'We've reached a tipping point' Signs of house price weakness

Crashy_Time

chucknorris wrote: »

That went right over his head (the fact that it was rent saved, not equity), he doesn't seem to be able to comprehend what has been said on this thread.

Hamish spouts rental figures that are optimistic to say the least. My rental bill for central Edinburgh is about 80k for 17 years, yet Hamish has saved 100k on rent in Aberdeen in how long?

Crashy_Time

IveSeenTheLight wrote: »

plus 16 years FREE rent

How is someone on I.O getting free rent? They are renting from the bank, or more accurately, renting the money from the bank and doing all their own repairs.

System

saguk1234 wrote: »

You fossils jump up and down loving HPI but spare a thought for us youngsters who are now stuck between a rock and a hard place. Rent forever or be a slave to huge debt.

You should speak to Crashy Time. Renting is great and saves you a fortune.

Crashy_Time

chucknorris wrote: »

All my mortgages are interest only, I don't see what the problem is, I'm perfectly happy with them.

Is the bank also perfectly happy with them?

Percy1983

Crashy_Time wrote: »

Hamish spouts rental figures that are optimistic to say the least. My rental bill for central Edinburgh is about 80k for 17 years, yet Hamish has saved 100k on rent in Aberdeen in how long?

When I made an example I reduced rent to £350 per month and didn't apply inflation and I was still better off buying....

Crashy_Time

ukcarper wrote: »

But the person who bought it has still done better than you I notice you ignore all the figures that show how much better off people who bought are I suppose it's to upsetting.

http://www.rightmove.co.uk/house-prices/detail.html?country=scotland&locationIdentifier=POSTCODE%5E1071618&searchLocation=EH11+2LA&referrer=landingPage


http://www.rightmove.co.uk/property-for-sale/property-44904080.html

IveSeenTheLight

Crashy_Time wrote: »

How is someone on I.O getting free rent? They are renting from the bank, or more accurately, renting the money from the bank and doing all their own repairs.

If it was IO, then their (bank) rent would be far cheaper than the market rent. Probably about 1/2 the market rent, with the market increasing over the 16 years whilst the (bank) rent remains static on the IO.
Actually the (bank) rent would have reduced over those years as people have capitilised on low rates.

Your not making a good effort to sell that the benefits of renting exceed the benefits of buying.

Each goalpost you move to finds your new proposal just as bad as the previous one.

Rota

Crashy_Time wrote: »

Is the bank also perfectly happy with them?

They haven't called them in. Think that's your answer.

chucknorris

Crashy_Time wrote: »

Is the bank also perfectly happy with them?

Probably not because I am only paying 1% interest, so they can't be very profitable, but they are low risk only about 25% LTV. I'll probably be paying them off when interest rates go back up. I may have to do that anyway as recently I have been considering renting to the council instead of selling up when I retire, and I'm not sure how my lender would feel about me renting direct to the council on 3 year contracts.


EDIT: The advantage of renting to the council is that they would take over the management role, leaving me free to spend the winter in Spain/Algarve. This would allow me to keep the properties another 5-10 years and sell up in my 70's rather than 60's (but obviously depending on the market of course).

System

The biggest argument buster is that if renting was so wonderful your average normal human wouldn't create a username called "Crashy Time" and spent their days worrying about the prices of things that they have no interest in.