June 2014 Archive

Monday, June 30, 2014

Because if there's one thing wrong in this country, it's that landowners have too little

Torygraph: Michael Fallon: Boris Johnson is wrong over shale gas ownership

"Conservative energy minister slaps down Mayor of London for suggestion that households should own oil and gas beneath their home" Next up - negotiations with individual landowners to get water, electricity, trains, etc...

Posted by mombers @ 01:04 PM 3 Comments

Sunday, June 29, 2014

Rates likely to rise far higher than people think

Sky news: Rates may return to precrisis levels

Well it's almost certain rates are rising then from here....possibly far higher than people think One thing is clear...property will fall in price and struggle to take off again for 20 years imo

Posted by taffee @ 08:26 AM 14 Comments

Friday, June 27, 2014

BOE's Carney Says Rates Won't Rise to Levels Previously Considered Normal

State theft

Zero Hedge: Spain to create Tax on Bank deposits

Zerohedge is always a good read when you get that flush of anger about the fingers of the state being in your own till, so Spain is introducing direct confiscation of deposits. The UK in fact already does this, you are taxed on the interest rate you receive in deposit accounts. You are basically taxed on a rate of return that is below inflation, it is a confiscation of the deposit itself, -not- a tax on the profit.

Posted by stillthinking @ 11:59 AM 13 Comments

Acclaimed modernist classic on market for first time since 1969

Planet Property: Acclaimed modernist classic on market for first time since 1969

A classic modernist house designed by Sir Philip Dowson has just come onto the market ... great if you like concrete blocks!

Posted by the planet @ 10:30 AM 0 Comments

Thursday, June 26, 2014

It'll never happen, but if only ...

Moneyweek: The Silver Bullet To Fix The Housing Market

Only 1.1% of English land has domestic property on it. Only 4% of English land is built on. Down with the 1947 Planning Act.

Posted by frizzers @ 08:11 PM 9 Comments

Bank of England imposes cap on risky lending

TurnKey Mortgages: BEO imposes lending cap

In order to curb rising house prices, the Bank of England has today recommended a number of measures, including requiring lenders to limit the amount of high loan-to-income mortgage lending they do.

Posted by ben @ 04:54 PM 1 Comments

Chinese debt bubble and UK house prices

Bloomberg: China Finds $15B of Loans Backed by Falsified Gold Trades

Since a lot of money from China has been pushing up UK house prices I think this is relevant. Massive loans taken out with fraudulent gold account backing. "Copper and aluminium stockpiles" similarly under investigation.

Posted by mountain goat @ 02:58 PM 0 Comments

Loan shark gets lenient slap on the wrist

Guardian: Wonga to pay £2.6m compensation for fake debt firm letters

£2.6m compensation to 45,000 customers comes to a £58 compensation for illegal harassment on loans charging over 2,000% APR to the financially disadvantaged.

Posted by mountain goat @ 02:44 PM 1 Comments

Feeble attempt to cap home loans

Reuters: Bank of England announces new curbs on mortgage lending

The regulator said that, henceforth, of all the new home loans made by banks, no more than 15 per cent can be at loan to income multiples of 4.5 and above. Currently just 11 per cent of new mortgages are at such high loan to value multiples - so the move was described by the Bank as "prudent insurance" rather than a rules that would affect the housing market immediately.

Posted by mountain goat @ 01:00 PM 4 Comments

Wednesday, June 25, 2014

Instead of investing in houses, why not invest in companies that employ people?

Guardian: The homelessness crisis in England: a perfect storm

"Last year, 112,070 people declared themselves homeless in England – a 26% increase in four years. At the same time, the number of people sleeping rough in London grew by 75% to a staggering 6,437. Why? A £7bn cut in housing benefit, welfare reforms and a huge lack of affordable housing"

Posted by alan @ 08:20 PM 1 Comments

World Class Property and Land Speculation

BBC: World Cup land investors seek to recover losses

"Hundreds of British investors are looking to take legal action to recover lost money after being convinced to buy land in Brazil, ahead of the World Cup". Punters were persuaded to invest in plots of land which, they were told, would rise in value due to the World Cup. "Mike Langley, an energy consultant, and a victim of the alleged scam, said: "With an address in the Gherkin I thought, they're a reputable company" (One born every minute...).

Posted by alan @ 08:13 PM 3 Comments

The rate-rise warning question - should you stick or switch?

TurnKey Mortgages: Should I stay or should I go? The rate-rise warning

The Bank of England has spoken of the imminent rise in interest rates with varying degrees of certainty over the last few months, leaving homeowners no surer of when exactly the cost of their borrowing is going to increase. Nevertheless, the consensus is that they will rise "sooner rather than later". Should homeowners pre-empt the rise by switching out of their mortgages early and risk possible penalties, or should they hold fire?

Posted by ben @ 12:41 PM 0 Comments

Tuesday, June 24, 2014

Property economists predict that the UK housing market will peak in 2015 

Planet Property: Property economists predict that the UK housing market will peak in 2015

House price growth is expected to slow from 2015 when the market will peak; predicts the Economic Research Council’s property experts.

Posted by the planet @ 04:33 PM 0 Comments

Monday, June 23, 2014

All your wages are belong to us

Torygraph: London is not in a property bubble, says Zoopla boss

"Alex Chesterman says London ought to be a more expensive place to live" Higher wages and business profits of course belong to landowners, not wealth creators...

Posted by mombers @ 01:27 PM 12 Comments

Sunday, June 22, 2014

Peston's gearing up for something ...

BBC News: Investors go mad (again)

"it is therefore reckless lending and investing by financial institutions - from banks to hedge funds - that has been pushing asset prices up to vertiginously high levels. Which brings the risk that asset prices will tumble, at some inconvenient moment, wreaking serious harm to these financial institutions - and their ability to finance the economic activity crucial to our prosperity. That is why Haldane says it may soon be time for the Bank of England to unleash what he calls "the rumble of thunder", or one of the weapons of the godlike central bank, to rebuke lenders and investors, and alter their behaviour. ... Or, if all else fails to dampen the potentially lethal exuberance, the Monetary Policy Committee could raise interest rates."

Posted by hechnical titch @ 10:31 PM 11 Comments

Will he take action ?

Telegraph: Mark Carney to take action on housing market

Mark Carney is this week expected to unleash new measures to control the housing market, introducing strict requirements in an attempt to limit risky mortgage lending. The Bank of England's Financial Policy Committee (FPC) will use its biannual Financial Stability Report to take action on mortgages, after developments in the housing market have seen fears resurface that home loans are putting the strength of the financial system at risk.

Posted by housesearch @ 05:13 PM 1 Comments

Why The Next 20 Years Will Be Completely Unlike The Last 20

PeakProsperity.com: Why The Next 20 Years Will Be Completely Unlike The Last 20

Back right before the 2008 crisis hit, Chris Martenson released The Crash Course. For millions of people around the world, this video series served as the single best summation of the issues that created the crisis and will serve to make the next 20 years completely different than the last 20. The Crash Course has now been watched over 15 million times, been translated into over a dozen languages, and published as a book by J. Wiley & Sons. This weekend, we've announced that we've finished work on a complete update and upgrade to the Crash Course series. As with the original, we'll be releasing a chapter per week through the remainder of 2014. And we're kicking the roll-out off with the public release of the 'Accelerated' Crash Course: a condensed under-1-hour version of the series. It's.

Posted by adam taggart @ 02:51 PM 0 Comments

Keep out young first time buyers or the whole ship will sink

Telegraph: Carney told to rein in lending

"The Bank of England must act quickly and decisively to rein in UK mortgage lending if it is to prevent another housing crash, two of Europe's top policymakers have warned." Yes, that's right whatever we do don't let anyone buy a house to live in. Meantime we must increase bank lending to small business, like, for example, buy to let landlords.

Posted by chrisch @ 10:28 AM 19 Comments

Friday, June 20, 2014

2 percent Interest Rate will bring repayment-to-income ratio to crash levels

Telegraph: Homeowners face £1,000 rise in mortgage bill by next year

New data from property agents Savills... found that should interest rates increase to 2pc it will take the repayment-to-income ratio to levels reminiscent of the third quarter of 2007, just weeks before the housing market crash. At 2pc an average repayments mortgage will rise by £1,790 a year.

Posted by mountain goat @ 01:38 PM 11 Comments

No more middle class - can't afford to sleep rough

David Boyle blog (author of 'Broke'): What Really Makes House Prices Rise?

A curious blog featuring the comedian who toured Ireland with a fridge. As well as describing the absurd price rises over recent decades, it considers wider implications of the housing crisis, including how a middle classe existance is becoming increasingly unsustainable. Also, an argument that more house building would not solve the problem - inequality and 'banksters' need to be tackled, too.

Posted by smiley @ 11:13 AM 0 Comments

Thursday, June 19, 2014

Amongst all 4 political parties more than 50% support BoE action

YouGov: Public: Bank of England should intervene on mortgages

A new YouGov survey finds majority support for giving powers to the Bank of England to cap the ratio of mortgage loans to house values (53%) and salaries (59%).

Posted by landofconfusion @ 05:12 PM 3 Comments

If the concern is that wage growth could cause interest rates to rise, why not try to supress wage g

Torygraph: BoE prepares for rate rise this year as strong recovery favours 'playing off the front foot'

After all, rising house prices are more important than employment?

Posted by mombers @ 01:47 PM 3 Comments

It's all in the interpretation - Ennit!

BBC: 'Statistical fog' on mortgage loans, says CML

"The latest figures on mortgage lending amount to a "statistical fog", according to the Council of Mortgage Lenders . Total new loans in May amounted to £16.5bn - exactly the same as the previous month. However, the figure is 12% higher than in May 2013".

Posted by alan @ 12:30 PM 0 Comments

Extreme sentiment highs all round

Wall street journal: Bullish sentiment high as 1987 and 2007

Extreme highs not seen since 1987 and 2007 should worry anyone....now is the time to Sell stocks and property not buy them...yet what do people do?..now wonder the elite Think Joe public is stupid and available to be ripped off

Posted by taffee @ 10:58 AM 0 Comments

Wednesday, June 18, 2014

What the builders are telling us about house prices.

Money Week: What the builders are telling us about house prices.

Shares in builders have dropped over 20% from their peak in late February. Could this be telling us something?

Posted by neil @ 12:01 PM 4 Comments

As soon as England brings home the World Cup

Telegraph: Mark Carney: Bank 'will not hesitate' to cool UK housing boom

The Bank of England "will not hesitate" to take further action to cool Britain's booming housing market and stop the economy from boiling over, Mark Carney has said. On the day official data showed the average UK house price is ten times bigger than the average salary, the Governor used the Bank's annual report to highlight the steps it had already taken to prevent people from taking out unaffordable mortgages. Mr Carney said the Bank was prepared to use its so-called macro-prudential toolkit to support these steps.

Posted by quiet guy @ 07:24 AM 12 Comments

Rates being slashed on ISAs

Telegraph: NatWest and RBS cut rates for three million savers ahead of 'super Isas'

The new ISA is contributing to lower rates. Will mortgage rates tumble also? Could this be in part pricing in negative rates in the Eurozone?

Posted by libertas @ 02:58 AM 5 Comments

Tuesday, June 17, 2014

A bubble that now leads the world

Zerohedge.com: London's Whopping 18.7% Home Price Surge Means UK's Housing Bubble Slams China's

A month ago, using the latest UK housing data from Rightmove, we asked a simple question: whose housing bubble is bigger: China's, or the place where increasingly more of China's $25 trillion in bank assets are being parked: the UK (specifically London). Using then available data, the answer was still a toss-up, even if the divergence in directions was quite clear.

Posted by hpwatcher @ 04:02 PM 2 Comments

Triumphalist BBC!

BBC: UK house prices 'rise 9.9% in a year'

"The Office for National Statistics said prices rose strongly across the UK, with Wales, Scotland and Northern Ireland all picking up pace. London, where prices were were up 18.7%, remains the driving force behind the housing revival". "First-time buyers continue to experience more rapid price increases than people moving house" (..assuming you can afford the higher prices, of course).

Posted by alan @ 11:44 AM 4 Comments

Average air fares fell 3.2% on the month in May

Guardian: UK inflation falls to lowest since October 2009

"Although inflation is back below the target, from a peak of 5.2% in September 2011, it continues to outstrip average wage rises".

Posted by alan @ 11:39 AM 1 Comments

Monday, June 16, 2014

Indians now scared

Economic Times: Clear and Present Danger to UK property

Economic times is India's leading financial newspaper. They think there is a clear danger, but think a crash would be good for people

Posted by yes @ 06:32 PM 0 Comments


Wall Street Journal: Fears Rise That U.K. House Prices Will Fall

The results of the Bank of England’s twice-yearly systemic risk survey, published Monday, show that 40% of those quizzed cited falling property prices as a potential risk to the stability of the financial system. Only a quarter of respondents said the same a year ago. Respondents include hedge funds, banks, building societies, large complex financial institutions, asset managers and insurers... Almost two-fifths of respondents said ultralow interest rates could also pose a threat to the financial system.

Posted by mountain goat @ 04:18 PM 3 Comments

New rules on mortgage lending could lead to lower house prices

MoneyWeek: Why mortgages will remain hard to get

Merryn Somerset Webb says new rules to be decided on mortgage lending could lead to lower house prices

Posted by andrew.williams @ 02:06 PM 0 Comments

Sunday, June 15, 2014

Wow..I though londoners were well paid

Dailymail: Is your house earning more than you?

Take a look at the average local salaries!assuming they are accurate doesn't look good For price rises versus wages!....scary stuff

Posted by taffee @ 03:10 PM 10 Comments

Saturday, June 14, 2014

Thoughtful overview of the mess we're in

Coppola Comment: The British obsession with property

A version of a speech given at IPPR North on 10th June 2014. It takes a more long-term view of the problem, rather than just focussing on the current bubble.

Posted by captain tightwad @ 12:56 PM 0 Comments

Housebuilder Price Crash

Telegraph: Housebuilders collapse on rate rise fears

"Investors took fright and dumped shares in housebuilders after Mark Carney, the Governor of the Bank of England, signalled an earlier than expected interest rate rise, and Chancellor George Osborne gave the central bank new powers to curb mortgage lending in an effort to stave off a housing bubble. Persimmon dropped 4.8pc and Barratt Developments slid 4pc – the two heaviest fallers in the FTSE 100. In the mid-cap FTSE 250, Taylor Wimpey tumbled 4.7pc, Berkeley Group shed 4.2pc and Bovis Homes lost 4.1pc. Fears about the impact of a rate rise extended beyond the housebuilder stocks." The property builders have become used to loose monetary policy.

Posted by quiet guy @ 12:35 PM 0 Comments

They all believe property only ever goes up

Mail: The REAL reason your children can't afford to buy their own house: How China's middle classes are snapping up British homes from Liverpool to Croydon before they're even built

Prime homes snapped up by buyers at vast property expo - in Hong Kong. One estate agent said attendees spend 'as if they were shopping in Tesco!'. They are not super-rich, but ordinary couples in search of an investment. Many have no intention of coming to Britain to see their new commodities.

Posted by hpwatcher @ 06:48 AM 11 Comments

Friday, June 13, 2014

Start raising IR now to prevent a sudden jump later

Reuters: Carney signals earlier British rate rise, sterling soars

Britain could become the first major economy to tighten monetary policy since the 2008 financial crisis, Bank of England Governor Mark Carney signalled, sending sterling shooting to a five-year high against the dollar on Friday.... he said that more important than the timing of a first rate rise was that future increases be "gradual and limited", in part due to high household indebtedness and a drag on growth from a stronger currency.

Posted by mountain goat @ 01:13 PM 7 Comments

Thursday, June 12, 2014

What`s The Value Of A View & An Ultra-prime Location?


Answer: £17.5 million+ £65.000 annual service charge. London apartments rarely come with more prestigious neighbours -€“ the Ritz, the Wolseley, Le Caprice, Wiltons, Bond Street, Buckingham Palace, Clarence House and Green Park all on the doorstep. The apartment is still on sale. Peter Wetherell, Chief Executive of Wetherell said: "€œAccessed from Arlington Street and benefitting from 24-hour concierge the apartment has lift and stairwell access. The apartment is for sale on a 999-year lease. The apartment is for sale for £17.5 million. Service charge, circa £65,000 per annum, ground rent £1,000 per annum."€

Posted by tanja @ 02:57 PM 9 Comments

Back to 'inter-generational living’

Telegraph: Why three’s no longer a crowd

“It’s not surprising that we are starting to see rather more people prepared to live together across the generations,” says Henry Pryor, a housing market expert and property buying agent. “Because of this huge increase in home ownership over the past century, we have a slightly nostalgic view of housing. But now the cost of even modest homes is extortionate. I don’t think it will ever return to peak levels; instead, our idea of what it means to be British is going to have to change. We are going to lose this desperate view that we must own our own property. But also there is the realisation that the generations are going to have to spend a lot more time together.”

Posted by mountain goat @ 01:12 PM 1 Comments

Wednesday, June 11, 2014

Migrant labour is fickle

Economonitor: The “Hot Labour” Phenomenon

Explores the idea that migrant labour is pro-cyclical considering Spain, which during it's boom attracted large number of migrant workers who subsequently left, worsening the bust. Also considers the likelihood of the EU stepping in due to the losses of pension funds for country of origin. Makes the suggestion that such pro-cyclical booms inevitably impact on rental prices and enliven interest in local BTL. This is an interesting view whether the UK economy is in stable growth or not is open to question. I have often thought though, that the liabilities of government borrowing to stimulate the economy remain after those who have benefited from the additional demand for labour have left. Whether the UK is a net beneficiary who knows.

Posted by stillthinking @ 08:30 PM 13 Comments

Bubble to go on forever with IG mortgages?

Daily Telegraph: Retired parents taking out 'inherited mortgages' for children

Debt slavery achieved and smiley faces all round. Young people... emigrate is my advice.

Posted by despair101 @ 02:52 PM 1 Comments

A tale of two debtors

Gordon or george?: Who's the worst Chancellor of the Exchequer?

Gordon Brown, or George Osborne - which is the worst Chancellor we've ever had? Take the online quiz to find out - the results may surprise you!

Posted by hpwatcher @ 06:36 AM 0 Comments

Tuesday, June 10, 2014

Property is heading for a correction

Money week: London property is heading for a long-overdue correction

Demand I being restricted by tighter lending controls

Posted by neil @ 07:35 PM 8 Comments

New Green Deal for homeowners

TurnKey Mortgages: New Green Deal for homeowners

After a lackluster uptake for its Green Deal energy-saving scheme, the government has launched phase 2 - a first come, first served grant of up to £7,600 for homeowners who make qualifying energy-efficient improvements to their properties.

Posted by ben @ 05:52 PM 0 Comments

Monday, June 9, 2014

Estate agents in a strop

Telegraph: Estate agent chief condemns online 'parasites'

The head of a new website, which has been created by some of Britain'€™s biggest traditional estate agents to rival Rightmove and Zoopla, has hit out at '€œparasitic' internet-only rivals and said they will be banned from its site. Good luck with that! Talk about kettle calling the pot black!

Posted by frustrated gardener @ 01:41 PM 0 Comments

Sunday, June 8, 2014

Cheaper borrowing for Europe governments

Forbes: Europe Stricken With Negative Deposit Rate

A number of interesting pieces by Keith Weiner, the head one of which is that as money cannot leave the banking system, the only way to avoid negative interest rates at the ECB is to buy government bonds and that the negative interest rates are a mechanism to bypass the restrictions on purchasing government bonds directly.

Posted by stillthinking @ 11:33 AM 8 Comments

Friday, June 6, 2014

But, Georgie has an election to win?

BBC News: IMF warns Osborne over housing bubble risk

The International Monetary Fund (IMF) has warned George Osborne that accelerating house prices and low productivity pose the greatest threat to the UK's economic recovery. It said rising property values could leave households more vulnerable to income and interest rate shocks.

Posted by hpwatcher @ 12:07 PM 10 Comments

Thursday, June 5, 2014

London Slums are alive and growing daily

Independent: Studio flat with bedroom, kitchen and shower in one room for £737pcm, rented in half a day

A studio flat in north London where the single bed appears to be less than a metre from the entrance, has been let half a day after it was listed online. The new tenant of the property in Kember Street, near Kings Cross station in the capital, is believed to be paying 170 per week, or £737 per calendar month – below the £444 per week average in the N1 area, according to a property website.

Posted by khards @ 10:05 PM 12 Comments

Radical reform is required today!

CityAM: Why Britain's housing crisis risks turning into catastrophe

Paul Cheshire is professor of economic geography at the London School of Economics and co-author of Urban Economics and Urban Policy: Challenging Conventional Policy Wisdom Nothing short of radical reform will improve housing affordability. But radical reform, like intelligently loosening restrictions on Greenbelt building, is frightening. Even excellent reforms will only make a real difference over a period longer than five years. But if people were convinced that prices of land and housing were going to behave as they do in Germany in the future, not as they have in England, there could be a step change in prices relative to incomes, because expectations are built into current prices.

Posted by khards @ 05:25 PM 3 Comments

Meanwhile ECB President is expected to cut rates and introduce measures to head off deflation

BBC: Bank of England holds UK interest rates at 0.5%

UK interest rates have been held at the record low of 0.5% for another month by the Bank of England. The size of the Bank's bond-buying economic stimulus programme was also kept unchanged at £375bn. The decision was widely expected, despite continued signs of strength in the UK economy. Last month, the Bank of England reiterated it was in no rush to raise rates, with governor Mark Carney saying they may remain low "for some time". However, Mr Carney added the economy had "edged closer" to the point where interest rates would need to rise.

Posted by jack c @ 12:27 PM 13 Comments

Top 1% vs The Rest

Redfin Research: Sales of priciest 1% of homes climb while rest of home sales down

Thanks to policies to transfer wealth upwards (not making creditors share the pain of the hpc of 2008, the resulting debt legacy and wage stagnation for the most of the 99%, monetary policies to boost asset prices) sales of the priciest 1% of US houses are racing ahead (+36% last year, +21% so far this year) while sales of the bottom 99% are falling (-8% so far this year). In many areas the majority of the priciest 1% of properties are bought by cash. (Surely foreign kleptocrats and tax dodgers are active in these markets too but it's only in London that this is emphasised. And why do the Americans insist on calling them 'homes' when most of the priciest 1% are investments?)

Posted by icarus @ 10:39 AM 0 Comments

Largest monthly rise ever recorded? Inflating at 46% yearly!

LLoyds: House prices surge at 3.9% in May

The growing difference between speculative housing demand and supply continues to be a key driver of house price increases. Growth in new buyer enquiries have remained steady so far this year while the number of speculators providing instructions to put their property on the market for sale declined for the fourth consecutive month.

Posted by khards @ 08:15 AM 12 Comments

Wednesday, June 4, 2014

10-15% Yield, 75% LTV, just hope there's no crash...

Torygraph: Former Boots boss: 'Buy-to-let replaced my salary in four years'

Cathy Colston quit a senior role at Boots, where she was in charge of the group’s pharmacies. With the aim of replacing her large income through property investment she now rents houses in multiple occupation (HMO), where she takes an average 15pc income across nine properties.

Posted by landofconfusion @ 05:48 PM 5 Comments

European Commission urges government to rein in Help to Buy

TurnKey Mortgages: EX urges chancellor to rein in Help to Buy

The European Commission has urged the UK government to rein in the Help to Buy mortgage guarantee scheme in order to curb rising house prices help foster "sustainable" and "inclusive" growth.

Posted by ben @ 02:28 PM 0 Comments

More words and no action

Telegraph: Queen's Speech key points: Ministers announce plans to 'get Britain building again'

Ministers announce new housing drive with garden cities, sell-off of government land and overhaul of planning laws The Coalition has announced plans to to build tens of thousands of new homes and mounted a fresh assault on planning laws in the Queen's Speech. Under the infrastructure bill, developers will be given the power to push through applications without the need for council approval in a move described by planning experts as a "nuclear option". The bill will also make it easier for the government to sell off unused public land for development, enable the construction of new garden cities and give small house-builders more support.

Posted by khards @ 12:51 PM 7 Comments

Tuesday, June 3, 2014

Tell me about it

Sky News: Britons 'Draining Savings' To Stay Afloat

Contrary to widespread assumptions, Britons are not borrowing large amounts in order to keep themselves afloat. Instead, consumers are tapping into their savings at a record rate in order to finance themselves.

Posted by enuii @ 09:18 PM 8 Comments

Britain is still feasting on credit – and the next crunch will hit in 2016

Guardian: The next crunch is coming

Looking forward to interest rate rises.

Posted by letthemfall @ 08:46 PM 5 Comments

New YouGov poll finds that previously stable public opinion has now shifted.

YouGov: More people now think house prices will crash

Back in April voters tended to think house prices would keep on rising, now they tend to think that sooner or later they will crash.

Posted by landofconfusion @ 06:10 PM 3 Comments

The Housing Market's Darkening Data

PeakProsperity.com: The US Housing Market's Darkening Data

Unlike past housing price cycles, the current environment is being driven not by natural household formation, but by a central bank-fueled investment cycle where institutional and foreign capital are the largest influence on the marginal price. This is unknown territory for homebuyers and certainly unsustainable at today’s price levels. Price mean reversion is inevitable; and homeowners (both residents and investors) should prioritize taking steps not be as vulnerable as they were in 2008.

Posted by adam taggart @ 04:39 PM 0 Comments

The most important thing in life is to be a homeowner as young as possible

Torygraph: Kirstie Allsopp: 'I don’t want the next generation of women to suffer the same heartache’

"Property expert Kirstie Allsopp talks about her mother’s death, and advises girls to shun university in favour of buying a flat and having babies" Sacrifice everything at the alter of the 'housing ladder'. Disgusting. I had my kids before I bought a flat and it's worked out very well for me.

Posted by mombers @ 11:00 AM 4 Comments

So what? It's all rigged by UK government

Telegraph: UK house prices rise as first-time buyers panic buy

Contains a great metric which shows the full effect of the ''turbo-charged'' funding for lending scheme.

Posted by hpwatcher @ 09:17 AM 5 Comments

The crash is doomed - Monbiot talks sense.

Guardian: The only way to fairness in housing is to tax property

That's it now. There can never be a crash or a reform of the property market. The government can never accept what this guy says as true!

Posted by chrisch @ 08:34 AM 5 Comments

Government supported ponzi scheme stops for breath

BBC News: UK house prices rose 0.7% in May, Nationwide says

House prices rose by 0.7% in May, the Nationwide says, but there are signs that activity in the housing market may be "starting to moderate". May's increase compares with a 1.2% rise in prices during April.

Posted by hpwatcher @ 08:21 AM 2 Comments

Monday, June 2, 2014

If you pay the government directly

Torygraph: Small housing developers exempt from 'zero carbon' home regulations

..then you don't have to follow their legislation! And all because the costs of energy efficiency add 9,500 pounds to the build. Perhaps they haven't noticed the 150K value for the piece of paper with planning permission.

Posted by stillthinking @ 02:19 PM 1 Comments

Sunday, June 1, 2014

The price of housing crops up just about everywhere as an underlying theme

Independent: @HiddenCash mystery: Chaotic scenes in California as crowds seek free money left by unknown philanthropist in treasure hunt

Halfway through the article; “I’ve made millions of dollars the last few years, more than I ever imagined, and yet many friends of mine, and people who work for me, cannot afford to buy a modest home. This is my way of giving back to the community and also having fun.”

Posted by enuii @ 09:02 PM 0 Comments

No wonder a bit of credit control is needed..

Independent: RBS could fail due to ‘£100bn black hole’

People who earn less than 27K don't make any net contribution to the government coffers, apparently because of all the wondrous services they receive( and not because the state just keeps the cash). Leaving aside that you can import visa safe workers on 24k which means presumably that the taxpayers subsidises them, we can move onto the losses of RBS. At 3K per worker, leaving out the ones who "don't contribute" that means 6Kish per over 27K worker.

Posted by stillthinking @ 02:55 PM 2 Comments

Don't read this it will annoy you

Independent: What does skyrocket in London prices mean

Things like: For example, at the Elephant and Castle in south London, a council estate where over 1,500 families lived is to be replaced by developers Lend Lease with over 2,000 private homes, and it's rumoured that only 79 will be for social renting. Southwark Council describes this as "regeneration".

Posted by chrisch @ 10:51 AM 5 Comments

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