Raising rates by a couple of percentage points should have been factored in when buying property except that we now have a lot of younger people (under 60's) suckered into the housing ladder BS and with massive credit card debts.
They are too young to remember interest rates at 18% as happened in the 1970's UK housing market. Plus the Saudis raising the price of oil fourfold overnight.
The odd thing in this scenario is that as fiat devalues they see house prices rising and think they are on a winner? Dumb.
They don't understand inflation or that house prices relatively actually fall?
Retail and commercial property is screwed. Many office blocks in London are being converted to 'luxury' flats (apartments)?
Who in their right mind would buy into such a toxic deal? The young and dumb.
In the 70's we had a 3 day week for those that had a job and electricity was cut off for most of the day causing chaos for refrigeration at home and in firms. Total fiasco.
Londoners were going apeshit and the country rebelled by voting in Margaret Thatcher and we know how that ended...right here. Right now.
This chaos has it's roots in moneterism and the dogma of greed is good.
My advice? Buy crypto.
That is all true although in many ways the currency is not being devalued. People like to state that yet they are overlooking all that people use to pay for that is now free.
The housing situation is due to the fact that we all urbanized. The push to the cities sent prices screaming. Of course over leveraging globally is also a problem.
Many are screaming and whining about inflation. They never truly experienced deflation. Just ask those who remember the Great Depression how a deflationary environment really is.
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