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beccles

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What are the implications of going bankrupt in real terms?

Given the millions of people in negative equity for massive sums on interest only payments what would happen to these people if they found themselves unable to pay the mortgage.

As far as I understand and I am more than likely wrong the main drawbacks are

1)Blacklisted-does this mean you cannot apply for credit or are likely to be rejected? I.E Can someone blacklisted try and rebuild their credit rating.

2)Cannot be a director of a company-does this mean they can not be a director of their own company or a director at all. I.E Employed by a company as HR director/Sales director etc.

Reason I ask is my brother in law to be is a teacher who somehow icon_uhoh.gif amassed a property portfolio of over 40 houses/commerical units during the boom post-5758-1225601204.gif despite coming from a relatively humble middle class background.

Basically his independent financial advisor fixed it so that he would remortage one buy to let to pay the deposit on another buy to let. spaz.gif

At one point he was 'up' over 2 million in equity feeling all types of icon_smug.gif .

No he reckons he is considerably over 1 million in negative equity feeling all types of scared.png .

The only thing keeping is head above water is the fact the majority are on variable rate mortgages which means he is cash rich at the moment due to the difference in rent received and mortgage payments due to the low interest rates but when they rise scared.png

His own home luckily is solely in my sisters name mortgage free so he has no fears about ending up on the street but could he end up in jail?

:lol:

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Edited by beccles

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What are the implications of going bankrupt in real terms?

so what has that to do with this guy...he has cash ( apparently) he has property and debt.

You can only go bankrupt if you ARE Bankrupt.

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Read it.

When the interest rates go up then he'll be in the deep do-do. So he's researching this ahead of time.

Probably also pissing it all away in the full knowledge that he'll just declare bankruptcy when the mortgage interest rates start to pinch.

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Read it.

When the interest rates go up then he'll be in the deep do-do. So he's researching this ahead of time.

Probably also pissing it all away in the full knowledge that he'll just declare bankruptcy when the mortgage interest rates start to pinch.

nonsense...its his pension and path to a life of elite power and domination over the lesser mortals of the UK.

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nonsense...its his pension and path to a life of elite power and domination over the lesser mortals of the UK.

Something at the back of my mind is whispering that instead of the Mason's we have a secret countrywide cabal called "Teachers" that aspire to this by way of pricing everyone else out of property.

Does anyone have a horror BTL story that does not involve teachers?

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im guessing some of that cash richness will end up in his future wifes account, or somewhere under the bed.

This.

And the debt will end up on the public books when the lender goes to uk.gov for a bailout.

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This.

And the debt will end up on the public books when the lender goes to uk.gov for a bailout.

re line 2...there is no need whatsoever for this to be the case...THAT is a political decision...nothing to do with the financial position of the debtor.

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Another sigh of relief for all the savers out there who are helping to keep this speculator afloat with ZIRP.

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Another sigh of relief for all the savers out there who are helping to keep this speculator afloat with ZIRP.

I was enjoying this thread until I read that :angry:

You're right though.

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Something at the back of my mind is whispering that instead of the Mason's we have a secret countrywide cabal called "Teachers" that aspire to this by way of pricing everyone else out of property.

Does anyone have a horror BTL story that does not involve teachers?

Not just BTL, most of the Kymer Rouge leadership were teachers who murdered other teachers...

http://en.wikipedia.org/wiki/Kang_Kek_Iew

Some even returned to it as a trade after the genocide they had committed

"He later taught English and mathematics at a refugee camp in Borai just inside Thailand"

--------------

http://en.wikipedia.org/wiki/Robert_Mugabe

"While Zimbabwe has suffered in many other measures under Mugabe, as a former schoolteacher he has been well-known for his commitment to education"

What is it with teachers? Obviously best not to give them TOO much power.

Wouldn't want one as a landlord, let alone an overlord.

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Perhaps teaching induces feelings of megalomania; all those little people obediently listening to your every word, but before long you start thinking - one classroom isn't enough, I want more!

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this doesnt not compute too much with me

he ammsed this portfolio in the 10 years boom (upto 2008) IR's were higher than 0.5% for all of that, so if the IR's go up to that again then he will be in the same position, unless the rent has dropped, or he's re-mortgaged the properties for a bit of MEW.

yes the cost of living has risen for him personally, but his properties should be able to finance them selves back at the IR he was on before Merv dropped it.

why cant he fix the mortgages now?

all seems a bit fishy,

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  • 311 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%



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