MORTGAGES - Interest Only Or Capital Repayment

Property investors who confronted monetary smash at the moment all had one thing in frequent, and it wasn’t what you might suppose. It wasn’t excessive gearing, despite the crash in property values, it was a scarcity of money. Buyers with excessive gearing and excessive liquidity (cash within the financial institution) fared properly. This taught me that "Cash is King" and that fairness left in property is topic to excessive danger.

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