It’s possible nah, won faa’se mo ara ni

Digmygold:


DEFAULT and FORECLOSURE. Can you guys just let these two words ring in your brains for a minute? There are down sides to Mortgages too. Stop sounding silly.

U are the very foolish one. Default or foreclosure, U get what U put in the house and the equity.
The person renting gets nothing.
Who's worse off. Mr penny wise pounds foolish.

The wealth of white Americans today is deeply rooted in the generational property investment.
Indians and Pakistani in UK understand the game and are buying properties like mad here.
Yet some foolish ones are saying blacks should continue to rent.
Are U not tired of being slaves to other races. What exactly is wrong with the black man...they can't think beyond their today.

franchasofficia:
Most of you guys are misinterpreting and misunderstanding people's criticisms of this story which most Nigerians love to tell without details just to make people feel that they are now big.


Yes they are better now paying mortgage than paying rent, but they should not make it look like they now own a house in the UK 100% when it's actually a mortgage house.


Say it as it is:

We have got our mortgage house after 3 years in UK or US or Canada and nobody will question or criticize you, but coming out with the bragging title: "we now own a house" when it's actually a mortgage house is deceit.


A lot of Nigerians (business owners mostly) can afford to buy outrightly, a detached or semi detached duplex in the UK, US, Canada or any other western country if not for certain factors.


Mortgage houses favor married women abroad than men, so any Nigerian married man abroad hurrying to get a mortgage house when he hasn't acquired enough properties and investments in Nigeria and in other African countries is nothing but a fool that will leave to regret it sooner or later. Only married Nigerian ladies abroad celebrate mortgage house, real Nigerian married men abroad don't celebrate such feat unless they have invested enough back home, it's not a wise decision for a married Nigerian man to do, unless your wife is working and ready to contribute 50% or more for the mortgage.


Houses are costlier in highbrow areas in Nigeria than it is in US, UK, Canada, etc.


The money used to buy just 1 plot of land in Lekki phase 1 will buy a semi detached duplex in Houston, Birmingham, Dallas, Atlanta, Halifax, etc.

The money used to buy a plot of land in Ikoyi or Banana Island will buy a celebrity mansion in most US, UK, etc cities.


Many Nigerian business owners are richer and financially better (without stress) than most Nigerians abroad, but the issue in Nigeria is the recent level of insecurity and inflation brought upon Nigerians by useless Buhari government and continued by Tinubu's stolen regime


If not for insecurity, nothing would have made me to live outside Nigeria permanently, unless they will make me President of that foreign country


If not for insecurity and high inflation in Nigeria now, anybody that owns his own successful business in Nigeria is far better off living in Nigeria than migrating abroad to do 5/9.

Imagine if $1 = NGN250, and £1 = NGN310, tell me why someone that makes a profit of between NGN700,000 to NGN2,500,000 monthly should relocate abroad? Talk more of those that make above 2.5million monthly after expenses without stress or worries?


In as much as I encourage young Nigerians of today to relocate abroad if they see an opportunity to leave legally, let's not make it seem like those back home are in horrible state when in reality, most in Nigeria are doing far better than those abroad legitimately.


Na insecurity and Naira depreciation by useless APC led governments since 2015 destroyed Nigeria and made it hopeless

You are comparing specific areas in lag to whole countries, lol.

Why don't you compare Lekki and Ikoyi ( so called high brow areas) to the Hamptons in Newyork or Chelsea in London?

But majority of Nigerians don't live in those areas nor do Americans or brits in the areas I mentioned. Let's stick to what gives for the average citizens in these countries.

Next Ownership!

Asset (which means ownership): House

Liability ( how your Asset is financed I.e.debt: Mortgage.

Equity: Asset less Liability.

Now let's focus on the Liability part (mortgage).

At the point you enter into one, what you are effectively saying to the bank is, lend me Bleep amount of money and I'll pay you back over an agreed period of time. Banks are not charities, so they want to minimise the risk of you defaulting on the loan + maintain the time value of the money they are giving to you. How do they do this?

1) a lien on your Asset. Meaning if you don't pay me my money, I'll take this thing ( house) to recover what you owe me. Also it means if you sell the Asset and are paying off other debts, they are first in line amongst all your creditors.

A lien does NOT mean the banks own the Asset, if in doubt, go download the financial statement of any bank. What you will see is as their assets( receivables) is the value of the loans they issued.

If the banks own these houses as you say, then it would be recorded as a different Asset class namely PPE( property, plant and equipment. But it isn't.

So banks do NOT own these properties.

Interest is charged to maintain the time value of the amount loaned. A pound today is worth more than a pound next year because of inflation. Interest is charged to hedge the impact of inflation over the term which you will repay the loan+ a risk premium.

Now because your loan is backed by a security, is is deemed less risky by the bank. This is why mortgage rates are ALWAYS lower than say your credit card which is an unsecured loan.

In both cases, ownership belongs to the loan holder not the loan issuer.

Digmygold:


You don't REALLY own a home when that home is your collateral. There are downsides to Mortgages too. Stop sugar coating it. If your property declines in value you CAN lose equity. If you buy a car on higher purchase, do you own the car?

It depends, does it confer the risks and responsibilities on the holder? If yes, you own it.

If no, you don't.

In the case of a mortgage, who bears the risk of properties devaluing and incurs the loss? The bank or the customer?

The answer should tell you who the owner is.

EreluRoz:
Nigerian men only behave well abroad 😂😂😂 if Dem born am well make he hit his wife there make them bundle him back to his village.

Congratulations to them

Wetin bring this one come now on top new house? Your husband dey beat you for Nigeria? Let's really take statistics, how many marriages of domestic abuse do you know of compared to the total number of marriages you know? I have never raised my hand on my wife for close to five years of marriage and I can say same for every friend and relative I know here in Nigeria yet I read yesterday of how someone beat his wife to death in the UK. If I be your husband I no go carry you travel. Your mind no pure

sulaak:


They have a mortgage with a 10% deposit and monthly repayment. However, they do not own the house outright and cannot make modifications to it without consulting the banks that really own it.

Do not own outright: True. It is OWNED WITH A MORTGAGE.

Cannot make modifications without notifying the bank: FALSE. Except ofcourse the modification is also being financed by the bank.

Angelfrost:


Face it... You don't really pay taxes here.

You literally live off subsidy, yet poverty is still extremely high.


How many working and earning Nigerians can boast of owning or building houses despite the relaxed taxation?!!

Speaking of Mortgage... Go study the nation's debt profile and servicing.

Even the futures of your unborn kids are already mortgaged.

But even the US and UK are worse off in terms of national debt than Nigeria is.
What's the fuss over debt?
A good number of Nigerians own houses. I can even bet and say more Nigerians than Americans own houses. Owning a house is cheaper in Nigeria than UK or US. Maybe the quality and standard is what you can argue on.
Lastly, I've been reading through this thread and seen how Nigerians abroad are glamourizing mortgages and mortgage payments.
Mortgage also exists in Nigeria. A lot of Nigerians don't know or don't care to know. That's why I find Remi Tinubu's tribe about Nigerians joyfully doing abroad what they wouldn't touch in Nigeria appopriate.
Most of those in favour of paying Mortgage to own houses abroad will never touch Mortgage in Nigeria for no other reason than societal bias and prejudice. Who wants to be called Onigbese?
Bottomline is Nigerians are the most confused people when it comes to what they want. But they seem not to be confused about how they want it.

Kukutenla:

But even the US and UK are worse off in terms of national debt than Nigeria is.
What's the fuss over debt?
A good number of Nigerians own houses. I can even bet and say more Nigerians than Americans own houses. Owning a house is cheaper in Nigeria than UK or US. Maybe the quality and standard is what you can argue on.
Lastly, I've been reading through this thread and seen how Nigerians abroad are glamourizing mortgages and mortgage payments.
Mortgage also exists in Nigeria. A lot of Nigerians don't know or don't care to know. That's why I find Remi Tinubu's tribe about Nigerians joyfully doing abroad what they wouldn't touch in Nigeria appopriate.
Most of those in favour of paying Mortgage to own houses abroad will never touch Mortgage in Nigeria for no other reason than societal bias and prejudice. Who wants to be called Onigbese?
Bottomline is Nigerians are the most confused people when it comes to what they want. But they seem not to be confused about how they want it.

Beautifully said...! Thank you.

Digmygold:


DEFAULT and FORECLOSURE. Can you guys just let these two words ring in your brains for a minute? There are down sides to Mortgages too. Stop sounding silly.

A house is an investment, and like ALL investments, there is risk. What is the point here?

The only "risk free" investment that exists is buying government bonds. Even that has risk attached although default risk is remote.

SIRTee15:


They own the house. That's the appropriate word.
If they are filling a form, they will be asked do U own or renting?
What do U want them to tick? Mr too definitive.

Renting from the bank landlord😂😂

AfroBeatDiary:
Fully bought or 25yrs mortgage with an initial down payment?

This is the real question she avoided answering

SIRTee15:


U are the very foolish one. Default or foreclosure, U get what U put in the house and the equity.
The person renting gets nothing.
Who's worse off. Mr penny wise pounds foolish.

The wealth of white Americans today is deeply rooted in the generational property investment.
Indians and Pakistani in UK understand the game and are buying properties like mad here.
Yet some foolish ones are saying blacks should continue to rent.
Are U not tired of being slaves to other races. What exactly is wrong with the black man...they can't think beyond their today.

Leave them. Let them not get on the property ladder if they can.
When retirement comes, they will know meme still thinking about how pay to rent Meanwhile today's mortgage holder is mortgage free and does not have to worry about housing costs.

99thEnemy:

Average mortgage term in the UK is like 25 to 30 years bro. (Not too sure)

If they default serially they can loose the house.

The term (Own) they used is strong.
should only be used if they have completely paid for it.

From the pictures, a house that sizable judging from the parts I can see can’t be paid for with just their savings made working in the UK in only 2.5 years.

Either they got to money from somewhere else to clear the payment or it is just as you said. (Just a mortgage deposit to continue paying to own)

Are you saying they can't pay off in 5-10yrs even if they have the money to?

Must they pay over that 30yrs by force?

rollywise:



Wetin bring this one come now on top be house? Your husband dey beat you for Nigeria? Let's really take statistics, how many marriages of domestic abuse do you know of compared to the number of marriages you know? I have never raised my hand on my wife for close to five years of marriage and I can say same for every friend and relative I know here in Nigeria yet I read yesterday of how someone beat his wife to death in the UK. If I be your husband I no go carry you travel. Your mind no pure

mediclife1987:


Are you saying they can't pay off in 5-10yrs even if they have the money to?

Must they pay over that 30yrs by force?

They can clear it once if they have the money.

Eriokanmi:
We're not on same page.

Nigerians buy outrightly because they mostly don't like to owe not that they're not trusted. Just like they do over there, every spllicant will be assessed and if they see you are credible, they sell the idea to you. That's what banks do here, same as auto and insurance firms. I got that option from first bank years back but I rejected it. How can I buy cars on loan and be paying additional fee called interest when I can afford it outrightly? I bought 2 Toyota corolla from metropolitan motors for our field work. Same applies to a lot of people here.

On travels, you can only find plenty of youths travelling to hustle cos they feel they can live better when they go there to hustle. Sadly, they are not seeing the opportunities foreigners are seeing which make them to keep coming in. A Chinese would come with a pair of shoes and a brief case. In a few years he's already a multi millionaire. Our logistics space has been taken over by Chinese while our youths are japaing, parting with millions in the hands of travel agents, same amount they could have started a logistics business with, for instance.

While schooling in America in those days I vowed never to stay back. I came back home to have my share of the market with Indians who once occupied the sector in which I'm quite relevant today. I can boldly say I own up to 45% of the market share, sending a lot of Chinese and Indians packing. The local content gave us a great advantage.

Those who do drop box for usa visa can't be said to be hustling. You've got to have travel experience by visiting usa at least once before you could qualify for that.

So, trust issue isn't the main reason people aren't getting loans to build house or buy cars. They don't just like indebtedness, that's our reasoning and if you ask me it pays off. No HBP, no depression or suicide, should things go awry with your income. That's one of the reasons suicide cases aren't common here, unlike what's obtainable over there. You build outrightly and pay for your car with nobody checking on you or threatening you'd lose your mortgaged house, which you've been servicing for years, cos you defaulted . That's peace of mind my dear. Nothing like it.

I'm a medical doctor currently thinking of either opening a hospital business- starting with a pharmacy, then building it up from there OR just using the money to jejely JAPA out of this country, cos the way Naija dey go no understand me again oh

Harddiskng:


Make enough money to buy a house ko, you wan thief am.

Oga that’s mortgage. Payment would be over more than 10 years. No pay complete fess

If you have the money, you can buy a house on outright payment.

My grandfather thought me to always ask "how?" and "why?".

See, that you don't see a possibility of making a million pounds in one year doesn't mean it's not possible. It all depends on what you know and what you can do. If you don't know, ask "how?"

Mtcheeeeeeeeeeeeeeeeeeeeeeeew

Receipt of the payment or I don't believe you

sharpwriter:

Shut up! Not every man beats a woman, not to talk of their own wives.

I'm in Nigeria I have never beat any of my girl friends or a woman in my life talk more of wife. Some people think sey all men na women beaters.

franchasofficia:
Most of you guys are misinterpreting and misunderstanding people's criticisms of this story which most Nigerians love to tell without details just to make people feel that they are now big.


Yes they are better now paying mortgage than paying rent, but they should not make it look like they now own a house in the UK 100% when it's actually a mortgage house.


Say it as it is:

We have got our mortgage house after 3 years in UK or US or Canada and nobody will question or criticize you, but coming out with the bragging title: "we now own a house" when it's actually a mortgage house is deceit.


A lot of Nigerians (business owners mostly) can afford to buy outrightly, a detached or semi detached duplex in the UK, US, Canada or any other western country if not for certain factors.


Mortgage houses favor married women abroad than men, so any Nigerian married man abroad hurrying to get a mortgage house when he hasn't acquired enough properties and investments in Nigeria and in other African countries is nothing but a fool that will leave to regret it sooner or later. Only married Nigerian ladies abroad celebrate mortgage house, real Nigerian married men abroad don't celebrate such feat unless they have invested enough back home, it's not a wise decision for a married Nigerian man to do, unless your wife is working and ready to contribute 50% or more for the mortgage.


Houses are costlier in highbrow areas in Nigeria than it is in US, UK, Canada, etc.


The money used to buy just 1 plot of land in Lekki phase 1 will buy a semi detached duplex in Houston, Birmingham, Dallas, Atlanta, Halifax, etc.

The money used to buy a plot of land in Ikoyi or Banana Island will buy a celebrity mansion in most US, UK, etc cities.


Many Nigerian business owners are richer and financially better (without stress) than most Nigerians abroad, but the issue in Nigeria is the recent level of insecurity and inflation brought upon Nigerians by useless Buhari government and continued by Tinubu's stolen regime


If not for insecurity, nothing would have made me to live outside Nigeria permanently, unless they will make me President of that foreign country


If not for insecurity and high inflation in Nigeria now, anybody that owns his own successful business in Nigeria is far better off living in Nigeria than migrating abroad to do 5/9.

Imagine if $1 = NGN250, and £1 = NGN310, tell me why someone that makes a profit of between NGN700,000 to NGN2,500,000 monthly should relocate abroad? Talk more of those that make above 2.5million monthly after expenses without stress or worries?


In as much as I encourage young Nigerians of today to relocate abroad if they see an opportunity to leave legally, let's not make it seem like those back home are in horrible state when in reality, most in Nigeria are doing far better than those abroad legitimately.


Na insecurity and Naira depreciation by useless APC led governments since 2015 destroyed Nigeria and made it hopeless

nah whats the point youre trying to drive. you're just using if this, if that. while you're even living abroad.

Congratulations

Kukutenla:

But even the US and UK are worse off in terms of national debt than Nigeria is.
What's the fuss over debt?
A good number of Nigerians own houses. I can even bet and say more Nigerians than Americans own houses. Owning a house is cheaper in Nigeria than UK or US. Maybe the quality and standard is what you can argue on.
Lastly, I've been reading through this thread and seen how Nigerians abroad are glamourizing mortgages and mortgage payments.
Mortgage also exists in Nigeria. A lot of Nigerians don't know or don't care to know. That's why I find Remi Tinubu's tribe about Nigerians joyfully doing abroad what they wouldn't touch in Nigeria appopriate.
Most of those in favour of paying Mortgage to own houses abroad will never touch Mortgage in Nigeria for no other reason than societal bias and prejudice. Who wants to be called Onigbese?
Bottomline is Nigerians are the most confused people when it comes to what they want. But they seem not to be confused about how they want it.

@ first bolded: just because you are not financially savvy does not mean everyone else should be like you.

Debt can be used to build wealth..if you know how, in certain instances. In some instances, if you have the cash outright, it is BETTER to take on the debt. For example:

Today in the Uk :Say you have a £100k cash lying around but you need a £100k mortgage to buy your house. Mortgage rate is 4.5% fixed for 2 years. And you can get 5.5% on fixed 2 year saving product, please tell me would you pay cash outright or not?

SIRTee15:


If U are living abroad and has no plan to return soon, pls ignore this terrible advice. The worst thing U can do for yourself is building houses in Nigeria when U can buy house abroad.

Proceed from rent is meaningless, how much will it fetch u? U will use over 40 million to build a house only to rent it out for 500k per year.
Renting a mortgage house covers both the mortgage plus extra profits that goes into your pocket.
Property abroad is real wealth, the earlier U enter the better for U and your kids in the future. Its a powerful wealth leverage.
Houses appreciate better abroad than naija and U get better return on investment both short and long term.

Purchase of cast acre of lands is the only thing I will advise abroad guys to invest in Nigeria.
Take this from someone writing from experience.

I will respond to you in details.

I am writing from experience too, and I am sure my experience far outweighs yours for so many reasons.


First, I don't live abroad permanently, I have the advantage of being on both sides which gives me a better understanding and leverage than you.

Rented apartment in Nigeria is not profitable you are very correct with that based on experience too. But not that you will build a house with 40million and collect 500k annual rent that's fallacy, except you built a mansion in your village. House rent in Lagos Mainland (Ikeja, Ajao estate, Anthony, Gbagada, Oshodi, etc) and even Island is not childsplay, you can recoup your investment in like 10 years.


In most of these areas, a 3bedroom flat is rented between 1.5m to 2.8million a year. If you used 100million to build a storey building of 4 flats, if you collect 2.5m per flat multiplied by 4 that is 10million, if you do it for 10 years you have recouped your investment. Rent increase is also rampant in these areas, I speak with experience as one that have....



Buying lands is far more profitable in Nigeria, that is absolutely correct because I do advocate this, and I have mentioned this in my previous comments months or years back here. I also said it here. I say what I do. I advice people based on what I have done not heard. I own lands in various states in Nigeria and I know it's very profitable to buy lands in Nigeria, especially in fast rising city areas.


Now let's go back to mortgage abroad. I have never got one before and dont plan to until I am ready and will definitely be buying outrightly, my elder brothers did so and I follow some of their footsteps because they are highly successful.


I have had a relative got his property foreclosed by bank after he died and wife couldn't meet up, so where is the generational wealth? Mortgage is mortgage you guys should stop painting it otherwise. Abi the various news of foreclosure and stuffs abroad, na ghosts them get those mortgaged houses being foreclosed by banks and lenders abroad? I don't like anything loan; be it house mortgage, car loan, anything loan.


Everything I own, I own them 100% and that is what I advocate and commend. I don't like people that live their life on borrowing and loans. The bank lending you money doesn't love you, they are praying for you to default so they can foreclose your property, that is where and how they make more profit.



Many people abroad lose their mortgage properties to banks and lenders, please tell us why?


I will advice any Nigerian man living abroad to first invest in properties in Nigeria before going into mortgage housing abroad, I stand on my initial advice.


A friend and his wife made instant millions through Lagos property investment (build and sell in Lekki area) during Buhari regime that dollar first got its mad rise.


He and his wife quickly got loan in the country they lived, he came back to Lagos then, bought land and built two semi detached duplexes which they resold twice the loan they got and paid back the loan and owned the second semi detached duplex which they later sold and used the proceeds to enter fully into build and sell on the Island and today they are mega millionaires which he always thank God for that he wouldn't have ever made such money working and investing in abroad in a short period of time.



Being a smart Nigerian with intelligent/honest business friends around gives you an edge to make money from leveraging being abroad as a Nigerian.


Build and sell on Lagos Island made a lot of smart Nigerians living abroad rich overnight while the dull stubborn ones who think life begins and end abroad remain there working their asses off and mortgaging their lives in the name of dull investment idea of going into house mortgage.


There are lots of business ideas you can make so much profit from as a Nigerian living abroad by leveraging your living abroad as a Nigerian if you open yourself up to people in the know, which are far more profitable than going into mortgage to brag to your fellow average fellows that you now own a house, when in reality you don't actually own the mortgage house until you finish paying.

shaybebaby:

It depends, does it confer the risks and responsibilities on the holder? If yes, you own it.

If no, you don't.

In the case of a mortgage, who bears the risk of properties devaluing and incurs the loss? The bank or the customer?

The answer should tell you who the owner is.

So now the borrower can make a profit via equity but doesn't sustain a loss if the value of the property depreciates? Hmph! Nuff said.

SIRTee15:


U are the very foolish one. Default or foreclosure, U get what U put in the house and the equity.
The person renting gets nothing.
Who's worse off. Mr penny wise pounds foolish.

The wealth of white Americans today is deeply rooted in the generational property investment.
Indians and Pakistani in UK understand the game and are buying properties like mad here.
Yet some foolish ones are saying blacks should continue to rent.
Are U not tired of being slaves to other races. What exactly is wrong with the black man...they can't think beyond their today.

You are the mad one here. Since you chose to start with the insults. Infact you reason with your butthole. "The wealth of the white Americans" You are daft Like there ain't POOR white Americans. A mortgage is not ALWAYS an INVESTMENT. It can be a BURDEN& LIABILITY too. Get that into you shallow r brain through your butthole .

Digmygold:


So now the borrower can make a profit via equity but doesn't sustain a loss if the value of the property depreciates? Hmph! Nuff said.

Come on! Answer the question and stop trying to wriggle out of it.

If the owner is the party that benefits from gains or incurs losses on revaluation , then who is the owner, the bank or borrower?

headboyprince:
nah whats the point youre trying to drive. you're just using if this, if that. while you're even living abroad.

My point is, acquiring a family residential house abroad via mortgage is not something any sensible person should broadcast or brag about. And if you must tell such story, please be honest enough to say it as it is that "you just acquired a mortgage house" so that Nigerians in Nigeria will not be deceived into thinking that Bose, Emeka, Tijani, Nnamdi have acquired a 100% purchased house in US or UK just as it's done in Nigeria, before they go and commit suicide out of envy not knowing that Emeka ati Tijani has mortgaged his income for the next 25 years or something



And my final point is meant for married Nigerian men abroad. Don't acquire a mortgaged home abroad except you have invested well in Nigeris, e get why

shaybebaby:

Come on! Answer the question and stop trying to wriggle out of it.

If the owner is the party that benefits from gains or incurs losses on revaluation , then who is the owner, the bank or borrower?

"Ownership" is a facade created by the lender to make you believe same. If you owned it, you won't ever be able to lose it to foreclosure. You keep calling it an INVESTMENT. So people don't sometimes lose on investments bah? Dey play.

shaybebaby:
[/b]

Do not own outright: True. It is OWNED WITH A MORTGAGE.

Cannot make modifications without notifying the bank: FALSE. Except ofcourse the modification is also being financed by the bank.

You cannot make [b]external modifications [/b]to your property unless you acquire approval from the banks and local council.

Jogs1900:

How?
If you are in the UK, I don't think you can get a mortgage if you haven't lived there for up to 2 years.

You can get a mortgage if you have got good credit score, good advance payment (which Is just between 10-15 % of your total payment)
And a good job contract...
Na naija just dey make things hard.. Under one year for UK people don dey drive the latest cars..

shaybebaby:

You are comparing specific areas in lag to whole countries, lol.

Why don't you compare Lekki and Ikoyi ( so called high brow areas) to the Hamptons in Newyork or Chelsea in London?

But majority of Nigerians don't live in those areas nor do Americans or brits in the areas I mentioned. Let's stick to what gives for the average citizens in these countries.

Next Ownership!

Asset (which means ownership): House

Liability ( how your Asset is financed I.e.debt: Mortgage.

Equity: Asset less Liability.

Now let's focus on the Liability part (mortgage).

At the point you enter into one, what you are effectively saying to the bank is, lend me Bleep amount of money and I'll pay you back over an agreed period of time. Banks are not charities, so they want to minimise the risk of you defaulting on the loan + maintain the time value of the money they are giving to you. How do they do this?

1) a lien on your Asset. Meaning if you don't pay me my money, I'll take this thing ( house) to recover what you owe me. Also it means if you sell the Asset and are paying off other debts, they are first in line amongst all your creditors.

A lien does NOT mean the banks own the Asset, if in doubt, go download the financial statement of any bank. What you will see is as their assets( receivables) is the value of the loans they issued.

If the banks own these houses as you say, then it would be recorded as a different Asset class namely PPE( property, plant and equipment. But it isn't.

So banks do NOT own these properties.

Interest is charged to maintain the time value of the amount loaned. A pound today is worth more than a pound next year because of inflation. Interest is charged to hedge the impact of inflation over the term which you will repay the loan+ a risk premium.

Now because your loan is backed by a security, is is deemed less risky by the bank. This is why mortgage rates are ALWAYS lower than say your credit card which is an unsecured loan.

In both cases, ownership belongs to the loan holder not the loan issuer.

My sister, as a Nigerian lady living abroad you are, mortgage is very good for you, you need to acquire more of it. I have no argument at all, you are in the right path, well done sis

chyzoo4u:
If you know your onions just like myself (yes, I'm bragging), you can own a house within a year in the UK unlike some discouraging stories some people like to tell.

no be mortgage?