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Time to raise the rents.

Is The Boe Letting You Down?

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It occured to me with the CPI figure of 1.9%, that the BOE have pretty consistently undershot the inflation target.

This says two things to me:

1/ Rates over previous years could have been a little lower.

2/ The economy is not inflating as much as it should, therefore your wages are not inflating as much as they should, impacting your ability to afford house prices amoung other things.

When you consider that a rate drop or two will make buying cheaper than renting, it seems to me that they may be letting you down a little.

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Errrr, no.

Another rate cut may drag in a few more fools for a couple of months but the overall trend is down.

If they cut rates, it will simply be a desperate measure and may cause many more problems for Gordon that it fixes.

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Errrr, no.

Another rate cut may drag in a few more fools for a couple of months but the overall trend is down.

If they cut rates, it will simply be a desperate measure and may cause many more problems for Gordon that it fixes.

It's pretty logical that encouraging inflation will encourage wage rises which will help you along to either afford a home or afford my higher rent changes....... :D

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It's pretty logical that encouraging inflation will encourage wage rises which will help you along to either afford a home or afford my higher rent changes....... :D

Why don't you get a life you sad little man. You clearly have "issues", as someone who was actually wealthy and happy would be humble and certainly would not bother coming on here to simply goad people who are not as fortunate.

You are a sad fecker and will get your commupance. Then, you will realise the error of your ways.

. :rolleyes:

You will not get higher rents as the rental market is oversupplied. Most rents do not even cover mortgages.

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Could inflation be falling because the economy is tanking? CBI thinks so. Insolvency rates suggest this is the case. Public confidence level is tanking as reflected by drop in new car sales and "white goods."

If IR drop sterling will tank and drive up the cost of imported fuel. Not a good move when bills are headed up by unprecedented amounts.

With Al the de facto economic advisor to Gordon "Mirace Economy" Brown my guess is rates on hold for awhile before an increase is forced by US rates going to 5% in May.

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When you consider that a rate drop or two will make buying cheaper than renting,

Absolute nonsense!

Yeah, like a rate drop or two is really going to bring house prices down from 5x 10x 12x average salary multiples!

Total wind up and totally untrue, as TTRTR very well knows.

A drop in rates will do nothing to improve 'affordability' now unless you are someone who thinks Interest Only mortgages are a good deal.

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It's pretty logical that encouraging inflation will encourage wage rises which will help you along to either afford a home or afford my higher rent changes....... :D

Yes well done.....higher inflation of course means more money in your pocket cos of course companys are going to be lashing out huge wage increases at a time when they are having to spend a whole bunch more on consumables :lol:

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It occured to me with the CPI figure of 1.9%, that the BOE have pretty consistently undershot the inflation target.

This says two things to me:

1/ Rates over previous years could have been a little lower.

2/ The economy is not inflating as much as it should, therefore your wages are not inflating as much as they should, impacting your ability to afford house prices amoung other things.

When you consider that a rate drop or two will make buying cheaper than renting, it seems to me that they may be letting you down a little.

No, I think the MPC have done a reasonable job so far, even though it is frustrating to see people like TTRTR building up a mountain of debt, which will affect the long-term stability of the UK. If it wasn't for greedy :D people like you equities wouldn't have become so overvalued and we could have reduced interest rates to stimulate economic growth making us all better off (rather than the minority becoming much better off). However, we can't expect all human to be philanthropic, we expect them to be selfish and greedy.

Inflation has overshot and undershot the target slightly. However, the long-term view has to be that inflation is picking up and our central bank have to be ready to react with several rate rises when this happens. Those who have loaded up with debt will be the losers in the long run.

I can see little change in rents irrespective of what the bank does this year.

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It's pretty logical that encouraging inflation will encourage wage rises which will help you along to either afford a home or afford my higher rent changes....... :D

Awooga, surely?

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It occured to me with the CPI figure of 1.9%, that the BOE have pretty consistently undershot the inflation target.

This says two things to me:

1/ Rates over previous years could have been a little lower.

2/ The economy is not inflating as much as it should, therefore your wages are not inflating as much as they should, impacting your ability to afford house prices amoung other things.

When you consider that a rate drop or two will make buying cheaper than renting, it seems to me that they may be letting you down a little.

My god...

Inflating....? you say inflating..

HAve you read anything that the MPC have said over the last decade..

REad it now..

and sell your property..

Trust me..

My god you talk of inflation.. Bless you...

That explains your perspective, your viewpoint and all of your decisions..

It is different this time... It will take a fiar bit of research to see how..

But trust me.

It is impossible to read the relevent economic statements written by the MPC and the current governement and not understand two things.

1: house prices will become affordable.

2: There will be no wage push inflation..

If like many you base your decision's on sound bites thrown away by the politicians for the news.. then I see where you are coming from.

If you take the time to study what they actually right down as policy..

You will agree with us.

Go away and read.

The government has announched the Crash as have the MPC..

Might take you a while to see it

but is is as clear as day and cannot be argued.

Edited by apom

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Guest Bart of Darkness

Why don't you get a life you sad little man. You clearly have "issues", as someone who was actually wealthy and happy would be humble and certainly would not bother coming on here to simply goad people who are not as fortunate.

You are a sad fecker and will get your commupance. Then, you will realise the error of your ways.

. :rolleyes:

You will not get higher rents as the rental market is oversupplied. Most rents do not even cover mortgages.

No pithy comeback from TTRTR?

Silence, as they say, gives assent.

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My god...

Inflating....? you say inflating..

HAve you read anything that the MPC have said over the last decade..

REad it now..

and sell your property..

Trust me..

My god you talk of inflation.. Bless you...

That explains your perspective, your viewpoint and all of your decisions..

It is different this time... It will take a fiar bit of research to see how..

But trust me.

It is impossible to read the relevent economic statements written by the MPC and the current governement and not understand two things.

1: house prices will become affordable.

2: There will be no wage push inflation..

If like many you base your decision's on sound bites thrown away by the politicians for the news.. then I see where you are coming from.

If you take the time to study what they actually right down as policy..

You will agree with us.

Go away and read.

The government has announched the Crash as have the MPC..

Might take you a while to see it

but is is as clear as day and cannot be argued.

:lol::lol::lol::lol:

Did you make that all up at the same time? Or did you dwell on it for months and decide to write it down today?

Let me tell you something for free. GROWTH is all that matters, no matter what you think you heard a politician say once.

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It occured to me with the CPI figure of 1.9%, that the BOE have pretty consistently undershot the inflation target.

This says two things to me:

1/ Rates over previous years could have been a little lower.

2/ The economy is not inflating as much as it should, therefore your wages are not inflating as much as they should, impacting your ability to afford house prices amoung other things.

When you consider that a rate drop or two will make buying cheaper than renting, it seems to me that they may be letting you down a little.

You're such a wind up merchant :D

The sad fact is that actually the BofE have failed the indebted masses, they are the ones who believed they were rich. They are the ones who are facing banckruptcy in record numbers. Losing everything - It can't be very nice.

Renting being cheaper than buying is slightly irritating, reaching retirement and realising you have nothing, as many of the MEWed masses surely will, must be devastating.

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Let me tell you something for free. GROWTH is all that matters, no matter what you think you heard a politician say once.

You seem to think that the BoE can just turn up growth and turn it down like the volume control on a stereo system. They can't. They can stimulate a credit boom, but unless that boom results in a productivity increase, all it does is borrow some growth from the future. Have you seen any charts of UK productivity vs other countries? It's not good.

At some point all the banks who lent the money to fund the growth will want that money back. When the money has to be repaid, guess what, no more growth.

frugalista

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You're such a wind up merchant :D

The sad fact is that actually the BofE have failed the indebted masses, they are the ones who believed they were rich. They are the ones who are facing banckruptcy in record numbers. Losing everything - It can't be very nice.

Renting being cheaper than buying is slightly irritating, reaching retirement and realising you have nothing, as many of the MEWed masses surely will, must be devastating.

I was actually asking a serious question, although it's difficult not to add a little humour/teasing to my wording.

But think about it for a moment, the people that higher IR's hurt the most, are the ones that would like to buy a home. They're the ones that one day thought they could afford a place, then suddenly couldn't.

They're also the ones that deserve a break by IR's being dropped again to help them along.

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Frigalista,

Exactly. Unfortunately it is worse than that becuase in the competitive global world if you are not going forwards you are going backwards and some of our companies seem to be going backwards at a rate of knots, starved of cash and investment.

Anybody that thinks this is the sort of backdrop for raising rents doesn't understand the effets of sub-inflation wage and business growth.

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Why don't you get a life you sad little man. You clearly have "issues", as someone who was actually wealthy and happy would be humble and certainly would not bother coming on here to simply goad people who are not as fortunate.

You are a sad fecker and will get your commupance. Then, you will realise the error of your ways.

. :rolleyes:

You will not get higher rents as the rental market is oversupplied. Most rents do not even cover mortgages.

Notwithstanding your (most likey) accurate assessment of TTRTR being a sad fecker, I've yet to see any substantiation of his financial position. In my experience, those who boast of x houses, x% profit on their trading account, and they have sex x number of time a night, have productive imaginations with no basis in reality.

TTRTR fits that profile exactly.

Alluding to this fantasy only encourages him to post more bullsh!t.

Cheers

Edited by wayneL

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I was actually asking a serious question, although it's difficult not to add a little humour/teasing to my wording.

But think about it for a moment, the people that higher IR's hurt the most, are the ones that would like to buy a home. They're the ones that one day thought they could afford a place, then suddenly couldn't.

They're also the ones that deserve a break by IR's being dropped again to help them along.

I'm sorry but if interest rates increase house prices fall.! I would rather take on a smaller debt with a higher interest rate anyday than mortgage myself to the hilt with a lower interest rate. Its not common sense.

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It occured to me with the CPI figure of 1.9%, that the BOE have pretty consistently undershot the inflation target.

This says two things to me:

1/ Rates over previous years could have been a little lower.

2/ The economy is not inflating as much as it should, therefore your wages are not inflating as much as they should, impacting your ability to afford house prices amoung other things.

When you consider that a rate drop or two will make buying cheaper than renting, it seems to me that they may be letting you down a little.

TTRTR - its been a long time since we have locked horns.....

Deflation is the problem, not inflation. I said it a while back and I still believe it today. As consumers appetite to spend wanes, the retailers are beginning to feel the pinch. It is only a matter of time before wage deflation kicks in, and with it, a drop in asset values.

http://news.ft.com/cms/s/38ca8b9e-9cd7-11d...00779e2340.html

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It occured to me with the CPI figure of 1.9%, that the BOE have pretty consistently undershot the inflation target.

This says two things to me:

1/ Rates over previous years could have been a little lower.

2/ The economy is not inflating as much as it should, therefore your wages are not inflating as much as they should, impacting your ability to afford house prices amoung other things.

When you consider that a rate drop or two will make buying cheaper than renting, it seems to me that they may be letting you down a little.

BoE undershot the inflation target? I am sorry but they never did and btw they will always hide the fact behind their own statistics.

I believe we are much better with the lie than with the 20% or 30% inflation. Imagine the mayhem. Al those people trying to buy the safest thingy. Gold…Shares… Money or Property. :lol: in the high inflation environment property will always prevail. At the moment, I am very happy with the lie.

Pakard

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TTRTR - its been a long time since we have locked horns.....

Deflation is the problem, not inflation. I said it a while back and I still believe it today. As consumers appetite to spend wanes, the retailers are beginning to feel the pinch. It is only a matter of time before wage deflation kicks in, and with it, a drop in asset values.

http://news.ft.com/cms/s/38ca8b9e-9cd7-11d...00779e2340.html

Locking horns?

It seems you're agreeing with me. There isn't enough inflation is the system and there's even plenty of deflation in the system. The people who benefit from that seem to be oldies with low pensions. Who else benefits?

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  • 302 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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