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Martin Lewis on the agenda ripping Osbourne to shreds
Comments
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Never heard of it.
Never heard of what happened with Option Arm or Alt A mortgages. lol
Definition of 'Alt-A'
A classification of mortgages where the risk profile falls between prime and subprime. The borrowers behind these mortgages will typically have clean credit histories, but the mortgage itself will generally have some issues that increase its risk profile. These issues include higher loan-to-value and debt-to-income ratios or inadequate documentation of the borrower's income.
http://www.investopedia.com/terms/a/alt-a.asp
Now after what happened in the USA with Alt-a and option arm mortgages do you still state Martin was speaking sensationalist journalistic nonsense when referring dangers of to Help to Buy and high LTVs at current low interest rates?Highlighting risks doesn't make them any more or less likely to happen.
Highlighting potential risks is part of any business continuity or emergency planning. The vulnerabilty percentage is easy produce with today's access to various data. So we can make a reasonable estestimate at the vulnerable number per rise in mortgage rates. What we can't predict is the trigger of higher interest rates or when that will occur but there are more than simply a BOE vote such as a credit crunch in China.
There is a sizable population at risk and it is growing under Help to buy, Martin was simply highlighting that and right too.:exclamatiScams - Shared Equity, Shared Ownership, Newbuy, Firstbuy and Help to Buy.
Save our Savers
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Never heard of what happened with Option Arm or Alt A mortgages. lol
Definition of 'Alt-A'
A classification of mortgages where the risk profile falls between prime and subprime. The borrowers behind these mortgages will typically have clean credit histories, but the mortgage itself will generally have some issues that increase its risk profile. These issues include higher loan-to-value and debt-to-income ratios or inadequate documentation of the borrower's income.
http://www.investopedia.com/terms/a/alt-a.asp
Now after what happened in the USA with Alt-a and option arm mortgages do you still state Martin was speaking sensationalist journalistic nonsense when referring dangers of to Help to Buy and high LTVs at current low interest rates?
I've spent literally 5 whole minutes researching Option Arm mortgages and reckon I'm as informed as Martin Lewis on the subject.
You do realise that Option Arm mortgages have almost nothing in common with the UK mortgage market or HTB.
So yes the first thing you should consider when hearing about a ticking time bomb is that someone is attention seeking.
Highlighting potential risks is part of any business continuity or emergency planning. The vulnerabilty percentage is easy produce with today's access to various data. So we can make a reasonable estestimate at the vulnerable number per rise in mortgage rates. What we can't predict is the trigger of higher interest rates or when that will occur but there are more than simply a BOE vote such as a credit crunch in China.
There is a sizable population at risk and it is growing under Help to buy, Martin was simply highlighting that and right too.
Did Martin say the risk was and how much has it grown?
There are always risks and alway people highlighting them - there's never been a perfect time (and never will) to buy and nor will taxpayer risk ever be zero.
I knew nothing about alt a or ctl-alt-dlt mortgages and have just bought houses as and when I needed/ wanted too. That's what most people do and it works out just fine. Not least because if you want to buy a house what's the point of not buying one?
Now you know all about this stuff and are on top of the risks via YouTube - what is the size of the crash you'd currently need to break even?0 -
Trying to compare the Real Estate/Mortgage market in the U.S. with the markets in this country, is akin to trying to call yesterdays storm a "Hurricane"
They are not similar, and it wasn't a Hurricane :eek:
Talking absolute !!!!!!!! about Alt-A and Option-ARMS and other things you have no knowledge or experience of, does not add any credibility to your warnings about the UK Mortgage market.
If you want people to take you seriously stick to the facts and things you might possibly have an understanding of, and don't confuse and muddy your arguments with stuff you don't have a clue about.
And yes, you would be rather stupid if you didn't have at least some concerns over the sustainability of the current UK Mortgage market.'In nature, there are neither rewards nor punishments - there are Consequences.'0 -
Highlighting potential risks is part of any business continuity or emergency planning. The vulnerabilty percentage is easy produce with today's access to various data. So we can make a reasonable estestimate at the vulnerable number per rise in mortgage rates. What we can't predict is the trigger of higher interest rates or when that will occur but there are more than simply a BOE vote such as a credit crunch in China.
There is a sizable population at risk and it is growing under Help to buy, Martin was simply highlighting that and right too.
Looking at risk in isolation is about as much use as an ash tray on a motor bike, you have to also consider and balance that risk against the potential reward.Chuck Norris can kill two stones with one birdThe only time Chuck Norris was wrong was when he thought he had made a mistakeChuck Norris puts the "laughter" in "manslaughter".I've started running again, after several injuries had forced me to stop0 -
Talking absolute !!!!!!!! about Alt-A and Option-ARMS and other things you have no knowledge or experience of, does not add any credibility to your warnings about the UK Mortgage market.
If you want people to take you seriously stick to the facts and things you might possibly have an understanding of, and don't confuse and muddy your arguments with stuff you don't have a clue about.
Brit provided a YouTube clip - there surely can't be anything else to know about the subject?
This time yesterday I'd never heard of these things - I can't believe I've been so blind!0 -
Never heard of what happened either either but there was this thread that was great comedy value.Never heard of what happened with Option Arm or Alt A mortgages. lol
Option ARM timebomb set to explode....
https://forums.moneysavingexpert.com/discussion/1692639
The world was meant to end in 2011, it never did...0 -
Brit doesn't do reality.Talking absolute !!!!!!!! about Alt-A and Option-ARMS and other things you have no knowledge or experience of, does not add any credibility to your warnings about the UK Mortgage market.
If you want people to take you seriously stick to the facts and things you might possibly have an understanding of, and don't confuse and muddy your arguments with stuff you don't have a clue about.0 -
chucknorris wrote: »Looking at risk in isolation is about as much use as an ash tray on a motor bike, you have to also consider and balance that risk against the potential reward.
Interesting analogy with ashtrays hence the reason cigarettes continue to be sold. Increased tax take and reduced state support in old age as people kill themselves prematurely."If you act like an illiterate man, your learning will never stop... Being uneducated, you have no fear of the future.".....
"big business is parasitic, like a mosquito, whereas I prefer the lighter touch, like that of a butterfly. "A butterfly can suck honey from the flower without damaging it," "Arunachalam Muruganantham0
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