mortaging the home

11:36 PM Thursday, February 28, 2008

Friends in London hve recently bought a new home two hours from the city because my friend's job is nearer there and her husband works from home anyway. To finance the purchase, they dipped into their savings and put a mortgage on their old home, which they are now having rented by college students.

UK mortgages are now a tricky deal, with lenders not only looking at one's gross salary but also looking into one's bank statements, credit card billings (to check spending habits?) and personal loans.

She says that if people are wise about money, mortgages can even be their friend. It can help send kids to school or finance major investments such as a new home and it will provide the necessary challenge to keep a tight and careful hold on the fmily budget. It should provide all the incentive to spend money wisely and the reward of being able to afford really wonderful things, like an education or a family business.


Post a Comment