Hi Mike

Interestingly enough, I had a chat today with my two young nephews about this very same subject.

They are 14 and 17.

It was quite interesting explaining to them the concept of Mortgages as a whole and how interest was worked out, calculated and applied.

When we touched on negative interest rates and essentially cheap money, they both said, surely this will continue driving houses prices up and unless wages grew proportionately then negative interest rates would simply keep falling.

It was an interesting perception from the younger generation that believe in general house prices are way too expensive fuelling inequality and effectively driving interest rates lower.

They both believe that in the future all home loan mortgages will be zero or negative and will continue to drop further into negative territory until there was a complete reset.

It's an interesting perception that I kind of agree with.

Cheers Mike.

Stephen