In the past 12 months house prices have fallen 16% in Sweden but have risen 4% in the US Yet both housing markets share similarities of overvalued prices and higher interest rates. Global House Price Crash – Where will Prices Fall?Watch this video on YouTube Why is there such a big difference? After a …
Like many, my fixed rate mortgage deal expires very soon and so I am left with firstly the shock of how much the mortgage will increase and secondly the difficult question of whether to get a fixed rate mortgage or a variable tracker mortgage. Fixed or Variable Mortgage – What Should I Get?Watch this video …
10 Reasons Landlords Are SELLING UP in 2023Watch this video on YouTube For the past eight years there has been a net exodus of landlords from the private rental market – tighter regulations, tax changes and now the double whammy of inflation and rising interest rates is leading to a shortage of rental properties, …
Bank bailouts are back. But, why do governments go to such lengths to save banks who took risks, ignored regulations and made a loss? This title about bank failures destroying the economy is not actually linkbait title. I think it is fair to say, the US bank failures of 1930-33 really did destroy a good …
In 2008, the world global banking system went into meltdown after the bankruptcy of Lehman Brothers. It stemmed from a toxic combination of falling house prices, rising interest rates and sub-prime mortgage debt. To relive the 2008 Credit Crunch – see this article on Credit Crunch Explained (which was one of my earlier articles as …
Summary of Phillips Curve The Phillips curve suggests there is an inverse relationship between inflation and unemployment. This suggests policymakers have a choice between prioritising inflation or unemployment. During the 1950s and 1960s, Phillips curve analysis suggested there was a trade-off, and policymakers could use demand management (fiscal and monetary policy) to try and influence …
The past couple of years have seen a surge in house prices around the world. This has pushed house price-to-income ratios to record levels – in many cases, outstripping the last boom of 2007. This is a major warning signal prices are unsustainable and in recent months, prices have started to fall rapidly, with at …
Since the end of 2019, the US economy has grown at the fastest pace in the G7. President Biden can claim the fastest job growth of any president. Yet despite strong growth in jobs and GDP, there are record low levels of dissatisfaction as Americans feel the pinch of inflation and falling real wages. Firstly …