mike-s Posted July 1, 2013 Share Posted July 1, 2013 Has anyone noticed that chem1st starts these threads and then never contributes to them again??!!. Link to comment Share on other sites More sharing options...
Rupert_Baehr Posted July 1, 2013 Share Posted July 1, 2013 We always bought at fixed rates. A comparatively new concept in the UK - and often the rates in the UK are fixed for a fairly short period. I'm not sure but I believe you are stuck with the debt if you get foreclosed in UK, or so I've heard. Over here people have been able to negotiate a loan with little down payment and walk away from it when foreclosed. This has led to a lot of banks with a lot of empty houses, and little money available to all but the best risks. The banks were to blame for so much easy credit and have no right to cry foul when they lose out. Indeed you are. You can't just 'walk away' in the UK. Link to comment Share on other sites More sharing options...
poppet2 Posted July 1, 2013 Share Posted July 1, 2013 Has anyone noticed that chem1st starts these threads and then never contributes to them again??!!. Which threads would they be then? As far as this thread is concerned, no doubt he will make a contribution later, when the thread has run, similar to his other threads. Link to comment Share on other sites More sharing options...
Danny_Boy Posted July 1, 2013 Share Posted July 1, 2013 Which is what would have made it so attractive to the bank. I had a neighbour who owed about £1,500 in arrears about 15 years ago. The Halifax repossessed even though the market was flat. They just wanted their money. With prices now a few times higher they know they can make a killing. You do realise that when a bank takes possession of a property they don't actually make more money? They sell the property on as a distressed sale, keep what they are owed plus costs and then the rest goes to the person who was repossessed. It does work both ways though as distressed sales can end up at auction so if the sale price does not cover what is owed the person repossessed is still liable for the debt that is left. To be repossessed in this country the bank has to go to court to get a repossession order. No court in the land would grant this unless the bank had tried every other means to avoid it. For instance the person who only had two years on her mortgage there's far too much information missing here to make a judgement, she would have had the opportunity to pay interest only / extend the term of the mortgage / make reduced payments etc. Plus as someone else has already said you can insurance against loss of work if you choose not too that's your risk to take. I'm not one for defending banks but people shouldn't just join a lynch mob because someone posts saying they once knew someone who had their house repossessed. Link to comment Share on other sites More sharing options...
truman Posted July 1, 2013 Share Posted July 1, 2013 Would have probably been ann endowment mortgage. So the monthly payments would have been paying off the interest only. If there was an endowment there would have been an amount in there to pay the capital off.. maybe not all of it bit a good whack after 23 years.. Link to comment Share on other sites More sharing options...
Jeffrey Shaw Posted July 1, 2013 Share Posted July 1, 2013 There was only two years of payments left to pay so the remaining debt must have been very small in comparison to the value of the property. Only if it was a mortgage on the repayment basis, as opposed to an endowment mortgage or any other interest-only basis. Link to comment Share on other sites More sharing options...
sedith Posted July 1, 2013 Share Posted July 1, 2013 In my opinion renting is chucking money away, no security of tenure, repairs done at the landlords discretion at a time to suit them. Chem1st I assume lives in rented property and thinks everyone should follow his lifestyle. Link to comment Share on other sites More sharing options...
maxmaximus Posted July 1, 2013 Share Posted July 1, 2013 Only if it was a mortgage on the repayment basis, as opposed to an endowment mortgage or any other interest-only basis. Good point, in this case if they didn't have a final repayment method, and just stopped paying the interest, then the bank had every right to repossess and get their money back. Link to comment Share on other sites More sharing options...
buck Posted July 1, 2013 Share Posted July 1, 2013 I've heard much talk about needing food more than a home on this thread, but the consensus is that renting is more expensive than buying. So do you now choose to live under the arches while you munch on your MickyD's. Link to comment Share on other sites More sharing options...
ccit Posted July 1, 2013 Share Posted July 1, 2013 Many years ago we scrimped, saved and did without in order to pay off our mortgage early. It was the best thing we ever did. Overpaying on a mortgage is still recommended (if possible). There is nothing like the freedom and peace of mind that owning your own home gives you, especially when pension age is reached and you are no longer able to work. Link to comment Share on other sites More sharing options...
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