Mortgage Debt Arrears improving markedly

Graham_Devon

Joeskeppi wrote: »

Eh? People on SVRs got shiny new rates yes.

And this is precisely the reason this forum is now pointless.

You know full well we are talking of switching, so, to play the man and not the ball, you switch to suggesting you don't understand what's being said.

As I said, this is all pointless, it's far more about personalities than it is reality. Half of you are living in a fairyland where you pretend to be financially aware, but then pretend you don't even get the context of the discussion you have been involved in in the last 2 pages.

Graham_Devon

IveSeenTheLight wrote: »

Higher LTV's does not mean they are 'stuck on SVR'.

I'm guessing you mean those that do not meet the current mortgage requirements and have finished any mortgage term they might have initially been on?

In otherwords, those with less than 10% equity and savings.

It would still be interesting to know how many of them there are and unless we are able to, we'll never be able to put them in context or understand their weighting on the market.

Exactly. And rising rates could well mean other problems in the economy, and lending gets restricted. As we saw in 2007/8.

Rising rates doesn't neccesarily mean everything stays as it is now and people just switch and it's happily ever after. For a start, notr everyone will be able to switch, there just won't be the required funds for the banks to lend. They certainly won't switch all their lending to fixed interest rates, it would be suicide for the banks. They simply wouldn't be able to secure such funding to allow everyone to switch as soon as rates rise.

When rates do rise, the fear will be they rise further, quickly. What's the point in pretending banks will all of a sudden become your best friend and won't alter services offered....meaning you have lost your chance to fix?

It would be nice to have a decent conversation on this, but alas, that point has passed in the ever boring personality contest.

IveSeenTheLight

Graham_Devon wrote: »

It would be nice to have a decent conversation on this, but alas, that point has passed in the ever boring personality contest.

It would indeed Graham.
Please take the time to review the posts.
I've only asked questionsto understand the context better and tried to understand the point you are trying to make.

Graham_Devon wrote: »

Exactly. And rising rates could well mean other problems in the economy, and lending gets restricted. As we saw in 2007/8.

The general perception is that the rising rates will occur when the economy has sustained growth.

You refer to 2007 / 2008. What heppened then? As the economy turned they started lowering rates.

I'm sure this has been said many times, but the general perception again is that rates will be raised slowly in order to verify that the economy can handle the higher rates.

If the economy turns again after doing so, what do you think they will do? My guess is that they would lower them again, as they did a few years ago.

P.S. Does anyone know if we can get data on mortgage holders with less than 10% equity. I'm genuinely interested to understand what percentage this makes of homeowners.
The talk has been about debt being paid down, potentially those with < 10% equity may be reduced as people pay down their mortgages.

P.P.S. Graham, again when rates rise, the perception is that as it is a result of the economy growing, house prices are also likely to rise, thus increasing the chances of people haqving at least 10%.
It may also transpire that lower LTV products become available.

Graham_Devon

IveSeenTheLight wrote: »

It would indeed Graham.
Please take the time to review the posts.
I've only asked questionsto understand the context better and tried to understand the point you are trying to make.



The general perception is that the rising rates will occur when the economy has sustained growth.

You refer to 2007 / 2008. What heppened then? As the economy turned they started lowering rates.

I'm sure this has been said many times, but the general perception again is that rates will be raised slowly in order to verify that the economy can handle the higher rates.

If the economy turns again after doing so, what do you think they will do? My guess is that they would lower them again, as they did a few years ago.

I believe we have learnt a lot from general perceptions.

What we have learnt, is that they are usually wrong. By quite some margin too, just look at the Eurozone and how that was all planned to go. Still the general perceptions from economists and politicians get it wrong time and time again. I don't know if you agree or disagree, but if you disagree, I think that will be the fundemntal sticking point in most discussions.

System

Graham_Devon wrote: »

And this is precisely the reason this forum is now pointless.

You know full well we are talking of switching, so, to play the man and not the ball, you switch to suggesting you don't understand what's being said.

We're talking about people who are timing when to fix, suggesting they currently aren't fixed now, IE sitting on SVRs.

One of us doesn't understand the conversation that's for sure.

RenovationMan

wotsthat wrote: »

Out of interest - have you ever remortgaged?

From what I remember of his outrage at the recent SVR increases, Graham is one of the few people who are stuck on SVR, rather than choosing to remain on SVR while they weigh up their options. I assume he is falling into the trap of believing that he is the norm and so everyone is like him and stuck on SVR too.

How someone who has such a poor grip on his finances can have such definitive views on how others should manage theirs correctly is completely beyond me. All I know is that I'd much rather listen to the advice and views of successful people, than the ill researched, ill advised ramblings of people in dire financial straits like Graham and the other internet fringers.

ess0two

Remember folks,its Devons way or no way.

wotsthat

Graham_Devon wrote: »

It would be nice to have a decent conversation on this, but alas, that point has passed in the ever boring personality contest.

A conversation about what? The OP which you been desperately avoiding or remortgaging which you don't seem to have any experience of?

System

Graham_Devon wrote: »

Rising rates doesn't neccesarily mean everything stays as it is now and people just switch and it's happily ever after. For a start, notr everyone will be able to switch, there just won't be the required funds for the banks to lend.

Why will they need more funds if people are switching deals? The balance remains the same.

Graham_Devon

wotsthat wrote: »

A conversation about what? The OP which you been desperately avoiding or remortgaging which you don't seem to have any experience of?

The sort of convo ISTL is managing right now.

Not the sort where renoman simply makes things up about you (nice to know I'm in financial dire straits though) and then attack you on what they have just randomly made up.