House Prices keep on rising
The average house price in the UK rose for 6th month in a row, fueling optimism that a full scale recovery was on the cards for early 2010, driven by the low prices of the last two years plus low interest rates and prices still being forced down for products and services (apart from those related to fuel such as petrol and utilities).
The mortgage market is still recovering but the same old stories about 90% and 100% mortgages are circulating so competition must be hotting up and lenders are worrying more about getting a bigger share of the market than stabilising their investments. These deals dont go away, they just retreat a little under cover!
Gordon Brown and Alistair Darling have been more occupied this week with trying to save their jobs at the Labour conference with pledges about delaying ‘fat cat’ bonus payouts until assured results are seen. This will not attract the best to the industry but seems to keep the public happy, personally I think we can agree that the average Joe does not really care what bonuses bank bosses get when times are good-so you keep the times good rather than threaten bosses with reduced payouts! Get the best in to do the jobs and regulate what they do more tightly! Trying to claw back agreed bonuses is no way to bring life back to the market, its a soft soap those who have lost out rather than a plan for the future.