April 2015 Archive

Thursday, April 30, 2015

Let them exercise their right to buy

Independent: Over 50,000 families shipped out of London...

BJ's "No Kosovo-style social cleansing here, move along now" didn't quite work out like that. A combination of welfare cuts and soaring rents has 'cleansed' London of over 50,000 families in the past three years. Most are furtively 'dumped' onto other councils.

Posted by icarus @ 07:43 PM 18 Comments

Wednesday, April 29, 2015

Is this true? In my areas house prices are seeing BIG reductions!

BBC: UK house prices resume upward trend, says Nationwide

House prices across the UK are resuming an upward trend, according to the Nationwide building society. Between March and April, prices rose by 1% - the largest monthly rise since June 2014.

Posted by hpwatcher @ 04:49 PM 12 Comments

The huge lie at the heart of britain's housing policy

FT: A debate on UK housing is conducted in bad faith

"Britain can build many more houses and remain green and pleasant" Yes we can have more wildlife and Housing (especially with a land value tax)

Posted by pete green @ 09:31 AM 13 Comments

Some light relief from all this election seriousness

News Thump: I would have told you how we’ll find £8bn for NHS if you’d asked a 16th time, insists Osborne

A rival to the Daily Mash at last... "Chancellor George Osborne has insisted that the only reason he didn’t tell the BBC’s Andrew Marr how the Conservatives plan to find £8bn for the NHS is because he didn’t ask a sixteenth time."

Posted by sneaker @ 08:48 AM 0 Comments

Tuesday, April 28, 2015

Rats leaving a sinking ship

Reuters: We're looking' at headquarters issues, Standard Chartered says

Halford was speaking after the bank reported a 22 percent drop in profits in the first quarter as losses from bad loans jumped 80 percent from a year ago and trading conditions remained challenging. Some shareholders have told Reuters they want Standard Chartered to follow its rival HSBC (HSBA.L) and formally review its home base after a jump in the bank tax this year. "The potential for HQ relocation (to Singapore) is gaining greater traction

Posted by mark @ 01:29 PM 2 Comments

The Shameful State the UK has become

Guardian: Food bank use tops million mark over the past year

"Recorded food bank use in the UK rose to record levels over in the past 12 months, challenging claims that the dividends of Britain’s economic recovery are being equally shared." "Experts warned that the figures were the “tip of the iceberg” of food poverty in the UK, while doctors said the inability of families to buy enough food had become a public health issue."

Posted by doomwatch @ 01:29 PM 10 Comments

"All in it together". Really ?!

Guardian: Recession rich: Britain's wealthiest double net worth since crisis

"In contrast to the soaring incomes of the richest, the Institute for Fiscal Studies thinktank says average household incomes have only recently recovered from the banking crash, leaving them no better off than in 2008. Median household income in the most recent financial year was at around the same level as it was in 2007–08 before the recession, though still more than 2% below its 2009–10 peak."

Posted by doomwatch @ 01:19 PM 0 Comments

GDP hits the buffers

Telegraph: UK GDP growth falls to slowest pace in three years with just nine days until election

For those steering the economy ship through troubled waters [etc etc, yawn], the anchor just grabbed on the bottom.

Posted by doomwatch @ 01:14 PM 0 Comments

"Stable" or Victorian economy ?

Channel4: Sports Direct - investigation reveals harsh working conditions

Zero hours. No employee rights. The rich have doubled their wealth under the ConDem regime. The poor have become poorer. Is this the "stable" economy the country really wants ?!

Posted by doomwatch @ 11:50 AM 0 Comments

Not much hope of a crash here then.

Independent: £827,000 paid to UKIP housing spokesman

Politicians - don't you just love them.

Posted by chrisch @ 09:01 AM 5 Comments

Property Speculator Paradise

Guardian: UK housing crisis 'in breach of human rights'

The UK is in breach of its own United Nations human rights commitment to provide people with adequate homes because the housing crisis is so serious, a consortium of leading housing charities has warned. They cite soaring housing rental costs, unhealthy conditions in homes, and rising levels of homelessness and warn of “profound issues of lack of supply, increasing housing costs, lack of security of tenure and homes of such poor quality that they are unfit for habitation”.

Posted by quiet guy @ 02:41 AM 3 Comments

Monday, April 27, 2015

How can we get it right on Housing ?

BBC 5 Live: Your call: How can we get it right on Housing ?

Simple; build more social housing and enforce proper tax & regulate BTL landlords.

Posted by doomwatch @ 12:35 PM 0 Comments

Sunday, April 26, 2015

New landlord 'mansion tax' marks fresh attack on buy-to-let

Telegraph: New landlord 'mansion tax' marks fresh attack on buy-to-let

Anti-landlord sentiments expressed by politicians across the sector have raised fears of a further crackdown by the next government – whatever form it takes.

Posted by cornishman @ 09:43 AM 10 Comments

Plans against Rachmanism

BBC: Election 2015: Labour plan to stop 'massive' rent increases

Since my own experiment in renting ended with a 30% rent increase, because the landlord decided he "could make more money from two flats" (as reported in a Parliamentary enquiry) I like this idea. I think the Conservatives have the words investment and speculation muddled in their response. p.s. It seems very quiet on here these days. I wonder if it is the clam before the storm.

Posted by tenyearstogetmymoneyback @ 06:55 AM 3 Comments

Friday, April 24, 2015

How about a genuinely radical housing policy – a free market

Telegraph: How about a genuinely radical housing policy – a free market

The housing market has been distorted for decades by one government after another. From great waves of council house building in the immediate post-war years, to tax relief on mortgage interest payments, to sell-offs of state housing, to keeping property taxes low, and restrictions on building in the most popular areas, fix has been piled upon fix until a functioning market has just about ceased to exist.

Posted by cornishman @ 08:48 AM 9 Comments

The productivity crisis in the Uk has at its heart the Land Market

FT: Capital and labour are already deregulated, now is the time for land

The FT's Lead Editorial has a swingeing indictment of the problems facing the UK, which has been forgotten in the charade of our election commentary. The fundamental issue to this is the Land (and Housing) market. We need cheaper homes and a free land market to stimulate enterprise and development and as the FT recognises the only way to do this properly is to introduce a Land Value Tax. The UK productivity crisis is the worst in the developed world and is masking the so called 'jobs miracle'.

Posted by pete green @ 08:34 AM 10 Comments

Tuesday, April 21, 2015

China doesnt look so good

Bloomberg: China Sees First Bond Default by State Firm With Tianwei

China’s corporate debt is the highest in the world, former central bank adviser Yu Yongding wrote in the official China Daily last week. Companies had $14.2 trillion in debt at the end of 2013, exceeding every other country including the U.S

Posted by mark @ 11:55 AM 5 Comments

House of cards ?

BBC: China property developer Kaisa defaults on overseas debt

Kaisa Group has become the first Chinese property developer to default on its overseas debt, which is estimated to be about $2.5bn (£1.7bn).

Posted by mark @ 11:05 AM 1 Comments

Sunday, April 19, 2015

Uk to be 60s retro hellholes

Dailymail: 260 tower blocks to be built in london

I think I will call the top.of the market! What a farce and total lack of imagination

Posted by taffee @ 09:13 AM 17 Comments

Saturday, April 18, 2015

Estate Agents rifling through your drawers

Evening Standard: Sacked estate agent caught on camera

How rife is all this rifling? More than you'd realise. This is what happens when you leave your home unattended during viewings. What would you do if you caught agents on tape rifling through your knickers?

Posted by debtserf @ 08:38 PM 0 Comments

Thursday, April 16, 2015

Closing the loopholes that allow people to avoid privately collected fees for state school places...

Daily Mail: Siblings will no longer be given priority for school places as competition grows because of booming population Read more: http://www.dailymail.co.uk/news/article-3041481/Siblings-no-longer-given-priority-school-places-competition-grows-booming-population.

"A spokesman for the council said: 'A lot of people are getting school places then moving miles away, in some cases cashing in on house prices while retaining the school place. Siblings then get priority over children living closer to the school. The consultation was drawn up because parents were getting upset about this.'" What a sad indictment that the de facto private collection of entrance fees for state schools by landlords and house sellers is not challenged. There is more than enough rent in most school areas to be publicly collected and used to fund the school, instead of the poorest working households chipping in for millionaires-only primaries.

Posted by mombers @ 05:54 PM 8 Comments

I am seeing this myself, anyone who can fog a mirror can borrow !! No checks needed.

Telegraph: Risky mortgages are back on the rise

Risky mortgages are back on the rise, just months after the Bank of England capped home loans, as bank profit margins are squeezed by a glut of supply and falling housing demand. Figures from the Bank of England published on Wednesday showed that, while mortgages had become less available to borrowers with deposits of 25pc or more, those worth more than 90pc of the property’s value had risen for the first time in nine months. Looks like the markets into sucker territory, that's 6 to 18 months before a flat out price collapse, followed by a banking panic and the rest.

Posted by khards @ 04:45 PM 1 Comments

UK house price growth hits five-month high in March - RICS

Reuters: UK house price growth hits five-month high in March - RICS

British house prices grew at their fastest pace in five months in March, fuelled by a shortage of properties, a survey showed on Thursday, adding to other signs that a cooling of the market may be ending.

Posted by cornishman @ 03:02 PM 3 Comments

Tick tock tick tock

Guardian: UK economy a ticking time bomb set to explode after the general election

Albert Edwards, who heads the global strategy team at investment bank Société Générale and is well known for downbeat views, chides the coalition for a legacy of “grotesquely wide deficits” in both the public sector finances and on the UK’s current account – its overall trading position with the rest of the world.

Posted by debtserf @ 09:06 AM 4 Comments

Fear. Paralysis. Jitters. Because the election.

Telegraph: Mansion tax fears and election jitters crippling property market and causing price bubble

Fears of a mansion tax, jitters over the election result and increases in stamp duty have paralysed the housing market and caused a “worrying” price bubble because so few properties are being put on sale, estate agents have warned. The Royal Institution of Chartered Surveyors (Rics) said buyers are scrambling to buy the few homes that are currently on the market, squeezing prices up after months of relative stability. Meanwhile the property website Zoopla warned that Ed Miliband's plans for a mansion tax would have a “significant” long-term impact on the housing market and would make it even harder for young people to buy their own homes.

Posted by debtserf @ 08:59 AM 2 Comments

Wednesday, April 15, 2015

100 years of deflation. anyone

Dailymail: 2015 tipping point for Inflation?

Very interesting chart...there have clearly been periods of stagnation and deflation.in the Past...it also fits in with some.commentators that we are heading for decades of DEFLATION Just like JAPAN after all we are doing exactly what they did which didn't work

Posted by taffee @ 02:38 PM 8 Comments

More Tory subsidised selloffs

May2015: Extending ‘Right to Buy’ is a terrible policy that even Thatcher didn’t dare do

Thatcher's "Right to Buy" was unrivalled in offering such poor value to taxpayers, who paid for building council houses, subsidised the massive discounts when they were sold at a loss, and missed out on the rental income as a third of ex-council houses ended up in the hands of private landlords. Councils are now forced to pay private landlords high rates to house their homeless families. Now Cameron wants to extend this scheme to Housing Associations. Did you hear that, private tenants? Your taxes will be used to subside a relatively small number of tenants who are already in secure, affordable accommodation to obtain a valuable asset. Meanwhile you’ll carry on paying sky-high rents for a highly insecure one-year tenancy. Does that sound fair?

Posted by little professor @ 01:31 PM 2 Comments

Tuesday, April 14, 2015

Housing associations say they'll sue if the Tories force them to sell off homes under right-to-buy

Independent: Help to Buy Votes

Housing associations set to be crippled by Conservative plans to extend the right-to-buy policy will launch a legal challenge against the move, they have said. The Tories announced today that they will force housing associations to sell off homes at a fraction of their value despite warnings that the policy could cause the not-for-profits to go bankrupt.. Other housing association chief executives are quoted as saying they “would be surprised” if a legal challenge did not happen because the policy would risk the viability of the entire social housing sector.

Posted by debtserf @ 11:32 PM 16 Comments

When the loot from the pension freedom bonanza runs out, will OAPs sell up?

Torygraph: Australians got pension freedom and they are running out of money

"Australia scrapped compulsory annuities 20 years ago but will probably have to bring them back, so Britain's pension freedoms are a big mistake, says Mark Wood" This is a way down the track but I wouldn't be surprised if the same thing happened here. Folk cashing in their pension, blowing it all, then falling back on the state. The question is, will the government bite the bullet and ask for the feckless to contribute by liquidating their housing assets instead of leaning on the already heavily burdened working population?

Posted by mombers @ 03:15 PM 6 Comments

A policy that would get votes

Telegraph: Hong Kong announces property tax for foreigners

"Hong Kong has introduced a 15 per cent tax on foreign buyers in a bid to cool down its property market. At the same time it has raised stamp duty for short-term speculators, as property prices overtake the record highs last seen back in 1997. In the first nine months of the year the former British colony’s property market has rocketed 20 per cent." So it doesn't take a genius to guess were these speculators have been dumping their money over the last 2 years, often buying blocks off plan and out bidding local "hard working families" in London. Speculators don't even want to let them out, as this is deemed too risky when they want to sell, so these places are left unoccupied, taking supply form the rental market and also at reduced rate of council take. Bubble ?!!!!

Posted by doomwatch @ 10:59 AM 2 Comments

For anybody who thinks Right to Buy was/is a good policy

BBC2: Rooms, Rogues and Renters

"Mark Jordan reports on the state of renting in the capital, exposing the squalor, revenge evictions and soaring costs now facing a generation priced out of the housing market." DM have spinned this as: "35 years after Maggie's visionary policy, Cameron pledges property dream will become reality for 1.3 million more families" If you watch the programme you'll see the abject misery caused by this "visionary" policy. The discounted properties sold under the original scheme have become so run down by the landlords, that local councils are now having to buy them back at market rate to make them habitable again. The DM doesn't mention that Maggie's other visionary policy was to force people to sell their houses to pay for [poor quality] elderly care. Disgusting.

Posted by doomwatch @ 10:07 AM 4 Comments

£20billion of tax payer's money used in attempt to buy votes?

BBC: Election 2015: David Cameron to pledge right-to-buy extension

A Conservative government would extend the right-to-buy scheme for housing association tenants in England, David Cameron will say, as he unveils his party's general election manifesto.

Posted by cornishman @ 08:35 AM 5 Comments


Sunday, April 12, 2015

Estate agents whinge that high end house buyers are deserting London

Financial Times: Super-rich shun London over non-dom plans, say estate agents

Ed Mead, a director of Douglas & Gordon estate agents, said his company had carried out 37 valuations in the past month for owners of high-end homes who were thinking of selling up, when the normal level is about six. “It is like the 1970s again, when waves of wealthy people left Britain and it was a disaster,” Mr Mead said. Sales of homes worth more than £2m have dropped by 80 per cent in the past year, according to Douglas & Gordon. Both George Osborne and Ed Milliband are getting blamed for this, so there must be some element of truth in the article. It will be interesting to see if this does play out. If it does and gets some traction in the press, it will have a knock on effect as so much of London property value is based on speculative sentiment,

Posted by britishblue @ 10:16 PM 4 Comments

Saturday, April 11, 2015


Guardian: Buy-to-let landlords earn returns of up to 1,400% since 1996

if only we had known then what we know now - we'd have been millionaires!

Posted by cyril @ 08:55 AM 6 Comments

Friday, April 10, 2015

Another bung for the rentiers

Guardian: 'Help to rent' scheme for young people proposed by Liberal Democrats

Help to Indenture will follow close behind, no doubt.

Posted by sibley's b'stard child @ 01:16 PM 13 Comments

Demand down prices up

Dailymail: Demand for mortgages keep falling

Something wrong on supply side...props helping people stay put....no forced sellers...bit Like dotcom boom...prices kept rising as sellers.stayed away creating a bubble when the bubble Burst amazingly these were plenty of sellers.on the way down as it was just a speculative bubble

Posted by taffee @ 09:46 AM 5 Comments

Thursday, April 9, 2015

"The MPC has indicated rates could be reduced further, should low inflation persist"

BBC: UK interest rates kept at record low

UK interest rates have been held at 0.5% for another month by the Bank of England. The decision by the Monetary Policy Committee comes more than six years after the record low was introduced. The half-dozen years of ultra-low interest rates have cut returns on savings, while mortgage borrowers have reaped the benefits of lower repayments. Rates have been at a record low for the entire Coalition government period. Expectations of a rise any time this year have been put on hold with Consumer Price Index (CPI) inflation at zero.

Posted by jack c @ 02:11 PM 12 Comments

Wednesday, April 8, 2015

FCA will regulate some buy-to-let mortgages.

FT: Regulation and buy-to-let

HM Treasury has confirmed the implementation of the European Union’s Mortgage Credit Directive will result in the Financial Conduct Authority regulating some buy-to-let mortgages. The regulation will affect buy-to-let loans taken out by individuals where the loan is classified as not being ‘commercial’. In practice this will apply to the minority of cases where the borrower has lived in the property, or intends to do so. The UK is required to implement the Mortgage Credit directive’s requirements by 21 March 2016, in order to meet its treaty obligations.

Posted by khards @ 06:37 PM 8 Comments

Biggest current account deficit since 1948 - do they really care?

Grauniad: Bank of England warning over current account deficit

Economic unreality continues apace as the deficit on current account reaches 6% of GDP. the 'Financial Policy Comittee' of the Bank of England appear to say this is bad news not in itself but because investors might see it as a bad sign. They also say it has not been matched by credit expansion - as if that could make things more sustainable. Finally, and of more interest to this site, they note that although household debt has not risen since December, BTL investors are increasingly using interest only mortgages. The significance of this is not discussed.

Posted by nickb @ 12:21 PM 21 Comments

Tuesday, April 7, 2015

Mixed messages

Huddesfield Examiner: Huddersfield is a property hotspot - but house prices still at 2007 levels

Huddersfield has become one of the UK’s top property hotspots with prices recovering to 2007 levels. Meanwhile two areas of London (Nine Elms and the City of Westminster) are property cold spots.

Posted by cyril @ 01:33 PM 3 Comments

12% drop

Guardian: Teachers' union backs ballot on strike tied to schools funding

Strangely, not a topic of discussion in the run up to the election: "Speakers argued that analysis by the Institute for Fiscal Studies showed school funding would be cut by up to 12% in real terms under the plans of both major parties ..." The press would rather focus on kitchens, Top Gear. Shame on them.

Posted by doomwatch @ 01:23 PM 0 Comments

Sunday, April 5, 2015

How to be a superstar city without high house prices

The Sunday Times (Singapore): Home prices and inequality: Singapore versus other 'global superstar cities'

London will go the way of Tokyo if the house price madness continues. THis article give a history of how singapore tackled the land issue and provided good quality housing and a thriving economy to its citizens

Posted by pete green @ 08:45 AM 2 Comments

Saturday, April 4, 2015

From Britain's lunatic property market emerges another astonishing anomaly

Telegraph: Buy-to-let investors get mortgages till they're aged 105, while ordinary homebuyers are 'too old' in their 50s

From Monday April 6, savers over 55 will have access to all their pension cash. Many are expected to withdraw money and pour it into buy-to-let

Posted by cornishman @ 02:06 PM 19 Comments

Future Homes Farrago

Yahoo: More vapid political promises

"The Labour Party says it would ensure that savers' money in these accounts was used by the banks to invest in house building. A spokesman said: "We are quite literally building on their policy." It will be a key part of Labour's plan to raise construction levels of homes to 200,000 a year by 2020. The estimated fund does not cover the entire cost of Labour's plan. But in a speech in Warrington on Saturday, Ed Miliband will describe the idea as "a foundation stone for building a country where working people can succeed". Gosh that Ed Miliband is an awfully bright chap. Foundation stone, literally building on... such subtly brilliant rhetoric, such vaguely inspirational fluff.

Posted by debtserf @ 09:48 AM 4 Comments

Wednesday, April 1, 2015

If we don’t know how the problem started, how are we ever supposed to find a solution

The Debrief: What actually started the housing crisis?

"...As MPs go, I like Emma a lot – she has a vitality and openness that I hadn’t experienced before. But when we were discussing the housing crisis, her answers were sympathetic but not empathetic and often convoluted – and every response was a grey area or an excuse..."

Posted by debtserf @ 09:57 PM 3 Comments

High Land values is now the biggest drag on our economy

The Economist: The paradox of soil

Interesting article in the Economist on Ricardian Land theory & the high cost to the economy of high house prices - of course our resident 'economic experts' tell us Ricardo's law is rubbish

Posted by pete green @ 03:31 PM 10 Comments

What do we need more: people to build buildings or people to deal in them?

Brickonomics: What do we need more: people to build buildings or people to deal in them?

Here’s a question posed by the labour market figures: Why since the recession hit do we have more dealers in buildings and fewer people building them?

Posted by cornishman @ 08:35 AM 1 Comments

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