It looks like you're new here. If you want to get involved, click one of these buttons!
Subscribe to our Patreon, and get image uploads with no ads on the site!
Base theme by DesignModo & ported to Powered by Vanilla by Chris Ireland, modified by the "theFB" team.
Comments
I'm not locked in here with you, you are locked in here with me.
Bt seriously, I suspect the market is mental enough that a year-long crash would actually encourage more to pile back in again once it bottoms out. The cheap pound must be helping prop it up too. Bleh.
I'm not locked in here with you, you are locked in here with me.
- A real and significant reason for capital flight. WW2 seemed to do that for a while.
- Houses being even less viable as an investment.
I can't see either of those events at the moment unfortunately (well, unfortunately in terms of the last one). Any other rises and falls are just very temporarily blips.I think Sweden still has a 105 year mortgage option!
People getting mortgages now might be borrowing 1 or 2 million dollars or even more.
I have family that have borrowed around 1.5million and will never pay it off.
What happens is people live in the big cities for 10-15 years, watch the property double in price, then they sell up and go to the bush, paying out the mortgage and buying another house for cash.
There is simply no other way to do it.
Studio: https://www.voltperoctave.com
Music: https://www.euclideancircuits.com
Me: https://www.jamesrichmond.com
Football is rubbish.
Remember, it's easier to criticise than create!
Houses need to be fully subject to Inheritance and Capital Gains tax, just like everything else. That would firstly stop the idea that house price rises above inflation are inherently a good thing, and secondly raise much-needed cash for the government to help pay back the national debt.
We cannot go on encouraging an asset price bubble which is essentially tax-free, and tying up more and more of our earned income in it, particularly as mostly that's used to service the debt via mortgages.
If something isn't done there will come a point - if it hasn't been reached already - where the amount of debt taken on to service fictitious value in the housing market exceeds the capacity of the workforce to ever pay it back.
"Take these three items, some WD-40, a vise grip, and a roll of duct tape. Any man worth his salt can fix almost any problem with this stuff alone." - Walt Kowalski
"Only two things are infinite - the universe, and human stupidity. And I'm not sure about the universe." - Albert Einstein
the term I've heard is peak debt.
I'm not locked in here with you, you are locked in here with me.
I'm not locked in here with you, you are locked in here with me.
I think you'll find people will simply sell up and live off the money before they die or do equity release.
Remember, it's easier to criticise than create!
Spot on.
I read there were 7,500 empty council homes in London last year.
http://www.standard.co.uk/news/london/shocking-waste-of-7500-council-homes-lying-empty-in-london-a3256401.html
Remember, it's easier to criticise than create!
I know someone owns them, the issue is that there is too much money in the housing market. If you build more houses without restricting who buys them, then they will also be snapped up by investors. Reduce their attractiveness as investments and you'll see less demand from investors, the price will drop and more of them will become homes. A home is an essential, no one should be denied or excluded from that necessity.
I'm not locked in here with you, you are locked in here with me.
We have developed a mentality of feeling compelled to buy a home as it will become a long term investment. That is self propelling, in that this mentality will drive behaviour, compulsion to buy, and consequently prices go up.
Property in London just keeps going, driven by money from Russia and the middle east. Can't see this changin soon tbh.
House prices aren't escalating everywhere: but they are rising strongly in nicer areas, particularly nice suburbs of major towns and cities. That's due to demand, nothing else. People are prepared to pay to live in a nice area, with good schools etc.
@ICBM - houses are subject to IHT, in the same way that other parts of an estate are. Are you saying that they should be separated from an estate and have their own distinct IHT, regardless of anything else?
I understand your motivations, but disagree with IHT full stop. I think IHT is just plain wrong: the tax has been paid whilst an estate is being built up, you should be allowed to gift it without liability IMO. I do understand the argument against this, but still hold to my point.
House prices - tbh, I don't see them reversing. I think they will continue to steadily go up long term. They always have.
where did I say own it? You do need security of tenure tho, that is key.
"House prices aren't escalating everywhere: but they are rising strongly in nicer areas, particularly nice suburbs of major towns and cities. That's due to demand, nothing else. People are prepared to pay to live in a nice area, with good schools etc"
not correct, at least not soley, that is too simplistic an answer. It is mostly due to banks being able to print money without restriction. This has been well documented.
I'm not locked in here with you, you are locked in here with me.