| Topic: | Re:Re:Re:Re:Re:Re:Re:Re:Re:Re:Re:Re:Re:Re:Re:David McLoughlin has a direct line into Ruth Cadbury | |
| Posted by: | Jonathan Bingham | |
| Date/Time: | 01/05/15 14:29:00 |
| I suppose the increase in London house prices depends on what you define by London for a start, but if we are talking about ones that are worth in the millions now, I suspect they have gone up by more than 3% per year. Certainly anyone living in Chiswick will have seen increases above this. What is a typical London mortgage - is there such an animal?. With interest rates at a historical low I suspect many people on interest only mortgages are not paying a lot compared to the increase in value of their house over the last ten years. Say someone had bought a 400K house in Chiswick with 300K mortgage and paid interest at 4%. That's 12K pa or 120K over 10 years, but that house has increased in value by 600K or more - and it's all tax free. The place in Birmingham has gone up by a fraction of that. |