House Prices To Rise By 20%...

Graham_Devon

chucky wrote: »

but that's the point - if you do lose your job you then pay the mortgage off, only pay off the mortgage when you need to or you don't get a decent return on your savings.

why be in such a rush to pay off the mortgage when you could be earning a better return on your investments elsewhere?

The point, which was being argued, was actually having a loan on your home is better than owning it outright.

This argument was based on losing your job the same month as you have just paid off your mortgage, and having no cash. Whereas if you had savings and a loan you'd be ok.

Problem being, to get those high returns, outweighing your mortgage rate, you won't have instant access. Hence no one responded to my query about where such products were, and Julie's off to other threads explaining that no building actually means building and so on.

andykn

chucky wrote: »

but that's the point - if you do lose your job you then pay the mortgage off, only pay off the mortgage when you need to or you don't get a decent return on your savings.

why be in such a rush to pay off the mortgage when you could be earning a better return on your investments elsewhere?

Because I don't believe there have been many months when you can invest your money safely with a greater tax free return than your mortgage interest. It's better off offsetting your mortgage almost always.

IveSeenTheLight

julieq wrote: »

I'll do this in reverse order.

The likelihood of someone being long term unemployed is reasonably high.

can I just stop you there.

"The likelihood of comeone being long term unemployed is reasonably high"

Is it?

I'd be interesting to see a statistic of long term unemployed as a percentage of those in employment.

I'd be even more keen to see a statistic of those made long term unemployed after owning their home outright.

In my experience, those that own their home outright have had a very good employment record and are well on their way to retirement. Indeed many have found that the savings they made after owning outright allowed them to then escalate their retirement age to have the option to retire early thus not having to worry about employment

chucky

hey Brit i think you may have missed this post by accident

brit1234 wrote: »

Should hopefully have another negative Halifax figure this Thursday

hahahaha another one of Brit's predictions completely wrong - 100% consistent

do me a favour Brit - update the below please....

brit1234 wrote: »

Here you go :j

Nationwide
Mar + 1.0%
Apr + 1.1%
May + 0.5%
Jun + 0.1%
Jul - 0.5% :j:beer:
http://www.nationwide.co.uk/hpi/historical/Jul_2010.pdf

Halifax
Mar + 1.0%
Apr - 0.1%
May - 0.4%
Jun - 0.6%
http://www.lloydsbankinggroup.com/me...dexMay2010.pdf

Land Registry
Mar - 0.3%
Apr +0.2%
May - 0.2%
Jul + 0.1%

Acadametrics
Mar - 0.5%
Apr - 0.7%
May - 0.2%
Jun - 0.5%
http://www.acadametrics.co.uk/acadHousePrices.php

actually - i've just done it for you because i can't see you wanting to do that

Nationwide +2.20%
Halifax -0.10%
Land Registry -0.20%
Acadametrics -1.90%

chucknorris

HAMISH_MCTAVISH wrote: »

I ain't bumbing any threads......

Although I may have bumped this one.

Guys please stop bumbing this thread, it upsets the bears

HAMISH_MCTAVISH

chucky wrote: »

that's because i don't agree with everything in her post.

the logic about efficient use of savings and ploughing it into becoming morgage free is correct.

just ask Stevie - he did it and regrets it now.

Depends on a lot of other factors. I agree everyone should keep a cash buffer in place, and at some times (like now) it's possible to get a higher return on savings than an old mortgage tracker or low SVR. That isn't always the case though.