UK debt crisis

michaels

I know lots of people who rent who have no property equity at all....and?

nickj wrote: »

i know 2 or 3 ftb's who have an interest only mortgage and have no way of paying the capital back .... it's going to take a long time to unwind

JonnyBravo

Graham_Devon wrote: »

It' £125,000 for those who actually hold the debt.

I.e. if you remove those people from the figures who hold no det at all.

Woooohooooo! So I hold less debt than average (of those who hold debt)! But only just.
Rental Mortgage=£120k
I'm not quite the debt junkie I thought I was.... mind, I hear there's a new measuring stick on that front anyway

RenovationMan

homelessskilledworker wrote: »

Scary RM

Mine is surplus £77k:)

Oh don't worry. Just like these surveys I seem to have only looked at the debt and neglected the assets. Which was pretty much the point of my post. Taking all of the debits and credits into account, I'm now suddenly in surplus too.

homelessskilledworker

RenovationMan wrote: »

Oh don't worry. Just like these surveys I seem to have only looked at the debt and neglected the assets. Which was pretty much the point of my post. Taking all of the debits and credits into account, I'm now suddenly in surplus too.

My £77k is sat there in savings and investments and not in property market.
I read posts like yours RM(along with family and friends) and I would feel gutted if and when we get a inevitable fall in property prices.

As for people like Wotsthat and joe(thingy) I am going to mtake great delight in their pain:)

RenovationMan

homelessskilledworker wrote: »

My £77k is sat there in savings and investments and not in property market.
I read posts like yours RM(along with family and friends) and I would feel gutted if and when we get a inevitable fall in property prices.

As for people like Wotsthat and joe(thingy) I am going to mtake great delight in their pain:)

Thanks for your concern but its fine. I got onto the property ladder in 1995 and so most of my equity is just HPI, perhaps your friends and family are in the same boat? If the market drops a bit it doesn't matter, it's not like I earned it.

Besides, short term movements in a market are irrelevent if you're in it for the long-haul, but you'd know that anyway from your savings and investment experience. We bought our dream house and we plan to stay here for 20 years. I'd prefer our mortgage to be smaller but these long-term low BoE rates are really helping us blitz it down.

The people I feel sorry for are those FTBers who have had to save up for years for a deposit only to watch it get eroded when they buy a house during these difficult times. That's real money that they have worked hard for, not HPI they gained sitting on their backsides enjoying their houses.

pqrdef

PaulF81 wrote: »

We dont. We create one great big bad bank, Haircut the lot, QE away the rest frittered away cash (mainly spent on junk) then bring back debtors prison for anyone getting back into debt after having used said bad bank.

We give fingers to the chinese, who did nothing about their trade surplus, we get rid of the debt drag on the economy and we end up back with Moral Hazard.

By which time, anybody who got out with any savings intact is keeping them in gold under the floorboards. GDP is down 50% and half the workforce is unemployed.

Prosperity isn't generated by moral hazard. It's generated by misplaced optimism.

wotsthat

homelessskilledworker wrote: »

My £77k is sat there in savings and investments and not in property market.
I read posts like yours RM(along with family and friends) and I would feel gutted if and when we get a inevitable fall in property prices.

As for people like Wotsthat and joe(thingy) I am going to mtake great delight in their pain:)

Foxy, time for a new login - this one's gone mental.

sims01

michaels wrote: »

I know lots of people who rent who have no property equity at all....and?

They don't generally need to take on a large amount of debt to be able to do that. A high LTV interest only mortgage without a repayment vehicle is essentially gambling on house prices.

JonnyBravo

homelessskilledworker wrote: »

My £77k is sat there in savings and investments and not in property market.
I read posts like yours RM(along with family and friends) and I would feel gutted if and when we get a inevitable fall in property prices.

As for people like Wotsthat and joe(thingy) I am going to mtake great delight in their pain:)

My willy is bigger than yours and so co-incidentally are my savings and investments.

Why the antipathy shown to wotsthat and joe?

RenovationMan

JonnyBravo wrote: »

My willy is bigger than yours and so co-incidentally are my savings and investments.

Why the antipathy shown to wotsthat and joe?

Its interesting that DervProf didn't come down on homelessskilledworker like a ton of bricks for 'bragging' about his £77k. Perhaps Derv has finally realised that this is a financial website and people discuss their finances? Or perhaps his distaste for people talking about finances is more selective? Down to a selection of 1 person, perhaps?

I just say good luck to homeless, it's a decent deposit on a house when he decided to buy.