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Rod Hulls Roof

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About Rod Hulls Roof

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  1. Over the longer term, the maths is quite interesting when you compare buying and renting. For example, take a male FTB aged 30 who was comparing buying or renting a modern 3 bed semi in a half decent area. I'm going to take my own local area (mid Cornwall) for the comps, I'd be interested if anyone's really bored in seeing these applied to other locations. Average life expectancy would (I think) be 84, i.e 54 years Say he borrowed £175,000 to fund the purchase at an average rate of 7% over 25 years. The annual payments would be in the region of £15,600 or £390,000 in total. Add to that the cost of insurance, repairs etc which we'll say are £2000 per annum. Now those costs will escalate, let's say at 2.5% per annum, meaning that they will double every 27 years, or fourfold by the time of death. Therefore over the 54 years he will spend around £216,000 on these items. So the total cost of ownership would be £390,000 + £216,000 = £606,000. Now the rental for this type of property would be around £750pcm, or £9000 per annum. Let's say, for the sake of consistency, that this is also escalating at 2.5% per annum. Over 54 years the total rent payable would be £972,000. At retirement, the homeowner, based on a house value of £175,000 in todays money you can get a monthly equity release loan that under current criteria will pay out £350 pcm tax free in todays money (or around £79,800 up to death), and still give an inheritance for your children, or a deposit on a house for grandchildren. Then factor in the personal benefits, for example security of occupancy. Just my 2ps worth.
  2. I think the MPC should be cut a bit of slack here. Strip out the cost push inflation from oil, food and energy (and can anyone say they foresaw the massive rises that have occurred in all these areas?), then inflation would be a lot closer to target which might have given the bank more room to cut interest rates.
  3. Having now scanned through the rest of the thread, I don't see where you have been able to back up your assertion that such clauses are operated by the lenders you had named.
  4. Now that is a margin call clause. However, if the lender was looking to gain possession through this route, it has got a very long row to hoe.
  5. These types of clauses are put in to cover things like the borrower becoming sectioned under the Mental Health provisions, or being imprisoned. It's not possible to list every possibility so you get generic clauses like this. And remember - to gain possession using this clause, they would have to get a court order, and in this case they would have to show the court that their belief was reasonable. If the mortgage account was up to date, and the property was in good order and not being used in any way that breached the mortgage conditions, then they would need an incredibly strong arguement to persuade the court to their point of view.
  6. Paddles - let's take the last one on your list, clause 27.1d. In your post you state: "I've had a read too. I reckon the following clauses could easily be used to justify a margin call;........ ........27.1 d - If you don't maintain the value of the property" Edeus General Mortgage Conditions 2007 27.1d states: "27.1 You must do the following:...........27.1d Not neglect or damage the property nor do anything else to reduce its value." There's a significant difference between your post which infers you must maintain the value of the property and the actual condition which states you mustn't do anything to reduce it's value. If I wanted to make a case about margin calls, I'd stick with the portfolio landlords where the right of set off is effectively in place for all the equity in every property up to the point of full redemption.
  7. I'll give you an example: Here's what you have to say about Edeus T&Cs "I've had a read too. I reckon the following clauses could easily be used to justify a margin call; 3.2 f - Any valuation shows a significant drop in value - this would be the one I would use if I were the lender" It's a good point except that Section 3.2 refers exclusively to when a mortgage offer might be withdrawn prior to completion....
  8. My Bad. I've found the post on page 13 with links to four lender's T&Cs - Edeus, MX, UCB and GMAC. I've also read in the following pages your interpretation of carefully edited parts of these T&Cs, in which your zeal for your cause of "margin calls" overcomes any sense of objectivity.
  9. If there's a 17 page thread about it, someone must have a link somewhere.......
  10. I've glanced through the thread, and the one thing I can't see is a link to any lender's T&Cs which would verify your assertion. Maybe you would be kind enough to provide one?
  11. RBS International is a wholly owned subsidiary of RBS, operating in a different jurisdiction. As for "margin calls" on BTL mortgages, I've only seen them on portfolio facilities where they would become activated if there is a proposed change to the security, e.g selling off one of the properties.
  12. No, RBS International has made the call.
  13. Fine. But what relevance does a contract for a foreign currency loan secured on a foreign property have for sterling mortgages secured on UK property?
  14. It's an interesting article, but I fail to see the connection between people buying foreign property in the local currency and our own mortgage market and regulations.
  15. Renterbob has decided to treat the EA badly when there is nothing in it for him (other than a momentary feeling of power). You don't go round p***ing people off unless you are going to gain something by it, and in this case he's gained nothing.
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