I hate ...

[bobk]

There's over 3,000 sub £100k properties within 20 miles of Glasgow, >5,000 on a similar range from Manchester, 130 for Oxford, 1,600 for Cardiff, 1,300 for Stoke, 240 for Brighton, etc etc. Looks like those seeking need to lower their expectations or be prepared to move away from London/ wherever they are.

What do you in Brighton ? a beach hut .

 

[Highland Mule]

What do you in Brighton ? a beach hut .

Rightmove.co.uk

Search over a Million properties for sale and to rent from the top estate agents and developers in the UK

www.rightmove.co.uk

Plenty choice.

 

[stewart]

A mortgage in the UK was limited to 3.5 times earnings.

So "The Market" has very little to do with house prices when 8 times earnings is now required to buy a home.

Labour DID over see policies such as self assessment of earnings, endowment mortgages and 125% mortgages .. all of which destablised normal lending patterns and undermined financial stability - and also led to punishing young people in the housing market.

The basics of a Capitalist economy seem to escape you, the market is the market is the market. No one is forced to buy homes, the price is set by what people are prepared to pay, the market can be influenced by bank policy such as interest rates or loan to asset ratios. The government cannot be blamed for these as the Bank of England is independent from the government and has been since 1998. Tony Blair may have made this move towards a less regulated financial sector which was a very right wing policy to adopt.
Financial instability was undermined by the GLOBAL financial crisis.
Some of the young feel punished in the housing market as their expectations are too high, for those that are pragmatic there is no problem getting on the housing ladder.

 

[wanton dwarf]

The basics of a Capitalist economy seem to escape you, the market is the market is the market. No one is forced to buy homes, the price is set by what people are prepared to pay, the market can be influenced by bank policy such as interest rates or loan to asset ratios. The government cannot be blamed for these as the Bank of England is independent from the government and has been since 1998. Tony Blair may have made this move towards a less regulated financial sector which was a very right wing policy to adopt.
Financial instability was undermined by the GLOBAL financial crisis.
Some of the young feel punished in the housing market as their expectations are too high, for those that are pragmatic there is no problem getting on the housing ladder.

I like the naive play that somehow "The Market" is in control of government policy.

125% mortgages, self assessment, endowment mortgages, using short term chinese debt as long term mortgage finance and allowing 8x income as the basis for mortgages are all choices and policy of the incumbant Labour government at the time.

Obviously if the government found those policies to be badly thought out they wouldn't have been allowed .. which it turns out they were stopped post the 2008 financial crysis because they WERE badly thought out.

So "The Market" is not "The Market" in isolation .. it runs within a legal and regulatory framework controlled by government.

Obviously you are clueless both to the facts and the way "The Market" actually works.

 

[wanton dwarf]

There's over 3,000 sub £100k properties within 20 miles of Glasgow, >5,000 on a similar range from Manchester, 130 for Oxford, 1,600 for Cardiff, 1,300 for Stoke, 240 for Brighton, etc etc. Looks like those seeking need to lower their expectations or be prepared to move away from London/ wherever they are.

That has nothing to do with the default mortgage value being linked to 8x earnings when 15 years ago it was 3.5x earnings.

I would guess the houses in those regions were cheaper during that era as well .. no surprises there.

 

[bobk]

That has nothing to do with the default mortgage value being linked to 8x earnings when 15 years ago it was 3.5x earnings.

I would guess the houses in those regions were cheaper during that era as well .. no surprises there.

Banks still work on 3.5 times earnings .

 

[stewart]

I like the naive play that somehow "The Market" is in control of government policy.

125% mortgages, self assessment, endowment mortgages, using short term chinese debt as long term mortgage finance and allowing 8x income as the basis for mortgages are all choices and policy of the incumbant Labour government at the time.

Obviously if the government found those policies to be badly thought out they wouldn't have been allowed .. which it turns out they were stopped post the 2008 financial crysis because they WERE badly thought out.

So "The Market" is not "The Market" in isolation .. it runs within a legal and regulatory framework controlled by government.

Obviously you are clueless both to the facts and the way "The Market" actually works.

Can you read? See my post below. The market is not in control of Government policy, however Government policy can affect the market, this is obvious.
In a free society run on loosely capitalist agendas, the market is the market is the market.

The basics of a Capitalist economy seem to escape you, the market is the market is the market. No one is forced to buy homes, the price is set by what people are prepared to pay, the market can be influenced by bank policy such as interest rates or loan to asset ratios. The government cannot be blamed for these as the Bank of England is independent from the government and has been since 1998. Tony Blair may have made this move towards a less regulated financial sector which was a very right wing policy to adopt.
Financial instability was undermined by the GLOBAL financial crisis.
Some of the young feel punished in the housing market as their expectations are too high, for those that are pragmatic there is no problem getting on the housing ladder.

 

[wanton dwarf]

Can you read? See my post below. The market is not in control of Government policy, however Government policy can affect the market, this is obvious.
In a free society run on loosely capitalist agendas, the market is the market is the market.

Of course the market is in control by the government .. no other body is able to set the laws and regulations a market operates in.

I guess this simplification of "The Market" is why you don't accept the Blair government failed in it's due dilligence of the financial markets and ensuring banks had the capital they needed to avoid going bust.

 

[stewart]

Of course the market is in control by the government .. no other body is able to set the laws and regulations a market operates in.

I guess this simplification of "The Market" is why you don't accept the Blair government failed in it's due dilligence of the financial markets and ensuring banks had the capital they needed to avoid going bust.

GLOBAL Financial crisis

 

[wanton dwarf]

GLOBAL Financial crisis

125% mortages
Self assessment
Cheap Chinese short term debt sold as long term mortgages
Endowment mortgages
8x earnings as the default maximum mortgage loan

The only Global aspect was failing to ensure banks had capitalisation for the risks they were taking .. all the above was pure Labour government policy.

 

[jendan]

125% mortages
Self assessment
Cheap Chinese short term debt sold as long term mortgages
Endowment mortgages
8x earnings as the default maximum mortgage loan

The only Global aspect was failing to ensure banks had capitalisation for the risks they were taking .. all the above was pure Labour government policy.

It was Freddie and Fannie! not our Labour government.And the immediate aftermath to sort it was one of the few things that Brown did right.

 

[stewart]

125% mortages
Self assessment
Cheap Chinese short term debt sold as long term mortgages
Endowment mortgages
8x earnings as the default maximum mortgage loan

The only Global aspect was failing to ensure banks had capitalisation for the risks they were taking .. all the above was pure Labour government policy.

The BoE is independent of Government and can set policy without Government interference.

Self assessment was brought in in 1996 which was when the Tories were in power, what is wrong with self assessment anyway, there are many civilised societies that use it.

 

[Highland Mule]

That has nothing to do with the default mortgage value being linked to 8x earnings when 15 years ago it was 3.5x earnings.

I would guess the houses in those regions were cheaper during that era as well .. no surprises there.

Explain what you mean by the default being 8x - there’s no need, as my examples show, to spend anywhere near that much unless you’re caught up in your own ego.

“Those regions” = half a dozen major cities typifying the majority of the UK. Although perhaps you don’t appreciate that if you’re living nearer to St Petersburg than St Reatham.

 

[Mek]

The Tories started selling off the social housing stock forcing poorer families into the hands of unscrupulous private landlords. The relaxing of mortgage rules was and is an effort to enable poorer families to keep a roof over their heads without forcing them into the hands of private landlords.