Housing Wealth , Mortgage Debt, Bank Balance Sheets and Solvency
Update March 2023 to March 2024, Is Bailey still at the BOE, Sack him Now!!!!!
https://tradingeconomics.com/united-kingdom/banks-balance-sheet https://www.wolframalpha.com/input?i=4403720000000 £4,403,720,000,000 Four Trillion Four Hundred and Three Billion Seven Hundred and twenty...
Roger’s quotes
“A nation can survive its fools, and even the ambitious. But it cannot survive treason from within. An enemy at the gates is less formidable, for he is known and carries his banner openly. But the traitor moves amongst those within the gate freely, his sly whispers rustling through all the alleys, heard in the very halls of government itself. For the traitor appears not a traitor; he speaks in accents familiar to his victims, and he wears their face and their arguments, he appeals to the baseness that lies deep in the hearts of all men. He rots the soul of a nation, he works secretly and unknown in the night to undermine the pillars of the city, he infects the body politic so that it can no longer resist. A murderer is less to fear.” —Taylor Caldwell
https://tradingeconomics.com/united-kingdom/banks-balance-sheet
https://www.wolframalpha.com/input?i=4403720000000
£4,403,720,000,000
Four Trillion Four Hundred and Three Billion Seven Hundred and twenty Three Million
https://tradingeconomics.com/united-kingdom/money-supply-m3
https://www.wolframalpha.com/input?i=1675.8+%2F4403.8++as+percentage
Outstanding Mortgages are 38.05% of Bank Balance Sheets
https://www.wolframalpha.com/input?i=1675800000000%2F3584011000000+as+percentage
Outstanding Mortgages are 46.76% of Stirling M3
Total Value of UK Housing Stock. 12 MARCH 2021
Mortgaged ownership rises again
Government support for homeownership and funding from the Bank of Mum and Dad have combined to support mortgage owner occupation, while longer mortgage terms mean households remain mortgaged for longer.
For the first time ever, the value of mortgaged owner occupied homes passed the £2.5 trillion mark, rising by £170 billion to £2.62 trillion in 2020.
Despite this rise, the value of owner occupied homes with no mortgage was higher still at £2.88 trillion, with the total value of homes owned outright rising by 5.8% in the year. 20% of this value was concentrated in the South East. A further 17% was in London.
Total Value of UK Housing Stock.
UK housing value breaks £8 trillion barrier
31 JANUARY 2022
Growth by tenure
Government support for home ownership via the stamp duty holiday and record funding from Bank of Mum and Dad combined saw the total value of mortgaged owner occupied homes pass £2.9 trillion for the first time ever, increasing by £297 billion in 2021 alone.
Despite this, the value of housing owned by unmortgaged owner occupiers continued to be the fastest growing housing tenure in 2021, up 12.0% on the year to reach a total of 3.3 trillion.
Increased institutional investment in the private rented sector saw the tenure grow by £86 billion in 2021 – more the double the increase seen the year before. Over the past decade, this sector has increased +77.6%, or £605 billion.
Mortgage Lenders and Administrators Statistics: 2022 Q4
Key findings
The outstanding value of all residential mortgage loans was £1,675.8 billion at the end of 2022 Q4, 3.9% higher than a year earlier (Table A). footnote[1]
1,675,800,000,000 Value of Outstanding Mortgages on Bank Balance Sheets
Secured against By Savills Figure for Jan 2022 £2,900,000,000,000 £2.9 Trillion of Value
1675.8/2900 = 57.786% LTV
If as some commentators Claim Values Fall by 35% in real terms
The Value of all Mortgaged Property would fall to 1.875 Trillion and the Loan to value ratio on Bank Balance sheets would rise to 88.9% This would have very severe consequences on the rating of Mortgage Debt held by banks as secured collateral for Tier 1 Basel 3 Solvency purposes.
Regarding Falling Prices at the End of 2021 “unmortgaged owner occupiers continued to be the fastest growing housing tenure in 2021, up 12.0% on the year to reach a total of 3.3 trillion”.
53.2% of the UKs Residential Housing Stock in private ownership is not Mortgaged this figure suggests why Prices for Property are much stickier going down than going Up.
https://webbrain.com/brainpage/brain/98FC8BC2-D290-31A1-0868-3987279717D8
Meet Alex #DOOMGuffster extraordinaire.
#Moduloft, The Affordable Housing Manufacturers. Defining the Terms of and Boundary Conditions of our Domain.
The outstanding value of all residential mortgage loans was £1,527.3 billion at the end of 2020 Q3
two thirds of households own the house they live in; half of these are still paying off their mortgage
28,536,000 Dwellings
29,180,071,800 sq ft 29 Billion Sqft .
The effectiveness of any Model is determined by a number of factors, Integrity of the data, and what scientist/modelers call defining the extent of the models domain, what we might call Parameters or Boundary conditions. To understand “The Housing Market” and make contributions to it a good place to start is How Big is it and what are its constituent parts.
What is it.
What is the housing market?
When people buy or sell houses, either to live in or as an investment, we refer to this as the housing market. A house is the most valuable thing many people will ever own.
In Britain, two thirds of households own the house they live in; half of these are still paying off their mortgage. The remaining third of households are renters, split fairly equally between private and social renting.( Source. Bank of England. )
How Big is It Physically.
(Source: Building Research Establishment.)
From the above table of 2017 Data
In the United Kingdom there were 28,536,000 Dwellings with an average Dwelling size of 95SQM or 2,710,920,000 sqm or Errors pp 56/57 28,536,000 dewellings x 95sqm= 2,710,920,000 Sqm 29,180,071,800 sq ft 29 Billion Sqft
UK Housing Stock Total
29,180,071,800 sq ft 29 Billion Sqft
.
Plot Size and Dwelling Size
How do we Value it?
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Where did all that wealth come from?
And what should we do about it?
https://medium.com/@ian.mulheirn/where-did-all-that-wealth-come-from-d9e698bfd477
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