rollover Posted November 21, 2022 Share Posted November 21, 2022 Homeowners 'face biggest hike in interest payments ever' Homeowners face the biggest hike in mortgage interest payments ever, it is claimed today, with thousands with a typical outstanding home loan seeing their monthly charges doubling next year to almost £500. The Liberal Democrats, who carried out the analysis, calculate that for a typical household with an outstanding mortgage of £236,000, the hike next year would mean monthly interest payments doubling to £474 – an extra £2,851 a year. 'This is simply unmanageable with the tax rises announced by the Chancellor.' The news will fuel fresh fears that the cost of living crisis will lead to properties being repossessed. Last night Lib Dem Treasury spokesman Sarah Olney said: 'Homeowners are paying the price for the Conservative Government crashing the economy. Daily Mail Quote Link to comment Share on other sites More sharing options...
winkie Posted November 21, 2022 Share Posted November 21, 2022 Is that right that the typical household has a mortgage of £236,000 outstanding?........what is a typical household then with a mortgage? Seems very high to me. Quote Link to comment Share on other sites More sharing options...
Huggy Posted November 21, 2022 Share Posted November 21, 2022 4 hours ago, rollover said: The Liberal Democrats, who carried out the analysis... Of course the Nimby party would have a hand in this. Zero interest rate suckling, HPI4eva chanting, hoe moaners, the lot of them. 4 hours ago, rollover said: Last night Lib Dem Treasury spokesman Sarah Olney said: 'Homeowners [sic] are paying the price for the Conservative Government crashing the economy. They are simply paying the price for their lack of foresight. Borrow half a million at 1% for three full decades? No, I don't think so. Quote Link to comment Share on other sites More sharing options...
bartelbe Posted November 21, 2022 Share Posted November 21, 2022 The entitlement of mortgage debtors under that story is astonishing. Anybody who points out mortgages last decades and zero level rates were never going to last that long, gets downvoted. What did mortgage debtors expect to happen? Zero rates forever and house prices continuing to rise to ever more absurd ratios of average wages? The danger is all these debtors demand that they are bailed out and are saved from their own reckless borrowing. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 21, 2022 Share Posted November 21, 2022 1 hour ago, winkie said: Is that right that the typical household has a mortgage of £236,000 outstanding?........what is a typical household then with a mortgage? Seems very high to me. Data could easily be skewed with high value mortgages, typical I'd take with a pinch of salt. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted November 21, 2022 Share Posted November 21, 2022 5 hours ago, rollover said: Homeowners 'face biggest hike in interest payments ever' Homeowners face the biggest hike in mortgage interest payments ever, it is claimed today, with thousands with a typical outstanding home loan seeing their monthly charges doubling next year to almost £500. The Liberal Democrats, who carried out the analysis, calculate that for a typical household with an outstanding mortgage of £236,000, the hike next year would mean monthly interest payments doubling to £474 – an extra £2,851 a year. 'This is simply unmanageable with the tax rises announced by the Chancellor.' The news will fuel fresh fears that the cost of living crisis will lead to properties being repossessed. Last night Lib Dem Treasury spokesman Sarah Olney said: 'Homeowners are paying the price for the Conservative Government crashing the economy. Daily Mail Conversely, savers face biggest theft of their earned/taxed money in history Quote Link to comment Share on other sites More sharing options...
spyguy Posted November 21, 2022 Share Posted November 21, 2022 Bit of a LbDem porky. https://moneynerd.co.uk/average-mortgage-debt/ The average UK mortgage debt in 2021 was £137,934. Quote Link to comment Share on other sites More sharing options...
MARTINX9 Posted November 21, 2022 Share Posted November 21, 2022 2 hours ago, winkie said: Is that right that the typical household has a mortgage of £236,000 outstanding?........what is a typical household then with a mortgage? Seems very high to me. The Lib Dems only represent high house prices areas like St Albans, Chesham, Bath, RIchmond and Barnes, Surbiton, Twickers North Oxford, nice bits of the Lake district, the poshest bit of Edinburgh and some old haunts in the Highlands. Its probably typical for Lib Dem constituencies - the party of the nimby virtue signallers who love high house prices and of course poor people as long as they don't move anywhere near them. Quote Link to comment Share on other sites More sharing options...
Trump Invective Posted November 21, 2022 Share Posted November 21, 2022 I wonder. I just wonder if there might not be a poll tax style take to the streets. Followed by government capitulation in some way. Quote Link to comment Share on other sites More sharing options...
clarkey Posted November 21, 2022 Share Posted November 21, 2022 I agree that much of the blame goes on people over extending themselves thinking that rates will be low for ever. However the current government including Sunak did fan the flames . People sadly expect the government to warn them on everything these days and they should have put more limits on stupid people not cut stamp duty, lower rates to 0.1%. The government need to shoulder 50% of the blame Quote Link to comment Share on other sites More sharing options...
Bear Goggles Posted November 21, 2022 Share Posted November 21, 2022 Seems to be a very poorly written article. Quote Homeowners face the biggest hike in mortgage interest payments ever, it is claimed today, with thousands with a typical outstanding home loan seeing their monthly charges doubling next year to almost £500. I'm sorry, but I can't believe the "typical" mortgage payment is £250 per month. What does "charges doubling" mean here? Interest payments? Quote Link to comment Share on other sites More sharing options...
spyguy Posted November 21, 2022 Share Posted November 21, 2022 4 minutes ago, Bear Goggles said: Seems to be a very poorly written article. I'm sorry, but I can't believe the "typical" mortgage payment is £250 per month. What does "charges doubling" mean here? Interest payments? Yep Interest payment bit of the monthly. Barrel scrapping. Quote Link to comment Share on other sites More sharing options...
msi Posted November 21, 2022 Share Posted November 21, 2022 Can someone remind me why I'm supposed to care? Quote Link to comment Share on other sites More sharing options...
Depressedpedro Posted November 21, 2022 Share Posted November 21, 2022 1 hour ago, spyguy said: Bit of a LbDem porky. https://moneynerd.co.uk/average-mortgage-debt/ The average UK mortgage debt in 2021 was £137,934. I think what the done is taken the current average house price and put down a x% deposit and that is the Size of the mortgage. It's not reality outside of maybe a relatively small percent who have brought on the last year or two at peak prices with modest deposit. Quote Link to comment Share on other sites More sharing options...
winkie Posted November 21, 2022 Share Posted November 21, 2022 3 hours ago, MARTINX9 said: The Lib Dems only represent high house prices areas like St Albans, Chesham, Bath, RIchmond and Barnes, Surbiton, Twickers North Oxford, nice bits of the Lake district, the poshest bit of Edinburgh and some old haunts in the Highlands. Its probably typical for Lib Dem constituencies - the party of the nimby virtue signallers who love high house prices and of course poor people as long as they don't move anywhere near them. Well I think the libdems are the Tories greatest competitor in the more affluent areas........labour in the less...... everything is going against them. Quote Link to comment Share on other sites More sharing options...
winkie Posted November 21, 2022 Share Posted November 21, 2022 4 hours ago, interestrateripoff said: Data could easily be skewed with high value mortgages, typical I'd take with a pinch of salt. Think so, I really don't have much sympathy with the highly indebted, I more sympathy for those renting whose rent is increased and have no possibility of buying close to where they work.....paying someone else's loan or income. More sympathy for those saving for a deposit who will never get help until savings all but spent..... Quote Link to comment Share on other sites More sharing options...
TomM Posted November 21, 2022 Share Posted November 21, 2022 Quote Link to comment Share on other sites More sharing options...
Locke Posted November 21, 2022 Share Posted November 21, 2022 7 hours ago, bartelbe said: What did mortgage debtors expect to happen? Zero rates forever and house prices continuing to rise to ever more absurd ratios of average wages? Yes. Quote Link to comment Share on other sites More sharing options...
Locke Posted November 21, 2022 Share Posted November 21, 2022 11 hours ago, rollover said: seeing their monthly charges doubling next year to almost £500. If you cannot afford £500 per month, you have no business taking on hundreds of thousands in debt. Quote Link to comment Share on other sites More sharing options...
winkie Posted November 21, 2022 Share Posted November 21, 2022 Support for mortgage interest.......very interesting, add the support onto the existing debt plus interest until own nothing of the house, the lenders and the tax payers own it.....then repossess? Why is the government doing this, less I think to support high house prices, more because there is no social housing to put repossessed home owners in.......where are all these repossessed families going to be housed?.......already there are thousands no longer paying the rents they can't afford. Quote Link to comment Share on other sites More sharing options...
sta100 Posted November 21, 2022 Share Posted November 21, 2022 8 hours ago, bartelbe said: The danger is all these debtors demand that they are bailed out and are saved from their own reckless borrowing. This hasn't happened historically and I don't see why it should happen now. Quote Link to comment Share on other sites More sharing options...
70PC Posted November 21, 2022 Share Posted November 21, 2022 7 hours ago, spyguy said: Bit of a LbDem porky. https://moneynerd.co.uk/average-mortgage-debt/ The average UK mortgage debt in 2021 was £137,934. Interesting link. The average number looks high given that many of these mortgages will be old and have had large amounts paid off. Average mortgages for properties purchased in recent years is the issue. For first time buyers, the average mortgage is £170k. Median income is reported as £29,600. Presumably many first time buyers will be closer the median number apart from things like help to buy loans and student debt. This looks like corruption. "In 2021 so far, the average size of a mortgage for first-time buyers is £170,301." Quote Link to comment Share on other sites More sharing options...
70PC Posted November 21, 2022 Share Posted November 21, 2022 9 hours ago, bartelbe said: The danger is all these debtors demand that they are bailed out and are saved from their own reckless borrowing. The BOE, MPC and treasury etc can claim to have a better understanding on matters like this than riff raff like me. Ordinary punters however saw 2008 and this crisis coming from a mile off. My unqualified analysis of a mortgage bailout is that the £ will become a basket currency, interest rates will go to 20%+ and the productive economy will tank. Quote Link to comment Share on other sites More sharing options...
pandabear Posted November 21, 2022 Share Posted November 21, 2022 5 hours ago, winkie said: Support for mortgage interest.......very interesting, add the support onto the existing debt plus interest until own nothing of the house, the lenders and the tax payers own it.....then repossess? Why is the government doing this, less I think to support high house prices, more because there is no social housing to put repossessed home owners in.......where are all these repossessed families going to be housed?.......already there are thousands no longer paying the rents they can't afford. Don't forget that Central Government already own 20% of every property bought under help to buy. It is only a small step to start silently repossessing the other properties. It is such a strange world where local councils are dissuaded financially from building new properties whilst central are free to hold as much as they like. You will own nothing and be happy perhaps? Quote Link to comment Share on other sites More sharing options...
winkie Posted November 22, 2022 Share Posted November 22, 2022 11 hours ago, pandabear said: You will own nothing and be happy perhaps? The whole point of owning is, are free to live in a home, have the security to know no other, lender, landlord or state have an interest or control........no rent or interest to pay, meaning don't need to earn more, or will have more to spend on other living costs........so owning is to be free to live more freely and cheaply.......no pockets in shrouds, so will one day own nothing because will have no need to own anything. Quote Link to comment Share on other sites More sharing options...
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