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Is the Country now in economic recovery.

Carryon Regardless

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Well the banks think so.

For a good few months I've aware that the lending institutions are pushing mortgages more. I've seen news reports of the recovery, but let's face it that's to sell the news.

Today though I got a call from the RBS asking if they can interest me in their mortgages. Rates at 1.7% and no fees, this starts to sound like the old days. Inviting me in for an interview (chat) eighty miles away isn't so attractive but that's because some T's pay over the counter there so it looks to them like I use them a lot. It's nice to see the banks pushing this again and entering into the competition spirit of lending. The easier availability of dosh will aid recovery, if it can be sustained.

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I don't think so.

Wages are generally static. Household incomes are shrinking due to inflation and rising energy and cost of living rises especially food prices and rail fares etc.

House price rises? generally due to the governments ill thought out 'free money' to banks and building societies which will lead to another situation identical to 2007.

Good time to sell a property over the next 12 months though and where as I couldn't sell my flat last year now I have had 2 firm offers for it by people approaching me! I overpaid for it in 2007 but that loss is lessening every month. Hurrah!

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There are winners and loosers in any situation.

I always viewed the economic downturn in 2008 as an opportunity rather than a disaster.

If I look at my own situation over the last 5 years, I've had......lots of tax breaks, a strong rental market, low mortgage rates, loads of business opportunities in property and other areas, profits are up, costs are down and labour is cheaper and easier to find.

So, I've done more than ok. I know there are people who are feeling some pain but we all have to make the best we can.

Sometimes I think that those who complain should focus their effort on improving their lot rather than moaning about how bad things are for them.

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My thoughts are that it's early days and the causes of this improved state are to be assessed. For me that's complicated so takes a while.

For true recovery there needs to be more jobs, with that supply and demand would eventually cause a natural increase in wages. Immigration controls can help toward that.

It's reported that productivity is up but as our manufacturing industries are sadly lacking so that any increase there can be of limited advantage.

The free money to banks causing this, maybe. But I remember about 3 years ago when the banks were given similar and told to make funds (was it £1.9 billion?) available for mortgages and small business, they didn't. They had excuses why they didn't but certainly were not chasing that business. I now see they are competing in the mortgage market and have been gently accelerating toward this for a while. I'm still trying to understand where they are getting their confidence from.

Like you Mel I don't mind selling when the time is more right. My personal experiences are that I have no choice but to be far more tolerant of T's lack of rent payments. I see less purpose in chasing absconders for money they don't have. My voids are longer. The low interest has been a fantastic prop up but the downsides of increased abuses and legislation protecting T's only increase the stress involved and reduces potential profits. The retirement plan is less attractive as when I wish to wind down I don't want to paying for and cleaning up after these gits.

I'm hoping the time where the increased equity so that I can choose to sell 'some at least' isn't so far away.

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My tenant is going from my flat. I am in the throws of getting all the loose ends tied up so a quick phone call to TW to find out how the account stands up with the tenant leaving..............owes £300 in unpaid debts since 2011 !!!

"Why" says I, have you not made any effort to recover this money sooner"? ....... bearing in mind yesterdays news from TW about millions owed by non-payer's and WE the payer's having to foot the bill.

"Our debt collecter's are on the case right now" came back the reply.

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