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ingermany

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Posts posted by ingermany

  1. Just now, HowMuch! said:

    how are they out of pocket, they have had the exclusive use of the property for the period... the equivalent rent should therefore be taken into consideration?

    There are a whole bunch of IO mortgage payers making the argument though. Regulators think something should be done, because these people might lose the homes that they never really owned in the first place. 

  2. 9 minutes ago, HowMuch! said:

    Can someone please explain to me... compensation can be claimed for actual loss.

    where are the losses said to come from?

    I think the easiest illustration would be an interest only mortgage where the lender has hit retirement still owing all the capital. Will argue that he should have been warned he will still be in debt after retirement,  with no means to service the debt without losing his house. Will argue he is out of pocket by an amount equivalent to the outstanding loan plus some of the interest owing. That's the argument the lawyers are making. Or it MEW has been used to leave the borrower with a big loan outstanding after retirement.  Argument is that the banks had a duty to stop the customer getting the loan. 

    I recall a case in 2007 of an unemployed single mum who got a loan of 15k from NatWest for cosmetic surgery. She successfully argued that the bank should never have advanced her the money and she was compensated for the balance, interest and emotional distress. 

    This could be about 2 million mortgages. 

  3. 16 minutes ago, spyguy said:

    IO - no chance. Theres a document, you sign it.

    Self cert. They could make a case that the broker got them to lie. Then they can sue the broker, which will have long gone bust. And if borrower lied, well thats mortgage fraud and the borrower faces a fine znd the mortgage being called in.

    Mortgage going into retirement. Not frowned upon then. Mortgage co would have asked the borrower if they had funds.

    I think you're wrong. Smaller scale, but I just got 3k out of Natwest for a packaged current account that I kept for 10 years, knowing it included travel insurance which didn't cover me because I lived overseas. All of the info was in the T and Cs. I signed them. 10 years later the Claims Guys say "not fair" , Natwest instantly pays 200% of my actual "losses" . CGs keep 40%. There is obviously an agreed algorithm behind it. They can, and probably will,  apply same system to mortgages. The whole thing is predicated on collusion, as was the selling of the same liar loans from 2003 to 2008. To avoid a wave of repos and forced sales, causing a significant HPC there will be a rescue for certain people who owe money to mortgage lenders. This will focus on the OAPs with mortgages, IO mortgages, high LTV,  consolidated mortgage finance, self certs and liar loans. The claims lawyers would not be financing the campaign unless the lenders (and therefore the FCA, FSCS, and regulators) had not given them the nod. I read this as a done deal. We just don't know the formula yet. Next phase of crash prevention. 

  4. 1 hour ago, ccc said:

    I have mentioned many times on here. 

    A very basic - could be understood by a child - key facts illustration has been included in every mortgage sold since about 2004 or so iirc. 

    To specifically protect against such things as these. 

    Unless the banks are actually in the loop on this and actively want it - it's not going to happen. 

    And that's the question. It might be cheaper for lenders to pay out the fraudsters,  if the alternative is repossession and forced sales at discount prices.  

  5. The really incredible mis-selling allegation is that those who borrowed to fund discounted purchases under the social housing asset stripping of RTB have a cast iron case for compo unless the lender explained to them that once they bought their council house they would become responsible for its repair and maintenance. So you if you bought your council house at 50% discount, 10 years later you can claim 40k compensation for new windows and central heating. If any of these cases are successful we will have entered a new era of compensation culture. 

  6. 5 minutes ago, TonyJ said:

    But surely in the end, financial institutions need to tighten their criteria, so they are not just throwing money at borrowers in the way they have been?

    I would see it as a monetary loosening. People have spent a few billion in borrowed cash. They are then given it back to spend again. It's like QE. Paradoxically, it makes future lending easier to finance. It's a way of printing money. 

  7. 1 minute ago, Bruce Banner said:

    Just like PPI, the banks will be forced to repay money to the indebted at the expense of savers.

    It looks like lenders are in on this game.  Otherwise the claims firms wouldn't be piling in like this. They know that the liar loans have created an approaching tsunami of repossession and forced sales. It's in the lenders interests to collude in bailing out borrowers. They can rob savers through bail in or rob taxpayers through bail out. At the end of the day it will keep people in homes they could never aford.  

    The only good news is if some smug mortgage brokers do jail time. 

     

     

  8. 2 minutes ago, TonyJ said:

    How do you know public money would be used to pay off the lenders who have mis-sold mortages? If these lenders have broken the rules, it should be their loss, not the taxpayers' loss.

    Except that the precedent has been established that lenders will be bailed out and funded by government if they need cash to lend.  RBS, Northern Rock, FLS scheme. It's public money that inflated the bubble, or at least stopped it from popping.

  9. http://www.mortgage.claims/outbrain/

    This seems to be appearing in all online news publications this week. I've not seen it before. 

    No win- No-fee legal claims assistance for all IO, all self certification,  all mortgages that extend past retirement. And anyone who borrowed a bit extra and linked it to a mortgage. Basically says if you got sold a mortgage you are owed money. 

    I did wonder whether this might be the fraud squad doing some phishing. But not so apparently. 

    Looks like flood gates are about to be opened. Paving way for wholesale debt write off with compensation thrown in. 

    The point is, a bit like endowments and PPI, the lenders can use taxpayer money to pay people off, and allow them to use it to stimulate more spending and borrowing. 

  10. 15 hours ago, Ah-so said:

    I don't really get your punt. If the market price doubles, which some may feel is a good thing, it is nor realisable to the residents. The growing liability of the ground rent increases whatever happens to house prices or your income.

    It also makes the value of the house very difficult to value without an accountant. Although it probably means that they overpaid for house by about £30,000.

     

    My point is that the media applauds inflation in house prices that  benefits the fortunate minority of asset rich property owners.  It cries foul when inflation in land prices benefits an, admittedly smaller,  minority of asset rich landowners and freehold hoarders. In both cases what's happening is the artificial pumping up of the cost of finding shelter. If I owned a few hundred freeholds I would view myself as a hard working geezer perfectly entitled to screw the maximum possible benefit out of the leaseholders. It seems to be how the system works. I actually think both cases are equally unjust and reprehensible. 

  11. http://www.dailymail.co.uk/news/article-5294607/Newlyweds-trapped-Soham-house-sell.html

    Apparently the ground rent will double EVERY ten years. Shocker. 

    But hey, if the house price doubles every 10 years that is good news, surely. But if the cost of land owner by the freeholder doubles that is apparently bad, and a type of robbery, or mis-selling. 

    The DM totally fails to see the irony. 

  12. 12 hours ago, TonyJ said:

    What were the asking prices? Newly listed houses in the shires still seem to be getting priced initially at the same prices they were being given a couple of years. Reductions in asking prices, not ubiquitous,  only come after a few months, and are usually quite small.

    Asking 330 to 350. Expecting to get 300 if they really want to sell. However.......the lack of sales and level of desperation of the very few who need to sell would make me very nervous.  Houses are becoming harder to sell than a diesel motor. 

  13. 2 viewings in last week. Both on market over 3m. Both vendors defying the estate agent by saying "Look, I know it says the price is x, but we would accept x-30,000" Both at initial viewing. 

    Still very few being put up for sale. Lots on market since Spring 2017 and unsold, lots of reductions, words like "all offers considered" being used.  

    One very overpriced residence has been on market since Jan 2017. No reductions. Last week an animal rendering plant submitted draft permission for a neighbouring farm. No chance of selling at any price now. They might as well increase price by another 100k. 

    Despite some seller desperation, it is definitely not a good time to buy. It feels unstable and impossible to judge value. 

    East Midlands. 

  14. I'm mid fifties, with a pension of 60k pa. I could work, but will pay over 50% of earnings to the State so I'm reluctant.  My children are graduates with 40k each in debts and earnings mid 20ks. They work 50+ hour weeks. Housing takes all their earnings. How can anyone believe that this inequality is justified or sustainable? Of course there are larger injustices out there. Persimmon and their pocketing of public money, BTL empires built on DSS payments, revolving door redundancies in public service bankrupts who flaunt the wealth hidden from creditors. The system is rotten to the core.

    I do think housing and the immoral sequestration of it by a selfish minority has undermined the foundations of decency for almost everyone. I just applied for, and received hefty compensation from my bank. I don't think I was due any, but as everyone else is on the game I submitted my request and got 2.5k the following week. Fraud, profiteering, greed are everywhere.

  15. 3 hours ago, disenfranchised said:

    Screenshot_20180109-165245.thumb.jpg.e67541a0f00bd429ece26168a62889f2.jpg

    I will assume this guy has crawled back under a rock at povertytribes now - 256 posts in 18 days & gone!

    Screenshot_20180109-144540.thumb.jpg.adba7eb1d9aa03bd81e45eb9d9a5c2b3.jpg

    There are generally no deals available for new borrowers over 80% LTV - but happy days are here again for existing borrowers, who can avail themselves of a 120% BTL mortgage with a number of maimstream lenders! Huzzah!

    I suspect this is designed to avert the "here's the keys go **** yourselves!" scenario as the S24 tax bills start rolling in? 

    Hang on. If a BTL mortgage is 120% LTV and you get basic rate tax relief on all that interest, you can get a tax free Range Rover on a 200k  apartment purchase. It's like not paying VAT on the car. Maybe you need the Range Rover to collect the rent from your Universal Credit tenants. 

  16. It struck me that taxpayers have funded 800 million in bonuses to the board of Persimmon alone, at a time when the NHS can't afford to treat sick people inside our hospitals. This is the scandalous cost of inflating the house price bubble. Corbyn and Co don't even attempt to join the dots. The Tories are justifiably proud of dumping health care from the government portfolio of investments and replacing it with yachts and supercars for their friends and donors. 

    IMG_20180109_194858.jpg

  17. 10 hours ago, winkie said:

    Sums it up in one......teaching, caring and nursing = low economic value.

    In that case we will all have to start learning to do it for ourselves.;)

    Same for doctors. Hence the Dept of Health' s latest letter to the public saying "don't get sick." 

    The only taxpayer funded operations that are fully financed are connected with money lending and bungs to builders in return for keeping up scarcity of housing supply, and inflating prices. 

    Interesting that the PM had to be interrupted on the day the NHS cancelled all non urgent surgery for 6 weeks. What was she doing? She was posing with a couple of First Time Buyers who had just been handed 240k of taxpayer money so they can keep Persimmon staff in million pound bonuses. That's where taxes are going now. 

  18. 10 hours ago, Sawitcoming said:

    Worst one yet?

    In among the adverts there is some copy. 

    http://www.leicestermercury.co.uk/news/leicester-news/i-make-money-leicester-landlord-569488

    Main website for the competiton

    http://www.winaleicesterhouse.com/

    So the guy could sell anything up to 59,999 tickets at £5 (£299,995) and then only pay out £300 to a winner? He isn't shy is he?

    #seemslegit

    Well, if he's being that honest it can't be called fraud. I guess it's no different to a GoFundMe page. He is asking his fellow citizens to give him money so he can buy nice stuff and go on expensive holidays. If people are too stupid to see that, then it's up to them. 

  19.  

    London estate agent in W4...

    "warns that isn’t just something for estate agents to worry about. He says, “Should turnover continue at these present levels then there is going to be a significant glut of new build property languishing un-sold on the open market which will be damaging to the short term fortunes of London housebuilders, probably causing them to ‘mothball’ future schemes which in turn could have a real negative impact on employment in the construction industry and finally hamper the wider economy. “

     

    I added the bold emphasis....

    This is the purpose of Help to Buy.  If it can't sell on the open market, don't reduce the price. Instead add a government subsidy of 40%. The term "open market" made me laugh though. What sort of open market relies on that level of government subsidy? Even in the bad old days of EU Common Agricultural Policy and butter mountains there was less intervention. 

     

     

  20. So, the UK net contribution to the EU is around 8 billion a year.  

    Since 2009 it has spent over 200 billion in financial subsidies and market interventions, the sole purpose and result of which has been to maintain house prices above market value. Temporarily. By HTB, FLS, bank purchases. 

    That 200 billion has been stripped from public services, added to the national debt, and foisted onto the next generation as a perpetual tax on social mobility. The benefits have been gifted to those over 60 years of age, or those of that generation who were already comfortably off, thank you. 

    In any case, 200 billion has vanished from the public accounts,  and that doesn't include the 25 billion annual spend on "housing welfare".....most of which is simply a subsidy that allows rents to be maintained above market levels. 

    Thank goodness we have a government that believes in free market capitalism. The only consolation is that it is clearly unsustainable. 

     

     

  21. 10 hours ago, Thorn said:

    Sorry to cut and comment Venger but was reading old threads and came across this.

    I used to believe this but now I realize that no matter how hard you try to get ahead, a person will likely never get a home of their own on their own earnings because of HPI. Impossible. 

    So it now feels like it has become  pointless to work because my taxes pay for the NHS and roads and services which are good, but also they help my retired neighbours get to go on cruises, and lots of other things which help keep them cosy in their homes, bought years ago for whatever. Probably from their earnings.

    My family and I can be evicted and made homeless on a whim.

    The thing that really grates about taxes is that they fund all the props, market interventions and subsidies designed to keep house prices high. It is nothing less than corruption. Money taken from workers and redistributed to a cabal of property investors in order to protect their gains. It really is that simple. 

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