The fall of the Tory party

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NickCJ in reply to @andyfallsoff

If property prices all go up, it doesn’t make it easier to buy a new property because the next step up is more expensive as well

It does if your affordability constraint was LTV not mortgage x income multiple. At 95% LTV, a 10% rise in property prices increases your deposit 3x. This is how the "property ladder" really got going in the 80s. It also requires real wage growth and an increase in mortgage lending multiples versus incomes... not something we are experiencing today.

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andyfallsoff in reply to @NickCJ

Yes I can see that - i thought i acknowledged this in mortgage availability / equity? I would just be surprised if that covers that many people, however. At recent prices income multiples must be a problem for most people (or the stats on incomes are wrong)

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