Jez wrote:

sanguinevikings wrote:

maff wrote:

The Bare Facts on Stripping
http://www.msnbc.msn.com/id/6803432/site/newsweek/

I love the upside of stripping equity out of your home for investing,
but the downside is grim. What if your income falls, or you lose your
job?

By Jane Bryant Quinn
Newsweek

Jan. 17 issue - Should you strip? No, I'm not talking pole dancing,
although ads for financial products sometimes read like soft porn.
"Psst," the guys in raincoats hiss, "I know a way to get rich quick."
Today's hot idea is equity stripping-borrowing most or all of the
equity out of your house. That gives you a sackful of cash to invest in
stocks, mutual funds or additional real estate. The return on your new
investments (you're sure!) will exceed the low interest you're paying
on the loan. Every time your house rises in value (doesn't it always?),
you strip the equity again. In place of just one asset, you've now got
several, all of them headed (where else?) up.

Jane Bryant Quinn
http://groups-beta.google.com/group/alt.atheism/msg/a3bfe5d948a398fe

For F*&$s sake! Are people really doing these DIY endowment mortgages?

Quite possibly. We get a bunch of adverts everyday saying how good
such a choice is.
Some fucking idiots are bound to fall for it.

Sinking your bricks and mortar into equities is a mugs game. It
always was, and it always will be. If you have positive equity in
your property, you should first pay off your credit cards and chop
them up.

Smart gamblers will leave themselves with some equity, and will
invest the rest in low risk, low return bonds and securities or a
high variable interest rate account. That isn't rocket science, it's
just common sense.

Never met a 'smart gambler'.
Does such a creature exist ?

Every gambler believes in them.