Money expert Martin Lewis explains the mortgage crisis

We spoke to the Money Saving Expert Martin Lewis about the impact of the Bank of England's decision on mortgage holders, renters and the economy.

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[dianesullivan]

working for 38 years as a skilled person will get me a pension of $1800 a month, but being involved in the stock market, I am able to add $7200 a month to that income. Taxes paid on that income, $3575. The secret ? Dividend income ! YOU have to learn how to play the game. Nobody will play it for you.

[dylanmoris]

It is difficult to make exact projections for the housing market as it is still unclear how quickly or to what degree the Federal Reserve will reduce inflation and borrowing costs without having a substantial negative impact on demand from consumers for anything from houses to cars.

[Dannyholt]

Banks are selling mortgages. People always say it's a good option to buy at discount, but with the market turmoil and everything at stake in present economy, I'm thinking of buying stable coin to hedge against inflation, or is it all right saving over 350k ?

[ClementRusso]

Basically, mortgage rates have reached their highest point since 1998, spanning 25 years. Considering inflation trends, there's potential for them to rise even further. Just a year ago, a 28year fixed rate was only 6%. This prompts the question: should I wait for a housing market downturn before buying or shift my focus towards the equity market?

[mcginnnavraj]

Every crash/collapse brings with it an equivalent market chance if you are very well informed and equipped. I've seen folks amass up to £800K amid crisis, and even pull it off easily in an unfavourable economy. Unequivocally, the bubble/collapse is getting somebody somewhere rich.

[ilikelampshades]

My diesel bill: up £3000
My food bill: up £2000
My heating bills: up £2000
My morgage payments: up £10, 800
Tory paycuts over 13 years: £40, 000+

This conservative government has cost me well over £67, 800 and they have the cheek to say I, as a nurse, deserves another huge paycut. National disgrace

[nazikaksoy]

Hey Sherry after taking your advice and getting the 51 point increase to my fico score, Mysticflip claimed my increase came from my car payment balance decreasing which I believe was a lie, hoping I'd not realized the real reason it went down and try the process all over me realize these companies really wanna keep us down and indebted to them...am I crazy for thinking this way?

[yigitgonuldas]

This man spends hundreds of thousands of time just to help us. He helps those in need while also helping us. He always puts a smile on our faces and we should appreciate it. Hats off to Him! I love you dude. Crazy I've never payed attention to the Mysticflip on the internet movement when I say ancestral your a gift to our people

[benmathew]

It’s good to hear someone being transparent and shedding light on the subject rather than shying away when asked questions.

[joelsteveson]

The essential thing that everyone should be thinking about right now is investing in non-government sources of income. Especially in light of the current global economic crisis. It is still a wonderful moment to invest in gold, silver, digital money, and stocks.

[spankflaps]

Liz Truss skipped the game tutorial, and went straight to the main mission.

[cevhertekdemir]

You're the best MYSTICFLIP ! Thank you for sharing the knowledge. I've actually gotten a few loans that you've suggested in the past. You bring so much to our tables. You're just full of great helpful info. You've taught me so much in the past few months and I'm grateful. You're an angel in disguise! Keep doing what you're doing my friend. Thanks once again MYSTICFLIP

[erdevon]

I always chuckle when people say " you cant go wrong with bricks and mortar", "on the housing ladder" etc. The truth is house ownership is the lesser of 2 evils that will constantly need money pumped into it

[engincan]

Not going to lie, but we are actually really proud to have an employee like you as part of the team. The job is done so gracefully and neatly. Very well done, dear MYSTICFLIP . First of all. Thank you for making the work environment so friendly and taking your responsibility seriously and completing the work gracefully! You deserve so much.

[marclawson]

Non-Expert explains the mortgage crisis: an intentional redistribution of wealth from the middle and bottom directly to the insatiable top

[einseitig]

It is all such a mess. Despite Martin Lewis being absolutely right and with inflation on food being so high at near 20%, house price inflation, over many years has been out of control. Given the UK has seen ultra low interest rates since the Great Financial Crisis in 2008, house prices have been the main beneficiary of low interest rates.
The Governor of the Bank has been poor, printing money on a whim via quantitative easing and not increasing rates soon enough contain inflation. Now he is simply striking out at the sector that has benefited most.
The management of our country is appalling. There is no plan just flying by the seat of their pants, Biggles style.

[Aziz__]

I started stacking to SAVE wealth. I've always been the type of person to spend my entire paycheck. I hate having money just sit in the bank. I am under pressure to grow my reserve of $950k. before I turn 60, I would appreciate any advice on potential investments.

[michaelscales]

The decision to keep historically low rates in place for a decade must have been one of the worst ever.( which is saying something ! )
It encouraged far too many to borrow large amounts and kicked savers hard.
Mortgage advisers earn a commission, so most don't care if you end up struggling to repay the mortgage.

[rushlike.mm]

As a Retired combat Marine I want to tell you that as what you are doing is just as important as any warrior on the battlefield. You are waging warfare against these criminals and terrorists on the digital battlefield. You are defending and protecting the most vulnerable of our society against these predators. Keep up the good work MYSTICFLIP on the internet

[pistopit]

I was overpaying my mortgage as much as I could when my deal was at 2.6% interest. The reason for overpaying was to get me below 60% LTV, so I can access the most attractive rates for the next deal. Once I got to my LTV target, I have switched from my 2.6% to 1.14% deal fixed for 5 years. I've paid early replayment charge for this switch, but I knew it was well worth it, as I would get the money back after just 10 months on a new deal. Now I am still on that low rate of 1.14% for the next 3.5 years while watching the craze (or rather back to normal) of interest rates. I am no longer overpaying my mortgage because it is much better to keep savings in high interest rate savings account. The savings money will be then used to repay the mortgage once the curent deal ends (unless rates get back to very low levels again at that point). I could basicaly tell that in my case inflation is helping to pay off my mortgage. It was a lot of luck with the hint of discipline to position myself like that in these dificult times.