Jump to content
House Price Crash Forum
Sledgehead

People Never Really Own Mortgaged Property

Recommended Posts

Found this classic section on the recent "Alan Sugar Tackles Football" program, viewable on i-Player from 43 minutes to 44.10 minutes. Sugar tells Premier League chief executive Richard Scudamore that people like the Glazers "didn't really buy" clubs but just took money from banks who were lending "ridiculous amounts of money" against "any asset". Scudamore replies that this is really no different from how people buy houses. And if you haven't grasped the irony of the situation let me referesh your memory:

" ... the value of [ Alan Sugar's] Amshold's property portfolio rose from £118.5m to £259.3m. The highest paid director, thought to be Sir Alan, was paid £604,166, up from £562,401 the previous year.

The accounts, for the year ending June 30 2007, show that the company's aircraft charter arm made £8.8m from selling two Cessna Citation private jets. Amshold's directors' report says that all parts of the business are doing well, but warns about the amount of the overpriced property on the market.

Nevertheless, during the year Amshold took out a £97m bank loan to invest in property. - Telegraph , April 2008 (bubble top in other words)

Share this post


Link to post
Share on other sites

That's the game..... Borrow lots.

If you play the game hard enough you don't lose because nobody can afford for you to lose.

Everyone wins at this game, except the people not playing.

Share this post


Link to post
Share on other sites

The man is entitled to be rich when his company Amstrad in 1993 charged £104 for a 4MB memory upgrade, if you can get away with that you can get away with anything. Mind you his present property gives no clue to his wealth, a little disappointing really. :rolleyes:

Share this post


Link to post
Share on other sites

Took me a few goes, and I'm still not happy with the Scudamore part, but here's a transcription:

Sugar : "Do you agree with me when I say that um, it wasn't really buying the club, was it. They came along in that period of time when there was ridiculous lending going on with banks. You virtually go and take any asset, the banks would lend you a lot of money. But there, what you are actually doing is, someone came in and said they bought the club. They didn't. They borrowed money, um, and seventy or eighty million pounds at the time was being paid across to pay off the debt

Scudamore : "But that is not, m-m-b-m , as I say, not much different to what happens in any other business. It's not much different , not-um-ah, um, i-oo-i-oo, in terms of, you know, most, most people, it's not any different really in terms of what you can borrow to buy your house."

It's classic stuff. Both sound like jibbering idiots, both way out of their depth. It's what happens when a man with an axe to grind meets one who hasn't even a clue which end to hold the thing.

Share this post


Link to post
Share on other sites

I sort of agree with this because we die, but the land will be here forever, even if it's mortgaged or not.

We are simply custodians of land, houses, trees, flowers, birds, fish, insects, bacteria, viruses (have I forgotten a group? B) ) but we never really own anything. We might posses it, but we never really 'own' it. We are just energy - infact entropy wants to take us towards disorder, and it's only 'life forces' that creates order from the chaos around us. Inorder to maintain 'structure' we have to keep feeding fuel into our stupid gobs. But eventually that stops as well , and gravity wins, and we give up everything we pretend to own.

So....Yes, I agree!

(I do like Coop Cava...makes you see life through a different angle/lens.........B) )

Share this post


Link to post
Share on other sites

That's the game..... Borrow lots.

If you play the game hard enough you don't lose because nobody can afford for you to lose.

Everyone wins at this game, except the people not playing.

That's cos they off-set everything in offshore companies ~ Bitter has his in the Channel Islands (like the upright Sir Philip Green another tax avoidefficient UK rip-off merchant :rolleyes:)

Share this post


Link to post
Share on other sites

I sort of agree with this because we die, but the land will be here forever, even if it's mortgaged or not.

Nice bit of Marxist philosophising Dave. Thanks. Can we now get back to the debt theme? :)

I wonder if Sugar would mind me dossing in one of his hotels free of charge? After all, he didn't really buy it, so it can't really be his, or the hotel operators to charge for, right? ;) Can't wait to tell my Sugar-fan mortgaged friends that in his logic they don't own a thing. :D

Edited by Sledgehead

Share this post


Link to post
Share on other sites

Nice bit of Marxist philosophising Dave. Thanks. Can we now get back to the debt theme? :)

I wonder if Sugar would mind me dossing in one of his hotels free of charge? After all, he didn't really buy it, so it can't really be his, or the hotel operators to charge for, right? ;) Can't wait to tell my Sugar-fan mortgaged friends that in his logic they don't own a thing. :D

Is this really Marxist...? Damn..had no idea - honestly.

Thought I'd come up with a bit of original thought. :angry:

Share this post


Link to post
Share on other sites

You forgot mushrooms.

Do you mean the long thin brown ones with a little nipple on top?

(Not that I'm into that sort of thing ;) )

Share this post


Link to post
Share on other sites

(I do like Coop Cava...makes you see life through a different angle/lens.........B) )

Top of a pyramid or Munro 'Bagging' (with a spyglass?) :lol:

Share this post


Link to post
Share on other sites

And if you haven't grasped the irony of the situation let me referesh your memory:

Why thanks.. I didn't. And now I do.

Glad someone's keeping on top of these ******ers for us :D

Share this post


Link to post
Share on other sites

I sort of agree with this because we die, but the land will be here forever, even if it's mortgaged or not.

We are simply custodians of land, houses, trees, flowers, birds, fish, insects, bacteria, viruses (have I forgotten a group? B) ) but we never really own anything. We might posses it, but we never really 'own' it. We are just energy - infact entropy wants to take us towards disorder, and it's only 'life forces' that creates order from the chaos around us. Inorder to maintain 'structure' we have to keep feeding fuel into our stupid gobs. But eventually that stops as well , and gravity wins, and we give up everything we pretend to own.

So....Yes, I agree!

(I do like Coop Cava...makes you see life through a different angle/lens.........B) )

Davetolbooth,

Hi there. Interesting thoughts you have but whilst reading your post it reminded me of the ideas of Teilhard de Chardin. I remember thinking how amazing it was when he pointed out that those atoms in our brain we use for 'thinking' were once atoms floating round the universe, could have been in the air, or in a piece of fingernail, then part of your brain etc etc. Pretty mind blowing stuff to think about at the age of 15 when I was told about it from a very elderly man who lived around the corner. I know little about Marxism so I cannot comment but I remember hearing a nice story about a rich man and a poor man once. The rich man takes the poor man to a plot of land, shows the poor man wealth and says, 'everything you see before you belongs to me'. The poor man says 'no, everything i see before me belongs to me'. (after all, if you are viewing something with your own eyes, it does belong to you, doesn't it?) Very wise words if you can get around the idea!

Have you read Ozymandias of Egypt?

Share this post


Link to post
Share on other sites

Alan Sugar made his money through knowing people in the right places of our government and landing lucrative contracts to install woeful software and inadequate computer set-ups in places such as the NHS. Despite what he says he did not make his money from flogging speakers, 464s or the pointless email phone.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 312 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.