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Estate Agents asking for Government intervention.


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Seems Estate Agents are moaning that house prices are likely to come down and are looking at the government to artificially inflate them some more, maybe help to buy edition 2? Can't lower interest rates any more, how about stop interfering and just letting the housing market sort its self out naturally and make it fair for everyone! 

 

https://www.bloomberg.com/news/articles/2020-04-08/u-k-may-need-government-to-step-in-as-housing-market-flatlines

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6 hours ago, Jimmyjammy001 said:

Seems Estate Agents are moaning that house prices are likely to come down and are looking at the government to artificially inflate them some more, maybe help to buy edition 2? Can't lower interest rates any more, how about stop interfering and just letting the housing market sort its self out naturally and make it fair for everyone! 

 

https://www.bloomberg.com/news/articles/2020-04-08/u-k-may-need-government-to-step-in-as-housing-market-flatlines

Thanks for the link Jimmyjammy001. The title of the article is alreay propagandizing us - UK MAY NEED gov to step in. Thassright, whatever crazy sh it they come up with will be unavoidable, absolutely necessary, the only sensible way forward and therefore palatable to any reasonable adult. "[A]nticipated near-term sales dropped to their weakest level in more than two decades" - should be trouble, we should be getting somewhere.

But of course they won't stop interfering and just let the housing market sort itself out naturally, what they will do is eff it up even more in some inventive way. I'd like to think that this is too big for them to deal with but they'll think of something. If only they would put their creative talents to good use. Praps we should start a thread taking bets on what the gov will do this time to keep the market from collapsing.

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They could just ban any offers on house buying below the estate agent window price.

Even better, give the estate agent your income details and deposit, and let them apply for your mortgage, offer on and buy the house for you. Helps to keep the market liquid.

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1 hour ago, Si1 said:

They could just ban any offers on house buying below the estate agent window price.

Even better, give the estate agent your income details and deposit, and let them apply for your mortgage, offer on and buy the house for you. Helps to keep the market liquid.

If the EA is liable for and pays the mortgage, then I will support that :)

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1 hour ago, Si1 said:

They could just ban any offers on house buying below the estate agent window price.

Even better, give the estate agent your income details and deposit, and let them apply for your mortgage, offer on and buy the house for you. Helps to keep the market liquid.

Do. Not. Even. Joke.  

After watching that video about China's "social credit" system I would be surprised if anyone gets to make their own, individual choices about anything in the future.   The Computer will tell you what house your are buying and what you are paying for it.

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How do they know how bad it's going to be they are on pause.

My well be fine when they can get going again, unlikely but maybe.

They should just get the same help as others are getting I doubt restaurants will be getting a VAT cut or help to booze scheme after they open.

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This is an "I want a pony" piece. It looks rather desperate pleading because they are scared.

Everyone wants special help for their industry. I would love it too and I can think of far more beneficial (to the wider economy) things to do in my line of work.

I think/hope that the government will have too other things to worry about to care about this. Even before covid politics was shifting away from favouring high house prices.

Edited by gp_
Added a bit
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2 hours ago, Fromage Frais said:

How do they know how bad it's going to be they are on pause.

My well be fine when they can get going again, unlikely but maybe.

They should just get the same help as others are getting I doubt restaurants will be getting a VAT cut or help to booze scheme after they open.

A help to booze scheme may be one way out of this crisis. 

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A government listings system ( version of rightmove ), with an API link to the land registry would be a big help, take a lot of the agents leg work off their hands at this difficult time and make taxation easier ?

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I suggest the govt underwrite house prices by allowing estate agents to agree the sale price, the buyer pays what they can afford and the government makes up the difference.

 

So if the ea price is 300k the buyer can pay 200k with the government picking up the 100k difference.  Everyone is a winner and we all avoid collapsing house prices.

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4 hours ago, stop_the_craziness said:

Do. Not. Even. Joke.  

After watching that video about China's "social credit" system I would be surprised if anyone gets to make their own, individual choices about anything in the future.   The Computer will tell you what house your are buying and what you are paying for it.

I'd further suggest a market-wide rent-to-buy scheme.

Private house sales all ended. The govt, via regulated EAs, will buy private property off someone at (last year's estimated price) plus (greater of RPI or 5%). The new buyer pays a lifelong rental to the govt to live in it. Then it reverts to govt ownership at death to pay for nursing home fees, state pension etc. You can only buy and sell through govt-regulated EAs exchanging rental contracts, and can top up your govt stipulated minimum rent to get something bigger. But you are not allowed to rent below a given level appropriate to your income, so if you did get a 'cheaper' house for whatever reason (say there simply weren't any at your level in the area you want/need to live) then half of the excess rent you are having to pay would accrue, without inflation protection, and allow you to rent a more expensive house in the future, such as when you want a bigger one in retirement.

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16 hours ago, Si1 said:

I'd further suggest a market-wide rent-to-buy scheme.

Private house sales all ended. The govt, via regulated EAs, will buy private property off someone at (last year's estimated price) plus (greater of RPI or 5%). The new buyer pays a lifelong rental to the govt to live in it. Then it reverts to govt ownership at death to pay for nursing home fees, state pension etc. You can only buy and sell through govt-regulated EAs exchanging rental contracts, and can top up your govt stipulated minimum rent to get something bigger. But you are not allowed to rent below a given level appropriate to your income, so if you did get a 'cheaper' house for whatever reason (say there simply weren't any at your level in the area you want/need to live) then half of the excess rent you are having to pay would accrue, without inflation protection, and allow you to rent a more expensive house in the future, such as when you want a bigger one in retirement.

A few others on here have come up with some or part of this, myself included.

Maybe Cummings and his weirdos really do read this and he'll think this would be a way to sieze the territory before a revitalised Labour does.

It looks like all the usual avenues of stupidity have been exhausted and there really is no other way out.

 

 

 

 

 

One thing must be pretty certain; any assistance the Realtors get will be what spins off from HMG intervention.

 

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Most government assistance is at a discount to pre-coronavirus values: e.g. income on furlough of 80% of normal.

Apply the same here, and the govt could do what @Si1 suggests, but discount to pre-coronavirus values.

The City AM article is just another report of the same press release.

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15 minutes ago, gp_ said:

Most government assistance is at a discount to pre-coronavirus values: e.g. income on furlough of 80% of normal.

Apply the same here, and the govt could do what @Si1 suggests, but discount to pre-coronavirus values.

The City AM article is just another report of the same press release.

The Tories have private sector instincts in every except the housing market. They'd re-privatise everything except housing and boomer props.

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1 hour ago, Si1 said:

The Tories have private sector instincts in every except the housing market. They'd re-privatise everything except housing and boomer props.

Except that Boomers are out and the new generation is coming in.

Who would have thought that the Tories would be the part of the North?  They are now.

I dont trust them but you only have to ready the comments under property articles in the Guardian to see the other folks are just as bad.

Its like the paddy and paul joke

Tax the business owners!

yes

Tax the billionaires!

right on comrade

Tax the million pound London homes!

oooh easy there I actually have one of those!

 

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"

For a lot of households, car payments will be the second-biggest monthly outgoing after their mortgage or rent.

“If people aren’t buried by their mortgage payments they’ll be buried by car repayments instead.”

 

premium manufacturers Audi, BMW and Mercedes-Benz are in the top five best-selling brands in the UK, outselling the likes of Vauxhall and Toyota, which is “ridiculous” and “not a normal situation compared with the rest of the world”.

“The reality is that the lenders have to be held responsible for how much they lend and to whom.

"

Yep, err

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17 minutes ago, Si1 said:

"

For a lot of households, car payments will be the second-biggest monthly outgoing after their mortgage or rent.

“If people aren’t buried by their mortgage payments they’ll be buried by car repayments instead.”

 

premium manufacturers Audi, BMW and Mercedes-Benz are in the top five best-selling brands in the UK, outselling the likes of Vauxhall and Toyota, which is “ridiculous” and “not a normal situation compared with the rest of the world”.

“The reality is that the lenders have to be held responsible for how much they lend and to whom.

"

Yep, err

British obsession with badges when the actual quality is the same. Take the cars back and let the finance firm fail.

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On 09/04/2020 at 13:30, Fromage Frais said:

How do they know how bad it's going to be they are on pause.

My well be fine when they can get going again, unlikely but maybe.

They should just get the same help as others are getting I doubt restaurants will be getting a VAT cut or help to booze scheme after they open.

Yes it's strange that a couple of weeks ago at the start of lockdown there were lots of "market commentators" saying how this will be a pause and then things will resume happily later on in the year. The "no problems, nothing to see here" line.

Then they clicked that nobody believed that, and they realised that "no problems in our sector" doesn't get you a bail out from the government. Cue change of tactics. 

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Estate and letting agents are getting a bailout - full business rates relief until March 2021 and grants of up to £25,000.

By contrast other high street service businesses like vets, dentists, chiropractors, GPs, physiotherapists and chiropodists get absolutely no help at all. Most of those businesses are now forcibly stopped - but house viewings and sales can continue.

So much for the Government caring more about our physical and mental health than keeping the housing market going!

Edited by MARTINX9
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  • 415 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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