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the house was only x2 my salary.
True. The period of low interest rates and all the stupid schemes to get folks to buy houses is mostly to blame for where we’ve got to on house prices.
Personally I think it’s the long period of free money that has, ironically, impoverished us.
Unless you spent the entire period borrowing and buying houses and Rolex on cheap credit, in which case you’ve made a fucking killing.
We need a reset.
Howard-
It's all well and good needing a reset but the current trajectory isn't going to do it, the only way to fix the housing market would be a massive decades long construction plan to sort out the supply issue, a massive shock to the system will just price the average person out consolidating assets in the hands of the wealthy even more than they already are.
Or worse, the current tory fix of wanting to extend mortgage terms to 30/40/50 years so you're just renting from the bank until you die, but on the plus side the word 'mortgage' will be back to its original meaning.
Gewürzt
Well, to a degree, in a previous life I was paying over 6% on a mortgage but the house was only x2 my salary.
Its a different world now.
Raising interest rates isn't going to fix this inflation problem. Its not like people can just stop buying food and power, but its the only tool the bank have when the government are doing nothing.