You raise an interesting point about the LTV. Correct me if I'm wrong. But as your house goes down in value, your interest rate increases if you re-mortgage?
Yep.... 2 years ago, we were well into sub 75% LTV, now we are not. However, the offered rates with both companies was still quite reasonable. This despite one of those Co's being a subsidiary of the one just bought by Lloyds. (the other having a penchant for tapas).
That's the problem. You might be alright. The stupidly over leveraged fellow customers you are now losing their jobs are dragging you down.
But mine is a long term investment, in 15 years time it will be worth at least double what it was worth this time LAST year, even after inflation.
Its unlikely anyone who bought in the last 2 years will have their interest rate double at the end of their intro rate. If they can't get a new one due to -ve equity, even their SVR will only be a couple of points higher than the intro rate. Thus they should be able to cover it. If they bought more than 4 years ago they should have sufficient equity to absorb the drops...
The '90 is mentioned often on here, did the lights go out? No, did the world stop spinning, No. Did things recover, Yes. Did some people lose out, absolutely, and them they had the chance to recover too.
iX