Why is the Government putting together a rescue package for homeowners and first time buyers? As I understand it, people who have fallen on hard times in the credit crunch and cannot now afford to pay their mortgage, or are under serious threat of repossession are to be given financial support by the government. First time buyers are also to be given assistance to get on the “housing ladder” (a euphemism to describe the UK’s obsession with social climbing in response to peer pressure).
Hazel Blears was on the tv news this morning, saying that, the package will be given to honest citizens who have been caught out, not irresponsible people who have taken a risk, borrowed too much, and now want someone else to bail them out. How will this be measured? Surely, I fit that category - so where’s my money?
At the risk of turning into a grumpy old man, this episode encapsulates for me everything that is wrong with society today and Governments generally, especially this one. We live in a “blame” culture where all bad things are someone else’s fault. The population is told it doesn’t have to take responsibility for its actions, and those sensible people who have taken care of their own affairs properly, are asked to foot the bill when it all goes pear-shaped for those who are irresponsible or ignorant. That’s just plain wrong.
I’ve owned four houses in the last 20 years and three of them have fallen in value, simply because I’ve been invested during difficult markets. That’s life! Why should I now have to pay for someone else’s misfortune? You took a risk, and are finding things tough. C’est la vie, mate. And as for first time buyers? Well, as I understand it, anyone in a buying position can negotiate some fantastic deals right now. House prices have fallen so this makes it more affordable to buy doesn’t it? Why do first time buyers need help? First time buyers who bought in 1991/92 made a lot of money in subsequent years when the markets recovered. The idea that they should have been given artificial incentives to buy at the same time doesn’t make sense. There is also a reality that, it is not everyone’s divine right to own a property. Some people genuinely can’t afford to buy and that’s the way it is.
People need to take responsibility and be accountable for themselves. Yes, its hard sometimes but we all have to deal with that. Prepare for it properly - asking to be bailed out at the first sign of trouble is not a long term viable option. The expression “The value of this asset can go down as well as up” is there for a reason.
The main problem here seems to be the Government’s obsession with short term, (potentially) vote winning, artificial, manipulation of taxpayer’s money. I know, lets offer to bail out some poor unfortunate people who have taken a risk and don’t want to deal with the consequences, in the expectation that we will be more popular and win votes. Mr Brown, this is the wrong message and encourages people to subscribe to the blame culture that we increasingly live in.