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Porky996t

Listed below are comments made by Porky996t between Saturday, 9th August 2008 and Saturday, 27th September 2008.

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How will B&B be rescued? 09:43am on 27 Sep 2008 @ Post 6

In the next 2 years after this mess has sorted itself out house prices will rocket again I'm afraid.

As a result of a growing population we should be building 250,000 houses a year to meet that growth. In August we built just over 5,000 new houses. Pro-rata that for the year and you get 60,000 houses, or 190,000 houses short per annum from Gov't figures (assuming that the number of build completions doesn't drop further in the coming months).

When the credit restrictions ease and people enter back into the housing market, there will be increasing demand but no supply as so many medium and small housebuilders have now gone bust. You're larger builders like Barratts and Taylor Wimpey are not building and are using the proceeds from existing stock units to fund their debt payments; they will not have the capital to get back up to speed for a long time, even if they can last for the next two years without the banks foreclosing on them for breach of covenants. New smaller builders will not be able to enter the market as the costs of entry will be very high as the banks will have become very risk averse.

When you get increasing demand and little supply the price increases. I have seen reports from market analysts in a number of well respected Chartered Surveying firms that are indicating that the price rises will be greater than we have seen in recent years.

Why two years time? This is the time it will have taken the average person to save a reasonable deposit for a house - (if they still have a job that is! )
Cheese and ale 11:06pm on 09 Aug 2008 I avoid plastic wrapped cheese quite easily as I make all my own cheese from milk from my local farmer, I just wrap it in greaseproof paper for the fridge....it tastes far better than shop bought and is so easy. I also avoid plastic widgets as I brew my own beer too, and just recycle the bottles I have.

In response to an earlier post about large quantities of hot water being used; I use 1.5 litres of boiling water as the basis for 40 pints of Pils type lager, it also costs me about a tenner for those 40 pints and the "beer miles" is vastly reduced too by not buying from a supermarket.

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