No Rise In Interest Rates
 

What's the hold up? The housing Market is over heated and needs a correction. I don't understand the Bank Of England.

UB:(

getting too close to election time - don't want to risk a major housing market crash

It's good news for me personally so YA BOO! to the housing market, I'm off to drink Champagne and celebrate this evening- I'm up 4K as a result of this.:D

My Bullsh*t detector just went into the red.

Interest rates aren't just there to 'control' the housing market you know :rolleyes:

Manufacturing, savings etc. are all affected and has to be taken into account.

I still want them to go up though ;) For myself, being able to afford somewhere to live and having my savings bringing in some form of interest are more important but the BOE have the whole picture to look at, not just what's best for Drac......unfortunately. The whole UK economy being based around me would be good ;) :D :D

BoE is independent from the Government - this is one of the first things Tony did way back in 1997.

quote: "My Bullsh*t detector just went into the red"

LOL well the jokes on you- an interest rate rise would have meant a rise of 4K on my mortgages. As it is I'm selling more property and pocketing the gains before the house of cards comes tumbling down.

lol.....wheres the all "ohh, im gonna buy up all the property when it crashes" people now!

the housing market is fine, the age of first time buyers increases to allow people to buy the first time houses once they have some money....which is fine as the avarge age of everyone is up anyway.

hope all those smug ppl sat on their cash waiting to buy cheap property are please with their 2.234% yeild while my house does 15%+ :D

T

Ouch, sounds like somebody's burden of debt is way too large. My properties are all paid for. Interest on savings is what concerns me ATM.

UB

Thats a lot of caravans! ;)

When you consider that some of the properties have risen 60% in value over 3 yrs, that I own 3 of them outright and that the rental income is double the mortgage I'd say things are under control.

However some of the property in the south east hasn't really risen at all over 18 months, therefore I'm flogging it for more or less the same price as others I disposed of last year. I'll then be sat on a nice capital sum and also be represented in the property market, albeit in the North where prices are still rising. Best of both worlds, but thankfully the interest rate has remained unchanged giving me a nice wodge of spare cash to waste.

Lol@ the caravan comment, I think you'll find you're more likely to be trailer trash than me, I'm minted!

I think it was the Chancellor who handed responsibility for interest rates to the Bank of England.

Les

Try working in manufacturing in this hole of a country:(
Or does everyone else work in the service industry?
They should be going down if anything.

Can't see how being up to your eyeballs in debt is 'minted'. That's the kind of 'footballers wives' 'bling bling' delusion that so many in this country suffer from.

Still, what do I know?

UB:(

:D The rate of return is typically a function of inflation and risk (both price and liquidity). If the market for my investments tanks I can get out within a few minutes of my chosen stop loss being breached. Try doing that with a portfolio of properties.

A 15% return is quite poor actually given the liquidity risks you have. My [non cash] investments have returned over 50% with very limited liquidity risks and have even given me a small amount of income too.

"smug" Suresh

"A 15% return is quite poor actually given the liquidity risks you have. My [non cash] investments have returned over 50% with very limited liquidity risks and have even given me a small amount of income too. "

my non cash investments have done the same...and i put up with the liquidity risk on my house as it lets me sit in it, keep warm and watch telly (pop idol normaly) so i cut it some slack :D

Don't go too far up North or you'll end up having difficulty selling it like I did. What can I say? I was only 19. :(

quote: "Can't see how being up to your eyeballs in debt is 'minted'. That's the kind of 'footballers wives' 'bling bling' delusion that so many in this country suffer from.

Still, what do I know?"

Luckilly I don't have the facility nor the desire to watch low rent crap like footballers wives, but I'll take your word for it. I know you like your sedentary TV watching from all the crappy threads on here relating to it.


Not much from the sounds of it. Ever heard of gearing? Any assets I might have personally are ringfenced in such a manner that they are untouchable.

Just thought I'd make it known that not everyone wants interest rate rises to burst the south sea bubble we see a present in the housing market. I'm of a pessimisic nature when it comes to the prospects of this madness continuing. I've talked to lots of people who remember the way it went last time and it wasn't pretty.

Katana as a northern lad my self I know where the hot spots are, good idea was to pick a place that became a city recently, seeing house prices rise by as much as 60% over 4 yrs. Not a bad return.

LOL its called manufacturing. I said it right at the beginning of these debates ages ago on previous threads if anyone doubts me but interest rises can not go through the roof as the manufacturing industry in this country cant survive such hikes. Its manufacturing thats prevented a rise this month due to output falling since the last rise. Its not all about house prices you know, they do not govern interest rates!

The Government/BoE can not risk manufacturing to receed, its struggling as it is. The current interest rates are a fine balancing point between inflation and recession. House prices are still booming, manufacturing is still suffering. Both situations cant be fixed by interest rate policies.

Ok. I haven't seen it either, just read about it. I thought it might appeal to you thuogh, as it espouses the same kind of morals and aspirations that seem to pervade most of your posts on this board.

I have to say I'm surprised you don't have the facilities to watch it though, as you often comment on other uk tv programmes. Still, inconsistancy is the norm with most of what you claim as 'fact'. So, I suppose it's what I should expect.

UB:(

<< works in our family manufacturing company, bloody tough as it is. I got more chance pulling a whale out of my arse than buying a property on my own, at 24.

im fubar eitherway really, lol anyone for a beer?

thats why the avarage age of 1st time buyers is 27.

the 1st time market is fine..its just older than it use to be

Don't you just love the self centred product of Thatcher's Britain? ;)

Yeah but Tiggs with House price increases far out stripping salary increases and the mortgage multiplyers remaining the same people are stuffed as first time buyers. the average house price has now gone over £150k. The standard multiplyer for mortgage companies is 3-3.5 times your salary. That leaves people needing to be earning considerable amounts of money to be able to afford anything half decent. You'd need to be earning between £40k-£50k a year just to afford the average house in Britain as a first time buyer. Thats ludicrous by anyones book.

quote: " have to say I'm surprised you don't have the facilities to watch it though, as you often comment on other uk tv programmes."

Well, moron, I'll explain it simply for you. I have a satellite dish, it points at Astra. It picks up various TV channels and ITV, CH4, CH5 (where this program you like to talk about is presumably on) are not available as they are encrypted. So take your suppositions and stick them up your ass. :D

More name calling as usual, is it all going to descend to get another thread locked???? :rolleyes:

Well dickweed started it...............it seems only right to give him back what he so obviously desires. Especially when he can't even be bothered to check his facts.

I'd better hop to it then, I'll be 28 soon and don't own my own property!

Have to agree with you tiggs despite being a developer myself with some 150 odd plots to build over the next couple of years and one hell of alot more than 4,000 to gain:D.

But if a crash occured we could end up with a huge outlay on infrastructure and work in progress and no buyers :(.
I was there in the thick of it in 1989/90 and i distincly remember getting that pit of the stomach feeling that it was all going to end in tears and I'm just starting to get that same feeling now:(

I know the countries trade deficit is bad but a bad housing market crash could be alot worse.

a friend of mine just bought a 2 bedroom flat near me in the south east for 174k, i dread to think how much more the prices are going to go up. I would hate for their to be a crash and have lots of people in financial difficulties, but to be perfectly honest, a crash is the only thing that will get realistic first time buyers on the market. Unless as said by b2z first time buyers are earning 50k.