Its all over

[Stumpy Tim]

What does "investing sensibly" mean though? Getting a mortgage for even a single buy-to-rent flat isn't investing, it's using a money-lender's cash to take a punt that house prices will continue to rise.

If you can manage to pay two mortgages to term without any problems even if you can't find a tenant, then great. Trouble is, this is not the basis on which the vast majority of buy-to-rent mortgages have been arranged,

Not at all. As long as rent covers the mortgage then you're on a winner. Doesn't matter if house prices go up or down - your mortgage is paid and you make a profit. You are NOT taking a punt on house prices rising (unless your stupid enough to go for Interest Only).

I'm a bit conservative in that I want to know I'm okay during bad times, so I have kept some money behind. But there's no difference between sticking your money in housing than the stock market. I've seen a lot of my mates lose thousands on the stock market recently. They just had no clue about the stock market and lost loads. I don't get that mentality

 

[Couldn't Be Hyypia]

The actual total mortgage advances in the UK are approx £1,216 billion.

Thanks. So I'm out by a factor of two. Not bad for a fag packet calculation. It's still many many times more than the Govt. have put into shoring up the banks so far which is the point I was making.

 

[Nibble]

Might be all over for US at present but most people are gonna be alright. Just hold tight.

 

[Trufflehound]

We'll all be fine as soon as Chuck Norris gets wind of the problem. He'll just batter the economy back into shape.

 

[The Spanish]

Might be all over for US at present but most people are gonna be alright. Just hold tight.

just hold tight everyone.

Dailymotion - MC Hotwheels, a video from thewebshite. mc, hotwheels, uk, garage, rap

 

[London Calling]

Following the problems in the sub-prime lending market in America and the run on Northern Rock in the UK, uncertainty has now hit Japan.

In the last 7 days Origami Bank has folded, Sumo Bank has gone belly up and Bonsai Bank announced plans to cut some of its branches.

Yesterday, it was announced that Karaoke Bank is up for sale and will likely go for a song, while today shares in Kamikaze Bank were suspended after they nose-dived.

While Samurai Bank is soldiering on following sharp cutbacks, Ninja Bank is reported to have taken a hit, but they remain in the black.

Furthermore, 500 staff at Karate Bank got the chop and analysts report that there is something fishy going on at Sushi Bank where it is feared that staff may get a raw deal.

 

[Curious Orange]

So, we make everyone a millionaire based upon our gold reserves. Great idea. Oh shit, Gordon 'Prudence' *snigger* Brown sold shed loads at knock-down prices

That's okay though, 'cos he replaced the gold by stealing everyone's pensions....

oh...

 

[Lokki 7]

(unless your stupid enough to go for Interest Only).

Why is that stupid? If you have a well funded buy to let mortgage, why do you need to pay off the loan? The interest payment is deducted from your rental income for tax purposes, but the reduction in the loan amount is not. I took out my first buy to let in 2001 and it has been interest only since then with excellent results. In fact most professional landlords do it this way, I would say it is more stupid to repay the loan before you are ready to sell the property.

 

[Stumpy Tim]

I took out my first buy to let in 2001

But JIMOTHY, you ARE stupid. Why bother arguing?

 

[Bozza]

You watch the markets tomorrow.

FTSE-100p 32 points as I type.

Your post suggests you expected different.

 

[Titanic]

Thanks. So I'm out by a factor of two. Not bad for a fag packet calculation. It's still many many times more than the Govt. have put into shoring up the banks so far which is the point I was making.

Indeed... what's £2,656 billion between friends?

 

[Lokki 7]

But JIMOTHY, you ARE stupid. Why bother arguing?

Good point well made.

 

[Uncle Spielberg]

FTSE-100p 32 points as I type.

Your post suggests you expected different.

Suprised yes but it lost over 5% yesterday. I think think it will end up around 4000 by the end of the week.

 

[Uncle Spielberg]

Might be all over for US at present but most people are gonna be alright. Just hold tight.

I am glad you are enjoying my plight you bastard

 

[Uncle Spielberg]

Not at all. As long as rent covers the mortgage then you're on a winner. Doesn't matter if house prices go up or down - your mortgage is paid and you make a profit. You are NOT taking a punt on house prices rising (unless your stupid enough to go for Interest Only).

I'm a bit conservative in that I want to know I'm okay during bad times, so I have kept some money behind. But there's no difference between sticking your money in housing than the stock market. I've seen a lot of my mates lose thousands on the stock market recently. They just had no clue about the stock market and lost loads. I don't get that mentality

Tim over 95% of buy to let mortgages are conducted on interest only.I agree with Lokki. A residential mortgage should be repayment a buy to let should be interest only unless you can afford repayment but theres no need to have a repayment mortgage.

 

[User removed 4]

I am glad you are enjoying my plight you bastard

i think he might have meant the usa ?? but i will stand by to be corrected if im wrong .