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biffvernon
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Spain

Post by biffvernon »

I think I suggested a considerable while ago that if enough people can't afford their mortgage it's the bank that has the problem rather than the householder. I wonder if we're seeing the beginnings of this effect in Spain with the indignados, people who are standing up to the banks who wish to repossess thier properties.

Our local difficulties in Tottenham may have pushed Spain out of the news but here's an interesting piece:
http://www.zcommunications.org/spain-s- ... blo-ouziel

and Washington Post:

http://www.washingtonpost.com/business/ ... story.html
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clv101
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Post by clv101 »

Indeed, I'm starting to think it could be a good idea to have a small mortgage, like some kind of hedge. Join the crowds for safety in numbers.
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DominicJ
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Post by DominicJ »

Clv
Having a mortgage could be useful, if you believe you can default on it and keep your house.

It could also backfire, and you lose everything.
I'm a realist, not a hippie
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Lord Beria3
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Post by Lord Beria3 »

DominicJ wrote:Clv
Having a mortgage could be useful, if you believe you can default on it and keep your house.

It could also backfire, and you lose everything.
+1
Peace always has been and always will be an intermittent flash of light in a dark history of warfare, violence, and destruction
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Erik
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Post by Erik »

DominicJ wrote:Clv
Having a mortgage could be useful, if you believe you can default on it and keep your house.

It could also backfire, and you lose everything.
Indeed, and the alternative is renting which means losing everything whatever happens.
"If we don't change our direction, we are likely to wind up where we are headed" (Chinese Proverb)
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DominicJ
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Post by DominicJ »

Erik
I thought CLV meant he had paid off his home, but was considering taking out a mortgage and telling the bank to go whistle when they asked for the money back.

Its a high risk strategy.
I "bought" a house with a tiny deposit and huge mortgage, I'm hoping that inflation will render my debts minor.
If I borrowed 5x my salary, 10 years of 10% wage growth and 5% interest turn that into 3x my salary.
I'm a realist, not a hippie
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