Herald: Don’t kid yourself - the housing slump really is here

Herald: Don’t kid yourself - the housing slump really is here HOW OFTEN must I say it? Falling house prices are a good thing, not a bad thing. It was property madness that got us into this financial mess in the first place, and the credit crisis will not be resolved, will not begin to be resolved, until house prices start to become more rational. That means house prices must come down.
Average UK house prices of over eight times average earnings are unsustainable, morally and financially.
Most home owners, sitting on large paper gains, know and accept this; many have the decency to be embarrassed about it.
Brown leant on the governor of the Bank of England to cut interest rates by announcing, falsely, that “Because we’ve got low inflation we can cut interest rates.”
A housing “collapse” is necessary and unavoidable.

House Price Bookmark
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Original post by little professor

This entry was posted on Saturday, April 12th, 2008 at 4:25 pm and is filed under Housing. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback