House Price Crash, can it happen?

LOL

I love seeing such a strongly bullish concensus,
in this time of great fragility

"We are only two turns of the credit screw away from a Crash:
The first will put HP inflation into reverse, and the second will be a more severe credit tightening, which will be a reaction to all the problems thrown up by the first. When the tightening is done, BTL loans will be back down to a maximum of 60-70%, and a price slide will be well underway."

NO SIGN of tightness yet - the lenders are still pumping:

November lending highest ever, reports CML


20 December 2006