Boom Bust - UK housing bubble set to burst

The last time the house market crashed in the UK was 1989. 17 years on, the prognosis does not look good. More at www.ablemesh.co.uk/thoughtsboombust.html

Category:

News & Politics

Tags:

• Boom
• bust
• UK
• housing
• bubble
• house
• market
• real
• estate
• prices
• crash
• 2007
• recession
• depression

[ChorltonM21]

Hi Gordong

Do you post on House Price Crash???

[gordong156]

ChorltonM21 - I've read good information at House Price Crash and at the on-line ROOF magazine, but any serious posting I do at Ablemesh.

[cameronyusuf]

3. The UK population is increasingly choosing to live alone; wherebefore, one house was occupied by 2 people (a couple), its now occupied by 1. Demand has therefore, not doubled (because not everyone is living alone) but increased becuase of this demographic change.

[gordong156]

cameronyusuf - Yes, we're living solo more, but unsold and unrented appartments seem to be a growing feature of the landscape. Funny that.

[dietangel]

well done for predicting this housing crash

[anarchodolly]

it's about time land ownership became a major political issue in britain. i recently came across figures stating that 80% of britain's population is urban, yet urban areas account for just 9% of the land. no wonder britain seems overcrowded. yet a tiny minority of the population - largely the royal family and the aristocracy - own huge tracts of land. land ownership is incredibly concentrated in this country.

[redroofestates]

Excellent long term analysis. 

[NearAbbeyRoad]

@VVendettaz said, "Bottom line this false economy based around house prices cannot continue forever."

That is true, but get the real substance it is based on - LAND!!!

[NearAbbeyRoad]

@GaryVolts said, " Instead of taxing gains on land, free the interest rates from government control.".

Very wrong. The permanent long term solution is Land Value Tax (LVT).  Do a search on Fred Harrison on YouTube. He has some great Vids and puts it across very simply. The penny will then drop.

[NearAbbeyRoad]

@anarchodolly

Only 7.5% of the UK land is settled. Land ownership is not a problem if Land Value Tax (LVT) is implemented for "all" land. Then a planning system, not the Stalinist version we have now, that allows us to build of this land.

NO. We do not need to redistribute land or public ownership. It s public owned as the Crown it all. You only have the "title"

LVT naturally redistributes land. If you can't pay the LVT you sell up to someone who can or makes productive use of the land

[TheGodParticle]

I feel sorry for the first time buyers. where i live a two bedroom flat is around 165 grand, what young couple want to have that hanging over their heads for 25 years. is there any money left to have a good time ? very sad indeed

[ayozemmr]

welcome to reality, all goes up....

[ayozemmr]

what a waste, boom and bust, why we need retional growth???...pss, welcome to idiotland

[racingrubberbiker]

And the powers that be still have not learned this lesson. Why is it then that we now have now unheard-of low bank rate, and quantative easing to "re-start" the credit system, when the credit system is bust. Politicians, regulators and some economists belive we can carry on as before. They are WRONG. Our future is in the hands of Chinese, and middle-eastern holders of our debt, built up over many years of never-had-it so-good comsumption and greed

[ourearthhome]

Nial Ferguson a Scottish historian teaching at Harvard recently likened the real estate, i.e. land speculation, bust to the conventional explosive that drives the fissionable material of a nuclear bomb together to create a much more massive explosion. The nuclear fissionable material was all the mortgage based derivatives and the collapse of these wonderfully toxic items set off all the other speculatively explosive financial devices. Land busts take whatever is attached to them every time. Tsk