mortgages

shadowdragon

Fruit wrote: »

Hi All,

Did'nt mean to open a can of worms!! crikey.

Whilst all of the above comments are noteworthy home ownership is to be viewed as a lifestyle choice rather than investment in (most) cases.

Taking a long term view of things in 25 years when your mortgage is paid off and in theory your house has increased in value (look at the changes over the last 25 years) you are in a position where you own a significant asset and dont have ongoing costs into retirement.

Whilst renting may look cheaper in the short term for the size of property you get for your money, you will not own the house at any point and will be paying rent for the rest of your life, stress free now maybe but what about in retirement?

As for the comment that commission is commission have i missed something or do we offer our thoughts and advice (however they are taken) free of charge on this site?

My point is a job for life doesnt exist anymore, and having a mortgage is a worrying thing with the current economical climate, 25 years is a big commitment when job security is very fragile. With renting, if you do fall on hard times (redundancy, job loss due to illness ect) at least you can claim things such as Housing benefits. Also a lot of people dont factor the running costs of a mortgaged property compared to a rented one (boiler upkeep, sewage costs etc).

As for retirement, look at the trouble some have claiming benefits, costs for nursing homes ect, because they have ownership of there home and equity, they have to sell there houses to pay for care, where if you dont have that equity you get the care paid by the government.

I know you could retorte with the why expect government handouts ect, but the fact is, if you rent and you are retired and dont have enough to live on the government offer you help in the way of benefits. Also just so you know I am on Illness benefits but dont get full Housing Benefit, and this post is not to defend my position, i just know after having mortgages properties and also rented ones, I really prefer paying a little over 300 per month in rent to my Housing Association rather than the 600 per month mortgage repayments and having to worry about upkeep of the property and the instable house prices.

Dez-Titute

CC_Scot wrote: »

Hi,

I have been reading this thread with interest. My husband and I have just been discharged from sequestration after three years. Luckily because property prices were so low when we were sequestrated we were able to keep out house. Now we are discharged we have a mortgage of £47k and the value of the house is £135k. We are on a variable rate and would like to change to a fixed rate due to the uncertainty in the market - how easy or difficuly is this likely to be?

We are reluctant to ask our existing lender as they were one of our major creditors and think they would be glad to see the back of us.

Any suggestions?

Hi CCS,

Firstly find the right broker & see what thy can come up with.Make sure the broker is truly independant and not Tied or Multi-Tied to any lenders.Do your own researc so your up to speed with current maket rates and offers but be prepared to have to pay a premium rate.

A good place to start looking would be here

http://www.moneysavingexpert.com/mortgages/best-mortgages-cashback

Lets us know how you get on

Cheers DEz

fiveyearplan

Shadowdragon - where is the security in renting. Landlords can get you out every 6-12 months depending on lease, how about all the moving costs, paying rent in old age etc. I think people have to agree to differ. I myself would much rather own my own home than rent as I see that as more secure and also cheaper and if I do want to make home improvements or paint a wall etc I can do that without asking anyone's permission.

Like someone said in a previous post - it is all about a lifestyle choice. I didn't buy my home as an investment but it will be nice to know that I can downsize if need be and have a bit of money spare.

shadowdragon

fiveyearplan wrote: »

Shadowdragon - where is the security in renting. Landlords can get you out every 6-12 months depending on lease, how about all the moving costs, paying rent in old age etc. I think people have to agree to differ. I myself would much rather own my own home than rent as I see that as more secure and also cheaper and if I do want to make home improvements or paint a wall etc I can do that without asking anyone's permission.

Like someone said in a previous post - it is all about a lifestyle choice. I didn't buy my home as an investment but it will be nice to know that I can downsize if need be and have a bit of money spare.

Sorry im not trying to troll or cause an argument, I dont think im explaining myself very well sorry. I think its best I just as you say "agree to disagree" on this subject.

fiveyearplan

People can't agree on everything - at least we agree to that!

Fruit

Hi CC,

It should be fairly easy given the amount of equity that you have and the small size of your loan. The key for you is making sure it doesnt cost much to switch as any fees would negate the savings you may make. Are you sure a fixed rate is the right thing for you as an upward move in rates is likely to make only a small amount of difference to you?

Overall it should be straight forward aas long as your incomes fit on the lenders criteria.

I would be happy to offer specific advice on your case subject to the terms and conditions of this site which i have to investigate.