My Interest rate gamble pays off again!

homelessskilledworker

Pobby wrote: »

Love the thread. Should be " My willy is bigger than your willy " All these astute people ( cough cough ) that got in and out of investing " just at the right time " can`t believe how clever they are. Some have only a £250,000 mortgage.

Interest rates will be low for ever! Who in this world can even see this coming. I said on another thread that we are living in a world of complete insecurity. I wouldn`t start knocking people as being as astute as you think you are. You might, yes might, one day regret that. I hope not but many are going through the wringer right now.

In my 60`s and proud of working all my life, yet due to illness my business is gone. I know many in middle age who have lives changing. Unemployment, divorce and death.

Might I suggest that a number of posters here take on board that they have entered a gamble. Certainly larger than I can think of since the dreadful period of the late 80`S when interest rates went through the roof. I really cannot see the point of attacking each other. There are far bigger forces out there.

Maybe take a break, open your minds a little, and see what happens.

One of the best posts I have read on this hate filled know it all bun fighting board

Graham_Devon

wotsthat wrote: »

Question: at the time you bought your house were you posting here? If you were I can almost guarantee that you will have been saying that buying wasn't cheaper than renting and house prices were 'simply' too high. And yet you bought.

I know the point you're making though. My view is that if someone wants to buy a house, has the finance, deposit and thinks they've got a decent deal on a house they like then the time to buy is now whether that 'now' was in the nineties, 2007 or today. If a house falls in value it doesn't necessarily follow that the decision to buy was unsound.

Of course it's less of a difficult decision if you're moving house because even if you buy at peak you'll have just sold at peak so that balances things out somewhat.

I don't think I was posting here, no. Think I started posting in around 2007. Though joined in 2005 to ask one question if I remember rightly.

When I bought, I couldn't have cared less about the economy to be honest.

RenovationMan

Graham_Devon wrote: »

Question: How does anyone know, when buying something, that it's peak price?

Until of course, time moves on and you can use hindsight?".

Exactly my point:

RenovationMan wrote: »

You can only determine whether any decision, financial or not, was astute in hindsight. If rates double tomorrow then my decision was not financially astute. If rates stay the same, allowing me to continue to pay down my mortgage and get a low 10 year fix, then my decision was financially astute.

I'd add to this that and say that (obviously) you can improve your chances of making an astute financial decision by doing some research.

You were the one who asked the question of whether you were astute in 'buying what you could afford'. I answered your question and said that I didn't think so. Don't start crying now just because my answer is not what you were hoping to hear. I ask again, DO YOU THINK YOU WERE FINANCIALLY ASTUTE TO BUY A SHARE IN A HOUSE AT PEAK PRICES. Naturally, you'll keep wriggling and flipflopping about to avoid the question, throwing mud around to muddle the discussion, but we all know what you are up to.
Originally Posted by Graham_Devon
As dervprof suggests....financially astute would be buying what you can afford?

Graham_Devon wrote: »

You do realise I can buy the other share cheaper now...don't you? So if I wanted to, as prices have decreased, I could buy the next half cheaper than I did the first, rather than buying 100% at peak price.

As I say, advantages and disadvantages, but absolutely none of this has anything to do with how financially savvy you. All your boring slurs are based on hindsight. Though still biting you on the bum as I can now buy the other half at a "discount".

You do realise that if you had put a bit of research BEFORE buying, instead of haunting this forum for 40,000 posts AFTER buying then you could have bought the share in the house for much cheaper, bought a larger share or indeed not have to buy a share at all.

As far as 'boring slurs', all I have done is answer your question, something you seem incapable of doing yourself. :cool:

Were you right to buy a house when you did? -Who knows/cares, the decison to buy a home is based on a miriad or different factors. Were you financially astute to buy a home when you did? Personally, I don't think so.

wotsthat

Pobby wrote: »

Love the thread. Should be " My willy is bigger than your willy "

That thread sounds familiar. It sounds like one Foxy would start except there would be a reference to frightened bulls and bears in the title too.

RenovationMan

wotsthat wrote: »

That thread sounds familiar. It sounds like one Foxy would start except there would be a reference to frightened bulls and bears in the title too.

I loved how he started his post attacking people he sees as 'Bulls' and then ended the post by berating us all of attacking each other. It showed a delicious lack of self awareness and complete hypocisy. :rotfl:

One would have though Pobby had realised by now that this is a discussions board, not a support board. Perhaps he really should frequent the debt board for (((((((HUGS)))))).

Pobby

Repro. I offer an apology regarding my " dig " re the £250k mortgage. It was not really needed and each to his own.

As an older person, I need no forum hugs, I see very clearly an on going change of goal posts. It was easy as a youngster to buy. First house was a 3 bed semi . Both of us not on a lot of money but hey, 60 knicker a month in 1974 was very doable. BTW, that was less than 40 miles from London. I guess around 25% of our combined salaries.

Mind you magic inflation took over. Yes that sort of inflation that ended up in your wages. After a step up in 1978 our mortgage had doubled, our wages had maybe shot up by around 500%. 4 years later there was enough saved to pay it off. Around 30, the pair of us had been promoted and by the way inflation went then that really compounded the income. It was a one way street.

In those days buy to let was not really anything that was discussed. Looked good to have a pension. A private scheme did return quite a decent amount or so we were told. Then of course Thatch came along. economic revolution was it? Well of course that ended in tears. Massive hikes in IRs. A housing crash and endowment policies sold that were a disaster. I saw many loose their jobs and homes. In fact I really thought that house prices would only increase at a very gradual rate in the future as so many had been burned.

Then as we reached a more settled state, Nu Labour came along. With believable lies. I voted for them. What did they do? Supported the banks that have now got us into a state where who is trustworthy? Having seen social housing trashed by the Tories, that situation was far from reversed.

It can be argued that there is not enough housing around to supply demand. I tend to agree but the real problem, as I see it, is that it is not our fault but the ongoing problem from governments.

I don`t gamble. I come from an age where a deal was set up and completed. I certainly don`t like buy to let even although I have the money to do a couple of flats with no debt. I would just like to see a much saner situation and look at younger folk having the pleasure of buying a place of their own with enough income to enjoy life.

I do discuss a lot with kindred folk. My wife and I keep up very much with the news. I can only say, that events going on right now make me feel a bit uneasy.

RenovationMan

Pobby wrote: »

Repro. I offer an apology regarding my " dig " re the £250k mortgage. It was not really needed and each to his own.

As an older person, I need no forum hugs, I see very clearly an on going change of goal posts. It was easy as a youngster to buy. First house was a 3 bed semi . Both of us not on a lot of money but hey, 60 knicker a month in 1974 was very doable. BTW, that was less than 40 miles from London. I guess around 25% of our combined salaries.

Mind you magic inflation took over. Yes that sort of inflation that ended up in your wages. After a step up in 1978 our mortgage had doubled, our wages had maybe shot up by around 500%. 4 years later there was enough saved to pay it off. Around 30, the pair of us had been promoted and by the way inflation went then that really compounded the income. It was a one way street.

In those days buy to let was not really anything that was discussed. Looked good to have a pension. A private scheme did return quite a decent amount or so we were told. Then of course Thatch came along. economic revolution was it? Well of course that ended in tears. Massive hikes in IRs. A housing crash and endowment policies sold that were a disaster. I saw many loose their jobs and homes. In fact I really thought that house prices would only increase at a very gradual rate in the future as so many had been burned.

Then as we reached a more settled state, Nu Labour came along. With believable lies. I voted for them. What did they do? Supported the banks that have now got us into a state where who is trustworthy? Having seen social housing trashed by the Tories, that situation was far from reversed.

It can be argued that there is not enough housing around to supply demand. I tend to agree but the real problem, as I see it, is that it is not our fault but the ongoing problem from governments.

I don`t gamble. I come from an age where a deal was set up and completed. I certainly don`t like buy to let even although I have the money to do a couple of flats with no debt. I would just like to see a much saner situation and look at younger folk having the pleasure of buying a place of their own with enough income to enjoy life.

I do discuss a lot with kindred folk. My wife and I keep up very much with the news. I can only say, that events going on right now make me feel a bit uneasy.

Pobby, please re-read your own post. It spans 4 decades of your life and is just a litany of misery and regret. Surely something good happened both to your finances and your personal life in all that time?

I honestly think that with your issues, you'd be much better off finding some sort of hobby and going on discussion forums associated with that hobby (I've started playing guitar again and have had really enjoyable chats with helpful people on a large musicians forum). Even with my irrepressively cheerful disposition, the unrelenting misery poured out on this board sometimes gets me down. I can't imagine what it would do to someone with a more depressive tint to their personality.

What's done is done, Pobby. Wilson is dead, Thatcher barely know who she is, Tony Blair is one step away from a war crime trial. Let it go, stop worrying so much and enjoy your remaining years.

Pobby

The point I am trying to make is how very uncertain things are. By no means has my life been miserable, regrets, I have a few, who doesn`t.

There just seems an attitude by some posters of being !!!! sure of their actions and never to take into account what changes could take place out side of their control.

Actually music is a long standing hobby of mine including over 2 decades of public performance and some recordings. Heard only last week that a session I recorded some 30 years ago has been released as the band has reformed. Being 200 miles away I am afraid it is a no goer for me. Still it will be nice to obtain a copy.

Maybe my age but I guess I take many things with a pinch of salt and try to take nothing as granted.

RenovationMan

Pobby wrote: »

The point I am trying to make is how very uncertain things are. By no means has my life been miserable, regrets, I have a few, who doesn`t.

Glad to hear it and I agree, not many people don't have regrets. However, in the words of Baz Lurmann "It's better to have regrets about what you have done, that to regret what you haven't done.

Pobby wrote: »

There just seems an attitude by some posters of being !!!! sure of their actions and never to take into account what changes could take place out side of their control.

I assume you're including me in this, and I have to say that you've got it back to front. I'm sure of my actions because I take into account what changes could take place out of my control. Unlike many of the 'bears', my financial strategy changes and adapts with changes in the economy. I don't sit around waiting for the economy to change for me (like waiting for a housing crash that might or might not happen, and is unlikely to happen within agreeable timescales), I change my plans to suit the economy. When interest rates dropped to nothing, I didn't sit around moaning, I took advantage. When rates start to climb I won't sit around moaning I will grab a 10 year fix and blitz my mortgage. I

Pobby wrote: »

Actually music is a long standing hobby of mine including over 2 decades of public performance and some recordings. Heard only last week that a session I recorded some 30 years ago has been released as the band has reformed. Being 200 miles away I am afraid it is a no goer for me. Still it will be nice to obtain a copy.

You should look at starting up a new band. Did you play an instrument?

Pobby wrote: »

Maybe my age but I guess I take many things with a pinch of salt and try to take nothing as granted.

I'm the same, but there is a differentce between taking nothing for granted and being so afraid of bad things happening that you're stymied/frozen in indecision. Life goes on Pobby, even in a recession. You just have to roll with the punches and if life gives you lemons, make lemonade.

Pobby

Yep a braas player but mainly keyboards. Specialise in organ. Not the Blackpool Tower variety but jazz, blues and so on. I`m moving back to near London and already hearing about chances to play. Never made it big time but played support to the likes of Robert Cray, Georgie Fame Jan Hammer so all quite exciting. Plus the London circuit in the 80`s. Mean Fidler, The Greyhound, Camden Lock. Might mean something to someone of a certain age.

What style of guitar do you play? I have been in the retail and wholesale side of instrument selling for 40 odd years.

Sadly many are now falling by the way side. Always a shame when you here about old customers I visited as a kid having to shut shop. Some date back to the 19th century.