FG to just do nothing for the next 5 years.

smurgen wrote: »

Surely now it's time for FFG to finally tackle the mortgage rip off of Irish banks?

https://www.google.com/amp/s/amp.independent.ie/business/personal-finance/ireland-back-on-top-of-the-mortgage-league-of-shame-39042203.html

The pronlem is that we have no process in place where banks can recover money they lend to people who will not make repayments. As well by the time they do the houses are in such a state that only 40-50% if the banks equity is returned. It's interesting that foreign banks exited the Irish market over the last 10years. The only exception was KBC. It was not just from the residential section but also the business section that these banks left from. Most sold on there loans at a loss either to vulture funds or to repayment management companies.

4-5years ago we had all these lads telling us that the new corporate landlords and pension funds would solve the rental crisis. That the traditional Irish small landlord would be more expensive than them. It is interesting that these new corporate landlords are now the bad guys as well.

It easy to blame others but you have to look at the root cause of the issue

Jinglejangle69 wrote: »

That's what happens when you can't evict people for not paying their mortgage.

We have the lowest repossessions in Europe.

Thanks to all the rabble parties.

Thanks a lot lads.

Once again the minority ruin it for everyone.

But housing repossessions are up 75% last year. Surely that should see a fall in mortgage interest rates here?

Jinglejangle69 wrote: »

That's what happens when you can't evict people for not paying their mortgage.

We have the lowest repossessions in Europe.

Thanks to all the rabble parties.

Thanks a lot lads.

Once again the minority ruin it for everyone.

So tell me if it's down to people and not the banks then what happened during the mortgage tracker scandal? You know the one currently still being settled?

J_1980

smurgen wrote: »

But housing repossessions are up 75% last year. Surely that should see a fall in mortgage interest rates here?

Still only a fraction of the European rates.
And the “friendly Irish” wanted European tax payers to pay for the bad banks and keep their homes. You lot are vile disgusting spongers. Nothing friendly about that.
Hope the troika gives you a proper kick in the teeth the next time

Leo is already siding with the Spanish and Italian spongers on Eurobonds, he knows what’s coming for Ireland in 2022/2023

[Deleted User]

smurgen wrote: »

But housing repossessions are up 75% last year. Surely that should see a fall in mortgage interest rates here?

Source?

J_1980 wrote: »

Still only a fraction of the European rates.
And the “friendly Irish” wanted European tax payers to pay for the bad banks and keep their homes. You lot are vile disgusting spongers. Nothing friendly about that.
Hope the troika gives you a proper kick in the teeth the next time Leo is already siding with the Spanish and Italian spongers on Eurobonds, he knows what’s coming for Ireland in 2022/2023

I'm in a good job,work hard and don't have any debts. Keep your sponger label to yourself.

efanton

Jinglejangle69 wrote: »

That's what happens when you can't evict people for not paying their mortgage.

We have the lowest repossessions in Europe.

Thanks to all the rabble parties.

Thanks a lot lads.

Once again the minority ruin it for everyone.

Irish mortgage holders are paying nearly double what other other mortgage holders are paying in the EuroZone.

Are you somehow trying to suggest that the rate of default is so high in Ireland that banks must charge double to make similar profits? I find that very hard to believe. In fact I find it impossible to believe. It is obvious that the banks are yet again gouging their customers.
To claim that they need to charge nearly double the rate of other EuroZone countries it would mean that nearly 25% of mortgages are in distress. Got anything to back that up?

I have no doubt that there are many defaulting, but that does not excuse the banks from charging rip off rates. The banks are not totally blameless either. Banks have a pretty thorough vetting process before giving a mortgage, and now with the new mortgage rules that will also ensure a pretty substantial deposit.
It's far more likely that the majority off these cases are legacy cases (mortgages still in distress after the bank bailout), or due to bank representatives play fast and loose with the lending rules in order to earn commissions.

J_1980

efanton wrote: »

Irish mortgage holders are paying nearly double what other other mortgage holders are paying in the EuroZone.

Are you somehow trying to suggest that the rate of default is so high in Ireland that banks must charge double to make similar profits? I find that very hard to believe. In fact I find it impossible to believe. It is obvious that the banks are yet again gouging their customers.
To claim that they need to charge nearly double the rate of other EuroZone countries it would mean that nearly 25% of mortgages are in distress. Got anything to back that up?

I have no doubt that there are many defaulting, but that does not excuse the banks from charging rip off rates. The banks are not totally blameless either. Banks have a pretty thorough vetting process before giving a mortgage, and now with the new mortgage rules that will also ensure a pretty substantial deposit.
It's far more likely that the majority off these cases are legacy cases (mortgages still in distress after the bank bailout), or due to bank representatives play fast and loose with the lending rules in order to earn commissions.

The problem is not the default rate.
If a mortgage is 3m behind in Germany you get foreclosed and out of the property in weeks.
In Ireland you can continue to live rent and mortgage free for years.

German ans Danish banks can SELL their mortgage books to investors who are happy with 1% yield in current environment. No one wants to buy Irish mortgages off irish banks because loans repayments are optional. So they keep them and are forced by the ecb to keep sufficient capital against them. That is expensive and that’s why rates are high.

It’s not about defaults, it’s about on/off balance sheet mortgages.

J_1980 wrote: »

The problem is not the default rate.
If a mortgage is 3m behind in Germany you get foreclosed and out of the property in weeks.
In Ireland you can continue to live rent and mortgage free for years.

German ans Danish banks can SELL their mortgage books to investors who are happy with 1% yield in current environment. No one wants to buy Irish mortgages off irish banks because loans repayments are optional. So they keep them and are forced by the ecb to keep sufficient capital against them. That is expensive and that’s why rates are high.

It’s not about defaults, it’s about on/off balance sheet mortgages.

Your common sense facts will fall on def ears around here.

smurgen wrote: »

So tell me if it's down to people and not the banks then what happened during the mortgage tracker scandal? You know the one currently still being settled?

The tracker scandal was wrong but most people that got caught were stupid anyway. they were on a good thing and did not realize it. I was on a commercial tracker from 2004 I saw what seemed were better 3&5 year rates at the time but guessed that the tracker would out preform them over the same period so I did not move.

efanton wrote: »

Irish mortgage holders are paying nearly double what other other mortgage holders are paying in the EuroZone.

Are you somehow trying to suggest that the rate of default is so high in Ireland that banks must charge double to make similar profits? I find that very hard to believe. In fact I find it impossible to believe. It is obvious that the banks are yet again gouging their customers.
To claim that they need to charge nearly double the rate of other EuroZone countries it would mean that nearly 25% of mortgages are in distress. Got anything to back that up?

I have no doubt that there are many defaulting, but that does not excuse the banks from charging rip off rates. The banks are not totally blameless either. Banks have a pretty thorough vetting process before giving a mortgage, and now with the new mortgage rules that will also ensure a pretty substantial deposit.
It's far more likely that the majority off these cases are legacy cases (mortgages still in distress after the bank bailout), or due to bank representatives play fast and loose with the lending rules in order to earn commissions.

Double is a lose term, looks good on a headline. They are 1.5% more expensive. You have to factor in Bank in Ireland cannot resell Mortgages as only vulture funds will buy them, they cannot deal with defaulters, so there costs are higher. If interest rates were 9-10% more expensive and there were operating a 3% difference they only be 30% more expensive.

Bass Reeves wrote: »

The tracker scandal was wrong but most people that got caught were stupid anyway. they were on a good thing and did not realize it. I was on a commercial tracker from 2004 I saw what seemed were better 3&5 year rates at the time but guessed that the tracker would out preform them over the same period so I did not move.

Double is a lose term, looks good on a headline. They are 1.5% more expensive. You have to factor in Bank in Ireland cannot resell Mortgages as only vulture funds will buy them, they cannot deal with defaulters, so there costs are higher. If interest rates were 9-10% more expensive and there were operating a 3% difference they only be 30% more expensive.

That's literally victim blaming. Most people were stupid because the bank illegally overcharged them?is there anything that FG and co won't blame on anyone else?

smurgen wrote: »

That's literally victim blaming. Most people were stupid because the bank illegally overcharged them?is there anything that FG and co won't blame on anyone else?

Why don't you reply to j 1980 post?

smurgen wrote: »

That's literally victim blaming. Most people were stupid because the bank illegally overcharged them?is there anything that FG and co won't blame on anyone else?

No they were stupid to move from a tracker in the first place to what was a rate that was lower in the short term. There was times when my interest rate was higher than 3&5 years fixed rates. But at the time( presently they do not) in general if banks offered you such a rate they fore saw interest rates falling and you tracker would out preform the fixed rate over the term of the loan

Jinglejangle69 wrote: »

Why don't you reply to j 1980 post?

Because he in to little one liners, he cannot under economic facts but rather like nitpicking certain mini points in an post. At times it like having an argument with your wife you always get reminded about the 10% of times she is right

Bass Reeves wrote: »

Because he in to little one liners, he cannot under economic facts but rather like nitpicking certain mini points in an post. At times it like having an argument with your wife you always get reminded about the 10% of times she is right

Oh I know.

Ignore the facts for a few hours.

Then come back in with some other one liner about Leo or Simon or de banks.

Ughhh.

Bass Reeves wrote: »

Because he in to little one liners, he cannot under economic facts but rather like nitpicking certain mini points in an post. At times it like having an argument with your wife you always get reminded about the 10% of times she is right

Have a masters in economics actually what’s your educational background?

Jinglejangle69 wrote: »

Oh I know.

Ignore the facts for a few hours.

Then come back in with some other one liner about Leo or Simon or de banks.

Ughhh.

What post are you referring too?the spin unit posting thick and fast tonight.also I notice the lack of response when provide with robust arguments or evidence hence my reluctance to provide same. This thread and the many other finnerbot populated threads have educated me massively mind. Either a) the spin unit is at work big time across social media or b) the idea that people don’t have ideas,ideas have people is true.

J_1980 wrote: »

The problem is not the default rate.
If a mortgage is 3m behind in Germany you get foreclosed and out of the property in weeks.
In Ireland you can continue to live rent and mortgage free for years.

German ans Danish banks can SELL their mortgage books to investors who are happy with 1% yield in current environment. No one wants to buy Irish mortgages off irish banks because loans repayments are optional. So they keep them and are forced by the ecb to keep sufficient capital against them. That is expensive and that’s why rates are high.

It’s not about defaults, it’s about on/off balance sheet mortgages.

This one.

AllForIt

This thread is so ironic now given FG are in emergency mode and thus never so busy since the election.

Jizique

Runaways wrote: »

You really really hate everyone less fortunate than you eh?

Nothing to do with less fortunate but why would you ever make a mortgage or rent payment if SF were in govt, esp if the value of property is falling, which it is currently

smurgen wrote: »

Have a masters in economics actually what’s your educational background?

I have a masters in Life Experience, survived two major economic down turns, and hope I will survive this one as well.I left home and started working at 15 after the group certificate. When I left home i was playing pocket billards leaving. Now still not 60 I am semi retired and finiancially secure for the remainder of my life.

I did not need a leaving cert or a masters in economics to understand not to move from a tracker loan that was 1.5% above the cost of funds. On house mortgages this went as low as 0.75% above the interbank rate. How anybody left such rates even if they were 2% or more above the interbank rate I cannot under stand.

Jizique

J_1980 wrote: »

The problem is not the default rate.
If a mortgage is 3m behind in Germany you get foreclosed and out of the property in weeks.
In Ireland you can continue to live rent and mortgage free for years.

German ans Danish banks can SELL their mortgage books to investors who are happy with 1% yield in current environment. No one wants to buy Irish mortgages off irish banks because loans repayments are optional. So they keep them and are forced by the ecb to keep sufficient capital against them. That is expensive and that’s why rates are high.

It’s not about defaults, it’s about on/off balance sheet mortgages.

This should be a sticky - why don’t people get this?
Always someone else‘s fault in Ireland

smurgen wrote: »

What post are you referring too?the spin unit posting thick and fast tonight.also I notice the lack of response when provide with robust arguments or evidence hence my reluctance to provide same. This thread and the many other finnerbot populated threads have educated me massively mind. Either a) the spin unit is at work big time across social media or b) the idea that people don’t have ideas,ideas have people is true.

Well?

Runaways

Jizique wrote: »

Nothing to do with less fortunate but why would you ever make a mortgage or rent payment if SF were in govt, esp if the value of property is falling, which it is currently

You would find yourself at the wrath of the banks. Not Sinn Fein

What a ridiculous point by the way.

Bass Reeves wrote: »

I have a masters in Life Experience, survived two major economic down turns, and hope I will survive this one as well.I left home and started working at 15 after the group certificate. When I left home i was playing pocket billards leaving. Now still not 60 I am semi retired and finiancially secure for the remainder of my life.

I did not need a leaving cert or a masters in economics to understand not to move from a tracker loan that was 1.5% above the cost of funds. On house mortgages this went as low as 0.75% above the interbank rate. How anybody left such rates even is there were 2% or more above the interbank rate I cannot under stand.

Cool and i very much appreciated the honest answer. Apologies for abrasive initial message but it’s very much adversarial around these parts. My main issue was the fact that the banks had their rate which was the base rate (ECB interest rate) plus their margin which gave the total rate they would charge customers. The tracker mortgage agreement stated any change in the base rate would lead to a corresponding cut in the rate they charged customers. This didn’t happen so the effectively didn’t pass on the savings.
I may be a Shinner but I am a capitalist at heart. My issue is in this country we degrade and mock socialist policies while crony capitalism gets a free pass. In my eyes it’s capitalism with a sprinkle of socialism is the answer.it’s the cronyism is intolerable in my eyes and i see it a lot in Irish politics.

smurgen wrote: »

Cool and i very much appreciated the honest answer. Apologies for abrasive initial message but it’s very much adversarial around these parts. My main issue was the fact that the banks had their rate which was the base rate (ECB interest rate) plus their margin which gave the total rate they would charge customers. The tracker mortgage agreement stated any change in the base rate would lead to a corresponding cut in the rate they charged customers. This didn’t happen so the effectively didn’t pass on the savings.
I may be a Shinner but I am a capitalist at heart. My issue is in this country we degrade and mock socialist policies while crony capitalism gets a free pass. In my eyes it’s capitalism with a sprinkle of socialism is the answer.it’s the cronyism is intolerable in my eyes and i see it a lot in Irish politics.

Are you going to reply or what?

J_1980 wrote: »

The problem is not the default rate.
If a mortgage is 3m behind in Germany you get foreclosed and out of the property in weeks.
In Ireland you can continue to live rent and mortgage free for years.

German ans Danish banks can SELL their mortgage books to investors who are happy with 1% yield in current environment. No one wants to buy Irish mortgages off irish banks because loans repayments are optional. So they keep them and are forced by the ecb to keep sufficient capital against them. That is expensive and that’s why rates are high.

It’s not about defaults, it’s about on/off balance sheet mortgages.

Banks cannot sell Irish mortgage books to investors? It’s happened dozens of times over the last three years.

https://www.thejournal.ie/ulster-bank-sell-off-family-homes-4707427-Jul2019/