Comments on: Even UK guarantee can’t stop housing crash http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/ Thu, 21 Jul 2016 07:57:19 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: Bob Macdonald http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2333 Wed, 03 Dec 2008 14:08:13 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2333 Just back from Iceland: they are coping very well with this crisis. But there are some key things we need to pay attention to. The Icelanders have a very disciplined and law-abiding society. They work hard and are well educated. Looking at the UK and USA, with our legions of ill-educated and feral people, our toxic race conflicts, out-of-control immigration, and things are not going to go as well when the crunch comes. The Icelanders are keen on design and making high-quality products; not slobbing about and doing a half job. We need to change our ways if we hope to come through this.

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By: snasht http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2265 Tue, 02 Dec 2008 14:00:13 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2265 I cannot help but be moved by the plight of Kiki, the recently unemployed architect mum who has had a sudden reckoning with the realities of the credit crunch. I suspect she may not be on her own in feeling the cold winds of the recession. It must be a huge psychological adjustment. I’m no expert Kiki, but I suggest you suspend payment on the credit cards now–and save what resources you left. As you say, what’s the use of a credit rating in a crash? AS you are lucky enough in the US to have a non-recourse loan, there’s little the banks can do against you. You are no more indebted than Citibank or the rest of the financial geniuses that got us all into this mess. Tell them you are an unemployed mother and negotiate a reduced and minimal repayment plan now before the RUSH. Good luck with your job search… What part of the US are you in? The economy is going to vary very much form place to place.

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By: Andrea Johnson http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2221 Mon, 01 Dec 2008 21:46:55 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2221 Things are going to get very nasty indeed. The bust will be so bad in the UK that people who have lost everything will just give up, result, no binmen, no nurses, no supermarket workers, just anarchy. It will be every man or women for themselves in the UK in two years’ time.

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By: LGinHfx http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2203 Mon, 01 Dec 2008 16:53:32 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2203 Real estate markets during the past five years have been completely out of touch with reality, but until recently have been full of eager (or, shall we say, *desperate*) young buyers convinced that they have to get into the game *now*; that the market is “hot”, and that they will be able to “flip” their property for a handsome gain after a year or so. Of course, they put a paltry five or ten per cent towards the purchase, and in addition need two incomes to make the mortgage payments in the interim — no problem, right?!

Time now for a reality check, folks! Negative equity is here for the foreseeable future, as real estate makes a long-needed correction to saner, more sustainable levels.

If you’ve bought real estate in the past three years, you are going to have to hang in there for a further five years before things return to the levels of November 2007. Good luck!

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By: Dave Krugerand http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2190 Mon, 01 Dec 2008 14:04:51 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2190 Cash is king………..Gold is even better, it’s not made of paper.

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By: Winston http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2189 Mon, 01 Dec 2008 14:00:22 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2189 Who sold the last remaining Gold of the Bank of England
at the lowest price and announced the sell off in advance?

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By: Attila the hun http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2185 Mon, 01 Dec 2008 13:20:31 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2185 This is a pointless article. It specifies the problem without producing a solution.

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By: Gregory Smith http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2183 Mon, 01 Dec 2008 12:48:17 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2183 Since the world’s economy is based on a fractional-reserve lending system, almost all of the money in existence is a debt.

The world’s most developed countries are the ones in the most debt.

Where exactly is the fresh money supposed to come from, in order to pay all this debt, if nobody is prepared to borrow it?

I say this with all the ambiguity a 21 year old microbe from South Africa can muster.

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By: Marc http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2182 Mon, 01 Dec 2008 12:37:28 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2182 A large number of the people now quacking in fright are same people who thought it would be great to ride the champagne highway of the last 10 years: fancying themselves as tycoons buying up property for let, taking out loan after loan, supporting the government’s clearly failed market-approaches to everything from house building to providing welfare.
Now they are all advising the government to act like Roosevelt in the 1930s. These pirates didn’t support manufacturing or sustainable employment in the ‘good’ times, but you can be sure they’ll be complaining about their new found “poverty” an pretending to have something in common with those who have been in poverty all this Third-way fiasco, the so-called “feral” sorts identified by some people above.

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By: Ross http://blogs.reuters.com/great-debate/2008/11/28/even-uk-guarantee-cant-stop-housing-crash/#comment-2181 Mon, 01 Dec 2008 12:06:10 +0000 http://blogs.reuters.com/great-debate/?p=748#comment-2181 I love how people think that gov’t spening can possibly stem this tide. If anything, the actions of the gov’t can only make things worse. Far too few people understand just how out of whack the housing markets are with respect to personal incomes, historic norms and the costs of renting.

Politicians are afraid of being percieved as doing nothing, but nothing is the only thing which is going see us through this crisis in a most expediant fashion. The party is over, the music has stopped and a lot of people are being caught without a chair and thats tough. It sounds harsh, but unfortunatly the ones who took the short cut will have to pay the piper for their dance.

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