***House prices up 1.2% in May***

mitchaa

ad9898 wrote: »

I'm sure people realise that you have earn at least £3 for every £1 you borrow on a mortgage to pay it off. I don't like working in my job that much to do that.

Strange way to look at it because this is always going to be the case

You could turn that argument around.... ''I dont want to be paying rental until the day i die, i would rather have 25yrs and then be done with it''

I may well pay back £200k on a £100k loan but at the end of it, every penny I've paid in and ''wasted'' in mortgage interest, i'll recoup and more with the value of my asset at the end of it. I suppose you could then say, mortgage interest isn't really wasted as i'll get it all back and more in the end.

Like i said before, dont leave it too late, you could have bought an average property at £153k back in december, now you will need to fork out £154k. Think about your 1 in 3 equation there.

Off to enjoy the sunshine now, Scorching up here, have a good weekend people

ad9898_3

mitchaa wrote: »

Strange way to look at it because this is always going to be the case

Oh, I absolutely agree mitchaa, thats why the best mortgage you can have is the smallest possible, or better still none at all.

mitchaa

ad9898 wrote: »

Oh, I absolutely agree mitchaa, thats why the best mortgage you can have is the smallest possible, or better still none at all.

All about jumping in at the right time then;)

5 months worth of stagnation would get my little tinklers thinking that's for sure. Like i said before, even if prices do drop another 5-10% you are then playing russian roulette with interest rates.

Buy now at £150k with a 4% fixed rate
Buy this time next year at £140k with a 6-7% fixed rate.

Saying that, Halifax will probably come along and blow this out of the water with further monthly drops:D

Graham_Devon

Well done bulls. Something to celebrate!!

We can all discuss it, but nothing gets passed the fact that house prices have gone up on the nationwide index...

ad9898_3

mitchaa wrote: »

All about jumping in at the right time then;)

5 months worth of stagnation would get my little tinklers thinking that's for sure. Like i said before, even if prices do drop another 5-10% you are then playing russian roulette with interest rates.

Buy now at £150k with a 4% fixed rate
Buy this time next year at £140k with a 6-7% fixed rate.

Saying that, Halifax will probably come along and blow this out of the water with further monthly drops:D

I'm not really interested in IR's mitchaa, my aim is to buy outright, or with a mortgage of a maximum of around 20k. Even 10-15% rates would have little effect for me, other than that, I do see your point. Although even for people not in my position, I'd still say it's better to save at this time.

lostinrates

This interest rate argument: if it becomes MORE expensive for FTBs, who, its generally felt haven't been, en masse, squirreling like ad and I, won't prices just fall more? I'd love to buy outright: for the property we want, it ain't gonna happen; so looking to get what we want the price falls for a house we want to stay in might be more relevant than the potentially shorter term pain of inreased rates.

Generali

StevieJ wrote: »

That is how the capitalist system works, everyone for himself, what was that, the great Maggie said 'there is no such thing as society'

This is the quote from the Great Woman Herself:

"I think we've been through a period where too many people have been given to understand that if they have a problem, it's the government's job to cope with it. 'I have a problem, I'll get a grant.' 'I'm homeless, the government must house me.' They're casting their problem on society. And, you know, there is no such thing as society. There are individual men and women, and there are families. And no government can do anything except through people, and people must look to themselves first. It's our duty to look after ourselves and then, also to look after our neighbour. People have got the entitlements too much in mind, without the obligations. There's no such thing as entitlement, unless someone has first met an obligation."

"There's no such thing as society" is often used to criticise Lady Thatcher by people who would agree with the words in her speech.

Do you feel your duty is to your family or to everyone else for example StevieJ? If the latter then you are an unusually selfless person IME old chap.

StevieJ

Generali wrote: »

This is the quote from the Great Woman Herself:



"There's no such thing as society" is often used to criticise Lady Thatcher by people who would agree with the words in her speech.

Do you feel your duty is to your family or to everyone else for example StevieJ? If the latter then you are an unusually selfless person IME old chap.

Do you feel your duty is to your family or to everyone else for example

Those things are not mutually exclusive IMHO

skap7309

StevieJ wrote: »

They are greedy people who see a cheap house on the horizon

I love this talk of someone being greedy because they want to pay less for something - never quite understood it..............:rolleyes:

And what of the people who would like to see unsustainable house prices ruin any chance of your children get on in life without being a slave to debt, possibly working long hours and putting off starting a family etc - just to get a roof over their head? THATS greed.

penguine

Xinpei wrote: »

This is rather harsh. To effectively imply everyone who bought should pay for it. It may not have been very wise - but no one had a crystal ball.

It's not particularly harsh to say that someone who bought a house should pay for it. When you take out a mortgage, the breakdown tells you how much you will be paying month-on-month (assuming no changes in interest rates) for the length of the mortgage. So they were told what they were getting into.