I agree with that. The banks to do well out of it?
Since 2007 lending criteria has tightened and larger deposits were required. Now councils and the government are going to provide 20% deposits on various ponzi schemes because the banks won't lend 95% - they know what's coming. When rates rise people are going to struggle but when they sell, the loss to the banks is going to be minimal, while they rake in more mortgage interest. They have shifted the lending risk to bank of mum/dad, councils and the government. I can see more housing activity this year with all these ponzi schemes. The banks will lend on 95% mortgage schemes because they have such limited downside to them at no loss for 5 years and then only if prices drop 25%+. But these schemes all depend on the B of E printing to suppress our interest rates forever while our debt to GDP is rising. Surely it cannot last? We don't have savers in Japan to fall back on?