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Posts posted by Letsdance

  1. I think partner A who holds the deed will have created a situation of allowing Partner B to correctly believe that they have a holding interest in the property and therefore creating an estopple.

    Estoppel in its broadest sense is a legal term referring to a series of legal and equitable doctrines that preclude "a person from denying or asserting anything to the contrary of that which has, in contemplation of law, been established as the truth, either by the acts of judicial or legislative officers, or by his own deed, acts, or representations, either express or implied."[1]

    This term appears to come from the French estoupail (or a variation), which meant "stopper plug", referring to placing a halt on the imbalance of the situation. The term is related to the verb "estop" which comes from the Old French term estopper, meaning "stop up, impede".

    Therefore a test of reasonableness would be applied and should favour Partner B

  2. If you are wanting for lower house prices you have no friend better than deflation.

    The "news" says it all over and Gordon was right all along but the reality has not changed: we are in recession and it is not getting any better.

    Inflation is, according to recent RPI, is the lowest since 2004 and getting worse, er, better.

    The only country to raise the rates is, IIRC, OZ. IF the governments thought inflation was real they would already be raising them as inflation is hard to contain once it takes hold.

    Lets strike a balance, theres a lot of mixed messages. However what concerns me is your lead on deflation. Deflation is damaging in the extreme, house prices are only a small part of this. I would prefer and would hope for a hike in IR. This I believe would kill off HPI and basically reboot the machine, we not going to get this with deflation, why even promote it for HPC reasoning?

  3. http://www.bloomberg.com/apps/news?pid=20601087&sid=aoi_z4t67FrY

    Pimco’s Gross Boosts Government Debt, Cuts Mortgages (Update2)

    Share | Email | Print | A A A

    By Wes Goodman and Susanne Walker

    Oct. 15 (Bloomberg) -- Bill Gross, who runs the world’s biggest bond fund at Pacific Investment Management Co., bought government debt last month and cut mortgage bond holdings to the lowest level since 2005 after he warned this year that the U.S. recession will lead to a period of less-than-average growth.

    Gross boosted the $185.7 billion Total Return Fund’s investment in Treasuries, so-called agency debt and other government-linked bonds to 48 percent of assets in September from 44 percent in August, according to Pimco’s Web site. The holdings are the most since August 2004.

    “We’ve exchanged our mortgages for the government’s check,” Gross, who is based in Newport Beach, California, said in an interview last month. He said he was buying longer- maturity Treasuries because of deflation concerns.

    Treasuries rose in July, August and September, offering their first three-month gain in a year, Merrill Lynch & Co. indexes show, as optimism waned about the pace of economic recovery. Federal Reserve Vice Chairman Donald Kohn said this week inflation and growth will probably stay below the central bank’s objectives for some time, warranting very low interest rates for an “extended period.”

    Deflation, a general drop in prices, enhances the value of a bond’s fixed payments.

    The Bond market is the most accurate predictor of future market behaviour. Bill rarely, if ever, makes a bad call in this area.

    The news is back to economy recovery, possible suspension of QE, interest rate rises, inflation and again RB looks for delfation. Getting rather like Sibley and massive HPI back in 4th Q 2008. Are you a bond trader? Do you have a vi for deflation???

  4. Been on here a couple of years now, don't post much but on every day reading the threads.

    Seems to me that no body expected what we have got now and where we are now!!

    2 years ago we were just hitting the top and expecting the drop into the black hole. As yet it has not happened (or has it). Nobody expected this bear or bull. The bears expected the massive fall, it should of happened, its happening in drips and draps, 2% here 3% there. Frustration is setting in. The bulls riding the wave 2 years ago also thought , christ this is for real,what do I do now. 12 months later confidence has returned somewhat. Both bears and bulls at the moment are in limbo. Nobody can predict next week, never mind next year.

    The hard core bears foretelling the FTSE sinking, banks crashing, Inflation, Deflation. The bulls Sibley, Valerius, Hamish jumping on the Express headlines.

    The government, Brown and Co, will either be saints or lunitics in 50 years. I don't know!! Nobody else does!!

    At this moment in time HPC.co.uk can not predict next week (forget next year), the threads reflect this. Interesting times. Can this site and all who contribute hold it together to see the next few years through. I say this as we have lost a lot of good posters during the last 12 months. Mick Dundee today.

    Can you accept this state of limbo?

  5. Prof Besley, who is standing down from the MPC in the autumn, said that the MPC "will need at some point to tighten policy through... raising nominal interest rates and 'quantitative tightening,' to make clear that upside risks to inflation can be headed off and to maintain a credible policy reaction function."

    This is the bit that does it for me. They are already talking about raising the interest rates. This guy leaves in autum and he will probably start promoting the tightening of the policy before he goes.

    Why you lot go on about "what recovery" bewilders me. Let them think we have got the green shoots they desperately desire. We are out of the mire and over the rainbow, all is well.

    SO GET THE BASE RATE UP. Then what do you think will happen.

  6. assuming the LTV, the record and computer valuation is in your favour.

    the SVR was off the website. i have no idea what fixers are coming off at.

    BL you are a knowledgable chap, is this the cast below

    So am I correct in assuming that say Lloyds and a&l are legally obliged to keep their SVR's at or about 2.5%. It is strange as Yorkshire and Clydesdale bank SVR 4.5% even is you are an exisiting borrower coming off a deal. In the light of things 2% is some difference.

  7. Yes - I think these low SVRs are only for existing customers at the end of their deals. The risks of a recklessly low base rate should have been hedged in the swap market when the mortgages were taken on, so the losses are being borne elsewhere.

    So am I correct in assuming that say Lloyds and a&l are legally obliged to keep their SVR's at or about 2.5%. It is strange as Yorkshire and Clydesdale bank SVR 4.5% even is you are an exisiting borrower coming off a deal. In the light of things 2% is some difference.

  8. This has always puzzled me when the rates came down some passed on , some partly passed on and some did nothing.

    Now the swap rate is going up fixed rates and trackers are being pulled and increased but the saving grace to the MEW crowd is the fact that the SVR's are so low. The bank is not doing good business with people on 2.5%. More and more are ending up on SVR and can not get another deal.

    Simple answer raise the SVR, one does it they will all follow suit.

  9. Not necessarily, assuming nothing's been signed to that effect. It's a common misconception. However, very difficult/impossible to sue councils.

    I would find it very unlikely the council will provide a compensation payment without a clause barring any further action. Something like this would have gone through the legal department which usually follows up from requests made from the ombudsman. Further to this claims are later audited at both a local and external level.

  10. I would sort this mess out before you move.

    Councils do talk to each other and make no mistake your local authority will ask for your previous council tax details, benefits records etc. Will only be a matter of time.

    Also if you accepted £70.00 compensation the chances are that would be a settlement on the basis of full and final without any future comebacks through a small claims court.


  11. Fair enough mate. Is it mortgeable around there though, on the bubble rates of 85% LTV? Or on the now current rates or around 75%?

    I bank with Yorkshire bank (part of NAB) when I bought this place I was restricted to 60% LTV. I have paid this off since however another property I owe £4k on and a small personal loan is cheaper than a mortgage. Couple of friends have remortgaged (not MEW) on similar properties (SR8 post code) which are their homes not BTL and to be honest they got a shock on the state of the mortgage market. C&G said no, Halifax £1k setup fee - could only get most 85% LTV think with coventry.

  12. Evenin all,

    I do BTL. Have done now since 2002. I was doing plant hire before then; JCB's, wagons and trailers in chemical plants and steel works. I found plant hire hard and very troublesome. Vehicles cost 20k plus and have a 3 to 5 year life span. Very high maintenance breakdowns frequent and repair bills high. After 5 years the vehicle is scrap. Did plant hire for 10+ years and decided to change houses, (late 90's). Sold plant did not renew contracts and bought houses. Plain simple terrace house in the NE of E. This works for me and find quite profitable. In the NE the council sold of the housing stock and the waiting lists are massive. I find the maintenance levels far easier than vehicles and rent is not on 90 days credit like the vehicle hire. 10 years ago I would now be changing a clutch on a digger not sat on the internet.

    Support the crash 100% got all too stupid. People I knew would say I bought a house last week how do I go about Letting. Daft thing is some did not now what a CP12 was, complete stupidity.

  13. OK Here it is.

    Sure, there is a price correction going. I do not call it a crash BTW. I still beleive house are the safest asset there is.

    I am convinced prices have stabilised and will go up soon. With the £££ being printed, somehow this will filter through.

    You can look an any index, historically, house have always been a very safe bet.

    Many on this site beleive a 50% crash is going to be mainstream, but they also failed to realized should this ever happen, not only they won't benefit, but the situation will be so grave, no-one can predict how it is going to be like and that will be the last of everyone's worries.

    From what I can see, and I have said it often here, except from forced sellers, city centre flats and the odd bargain here and there, I failed to see the big drop as it is being trumpeted here.

    This is my view anyway.

    Do you have a vested interest

  14. 80% of the world wouldn't be able to read and understand the posts on here. As I said, a priori bulls I can get. Sibbers et al, not so much.

    Anyway, it's fun when they post :P

    Edited for rubbish spelling

    Fact is sooner or later they will be right. The markets will pick up. Maybe in 5 years Sibley will be stating I told you all this will happen. The same as in 2005 CGNAO reporting future meltdowns in the derivatives. If we were all the same what a boring world it would be.

  15. I know of a similar story

    Couple with house valued at 900k have mortgaged to 850k i/o with yes the C&G on a tracker.

    MEWed 4 times in 2 years. Must be paying mortgage with MEW.

    Not only this house but there previous house which they took off market last year cause they could not sell, this also mortgaged to 200k i/o with C&G.

    Repayments on interest alone last year = 4k per month, now must be under 1k.

    When the tide comes it this will get interesting

  16. Right, another BOE cut, another round of those on tracker mortgages bragging about how little their mortgage is. You will notice that these braggers all have one thing in common. IO. Here's why:

    I did a little calculation on what effect a 25% drop in the base rate would have on an IO vs repayment mortgage.

    Lets assume someone has a £300k mortgage at base rate +0.5%.

    At 2.5% they pay £625. Not bad. I'd say that is less than rent on that property. Nice little choice. After the 0.5% cut it is 2% with monthly payments of £500! Result. 20% saved a month. These mortgages are fun!

    But here is what the sums look like if they actually ever want to own their property outright without a death contract around the neck. Let us illustrate this with a 25 year repayment term.

    At 2.5% they pay £1357 a month. (That alone is a staggering thought). At 2% mortgage they pay £1280. They save just £77. Their mortgage repayments fall by just 5.7%.

    The clever trick of bankers is to fool borrowers in to thinking they can act like governments and companies who can roll over their debt in perpetuity. But people can't. Our earning potentials fall. We depreciate. We get older. We get slower. We get sicker. We die. Has anyone here who has a big mortgage done the maths, or even made a plan on how this sum is going to be repaid? Because one way or another the bank will get its money back, even if it takes back the house. The sums look terrifying to me.

    It is going to take some time before people realise how screwed they are.

    Good thread,

    I am aware of a family with a £550k i/o tracker. All show with Merc on the drive and fountain in the garden and hoped to make a killing 2 years ago. Can't wait for hyper inflation lets have interest rates in double figures.

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