Mortgage rates rise for second time in days

owitemisermusa

Zammo wrote: »

As it happens I did buy 10 years ago, right in the trough.. :beer:

You'll be pleased to hear that I have no mortgage on that place anymore as I paid it off a few years ago, but it does provide me with a nice steady income from the rent, and security for a loan should I need even more cash to shore up my already considerable deposit.

Bring on the crash I say. I'm in a very good position to profit from it.

:beer::T:beer:

Zammo is a BTLer??????????

Stevenic

!!!!!!? wrote: »

I certainly won't be cheering HPI after I buy because I understand that it doesn't benefit me until it comes time to sell and trade down.

I'm glad to hear it, now if policies could be put in place to limit HPI in the future then the economy as a whole would be much more financially sound. The causes of the next bubble are starting to be sown but as always the short term planning of Governments will ignore the signs.

WTF?_2

owitemisermusa wrote: »

Zammo is a BTLer??????????

I think that what a lot of the ..

'house prices are just fine, nothing to worry about, anyone who says there is going to be a crash is some sort of bitter loser who missed out and is just jealous'

.. crowd need to appreciate is that us 'doom and gloom' bunch aren't saying what we are saying because we are getting at them personally.

In fact, most of us warning about the dangers of buying now either have bought in the past or will buy when it becomes sensible to do so, and that includes BTL ownership.

WTF?_2

Stevenic wrote: »

I'm glad to hear it, now if policies could be put in place to limit HPI in the future then the economy as a whole would be much more financially sound. The causes of the next bubble are starting to be sown but as always the short term planning of Governments will ignore the signs.

That isn't going to happen. Didn't happen after all the previous boom/busts in the housing market and the forthcoming bust will eventually turn to boom again - probably a decade down the line.

After a bust, people's memories of it preventing them from repeating the same stupid mistake. Until of course time has passed and a new generation comes 'on line' and it all starts again.

Zammo

owitemisermusa wrote: »

Zammo is a BTLer??????????

By accident rather than design. I let my house out a while ago in order to go travelling, since that circumstance has dictated that I have never needed to move back in.

mr.broderick

Zammo wrote: »

If prices fall 60% I'll be able to buy a really nice place outright. Even if they only fall 30% with the size of my deposit I'm not going to have any trouble finding a mortagae.

Not all of us have spent the last ten years mewing, buying 4x4's and racking up huge debts on credit cards. Some of us saw this coming and started getting prepared.

:money:

Yeah it's why you nearly bought a house a few months back..Hilarious.

Zammo

mr.broderick wrote: »

Yeah it's why you nearly bought a house a few months back..Hilarious.

Actions speak louder than words.

IveSeenTheLight

Zammo wrote: »

If prices fall 60% I'll be able to buy a really nice place outright. Even if they only fall 30% with the size of my deposit I'm not going to have any trouble finding a mortagae.

Not all of us have spent the last ten years mewing, buying 4x4's and racking up huge debts on credit cards. Some of us saw this coming and started getting prepared.

:money:

Correct, not all of us have MEW'd buying 4x4's and racking up huge debts.
I've bought a couple of properties and reduced the LTV such that i could sell one and be mortgage free.

Actually I've done this within the last 5 years. The 4 years before this I benefited from doing up a nice little flat and of course hpi to have enough equity to start again with a larger property.

If you foresaw this 10 yeaqrs ago and have saved up such a substantial deposit, wouldn't you be mortgage free by now if you bought back then.

Me thinks your crystal balls are not so crystal

LillyJ

LittleMissAspie wrote: »

Oh well there's the solution then. Let's all just buy one million pound houses with our high earnings and we'll be fine :rolleyes:

Nope I think you'll find they were 200 grand houses at the PEAK of the last crash. I was making the point that people who bought at the peak last time are laughing now. If you read the whole thread then you will take things in context.

IveSeenTheLight

owitemisermusa wrote: »

Zammo is a BTLer??????????

Why doesn't he do what he seems to be telling everyone else?
Sell at the top, buy at the trough.

If he sold his property now then theoretically his 40% deposit would become 140% deposit. In a crash, he may then be able to buy two properties outright with no mortgage.

Maybe subconciously he thinks that prices may not drop as low as some think ala 2005.:p

Maybe he wants to say I told you so in either scenario.
If there is a crash he would say "I told you so, my deposit is worth so much more now."
If there is not a crash he could say "I told you so, best to keep your BTL, like I did."

I think in your position I would do the same, hedge the bets, keep the BTL which is providing a long term income and hold on in case prices do drop.
If you find your ideal property and find the mortgage is similar to the rent, then it may not be a bad idea to get it.
You may find that with more competition for the properties when they are a lower price that you find a much more competative market in trying to find your ideal place.

Incidently, is your letted property in the same area as you now and if so do you collect more rent than the place you are living (renting) in?