Warning on higher cost of 40-year mortgages

[scooterscot]

I've been waiting for that mega crash since the 90s. When is it?

June 24th, 2016

[SueEllen]

June 24th, 2016

You mean when true British economic figures are released?

[alreadypacked]

I've been waiting for that mega crash since the 90s. When is it?

I was waiting for the mega crash in Ireland for 10 years, at around 8 years people were saying out loud I was crazy, it will never happen.

2 houses paid in cash, 3rd on the way. Not so crazy after all.

I will happen in the UK, if you still want to live there when it does, is another thing.

[Hobosapien]

It will happen in the UK, if you still want to live there when it does, is another thing.

But will it happen at the same time the Sun explodes? It feels like I've been waiting that long already.

[Smartie]

MIRAS

I didn't realise that the USA (and Switzerland) allow you to deduct the interest paid on your mortgage from your personal taxation.

https://en.wikipedia.org/wiki/Home_m...rest_deduction

That would have a major effect on pushing up prices, especially for higher earners.

Remember this? https://en.wikipedia.org/wiki/Mortga...lief_at_source

[DimPrawn]

Remember this? https://en.wikipedia.org/wiki/Mortga...lief_at_source

I do, fondly.

MIRAS was completely abolished in April 2000 by Gordon Brown, who argued it had become a middle class perk.

[sirja]

This is just the way things are going. 120 year mortgages are common in Japan, Sweden recently capped mortgages at 107 years(down from 140 years). Topic of conversation at dinner parties 2 generations from now will be " My Gran keeps telling me how in their day you could actually pay of your mortgage in 25 years, can you believe it!...'
Real estate is the ultimate control mechanism the bankers have over the general population, and that's why there will NEVER be a sustained major crash in prices. The odd 10-15% correction every 5-7 years, sure, but then the prices simply go up again beyond the previous high. Got to keep the debt slaves in chains right till the day go into the earth. Heck in Switzerland you can even pass your mortgage onto your kids. Thanks Dad!

[scooterscot]

I rent first. And have done for years.

[DimPrawn]

This is just the way things are going. 120 year mortgages are common in Japan, Sweden recently capped mortgages at 107 years(down from 140 years). Topic of conversation at dinner parties 2 generations from now will be " My Gran keeps telling me how in their day you could actually pay of your mortgage in 25 years, can you believe it!...'
Real estate is the ultimate control mechanism the bankers have over the general population, and that's why there will NEVER be a sustained major crash in prices. The odd 10-15% correction every 5-7 years, sure, but then the prices simply go up again beyond the previous high. Got to keep the debt slaves in chains right till the day go into the earth. Heck in Switzerland you can even pass your mortgage onto your kids. Thanks Dad!

https://en.wikipedia.org/wiki/Serfdom

Serfdom is the status of many peasants under feudalism, specifically relating to manorialism. It was a condition of bondage, which developed primarily during the High Middle Ages in Europe and lasted in some countries until the mid-19th century.

Serfs who occupied a plot of land were required to work for the lord of the manor who owned that land, and in return were entitled to protection, justice and the right to exploit certain fields within the manor to maintain their own subsistence. Serfs were often required not only to work on the lord's fields, but also his mines, forests and roads. The manor formed the basic unit of feudal society, and the lord of the manor and his serfs were bound legally, economically, and socially. Serfs formed the lowest social class of feudal society.


Swap serf for working person, and lord of the manor for banks, and we are back where we started....

[sirja]

https://en.wikipedia.org/wiki/Serfdom

Serfdom is the status of many peasants under feudalism, specifically relating to manorialism. It was a condition of bondage, which developed primarily during the High Middle Ages in Europe and lasted in some countries until the mid-19th century.

Serfs who occupied a plot of land were required to work for the lord of the manor who owned that land, and in return were entitled to protection, justice and the right to exploit certain fields within the manor to maintain their own subsistence. Serfs were often required not only to work on the lord's fields, but also his mines, forests and roads. The manor formed the basic unit of feudal society, and the lord of the manor and his serfs were bound legally, economically, and socially. Serfs formed the lowest social class of feudal society.


Swap serf for working person, and lord of the manor for banks, and we are back where we started....

I've never seen it said better. Bravo!!