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H S B C Claim 73% F T Bs Will Share With Up To 3 Strangers

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http://www.mfgonline.co.uk/story.asp?story...sectioncode=110

Latest News
HSBC reveals group mortgage popularity
11 September, 2006
Research from HSBC has revealed group mortgages are set to soar in popularity.
The news comes as today’s first-time buyers increasingly turn to their friends for a leg-up on to the property ladder. The HSBC research revealed:
- 93 per cent of potential first-time buyers believe affordability is a problem
- 57 per cent of potential first-time buyers would buy a property with friends
Buying a property with friends proved most popular with first-time buyers who are still living at home with parents; nearly three-quarters
(73 per cent) said they would consider sharing with as many as three other people
to purchase a place of their own.
Despite the continued rise in property prices,
first-time buyers are as determined as ever to get on the ladder.

What a sad statement about the quality of life offered in this country as a result of Gordon's Miracles.

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RB,

I say this as a bear, that you don't do yourself any favours with sensationalist comments like 93% are now priced out when, in fact, the report states that 93% of potential FTBs believe affordability is a problem.

It smacks of tabloid tactics and gives the bulls cause to belittle your otherwise interesting posts.

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RB,

I say this as a bear, that you don't do yourself any favours with sensationalist comments like 93% are now priced out when, in fact, the report states that 93% of potential FTBs believe affordability is a problem.

It smacks of tabloid tactics and gives the bulls cause to belittle your otherwise interesting posts.

Not more semantic gymnastics! :o

If affordability is a problem it follows that there is a general feeling of being unable to afford which is the same as being priced out.

If you go into Tescos and want to buy a bottle of wine that is 10 pounds and are a bit short affordability is a problem and you do not buy it as the price is too high. You are effectively priced out of buying that product.

Like the article says with average houses nearing 200k FTBs are almost all priced out--unless they go in with a group. IMO, that is priced out. The reality is grim and its no point trying to sugar coat what is a tragedy on an enormous scale.

“The average house price in England and Wales now stands at almost £200,000, which is over six times the average salary,

If that is NOT priced out then what is? :blink:

Edited by Realistbear

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RB

You're preaching to the converted on the general affordability of housing.

Don't you understand though that you're opening yourself up to accusations of spin by subtly manipulating the thread title to make it look more sensational?

You implied that 93% of all buyers are priced out, which is very different to 93% of FTBs having concerns about house prices.

If you think by pointing this out I'm being pedantic then you are indeed as blinkered as some of the bulls say you are.

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RB

You're preaching to the converted on the general affordability of housing.

Don't you understand though that you're opening yourself up to accusations of spin by subtly manipulating the thread title to make it look more sensational?

You implied that 93% of all buyers are priced out, which is very different to 93% of FTBs having concerns about house prices.

If you think by pointing this out I'm being pedantic then you are indeed as blinkered as some of the bulls say you are.

IMO, its more than just concern on the part of FTBs. I detect a great deal of anger over the situation and the fact thast HPI has pushed the average property upward to 200k says it all. BOttom line: houses are no longer affordable for the vast majority of FTBs who are effectvely "priced out." I don't see it as spin but rather see the article as spinning the bad news into good by patronising FTBs by saying there is a way around the problme of being priced out--go in with a group.

I may be an aggressive Bear and will unspin the VI articles with a bottom line view. THis article was asking for an unspun view that is based on the sad fact that the overwhelming majority of FTBs are priced out and the figure of 200k is evidence of that fact.

The blinkers are on the ones who refuse to accept the grim reality of what Gordon has done to the economy and to house prices. You can't get much worse than a lender admitting people are priced out if they go in alone and that the only way is to find 3 strangers to share with you. The sheeple that do it are blinkered IMO.

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“The average house price in England and Wales now stands at almost £200,000, which is over six times the average salary,

Yeah, you're right it's over six times average salary, more like ten!

HSBC obviously have a very blinkered view of people's earnings. Perhaps it's all the lies told on self-certs and loan applications.

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Yeah, you're right it's over six times average salary, more like ten!

HSBC obviously have a very blinkered view of people's earnings. Perhaps it's all the lies told on self-certs and loan applications.

You may have a good point there! With everything else exaggerated beyond reality in this Miracle Economy you never know................. :blink:

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http://www.mfgonline.co.uk/story.asp?story...sectioncode=110

Latest News
HSBC reveals group mortgage popularity
11 September, 2006
Research from HSBC has revealed group mortgages are set to soar in popularity.
The news comes as today’s first-time buyers increasingly turn to their friends for a leg-up on to the property ladder. The HSBC research revealed:
- 93 per cent of potential first-time buyers believe affordability is a problem
- 57 per cent of potential first-time buyers would buy a property with friends
Buying a property with friends proved most popular with first-time buyers who are still living at home with parents; nearly three-quarters
(73 per cent) said they would consider sharing with as many as three other people
to purchase a place of their own.
Despite the continued rise in property prices,
first-time buyers are as determined as ever to get on the ladder.

What a sad statement about the quality of life offered in this country as a result of Gordon's Miracles.

How sad that most ftb's now have this mindset, just 10 years ago a lot of ftb's probably could have afforded to buy on their own without help, although 10 years ago there wasn't such an urgency to jump on the run away train, I guess many friends just rented together then! You can just see the bubble mentality, I really believe now that it's close, these are the last attempts to get the final suckers - any which way they can!

Edited by Larry Livingstone

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Even without Self Cert it is pretty easy to get proof that you are earning more than you are.

There are companies that will produce fake documents that look identical to the real things - bank statements, payslips, p60's etc.. They will even pretend you work for their company, in case the bank phone up.

Of course that may not even be necessary most of the time, when I bought a new house back in 2000, the finance/mortgage guy just spoke to his friend at the bank and I was approved without even showing any proofs of earnings (he was owed a favour and got it rushed through - or so he says).

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RB

You're preaching to the converted on the general affordability of housing.

Don't you understand though that you're opening yourself up to accusations of spin by subtly manipulating the thread title to make it look more sensational?

You implied that 93% of all buyers are priced out, which is very different to 93% of FTBs having concerns about house prices.

If you think by pointing this out I'm being pedantic then you are indeed as blinkered as some of the bulls say you are.

Like any news source, I would want HPC.co.uk to be as objective as possible.

If I notice subjectivity and emotive language in a news source, for me, it lowers the credibility of that source. Simply, I don't want to be manipulated, and I recoil somewhat when I notice it.

In short, I agree with you despite RB's informative input to the forum.

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Let's see how many of these 73% will actually pony up the dough. Per my last post, I've just seen the HSBC commercial for friends mortgages. All together now.. I'll be there for you, when teh rain starts to fall.... And you screw my boyfriend/girlfriend/sandwich. I'm moving out. What do you mean I can't? It's just like renting right? Can I have my deposit back? Oh b*@ger!

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Are these mortgages for a specific ethnic section of our communities who already "enjoy" a multi occupancy life perhaps and would be very much more likely to consider them?

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buying in partnership CAN make sense.

Here's how...

I rented a flat in Hongkong yesterday.

I am paying HK$8,000 per month, for about 800 sf of usable space.

He said he missed out on selling it last year, because when the price hit HK$3.5 million, he thought it would go higher. Today, I can buy a similar flat at HK$2.5 million. He is unwilling to sell the flat so cheaply, so he prefers to rent it out, and get some income.

My $8k gives a yield of 2.74% on $3.5mn.

But if we subtract the management fee, the net yield is 2.4%

Why does buying in partnership make sense;

+ There is someone with which to share the loss,

+ Only one of the two partners has to take time to handover the keys to the new tenant

+ You can blame your partner for getting carried away and paying too much

Nice example DB. The longer this thing goes on the more frustrated I get. I am in danger of being the last bear to turn bull. Anecdotals like this really do re-iterate the fundamentals of the issue. Yields this low really do rely on capital growth. Remove that and "investors" stay in denial a while, but it really is only a matter of time. I just pray to god that rents in the UK dont start spiralling up, cos that would throw a spanner in the works of my calcs.

JP.

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Like any news source, I would want HPC.co.uk to be as objective as possible.

If I notice subjectivity and emotive language in a news source, for me, it lowers the credibility of that source. Simply, I don't want to be manipulated, and I recoil somewhat when I notice it.

In short, I agree with you despite RB's informative input to the forum.

You are not a bear so the fact that 93% are effectively priced out would be taken as spin. The reality in this country today is that FTBs are priced out and it includes the huge majority suggested in the article. In fact, apart from a select few with parental help its probaly right that almost 100% of FTBs are priced out given the average price of a home approaching 200k.

You might say, yes, but there are one room flats above a crack den that a FTB can still afford on their own if they are making 50k a year. Not the point. Why should anyone be priced out of owning a decent home? This nation needs to wake up to the fact that HPI is a disease and it is criminal that Gordon Brown is allowed to remain in office let alone ascend to No. 10.

Wake up you fence-sitters and take a stand. Your label as "neither" needs to be changed to Bull.

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  • 301 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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