From: "Maria" 
Newsgroups: uk.politics.misc uk.finance
Subject: Re: Individual insolvencies rocket by 57% in one year yet credit card borrowings increase
Date: 3 Mar 2006 00:47:19 -0800
   posting-account=Zb0sLA0AAACTRK8pS1_QqpKTeGCxxhIL


Tumbleweed wrote:
> >"Crowley"  wrote in message
> > >news:1141332954.353972.206890@u72g2000cwu.googlegroups.com...
>
> >Nothing will now prevent a crash in house prices ....... asset bubbles
> >burst eventually, you can't buck the market as Thatch once said. You
> >can quote me on that in a year or so's time ;-)
>
> ISTR you said that about a year ago.
>

So did I. House prices here have long since been unaffordable to local
people because they don't earn enough to justify a big enough mortgage
by far, so why are the prices holding up (even increasing still)
unless lenders are still making it up as they go along about who they
lend to and how much? Usually when something becomes unaffordable, the
demand falls and the price drops. What is going on here?