In message , John Williamson
writes
hugh wrote:
In message , Andrew
writes
Sensible people recognised that a standard mortgage paid off some
capital every year, and increasingly after year 10, so the debt
is going down. I have to query the mental state of anyone who
thought that an endowment mortgage was a good idea.
Endowment mortgages were a good idea when the premium was tax
deductable. As soon as that was removed they were a waste of time. But
the providers then upped the commission and mortgage advisors carried
on advising people to buy them

Then the government phased out mortgage income relief, and we were done
from both angles.

When I got my endowment mortgage, it was a good idea, as I got tax
relief on the insurance element of the endowment policy, and tax relief
on the entire mortgage payment. The numbers looked very good compared
with a repayment mortgage, with a significantly lower monthly
repayment. Then the government changed the rules.

Indeed and promised to use the extra cash raised for - guess what - yes,
social housing
--
hugh