I have absolutely no sympathy for people like this. Always quick to blame somebody else for their stupidity and greed. Its the individuals responsibility to weigh up whether they can afford to borrow for a house/ investment property /business or whatever. You know your own finances and how much you can save and how much you spend, You should'v e already calculated how much you can afford to borrow and repay.
I'd bet these people gilded the lilly when they made the application for loans.
I'm sure plenty on here would remember the high interest rates in 199o's, up to 19% to 20%. I remember making the last payment to my bank (Westpac) on an investment property in 1994 and the bank manager was shocked, " how did you manage to pay it off so quickly " he asked. I answered, I pay my bills before I eat, if I can only afford sausages and water, then thats all I'll eat. I always pay the bank first. Since I don't like paying high interest then I made sure I got rid of the loan pronto.
These people were idiots. "Unaware the interest only period would eventually end,"
“Everything we were trying to achieve is lost."
Maybe they should've got off their backsides and either sold a property before the situation deteriorated or got a second job. Maybe the wife should've got a job.
Unfortunately the got what they deserved.
