Mortgages

Morven33 · 25-03-2007, 01:02 AM

A little bird told me that you can take out a mortgage in britain for a house in Australia. Seeing as interest rates are much lower here in the UK I got quite excited about this, does anyone know if this is true or just a fairytale?

montbrehain · 25-03-2007, 08:23 AM

yes its true , I down loaded the paperwork ,printed it out and was reading it yesterday. Its not as straight forward as it seems though. Its through the commonwealth bank. have a look here
http://www.commbankuk.co.uk/buying_i...ng_a_property/ best wishes "MO"

BullcreekBob · 25-03-2007, 09:17 AM

Quote:

Originally Posted by Morven33

Seeing as interest rates are much lower here in the UK I got quite excited about this, does anyone know if this is true or just a fairytale?:

G'day

Save 2% on interest rates, loose 8% in exchange rate fluctutions - doesn't seem a good option to me. I guess it's also possible to save 2% on interest rates and make 8% in currency exchange rates as well. However, I'm not a good financial gambler, I seem to worry more about losing and the loses can be major. When it comes down to these things, I guess I'm just a a conservative, cautious type of person.

I know that if I work here and pay my mortgage here, any changes in my repayments caused by interest rate changes will probably be offset by pay rises. If I have a UK mortgage of 1,000UKP per month, that will cost me at the moment about $2,400 - if exchange rates go back to where they were in 1999 the mortgage will cost me almost $3,000.

However, that's only me - if you gamble and win, I'll feel good for you and say you deserve it because you were brave enough to take the risk.

Cheers
Bob in Bull Creek

Morven33 · 25-03-2007, 10:33 AM

Quote:

Originally Posted by BullcreekBob

G'day

Save 2% on interest rates, loose 8% in exchange rate fluctutions - doesn't seem a good option to me. I guess it's also possible to save 2% on interest rates and make 8% in currency exchange rates as well. However, I'm not a good financial gambler, I seem to worry more about losing and the loses can be major. When it comes down to these things, I guess I'm just a a conservative, cautious type of person.

I know that if I work here and pay my mortgage here, any changes in my repayments caused by interest rate changes will probably be offset by pay rises. If I have a UK mortgage of 1,000UKP per month, that will cost me at the moment about $2,400 - if exchange rates go back to where they were in 1999 the mortgage will cost me almost $3,000.

However, that's only me - if you gamble and win, I'll feel good for you and say you deserve it because you were brave enough to take the risk.

Cheers
Bob in Bull Creek

Thanks that's sound advice. I knew it wouldn't be straightforward but the thought of saving money got me excited

montbrehain · 25-03-2007, 12:48 PM

Bob Its perhaps people doing business in a country and way that they understand ? There must be a call for it ? otherwise the Commonwealth wouldn't offer it. But the way you explained it certainly puts it in to perspective. "MO"

BullcreekBob · 26-03-2007, 11:47 AM

Quote:

Originally Posted by montbrehain

Bob Its perhaps people doing business in a country and way that they understand ? There must be a call for it ? otherwise the Commonwealth wouldn't offer it. But the way you explained it certainly puts it in to perspective. "MO"

G'day

If I was working in the UK for a few years before moving or retiring out here, I'd buy a place here and take out a UK mortgage to pay it off while I'm still working in the UK.

If I had a UK pension, I might take out a UK mortgage for a property here and have the UK pension pay off the mortgage. That way I wouldn't need to bother moving (smallish) amounts of money back and forth paying fees on every transfer.

Cheers
Bob in Bull Creek