Mortgage Broking

At Finwell Lending, we propose that you consider your mortgage as being THE asset and not the item with which you secure your debt.

It is a very different way to view things, but it makes sense once you understand what happens with capital that you borrow over time. Let us explain.

For example, buying a box of hot chips in 1985 would have cost around 40 cents. Today the cost of hot chips would be far higher – say $5.

That is more than a 10-fold increase in price, or over 1000% increase, in 30+ years. It is not as if the hot chips are worth more today, but that the dollars used to buy them have fallen in value over time. Hence it can be said that the value of dollars is changing for the worse due to inflation.

Essentially, when the government prints money into our economy, the money used to   buy goods becomes progressively less valuable over time. This is a trend, otherwise known as ‘inflation’.

In the above example, as the price of chips increased with the money supply increase from 1985 to now, the price of just about everything else also increased.

Our cars, our clothing, our bills, literally everything has increased markedly in price over time as money supply increased, without any great increase in value.