revtothelimit - motorbike forum

Potter wrote: Wed Nov 10, 2021 11:59 am A home is only an investment if you intend to sell it and cash in the money, if you intend to live in it until you die then it's a liability to you, it's an asset to whomever you leave it to.

Potter wrote: Wed Nov 10, 2021 11:59 am And I'm still not happy about comparing a non-essential luxury item like a fancy watch, to a family home that is essential to a decent stable family life.

Mr. Dazzle wrote: Thu Dec 02, 2021 8:44 am I made 60p interest on my savings account

v8-powered wrote: Wed Jan 05, 2022 9:15 am Our plan is to empty both NS&I accounts now and pay off one of rhe mortgages, leaving us with the pittance mortgage on the house we live in.

Potter wrote: Wed Jan 05, 2022 9:30 am

v8-powered wrote: Wed Jan 05, 2022 9:15 am Our plan is to empty both NS&I accounts now and pay off one of rhe mortgages, leaving us with the pittance mortgage on the house we live in.

I'm not a super-dooper financial soothsayer, if I was then I'd pack in work and trade shorts, but I do reckon there is an absolute bastard of a financial crunch coming in about 12-18 months (if everything stays on the same vector) and if you can head into that with no debt and with a few bob in the bank then you'll be better positioned than many. A debt free balance sheet has to be the way to go, as long as you can get your hands on a bit of liquidity and you don't tie it all up in assets.

It's a perfect storm, very simplistically 'they' either bump up interest rates and risk a crash like the one in 2009, or carry on as they are with kicking it down the road and risk an even worse one with inflation. It's like they were gambling on the latter not happening and then the gods threw covid in to swing it right in their faces.

Potter wrote: Wed Jan 05, 2022 12:22 pm

v8-powered wrote: Wed Jan 05, 2022 10:55 am
Cash in the bank is currently worthless...

It's worse than that, it becomes more worthless every month, if you have £100k in a bank account today then this time next year it will be worth £96.5k.

I watched a Youtube video the other day by some city wizzkid who was talking about where the smart money is, I had high hopes because it had about a million views and he's a self-made millionaire, I thought he was going to tell me something I didn't know. I had to laugh because he took about fifteen minutes to slowly reveal his secrets - keep a decent bit of fall-back liquidity in the bank, buy a house outright and then invest the rest in watches and fancy cars

Potter wrote: Wed Jan 05, 2022 12:34 pm

weeksy wrote: Wed Jan 05, 2022 12:24 pm
Count yourself lucky.... my £12.46 is worth £11

On a positive note though, if you only have £12.46 to lose then you won't be losing sleep over it.

I read a book years ago by a bloke than won the Pools, he said he still had as many worries as he always had, but now instead of worrying about having no money he now worried that he might lose it all.