Jump to content
House Price Crash Forum
TheCountOfNowhere

What Happens To Mortgages When A Big War Comes

Recommended Posts

hypothetical but serious question,

imagine China invades Russia then marches on into Europe.

they'll expect us all to go out and die so a tiny minority can keep their position.

however, one little problem, all the young people are mortgaged up to the hilt.

however, the army needs men.

what happens.

do the freeze the interest?

i guess it wouldn't matter if the Chinese won, to the Victor the spoils and all that.

totally hypothetical of course.

Edited by TheCountOfNowhere

Share this post


Link to post
Share on other sites

IIRC the base rate was higher throughout the whole of the second world war and the period leading up to it than it is now. Most people rented and few had 'investment' properties or property portfolios and in any case today the ones who would do the fighting (20 to 40 year olds) don't own or have mortgages as they can't afford too and are renting.

maybe that's part of the plan

Share this post


Link to post
Share on other sites

Housebuilding immediately slows. Government issues pensioner war bonds to finance mortgage arrears for ownership stakes in otherwise foreclosed properties. There's an epic promotion of 99% LTV IO remortgaging. Those that return get to live alone or with family as tenants and start the process over. Young veterans are berated for wasting money on anti-depressants, lectured about the lack of supply and planning restrictions, and reminded how it was all much harder back when.

Share this post


Link to post
Share on other sites

How is this different from the last few years? It seems pretty much what we have today if you substitute QE and HtB for war bonds apart from the young wasting their money on iPhones.

You think? Ok maybe Government could also offer tranches of the war bonds to Chinese investors...

Share this post


Link to post
Share on other sites

hypothetical but serious question,

imagine China invades Russia then marches on into Europe.

they'll expect us all to go out and die so a tiny minority can keep their position.

however, one little problem, all the young people are mortgaged up to the hilt.

however, the army needs men.

what happens.

do the freeze the interest?

i guess it wouldn't matter if the Chinese won, to the Victor the spoils and all that.

totally hypothetical of course.

..we'd start again and like Churchill build prefabs ....most of the banks are nationalised and the mortgages would become part of the national debt....if we are still independent ... :rolleyes:

Share this post


Link to post
Share on other sites

All home/building insurance specifically excludes acts of war.

So if your house is blown up by a bombing raid, tough luck, and if you have a mortgage on it the bank will still expect it to be repaid.

This is why during WW1 and WW2 many rich people sold their houses (often for a poor price) and moved into a hotel.

Share this post


Link to post
Share on other sites

All home/building insurance specifically excludes acts of war.

So if your house is blown up by a bombing raid, tough luck, and if you have a mortgage on it the bank will still expect it to be repaid.

This is why during WW1 and WW2 many rich people sold their houses (often for a poor price) and moved into a hotel.

..if there is a war and bombing ..there would be no hotels or banks left...and any survivors would most likely live underground ....no records of mortgages or debts ....back to the stone age.... :rolleyes:

Share this post


Link to post
Share on other sites

Well...I would imagine that a war with China would be bad for HSBC. It would be a patriotic duty not to pay the mortgage....

Share this post


Link to post
Share on other sites
Guest

Government introduce conscription, but pay your mortgage for you when you're serving. They call it "Help to Die". Or is that Dignitas motto?

Share this post


Link to post
Share on other sites

All home/building insurance specifically excludes acts of war.

So if your house is blown up by a bombing raid, tough luck, and if you have a mortgage on it the bank will still expect it to be repaid.

This is why during WW1 and WW2 many rich people sold their houses (often for a poor price) and moved into a hotel.

Really? IF so I find that reason would have been uncharacteristically stupid - even for the more dimwitted toffs. Perhaps it was as much that they couldn't handle living without their servants/staff catering for their needs? So a hotel provided some semblance of pre-war lifestyle?

Edited by anonguest

Share this post


Link to post
Share on other sites

..if there is a war and bombing ..there would be no hotels or banks left...and any survivors would most likely live underground ....no records of mortgages or debts ....back to the stone age.... :rolleyes:

You beat me to it.

Honestly. Sometimes some of the, even hypothetical, threads do make me laugh. Some one woke up depressed this morning that's for sure. LOL

There wouldn't be any conscription a la WW2 or WW1. Only an impending threat of Chinese Peoples Liberation Army troops massing a Calais in barges poised for invasion would ever bring about anything resembling mass enlisting of manpower to fight off such an enemy.

IF an when there is again a global conflict (as opposed to 'local' and more 'contained' wars, such as Vietnam, Korea, Iran-Iraq, Falklands, etc) it will be very short! With little left standing. Paying the mortgage will be the last thing on peoples minds or of the authorities, as they then seek to 'conscript' whatever able bodied manpower is available to perform essential work to reconstruct some semblance of working society.

Edited by anonguest

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

  • Recently Browsing   0 members

    No registered users viewing this page.

  • Next General Election   91 members have voted

    1. 1. When do you predict the next general election will be held?


      • 2019
      • 2020
      • 2021
      • 2022

    Please sign in or register to vote in this poll. View topic


×

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.