Mortgages…and the Banker’s Jar | The Escape Artist

Mortgages…and the Banker’s Jar | The Escape Artist

“If ever in your life you get the urge to do something risky, exciting, different or adventurous, chances are you will not because you won’t have the balls to do it.  Somehow, to be a free man, you have to escape this trap.”

“You could live in the country where houses cost less.  You could stop competing with your neighbours and drive the oldest car in your street.  You could give your children more of your time, instead of a private school education…Even reducing this, claiming back some of your money and time, you can be a freer man“.

This captures the essence of what I am talking about on this blog.

When I bought my first house, aged 26, the “logic” went something like this:

1. My girlfriend said we should buy a house (and I want to impress her)

2. Everyone says you can’t go wrong with bricks and mortar…and prices seem to be going up…best get in quick!

3. Am I not an upwardly mobile, tycoon of the future? Yes, indeed I am! I will therefore need a house that is befitting of my status

4. I therefore want to own the “best” (read most expensive) house possible

5. To buy the most expensive house, I’ll borrow as much as the bank will lend me

6. I will then be happier…because everyone knows that having more shit makes us happier.

Please note here the absence of any original thought, logic or financial analysis to back up one of the most important financial decisions of my entire life.  Lemmings have jumped off cliffs with more analysis to back up their decisions than this.