Jump to content
House Price Crash Forum
mercenarul

Mew Seems To Be Drying Up

Recommended Posts

Seems? its not according to the BOE its has been rising since 2005. MEW/HEW now accounts for 6% of post tax income

http://www.bankofengland.co.uk/statistics/...7/mar/index.htm

Edited by moosetea

Share this post


Link to post
Share on other sites
Looks like the sales are stalling.

Actual UK registrations in 2007 are up 2% on the firtst half of 2006 (Source ACEA). But this doesn't tell what cars are being registered.

Matthew

Share this post


Link to post
Share on other sites

It would be interesting to know what the deregistration/scrapping figures are relative to previous years: that would give an indication as to whether cash-strapped consumers are nursing their old bangers for longer, because they can't raise the capital to replace them.

Share this post


Link to post
Share on other sites

Lenders will want a percentage barrier between what a property is valued today and what the total money is mortgaged on a property and as prices of property become static and start to drop they will be less willing to mew as they are uncertain about the security of the money loaned.

Share this post


Link to post
Share on other sites

The other thing.... money obtained by MEW is not free money (as some people seem to think). It's additional borrowing and has to be paid back. Sorry to state the obvious but some posts I've read (not necessarily here) seem to treat it as money earned on the value of the house.

Share this post


Link to post
Share on other sites
Seems? its not according to the BOE its has been rising since 2005. MEW/HEW now accounts for 6% of post tax income

It is dangerous to confuse borrowing, or drawing down of savings, with income; the BoE wording is HEW as a percentage of post-tax income.

Share this post


Link to post
Share on other sites
The other thing.... money obtained by MEW is not free money (as some people seem to think). It's additional borrowing and has to be paid back. Sorry to state the obvious but some posts I've read (not necessarily here) seem to treat it as money earned on the value of the house.

A MEW is just a loan...that you have to pay back with interest...with the added disadvantage that you put your home at risk, if for whatever reason you are unable to keep up repayments, and not only that you could find yourself paying a large arrangement fee just for the privilege of having it. ;)

Share this post


Link to post
Share on other sites
Most likely selling them at knock down price to rental firms or pre-registering them themselves and parking them off the M5 at Bristol..

Or maybe taking the situation of one company as being representive of a country of nearly 60m is not a wise thing to do.

Share this post


Link to post
Share on other sites
Guest vicmac64
Its not sales that's the problem IMHO, its the company debt...over leveraged compaies will soon be tumbling everywhere

I agree entirely - this whole economy depends on the housing market - first signs of a collapse in house prices will send shock waves through manufacturers and retail organisations. Gone are the family businesses and their ability to stick it out through recession - now the corporates will skin their organisations alive - and with it the whole economy will tank - second stage will be an unparrallelled collapse in the housing market - or unparallelled inflation... and at its end housing will still tank!

Yes the Govt may hold things off for a while by decreasing interest rates or even just holding them in position - but rest assured - the deck of cards is coming down.

Share this post


Link to post
Share on other sites
A MEW is just a loan...that you have to pay back with interest...with the added disadvantage that you put your home at risk, if for whatever reason you are unable to keep up repayments, and not only that you could find yourself paying a large arrangement fee just for the privilege of having it. ;)

.....yeah ..but....is this not sold as 'releasing the money in your house...?... :lol::lol::lol:

Share this post


Link to post
Share on other sites
A MEW is just a loan...that you have to pay back with interest...with the added disadvantage that you put your home at risk, if for whatever reason you are unable to keep up repayments, and not only that you could find yourself paying a large arrangement fee just for the privilege of having it. ;)

At one time of day it was everyones ideal to pay their mortgage off as soon as they could or at least after the 25 year term then they knew that they had the security of actually owning their home, now it seems people just borrow more money on their property and therefore prolong the fear that they could still lose their home after paying a mortgage for years.

Share this post


Link to post
Share on other sites
At one time of day it was everyones ideal to pay their mortgage off as soon as they could or at least after the 25 year term then they knew that they had the security of actually owning their home, now it seems people just borrow more money on their property and therefore prolong the fear that they could still lose their home after paying a mortgage for years.

...it's because they like to live above their means.....and the big lottery win will take care of it all..... :unsure::unsure:

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 356 The Prime Minister stated that there were three Brexit options available to the UK:

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.