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Corsa Sport » Message Board » Off Day » House Day » Interest Only Mortgage harder to get now. » Post Reply
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M2RTY |
posted on 5th May 13 at 09:35 |
Make sure all them flats arnt in the same area, i ways believe if you buy a load in one area, and something bad happens in the area, you are more at risk. My mate had 10+ houses on a street someone got shot dead on on NyE a few years ago and struggles to get tenants now. Bit extreem but you get my point | |
RichR |
posted on 3rd May 13 at 12:37 |
That's why I said sensible option for BTL, IMO, it's never a sensible option for a domestic mortgage | |
John |
posted on 3rd May 13 at 12:28 |
The media interest/this thread aren't about doing it sensibly with a BTL. It's about people having houses they can't afford. | |
RichR |
posted on 3rd May 13 at 11:28 |
that's how I funded my second property. The first property is a townhouse split into two flats; flat one covers the mortgage and bills for the entire property, flat two is profit. | |
AndyKent |
posted on 3rd May 13 at 11:24 |
Interest only is fantastic for BTL property where the market is stable. | |
RichR |
posted on 3rd May 13 at 11:17 |
missing the obvious | |
James |
posted on 3rd May 13 at 10:54 |
Why is it the sensible option? Surely it depends on the circumstances, but with a repayment BTL you get the rental income and a property at the end of it, but with interest only you only get the rental income. | |
RichR |
posted on 3rd May 13 at 10:45 |
Interest only on a BTL is the only sensible option so technically, its not a mug's game ;) | |
James |
posted on 3rd May 13 at 08:49 |
Interest only mortgages are a mugs game. They are almost impossible to get unless you have a rock solid way to pay at the end of the term. Even if you say you will sell your house, they won't accept that. | |
Ben J |
posted on 3rd May 13 at 08:49 |
quote: Same here. | |
whitter45 |
posted on 3rd May 13 at 07:51 |
I thought Interest mortgages had been removed about 2 years ago | |
AndyKent |
posted on 2nd May 13 at 18:51 |
I can see why people might have chosen an interest only mortgage. Its the sort of product in which you get a double benefit - cheaper payments in the short term and the chance to forget about the problem of repaying. | |
dannymccann |
posted on 2nd May 13 at 18:06 |
I have never ever seen the appeal of an interest only mortgage, you might as well rent somewhere and not have the hassle of sorting all the problems that come with home ownership | |
Robbo |
posted on 2nd May 13 at 14:27 |
quote:amen! | |
mwg |
posted on 2nd May 13 at 14:24 |
quote: Aye I can see back in the days when our parents would be getting on the property ladder there would be big money to be made | |
John |
posted on 2nd May 13 at 12:12 |
quote: If you've got a method to repay it before you retire then there's nothing wrong with it. If it's because you can't /don't want to afford a repayment mortgage, then it's a terrible idea and you won't get one now anyway. | |
Ben G |
posted on 2nd May 13 at 11:06 |
quote: i suspect it was a good idea back when houses cost 10p and are now worth hundreds of thousands.people who bought at the height of the boom on interest only will be buggered for a good while now. | |
3CorsaMeal |
posted on 2nd May 13 at 11:04 |
quote: probably a little, but its a situation i'm going to be in soon and do wonder what other people are thinking about it. Do people pay the interest only and at the same time save some money each month for the end of mortgage? as it seems the monthly payments can be feck all sometimes, my mate boasts about his costing hardly anything due to interest rates | |
Rob_Quads |
posted on 2nd May 13 at 11:00 |
It very very clear with all interest only mortgages that you will still owe the cost of the house at the end so I am not sure how anyone can claim they are mis-sold (unless by an advisor etc) | |
mwg |
posted on 2nd May 13 at 10:20 |
Can't see the point of paying interest only but then I don't have a clue when it comes to mortgages | |
John |
posted on 2nd May 13 at 09:56 |
Not sure if trolling or not? | |
3CorsaMeal |
posted on 2nd May 13 at 09:23 |
Anyone experienced this? |