Wolverhampton 01902 577775Bilston 01902 577767Lettings 01902 577799

Wolverhampton
01902 577775

Bilston
01902 577767

Lettings
01902 577799

22 | 01 | 13

No more wild house parties?

Posted by: katalysis

Share this page
With the property market outside the posh parts of London still on life support it appears that, nonetheless, the powers that be are looking forward to a return to healthy exuberance. But what of the over indulgence that got us into the mess in the first place? A former Head of the US Federal Reserve famously said that its job was “to take away the punch bowl as the party gets going”. Central banks traditionally do this by raising rates. However, expect more targeted measures to be deployed in future to prevent the UK housing market overheating. Making banks hold more capital against higher ltv and/or income multiple mortgages could well have the desired effect of preventing inebriation without harming the wider economy.      
By continuing to use this website you are agreeing to our use of cookies.