itdoesntaddup

itdoesntaddup

141p

22,386 comments posted · 91 followers · following 0

1 hour ago @ http://www.conservativ... - Robert Alden: CCHQ sho... · 0 replies · +1 points

I did say "something". Omniscience is not given to any of us.

1 hour ago @ http://www.conservativ... - Does Johnson have the ... · 0 replies · +1 points

If I understand how these things work, lenders take the property as security, so in the first instance it means that inheritances are reduced by falling prices. They have to fall quite some way before the lender suffers. I am also hearing that many of these deals are in fact something of a ripoff, although I haven't explored why that is considered to be the case.

1 hour ago @ http://www.conservativ... - Does Johnson have the ... · 0 replies · +1 points

An issue that will soon loom large in the housing debate is zero carbon policy. Remember that Huhne's original requirement for zero carbon newbuilds was supposed to come into effect in 2016, but was quietly ditched after the 2015 election because it would have added too much to costs. Prof Mike Kelly has estimated the cost of insulating the housing stock to zero carbon standards is of the order of £3 trillion. That would have to go on mortgages. Frankly, it is unaffordable.

1 hour ago @ http://www.conservativ... - Does Johnson have the ... · 0 replies · +1 points

A good illustration of some of the important issues.

1 hour ago @ http://www.conservativ... - Does Johnson have the ... · 0 replies · +1 points

The problem is that we have already lost over a decade during which prices could have been managed downwards in real terms. Well, at least since Osborne decided to pump up the market ahead of the 2015 election, thinking (wrongly) it was necessary to secure a win. Major secured his 1992 win in the teeth of sharply falling house prices.

1 hour ago @ http://www.conservativ... - Does Johnson have the ... · 0 replies · +1 points

Haliigan should have done rather more research. Statistics show that newbuilds have overwhelmingly been acquired by the rental sector- over half to BTL and another quarter to Housing Associations. It's a largely separate market, with few private buyers considering newbuilds either as a first time buyer or otherwise. These are not homes of choice, and they do not set market prices for housing, but rather for rents, effectively set by what tenants can pay with housing benefit to support them. Housing sales are dominated by second hand properties which form the overwhelming bulk of the housing stock.

The property bubble is a financial phenomenon, driven by the size of mortgage that banks are prepared to offer for a given property. If buyers are not able to borrow then they cannot pay the price.

2 hours ago @ http://www.conservativ... - Does Johnson have the ... · 0 replies · +1 points

Nonsense. Under Thatcher house building proceeded at a good pace that saw the ratio of population to housing stock to fall. Owner occupation expanded massively. The mistakes of that era were the Lawson boom, created by telegraphing the end of (double) MIRAS relief, and joining the ERM, which forced interest rated up to 15%. But in real terms you could have bought in 1996 for the same price as in the early 1970s.

It was Brown's deregulation of mortgage markets that resulted in the property bubble and the massive expansion of the BTL sector, and the banking crisis, which remains unresolved.

2 hours ago @ http://www.conservativ... - Does Johnson have the ... · 0 replies · +1 points

Don't forget the pensions that depend on rental income.

1 day ago @ http://www.conservativ... - Iain Dale: The time ha... · 0 replies · +1 points

In Australia they would be torching the tree. I think we need a broken red brick wall in the picture.

1 day ago @ http://www.conservativ... - Iain Dale: The time ha... · 0 replies · +1 points

But surely we will get ITN giving us the news? We just need an extra bong.