To think having a house with a mortgage is not 'owning your own home'

[easternuts]

We had a mortgage for 30 years before paying it off recently on our modest home. Now we consider ourselves home owners.

Dd rents because she doesn't want to pay the bank more in interest than the cost of her rent is. Yes her rent can go up but so can your mortgage.

I've had friends of mine make snide comments that dd is going on another holiday when she doesn't own her own home. This is as opposed to their own children who have recently bought with 95% or 90% mortgages in a part of the country where a 3 bed house is less than £150k.

AIBU to think that you don't own your own home just because you have a £15k down payment. DD has far beyond what is needed for a deposit but it makes zero sense in central London at present.

Why do you care so much? Do you like the spread of financial misinformation? Are you Charles Ponzi?

Who's is it then?
Who do I need to ask if I want to paint the bathroom?

But you have paid for it in full
with money that has been lent to you

the poster who mentioned financial illiteratacy was spot on. It’s concerning how many people are wrong but stubborn.

Not all landlords do carry out necessary repairs, though, and even when they do, repairs may not be exactly prompt, or done properly.

Mate. You're really reaching. I own my own home. Just suck it up and own being wrong.

Technically you do own your home when you have a mortgage as your name is on the title. You also own a debt to the mortgage provider which has a claim over the property if you can’t keep up the payments. But you do own it.

Then there are people with expensive properties who end up incurring large inheritance tax bills after they die. There are pros and cons to the ownership / rental decision

Yes, how awful to inherit a million pound property (inheritance tax threshold) and have to pay 10-20% of that back in tax. Far better to never inherit anything, right?

I think this may be my favourite thread ever.

It's has everything now hasn't it.

We can even tick the 'know your place HA dweller' box.

The snobbishness is real! (Agreeing with you here - I wouldn’t want anyone to think I was supporting @ArthurHeDoesAsHePleases. That would be embarrassing).

It keeps drawing me back, even though I should just roll my eyes and walk away.

People are fascinating.

YABU - you’re classed as a home owner even with a mortgage. Sometimes when you’re filling in forms, it gives you the option of owner outright or owner with mortgage. I think you’re being a bit snide and I say this as someone who cleared the mortgage in their 30s. That said, your “friends” shouldn’t be negatively commenting on your daughter’s choices because they’re jealous about her holidays. They’re dicks.

Actually it has nothing to do with being prudent or not. It’s recognising the legal position whilst being able to recognise the financial one. Whilst you can pay the mortgage the bank has nothing to do with your house. Your house only comes into the equation when you either can’t pay the debt or you sell the house and need to repay the mortgage

Renting is never the best option.

Nonsense statement

Nope, that is arguably not correct if you check the law. The position in law is that the lender has rights which superior to the rights of the registered owner of the property. The only constraint on those rights is that the lender will have agreed that, as long as the terms of the Mortgage Deed are complied with, he will not seek to exercise those rights.

If someone falls down your stairs as the floorboards were loose, or a roof tile fell and hit someone on the head - who would get sued? You (who has a mortgage) or the bank???
if the bank legally owns the house then they would be the ones getting sued but they don’t - it’s the owner of the house whether they owe money to the bank or not.
I think if the legal system works this way then it is obvious who the legal owner of a property is!!!!

Me too. Im back.

Barclays left in the end, said they wanted to put a pie in the oven. When I checked it didnt have a bottom, it only had a top lid. I said 'what sort of pie is that?'

They said, 'never mind that, you dont even own this house, its none of your business what we do when we're here'.

Owned our house for 10 years. When we bought, rent was 50% more than our mortgage. Now rent is more than double our mortgage. Rent costs a lot more and that extra us what pays for repairs. I don't spend the amount saved on repairs. Not by a long way.

🤣

It's funny that when the bank writes to us about our mortgage, there's always that bit at the end reminding you to "keep up repayments on your home".

Why do they say it's my home if it's theirs!!

It can be for someone looking to downsize assets below inheritance tax threshold and live off the released equity.

People on this thread are bonkers and seem to lack rudimentary understanding of law and finances. It is your home, the back have a charge against it which they can apply to court to get your home in satisfaction of a debt if certain conditions apply (eg non payment)

if you die and calculating IHT the value of your house goes into your assets. The amount of outstanding mortgage is your debt.,

Wrong

Yup. Even where told they’re wrong and having it clearly explained they double down. Baffling really