Enzo&Chloe

think the title says it all

markeh

Hi Enzo&Chloe,

It's good news for us in the UK.

Bye
Markeh

OzTennis

For now? Tony will have enough bother with student top up fees and council rates rising 12.9% on average this year, let alone disgruntled people before Christmas with another interest rate hike. Sorry, the BoE is independent isn't it.

OzTennis

dazuk

Not for us poor bastards trying to buy our first flat!!!
£100 grand for a pokey 1 bed flat in north herts!!!!

Roll on the rate hikes next year, this countries population are living on borrowed time with their recoerd debt, will suit me as im a saver not a borrower and want to stop rentin shitty overpriced flats and buy!!!!!!

Avery Family

I agree....

Once we sell the house we can pick a date to go....

Perth soon we hope

markeh

Hi dazuk,

The problem isn't the interest rate that is the problem, it's the shortage of housing and thus the rise in property prices.

High interest rates are good for savers, but not so good for industry or us with homes we are paying for.

Bye
Markeh

dazuk

I disagree, I believe that the low intersest rates have led many tp purchase over inflated property because they can just about stretch to the monthly repayments, not taking into account what the intreerst rates may be in the near future, Say they go up to 6 or 7% in a couple of years, a recession kicks in and a partner loses their overtime or worse their job, thats when house will be lost and prices will tumble to a realistic value compared to average UK earnings.

The house prices where I live are a bad joke where no first time buyers are entering the market. Also people are living in record debt the country cannot carry on like this. Rates rises are inevitable and neccessary, people will get hurt, maybe people should learn to save before they purchase shit loads of possesions instead of record borrowing levels?????

Badge

hear hear

why should the likes of you be persecuted by the selfish.
There are people who have gone out and remortgaged so that they can go out and buy a brand new Ford Fiesta as a second car etc..

Badge

Enzo&Chloe

Why do first time buyers need to enter the market?

I am very confused, as I am consider myself a bit of a financial property guru.

I used MEW (Money earned wisely) on my PPR (Posh pad in Richmond) to purchase my first BTL (Bedroom/toilet/Lounge) flat in 1996. The Rent monkey, (as we professionals know them), was soon in and paying the mortgage nicely. Then, in line with my prediction , this house rose in value 30% I I MEWed that and got another BTL and Rent Monkey (Sorry Boy, is the more PC word) in. Well, these again rose in line with my prediction so I did it all again.

Every day I pat myself on the back and say "how wise am I"

Why, OH, why do people moan that they can't afford to buy a place to live, when they can easily rent from me.

If a firstime buyer really wants to buy. Why don't they borrow the deposit on Credit card , after all what is another £20,000 when you have a student loan , still hanging round your neck.

I really don't see what all the fuss is about. These people moaning on and on that they can't afford a house. I couldn't afford the Mclaren F1 in purple that my old mucker JK was selling , but you don't hear me moaning on to anyone that will listen.

Roll on the Profits , as we all know "what goes up keeps on going up!

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Badge

First time buyers need to enter the market so they can own a home, for security at best! Not worry about retirement etc a home is not a luxiry home, it is a place for living in, bringing up a family..

Nothing wrong with profitting, what's heart-breaking for these people (like my brother) is when they have worked hard to get a good job which thousands would kill to have and they still can't buy a 1 bed flat..

and there are thousands who don't work as hard, do 9-5, and own a decent sized home..and my brother works twice as hard for less than a third of the reward..

I used to live near Richmond..

Badge

OzTennis

Hey Badge, you've got the famous slogan from the 1970's by the Victorian Department of Youth, Sport and Recreation - don't be a 'Norm' (fat couch potato) get out and exercise - LIFE, BE IN IT!

OzTennis

Badge

wow - I know it was 'famous' but wasn't sure what the reference was..

cheers OzT

Enzo&Chloe

badgersmount and all

perhaps I should have put a smile on the end. I was only joking.

I get p#ssed off by people thinking they are financial wizards by property. My wife and I baught our first small place in Feb 1988 for £55,950. 6 years later we sold it for £30,000. Like lots of people we endured negative equity. When interest rates were 15% often as not could only afford mince meat or backed beans to eat, as the rest went on mortgage repayments.

Since then our (One) house has produced amazing returns, and now we have a reasonable amount of equity. However having equity in a house doesn't give me any advantage, because if I move the house I want to buy has gone up the same amount and more in nominal terms.

Now 15 years later , I hear people (including members of my own family) telling us that , "house prices always go up". I then get people BTLing and so artificially increasing the house prices for 1st time buyers. These FTB could end up in the same position that my wife and I did 10 years ago, and I wouldn't wish that on anyone.

Personally my view is that banks and building societys should only lend 3.5 x income. This should be certified (Not self certified as per halifax). Also BTL mortages should have a premium on interest rates. This will make BTL via loans more expensive.

Both these measures will help drive down the cost of housing and so mean the average wage earner will be able to buy a place to live.

Personally , I think we are now entering the closing stages of longest bull market in housing. (Not only in the UK , but world wide)

This has been driven by, low historic interest rates, and also more recently the stock market crash.

NB I don't really live in Richmond, it was just used for the acronym.

Badge

hey no worries - i also forgot the smiley on mine, anyhow.
my reply was academic, and wasn't directed at you personally.

I love your reply and it is all too true! sage comments.

Badge