my mortgage is so large, i will never be mortgage free

Pobby

The average interest rates for many years was a touch over 8%. There were big rises in the 70`s and early 90`s that were put into place because of inflation.

I do hold this government to blame as Brown clearly stated that he wouldn`t allow the housing market to get out of control. This was at a time when people were still recovering from the last housing crash. There has for years been government intervention when things were getting out of control. I remember wage freezing in the 70`s for example.

A combination of rocketing house prices and loose lending could only go one way and we are there. the BOE rate @ 0.5% is desperation. A rate that has stopped an economic implosion. Risky political move as Brown has alienated many older voters, many of whom depend on savings. This isn`t any sort of long term policy but based on a state of emergency.

When inflation returns what will they do then?

Treadmill

I bought in 1998 for £43000 and sold in 2008 for £135,000, leaving me a nice chunk of equity to buy this house I'm in now, that was apres 1997 so I'm not going to be villified... cool

Don't be a hater OP

setmefree2

This is the Increase in the UK population:-




This is house building in the UK:-





This is small Island. Most of its cities are surrounded by Green Belt land on which noone can build. Fundamentally, there is a housing shortage, which is why house prices are rising in the middle of a recession imho.

You can blame who you like for high houses prices but it won't change the fundamentals.

Mine's_a_guinness

Nobody forces you to get a mortgage - it's your own choice. House buying is a risk - just like buying shares. We've been through very high interest rates (15/16% with first house) but are now enjoying low interest rates. One thing we have never done is take on something we can't afford. Too many people today think they have to have it all, and they have to have it now. Keeping up with the Jones's is a dangerous thing to do. Don't forget the flip side, when interest rates were high savers were getting fantastic rates. I am now in a position (luckily) where I have some savings but getting very little interest on them. I don't complain about it 'cos that's life! Stop whingeing and get on with life.

StuartGMC

Why only consider 1997 as a cut-off? As two graduates working full-time we couldn't afford a 2-bed mid-terrace in Wantage in 1989. Recession came, I lost my job in 1992 (no redundancy) was lucky to get a job two months later and we bought in Oct 1994. People were still being repossessed then.

We put down a 29% deposit having saved very hard, we considered interest rates could go back to 13% which had been an average for some preceding years against expectation of inflation running at say 5% and NO pay rise to know what we could afford to buy in OUR CHOICE to become home owners.

We are about to pay off mortgage now 10yrs early, again via hard work and expectation of no hand-outs.

TWH - Take responsibility for your own life and decisions you have chosen to take. Don't moan; if our society is not one you like, move elsewhere, perhaps Cuba would suit you?

Jonbvn

vaporate wrote: »

Scanderlous is the word you're looking for. I refuse to pay such an amount, even with a mortgage.

Nobody is forcing to buy your house? Furthermore, house ownership is not a right?

BTW, with that spelling, you really should be in school.

Jonbvn

The_White_Horse wrote: »

i'll pay it off, and perhaps a few years early to boot. but not like the people on here with their 40-100k mortgages, able to overpay 100% a month.

Sorry but this is a massive incorrect generalisation. We bought in 2006 for £400k. However, we have the income to make massive overpayments and/or save.

You clearly have the politics of envy.:rolleyes:

benbenandme

We bought our first flat in 2001 for £105,000, £(85,000 mortgage). Sold it and got a house in 2004, bought for £198,000 (mortgage £130,000). Sold it when ex left and got a flat again in 2007, £162,000 (mortgage £60,000). Mortgage currently approx £42,000 and yes I overpay almost 100% each month but this is because I'm careful with my money and have been overpaying for a couple of years. I didn't buy pre-1997 and see absolutley no reason why these people should have to help anyone out now. How about instead of whingeing about your mortgage you spend your time more productively looking for ways to reduce it?

meaniegreenie

Thats a shame white horse can you let us know how they forced you into taking out such a high mortgage you cant afford? was it gordon in person or one of his conspirators at the building society?...... this made me laff!!!:rotfl:

weezl74

The_White_Horse wrote: »

I'll pay it off, and perhaps a few years early to boot. but not like the people on here with their 40-100k mortgages, able to overpay 100% a month.

We bought in 2002 and had mortgage of 171000 plus loans of 10000 for renovations.
Now have £67000 remaining.

It is possible, hang in there, you can do it!

MFW is a great place to come for inspiration