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Tummybanana

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Everything posted by Tummybanana

  1. It's not a new agreement; that's made pretty clear. Standard mortgage valuation (£200) plus 5% of remaining share. And without being facetious. . .A 260K house? How do you know that's what it's worth? Did someone come up to the landlord today and offer that much for it?
  2. I'm trying to tone down the sarcasm, but of course banks seek to profit. That's what they do. House Prices will be higher in 25 years' time; however, I fully intend to have paid it off by then. Plus, I get a house at the end of it, which is higher in value than not having a house. Yes, there's the opportunity cost of not investing in gold, or meat futures, or durex, but I also get somewhere to live in the meantime - bearer bonds just don't make very good bivouacs. At the end of the day, it's a game of chicken. Some sold in 2004 to STR; some buy now to OO. RICS stats (which I don't believe for a second) say 25% from peak by the end of 2009. I've got my 25%. I'm happy. I'm 31. I've got a house. Oh, and AFAIK, Places for People doesn't get any Government Funding. Or at least, my mortage with them doesn't. They get all their money from renting out social housing. There might be a tax break in it for them, I suppose, but I couldn't find it in here. http://www.placesforpeople.co.uk/resources...ccounts2008.pdf
  3. She's got it. Half her salary effectively goes on her course. She just needs to finish her degree - which is all straight firsts so far - before she's fully qualified. There is a possibility that she could fail her degree, I suppose, or that she ends up in an Iron Lung, but in that event she'd still be able to work, just at a reduced salary until she passed her retake. Not in an Iron Lung, though, that WOULD complicate things - although my work does come with free health insurance for spouses. I take your point about paying debt, but at 0% interest there is literally NO rhyme or reason for paying a penny off in the first five years. Much better to take the cash and put it somewhere else earning interest. I did a similar thing with my student loan when they were at a stupid interest rate - about 2%, I recall. For a start, minimum payment would be 4K, plus valuation fee, so it doesn't behoove to do it particularly regularly.
  4. You realise that's just generic mortgage bunko, like "the value of investments can go down as well as up"? I'm not sure if your handwringing concern is genuine or not, but yes, we've got a plan. Besides, in 25 years we'll have paid off the rest of the mortgage, so we'll either sell up and give them their remaining share - after all, we won't have two kids living in the house then, or we'll cash in our other investments. Hey! Maybe we'll even Withdraw some of the Mortgage Equity in our house! Or get our robot slaves to pay it off. Christ, do YOU know what you're going to be doing in 25 years, financially or otherwise?
  5. Mortage company in charging interest shocker. 1.75% for five years, 3.5% until the end of the repayment; can repay back anytime after the first five years in 5% chunks. Well, yeah, I'll have paid more, but I'll have a house at the end of it, and I'm never going to be in a position where I can buy a house outright for cash. Are you planning on renting till you die?
  6. Where does renting come into that equation? Surely that's the most servicingist property payment plan there is? House currently worth 200,000 (as that's wot I paid for it) At peak, it was marketed at 250,000. As we're only paying off the 100,000 odd, we're paying 300 less, per month, to mortgage rather than rent in a 4 bed detached, and pay off equity. If I'm working it out right - and I'm prepared to be corrected - it's nice easy math, because 1% is about £100. So, until interest rates go up by another 3%, we're still better off, and we're getting a few bricks out of it, too. If house prices drop by another 25%, then the 80,000 we owe becomes 60,000; as it's based on % share of the most recent property value. I WANT prices to crash. I'm begging them to crash more, because, as said earlier, we can wait till the bottom (as much as anyone can call the bottom) revalue, then dig into our coffers and pay off 20,000 of the Ownhome debt for 15,000. However, because the interest is only going to go up an average of 0.6% over the next ten years for that share, we're best off keeping it in our 6% fixed bond where it is, rather than paying it off. I did put this on to test the waters, not as a gloating thing, but to see if any new arguments surfaced about whether this was the best thing to be doing. I'm still happy that we're doing the right thing.
  7. As regards the future - if the wife gets pregnant or dies I'd pretty much be screwed renting as well, so that's not particularly helpful. As a matter of fact, in terms of rental v mortgage, we're about 300 a month up on the deal. And we've both got helpful parents in the area who'll make sure we wouldn't end up in a B&B 80,000 of the loan is fixed and will NEVER go above 3.5%. It's the much maligned Ownhome scheme; 0% for five years, 1.75% for five years, 3.5% for the remainder of the mortgage. The only snag is that we need to pay the share off in 5% chunks, and have a valuation survey done. Of course, if house prices tank 50%, then we essentially pay off a 10K loan for 5K; so that'll be nice. Especially as Ownhome doesn't take into account savings. It's the 103,000 that, I grant you, could be problematic. If Interest rates get above, say, 8% then we'll probably bail at 10% below market and put the capital into a savings account. However, that's unlikely to happen in the next three years, which is when we're essentially locked in (to stop 'flippers' taking advantage). Plus, it's not the kind of thing that's likely to happen overnight, so we'll be ready to market at 6%. IMHO, with the Bank of England setting Interest Rates, they're NOT going to go above 7-8% for a long time. What's needed isn't people who'll stick their money in bank accounts for a fixed return, what's needed is people who are prepared to invest in businesses, in projects, who'll make their money work for them. Of course, one could argue that's exactly what the banks do with depositors' money, but when a company's making a 3% profit margin, and a fixed bond is 6%, it's hard to see the incentive for larger investors to take the steps needed for small businesses in this country. As regards the figures, wife's salary will double (okay, increase by 2/3 after tax) when she finishes her sponsored degree. Currently half the salary goes on her course, which is annoying. The more the country goes to hell in a handbasket, the more secure her job will be, ironically, as a Social Worker. Youngest will stop needing 9-6 childcare, and just after school, which will save us about 3K a year. There are clubs in the school holidays in our town which take young children, so you're right; for about 12 weeks of the year we'll still need to find care, but both our sets of parents will be retired, and have said they are more than happy to help out. Fingers crossed I'll be on a little bit more, too. Plus, we've still got about 20K sat in the bank in ISAs to fall back on, if needed.
  8. 80K is fixed at I/O for five years, then 1.75, then 3.5 for the rest of the mortgage. 103,000 is a bit wibblier at tracker 1% above BOE. However, in two years time, wife's out of training and in full time employment and youngest is in school, so no childcare.
  9. Property had already dropped 28% from peak, and January's MPC meeting should make that even sweeter. It's not going to be as painful as feared - for the next couple of years, at least.
  10. Own outright = 26% of the entire housing stock, according to GE Money. http://www.introducertoday.co.uk/News/Stor...;type=news_feed
  11. I'm wondering whether "Full-time carer for ADHD" is a synonym for "Supposed to home school because the kid's been expelled from all the schools in the LEA. Course, I just leave him with the XBox; he's happy enough spending 8 hours a day with his attention on THAT." As one of the first tartrazine victims back in 1977, I am shocked that this is now considered a legitimate claim for DLA. I'll run this past the wife when she wakes up.
  12. I think if you're gay and you end up working in a chicken factory full of traditionalists*, coming out's probably a lot harder than in Sexy Mediaville. *bigots.
  13. Is it Jeri Ryan, who's indirectly responsible for Obama being the new President? Her husband was lined up for the Primaries, but then she left him because he was forcing her to go to sex clubs; step up BHO.
  14. So you will die passively as Thomas A Beckett if someone decides to murder you for your trainers? Although I suppose no-one can deny you your right to loudly and hypocritically cry for mercy till your last breath; after all, I'd rather be inconsistent than dead.
  15. What about those with less paternal instincts? What names should we call Mugabe to get him to step down?
  16. Nor, for that matter, has Communism, because some pig has always sought to make himself more equal than others. Call it a no score draw.
  17. I heard Gerald Howarth wheeling out the Qinetiq argument on Radio 4 earlier today - talking about how Britain had the temerity to sell the T23s to Chile. Forgetting, of course, that the 8 new T45 class built by BMT - which have far less class defects - are now going through their sea trials; Dragon being launched in the Clyde only the other week.
  18. http://news.bbc.co.uk/1/hi/england/merseyside/7787835.stm
  19. Or, y'know, they could start actually using the capital rather than the interest to live on. Newsflash for Granny - you're 80; that rainy day you were saving for? It's here!
  20. See, that's ass backwards. If someone's LIVING in a constituency for a protracted period of time, then of course they should have the right to vote in elections. Of course, I'm not talking about boatloads of random people just turning up, voting, then moving on to another country to vote there. Ouch, got me right in the heart. However, as the British Navy are staying on in Iraq to train local sailors, I'm quite happy that my job's worth a damn sight more to this country than someone who sells porn over the internet, or imports hilarious musical santas to be sold in Woolworths. Which productive sector is that? Call centres or finance? I'm noting that you still haven't said what you do.
  21. I mean, it makes sense for America, where they elect a president directly; but I fail to see how someone living in Belize is affected by the MP for Dunny-On-The-Wold pledging to stop Tesco's expansion
  22. Of course, there's voting, and there's actually making a difference in the electoral process. Lord Ashcroft, anyone?
  23. So, you don't actually live in or contribute to the country that you're so convinced has gone to the dogs? ex-pat voting rights, are, in my opinion, one of the most pernicious elements of the electoral system. What care an individual for local infrastructure, so long as they get a hefty savings rate and low tax rate?
  24. Is there any evidence to show that post office retirees live longer in retirement, because of all the hardy walking they have to do on their rounds?
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