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apom

Relocation, Relocation... Et All..

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Educate us on how people can unlock money tied up in their property.

There is one way, sell it.

Their way, I speculate will be to

Re-mortgage.. and spend the money..

Which frees up money tied up in your property?

Now, what do you all think of this..

Personally..

It scares the hell out of me that people do not realise what they are doing.

(all spelling mistakes are on purpose to catch out the aliens who are monitoring my head)

Edited by apom

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At what point does this sort of stuff become financial advice?

When mewing outstrips house purchases in the world of mortgage lending

How many properties were sold at 2004 prices?

How many properties have been re-mortgaged up to that level?

Now those would be interesting statistics..

£600,000,000,000 of extra debt inside of 8 years.

People do listen.

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Seems simple to me.

If you are buying a house with a mortgage, the quicker you finish it the better.

You've paid less interest and you then own the roof over your head.

Ok, you have associated bills to pay but pay them and you know you have somewhere to live and can likely ride out any economic storms that may come.

If you stay in employment then you can enjoy or invest the income now not going to service the mortgage.

Sorry, rather "old fashioned" I suppose.

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But you fail to understand the beauty of mortgage equity withdrawl!

You buy a house for £100K on a mortgage. Obviously if you could have afforded a more expensive/beautiful house you would have done that but £100K is all you can realistically afford.

2 years later an estate agent tells you that your house is now worth £170K which means that you have "made" £70K on your house if you sell it.

Here's the great bit. Instead of selling it to somebody, why not just buy it off yourself? That's right! Buy your own house back off yourself. It's very easy, just take out an extra £70K mortgage on top of your existing mortgage and buy your own house. The bank will then give you the £70K you made and you can spend it on opening an art gallery, a hairdressers, maybe a new car or holiday for the family. Perhaps you could pay off some old debts with your new debt?

MEW is a beautiful thing. 2003-2006 will be remembered in history as the years the British homeowners bought their own houses back off themselves! Genius!

:lol:

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To be fair, if you are going to borrow money then it's probably better to do so at mortgage rates than bank loan rates (and certainly better than credit card rates). The problem is that most MEWers see those low monthly payments when they spread the cost of their car over a 25 year remortgage and don't bother to pay it off until then... so they end up paying far more interest than they would have done otherwise.

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Guest magnoliawalls

I saw an ad on tv last night that made me laugh. It featured a couple saying something like "we need to take out a loan to pay off our debts" :blink:

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[quote name='classixuk' date='Jan 17 2006, 12:59 PM' post='276751'

Here's the great bit. Instead of selling it to somebody, why not just buy it off yourself? That's right! Buy your own house back off yourself.

:lol:

That is an inspired statement.

Do you think MEWers told that would think again?

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  • 301 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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