Dover.uk.com
If this post contains material that is offensive, inappropriate, illegal, or is a personal attack towards yourself, please report it using the form at the end of this page.

All reported posts will be reviewed by a moderator.
  • The post you are reporting:
     
    Jan, to get an idea of whether house prices are justified, or the result of gross speculation, you'd need to know about toxic investments. Before 2008, the US mortgage-housing market was the object of a disgusting form of speculation, as mortgages were sold from one company to another in packages, or batches.

    With each sale, the mortgages went up. Even some banks purchased these batches of mortgages.

    The result was that the mortgages were so high, that American home-owners simply could not pay their loans off, which meanwhile were as much as four times the real value of the house. Many such "packages" ended up being sold from America to Europe, as every company involved tried to add their personal profit to the mortgages.

    The bubble burst in 2008.
    Barry will tell you it was all Gordon Brown. You are free to believe in such a simple explanation.
    Some people believe Father Christmas comes down the chimney at night.

Report Post

 
end link