble. Normality. Quote Link to comment Share on other sites More sharing options...
R K Posted January 10, 2016 Share Posted January 10, 2016 Hahaha. No bubble eh. When my friend tells me they are waiting to hear if their housing chain will complete. The missing link is an eastern European buying via a Swiss based account and in cash. A year since the whole chain was linked and each time it collapsed due to the bottom rung not being able to pony up half a million smakeroonies. Now this money launderer looks like he's the real deal. Without this everybody in the chain lowers by 20% at least. And the launderer plans to rent it out to another eastern European client. Allegedly. And neither he nor the client have ever visited the house. Yep. No bubble. Normality. Correct. Price is simply responding to lack of supply not over suppy. hence no bubble and no crash as in US, Ireland, Spain etc. Its really not difficult to grasp. Quote Link to comment Share on other sites More sharing options...
frederico Posted January 10, 2016 Share Posted January 10, 2016 Had a day trip to central London, south of the river they have built/are building hundreds of flats.I suspect they have somehow been allowed to go a bit too far,I hope its not British banks that have provided the money. Quote Link to comment Share on other sites More sharing options...
pig Posted January 10, 2016 Share Posted January 10, 2016 Correct. Price is simply responding to lack of supply not over suppy. hence no bubble and no crash as in US, Ireland, Spain etc. Its really not difficult to grasp. There is no limit (currently) of speculators hence the ''lack' of supply. It doesn't really matter how much we build - as with Spain Ireland etc. Quote Link to comment Share on other sites More sharing options...
papag Posted January 10, 2016 Share Posted January 10, 2016 Bent money from whatever source, if its going to buy property in the UK Its OK by everyone very little checks are done Quote Link to comment Share on other sites More sharing options...
eric pebble Posted January 11, 2016 Author Share Posted January 11, 2016 Bent money from whatever source, if its going to buy property in the UK Its OK by everyone very little checks are done YUP ---- TOTALLY BENT MONEY.... & PREDATORY LIAR LOANS Quote Link to comment Share on other sites More sharing options...
Eddie_George Posted January 11, 2016 Share Posted January 11, 2016 (edited) Correct. Price is simply responding to lack of supply not over suppy. hence no bubble and no crash as in US, Ireland, Spain etc. Its really not difficult to grasp. Please relegate this man to the troll forum. High house prices are a function of loose credit. They are only being prevented from falling because of the many props implemented by this government and the last. Edited January 11, 2016 by Eddie_George Quote Link to comment Share on other sites More sharing options...
eric pebble Posted January 11, 2016 Author Share Posted January 11, 2016 (edited) Please relegate this man to the troll forum. High house prices are a function of loose credit LIAR LOANS. They are only being prevented from falling because of the many props implemented by this government and the last. Corrected. or - TO BE MORE EXACT - ---- LIAR LOANS Edited January 11, 2016 by eric pebble Quote Link to comment Share on other sites More sharing options...
R K Posted January 11, 2016 Share Posted January 11, 2016 Please relegate this man to the troll forum. High house prices are a function of loose credit. They are only being prevented from falling because of the many props implemented by this government and the last. Im sorry but you are wrong. Im not going to agree with you when its patently not the case. It means the wrong conclusions are drawn and the wrong decisions are made, not least by people who either want a home to live in or a home to rent. If speaking the truth on here is "trolling" then Im afraid you are not only way off the mark but also completely missing the point about the UK housing market. Quote Link to comment Share on other sites More sharing options...
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