UK house prices ruining UK economy (20Jan11)

Stop using house prices to bring down the UK economy, a house is for living in, not pretending you are rich. At last the DP team decide to look at the ridiculous situation of house prices in the UK.

Recorded from BBC Daily Politics, 20 January 2011.

Category:

News & Politics

Tags:

• uk
• house
• price
• prices
• scam
• rise
• fall
• ruin
• ruining
• economy
• recession
• depression
• 20
• january
• 2011
• bbc
• daily
• politics
• liar
• mortgages

[Tony27nine]

If we encourage business to move away from the South East to areas where housing is available and affordable then there are benefits both in environmental terms (less crowding, less commuting, less building on green belt etc) and economic terms, more affordable housing. The government seems to want to solve only half a problem by investing in HS2 allowing more people to live outside London but work in it. An environmental disaster for London, the Chilterns, the provinces.

[Tony27nine]

House price inflation is the result of housing shortages in certain areas and the desire of banks to lend. Irrespective of demand, house prices couldn't have risen without the irresponsible action of banks lending increasing multiples of salary. The winners - property owners. The losers, well, everyone else. This was the basis of the rich getting richer and the poor getting poorer. If we constrain the banks (it's happening naturally now) then prices don't go up.

[KickDownDoors]

Freedom and Social Welfare. They are not compatible. They create unstable housing. Britain is overpriced due to the influx of immigrants looking for freedoms they cannot find in their Islamic home nation and the social freebies they receive from those who work to pay for their lazy lifestyle. The result is a lack of housing and skyrocketing prices. Britain's economy is tourism based. It has NO natural resources. GB abuse their oil production resources with inflated petroleum prices at the pump.

[Ignitionnet]

@ospTube Yes you do realise your gain, but it's fairly likely that you still need a place to live, so you have to pay an overpriced amount for a new home or rent indefinitely and pay someone else's mortgage on an overpriced home. The only people this benefits are those downsizing or emigrating. Everyone else, that massive majority moving across or up the property market, are fooling themselves.

[Ignitionnet]

Hmm whose opinion on the pluses and minuses of high house prices to the economy as a whole, and just the economy ignoring the social issues, do I believe, the economist or the estate agent.

There's a tough one.

[damoz89]

Housing is not an ATM you idiots

[ospTube]

Err... the (whatever he is...) at 1:42, has lost the plot. If you house rises and you sell it... (realize your gain)... believe me the money IS real. So he's talking out his ass (sorry). I doubt he'd say the same about stocks. He's conf*sing your 'abode' with an investment. Just because a home serves a dual role, doesn't mean that it's any less of an investment.

[mrwickedwaring]

The presenter and that cringeworthy chap from Savill are absolute clowns here, and their attitudes pretty much sum up why britain is knackered.

[Jdjohnjd]

Damn, I take it back. Just found out Dambiso Moyo is a Goldman Sachs, Barclays stooge.

Gotta be a snake

[Jdjohnjd]

New budget 2011. New loans to make up deposits for first time buyers, plus the mortgage loan. Effectively you're getting two loans, although its not much different from getting a 100% mortgage.

So the game continues.

House prices stay high. Anyone concerned that the bubble still hasn't burst here yet?

Also, Dambisa Moir is so hot (and smart).