Why will incomes keep rising?
inflation
Why will incomes keep rising?
=pay rises,=no argument =factinflation = second-round effects = pay rises = inflation
A rather circular argument?
agreed timing the market does not work.I moved a large chunk of my investments a few months ago out of the UK and the US thinking it was sensible --- until yesterday
Try it on anyone who lived in England during the nineties. Or in Germany since the unification. Or in Japan since the event. Or in the US since Bush took office.=pay rises,=no argument =fact
I dont believe you can compare what happened in Japan to the property correction we are experiencing at present. The ratios between average income and average house price in Ireland is closing which would suggest that affordability is close in the ftb market as incomes keep rising.
Try it on anyone who lived in England during the nineties. Or in Germany since the unification. Or in Japan since the event. Or in the US since Bush took office.
Or even in Ireland.
Don't mistake an increase in disposable income due to tax cuts with an increase in wages. One may put scarcity pressure on prices, but the other is inflationary as it increases input costs.
No I'm saying that wage increase over the recent past have not matched consumer price inflation.try what? are you saying that inflation and wage increases dont exist in these countries
I don't get the point you are trying to make.
It is well accepted that there is a bubble in the USA and the average house price/average income is about 6.
The ratio in Ireland is about 9!
Personally I don't think taking average wages vs average house prices is a good indicator
check out first active approval in principle, single income of 33000 pa Ltv 92% 2415pm after tax=loan 224,340. joint app. 30,000 and25,000 Ltv 92% nett 4022 after tax loan 344000I don't get the point you are trying to make.
It is well accepted that there is a bubble in the USA and the average house price/average income is about 6.
The ratio in Ireland is about 9!
Personally I don't think taking average wages vs average house prices is a good indicator of whether proices are too high/low.
I don't even think it's useful as a rule of thumb.
The market is made up of many sub-markets.
i.e. lower end,middle,upper end etc.
rubbish!!!!!!!
Personally I don't think taking average wages vs average house prices is a good indicator of whether proices are too high/low.
I don't even think it's useful as a rule of thumb.
The market is made up of many sub-markets.
i.e. lower end,middle,upper end etc.
do you not see opportunity in this market,ask yourself whats the best/worst thing that could happen and then what is the most likely thing that could happen.Rubbish - ofcourse it's relevant. How else is afforability in its purest form to be measured?
But lets stay on topic here? Please??
Markets are in the middle of a major bear IMO and once financial reports from banks etc come out in Feburary, then and only then will the fun really begin. Central banks are washing too much money through the system in an attempt to fix something that's badly broken. It's fuel to the fire. Given all the information, other than Gold - I'm sitting tight.
do you not see opportunity in this market,ask yourself whats the best/worst thing that could happen and then what is the most likely thing that could happen.