Wednesday, 20 June 2012
Why aren't you buying houses
Mortgage rates are, for all practical purposes, the lowest they have ever been. Those low rates are due to that very nice man at the Bank of England, who has tried his best to keep interest rates low. He prints lots of money, gives it to banks, and they keep the mortgage rates down.
What is the matter? Why isn't everyone out buying houses? In theory, house prices should be going through the roof. We should all be multi-housed buy-to-let speculators.
In practice, the housing market is languishing. What has gone wrong with us? Have we fallen out of love with property?