Paul Watkins wrote:As a homeowner [I presume you do not rent the Hall?] what's your view Bob?
Paul,
I bought Marlinspike Hall for £27,000 in 1983 which was 3.5 times average salary (and the third property I had bought) since a)it provided shelter b)I could afford it, even with a mortgage rate of c.12%.
Unfortunately various idiot governments since that time have attempted to interfere with the market to convince us all that home ownership is 'a good thing' whether or not we can afford it.
We've seen the multiplier for mortgage to salary go up, 120% mortgages as house prices are 'bound to increase', artificially low interest rates which have discouraged savers and decimated pension funds, council houses sold at well below cost price, quantitative easing which has mostly gone to property investment
https://www.ft.com/content/739a3700-2eeb-11e5-8873-775ba7c2ea3d and now the latest scam of shared equity with HMG labelling the Snake-Oil as 'help to buy'.
Most of most peoples money is now tied up for most of their life in something which has not improved the real wealth of this country one jot and which could have been spent on investment in companies which are now owned lock stock and barrel by the French, the Chinese or the bloody financiers we are paying our mortgages to, on health, on education or even on buying a sodding yacht so at least we might spend a little of our short time on the planet actually having fun.
It has also caused God knows how much grief to people with over extended mortgages or with negative equity hanging over them and provides stickiness in the job market as people are unwilling to relocate around the country readily.
Apart from that, the news is brilliant.
(And you wonder why I laugh when I read in Dover Express DDC is thinking of borrowing up to £200 million to 'invest' in property?
)