Special K Posted 20 July, 2012 Share Posted 20 July, 2012 http://www.southampton.gov.uk/living/housing/private/newhousing/looking.aspx If anyone is interested, you may want to check out this link. SCC will assist with part ownership of a house, if getting a mortgage is difficult. I don't know the detail, but at first glance it seems an OK system. I know Housing Associations offer similar schemes. Some of the big Developers offer incentives for purchases, but these vary and i don't know the detail. It is a silly situation when LA's are having to offer sensible solutions to bridge the gap caused by the Banks. If one can afford to rent, then one can, theoretically at least, afford a mortgage. Link to comment Share on other sites More sharing options...
Whitey Grandad Posted 20 July, 2012 Share Posted 20 July, 2012 Wouldn't it be great if there were decent council places left? Yes. Unfortunately the great population explosion (insert blame here) has taken all the available housing and pushed up costs for everybody. Link to comment Share on other sites More sharing options...
Turkish Posted 20 July, 2012 Share Posted 20 July, 2012 (edited) http://www.southampton.gov.uk/living/housing/private/newhousing/looking.aspx If anyone is interested, you may want to check out this link. SCC will assist with part ownership of a house, if getting a mortgage is difficult. I don't know the detail, but at first glance it seems an OK system. I know Housing Associations offer similar schemes. Some of the big Developers offer incentives for purchases, but these vary and i don't know the detail. It is a silly situation when LA's are having to offer sensible solutions to bridge the gap caused by the Banks. If one can afford to rent, then one can, theoretically at least, afford a mortgage. It's a decent scheme for some but not as good as it first appears! Well it wasnt for us anyway. We looked into it a while back. Mrs Turkish and I rent a nice 3 bed semi, good size in a reasonable location. We earn a decent amount of money between us and have a nice lifestyle, could easily afford the mortgage repayments to buy the place we live in but we cant save the £25k minimum deposit we'd need to get a house of a similar standard to the one we live in now as we pay near on a grand a month in rent. This scheme seemed like a good idea as you can get a place with at little as £5k. However the two problems were that we weren't a priority as we earn too much and also you only qualify for a place that suits your circumstances. So the best we could get was a 2 bed flat. So we either have to sit on the waiting list and downsize to a two bedroom flat, which we don't want to do, or carry on renting and not be able to save a deposit. We seem to be in the weird situation whereby we earn to much to get any government support but we don't earn enough to save the huge deposit you need or have rich parents who can give/lend us th money, despite the fact we could easily afford the mortgage repayments every month. Edited 20 July, 2012 by Turkish Link to comment Share on other sites More sharing options...
Thedelldays Posted 20 July, 2012 Share Posted 20 July, 2012 I still want to know where these super cheap mortgages are that you can get with a 10pct deposit Link to comment Share on other sites More sharing options...
dune Posted 20 July, 2012 Share Posted 20 July, 2012 It's a decent scheme for some but not as good as it first appears! Well it wasnt for us anyway. We looked into it a while back. Mrs Turkish and I rent a nice 3 bed semi, good size in a reasonable location. We earn a decent amount of money between us and have a nice lifestyle, could easily afford the mortgatoberto aments to buy the place we live in but we cant save the £25k minimum deposit we'd need to get a house of a similar standard to the one we live in now as we pay near on a grand a month in rent. This scheme seemed like a good idea as you can get a place with at little as £5k. However the two problems were that we weren't a priority as we earn too much and also you only qualify for a place that suits your circumstances. So the best we could get was a 2 bed flat. So we either have to sit on the waiting list and downsize to a two bedroom flat, which we don't want to do, or carry on renting and not be able to save a deposit. We seem to be in the weird situation whereby we earn to much to get any government support but we don't earn enough to save the huge deposit you need or have rich parents who can give/lend us th money, despite the fact we could easily afford the mortgage repayments every month. You'd be as well to get your name on the council waiting list. Obviously you'll be right at the bottom behind the immigrants and single mums, but it's the best way of paying a realistic rent at the end of the day. Link to comment Share on other sites More sharing options...
Special K Posted 20 July, 2012 Share Posted 20 July, 2012 It's a decent scheme for some but not as good as it first appears! Well it wasnt for us anyway. We looked into it a while back. Mrs Turkish and I rent a nice 3 bed semi, good size in a reasonable location. We earn a decent amount of money between us and have a nice lifestyle, could easily afford the mortgatoberto aments to buy the place we live in but we cant save the £25k minimum deposit we'd need to get a house of a similar standard to the one we live in now as we pay near on a grand a month in rent. This scheme seemed like a good idea as you can get a place with at little as £5k. However the two problems were that we weren't a priority as we earn too much and also you only qualify for a place that suits your circumstances. So the best we could get was a 2 bed flat. So we either have to sit on the waiting list and downsize to a two bedroom flat, which we don't want to do, or carry on renting and not be able to save a deposit. We seem to be in the weird situation whereby we earn to much to get any government support but we don't earn enough to save the huge deposit you need or have rich parents who can give/lend us th money, despite the fact we could easily afford the mortgage repayments every month. I bet there are a good number of people in your situation, able to afford a mortgage, but stuck when it comes to the deposit. Lenders still have a lot of questions to answer when it comes to this, assuming of course, that you do want to buy a house instead of renting (which i guess you do). Link to comment Share on other sites More sharing options...
Special K Posted 20 July, 2012 Share Posted 20 July, 2012 I still want to know where these super cheap mortgages are that you can get with a 10pct deposit I think HSBC are offering a fixed term for 2 or 3 years at about 4% with a 10% deposit, which atm, is as good as you can probably find. Link to comment Share on other sites More sharing options...
SO16_Saint Posted 20 July, 2012 Author Share Posted 20 July, 2012 I bet there are a good number of people in your situation, able to afford a mortgage, but stuck when it comes to the deposit. Lenders still have a lot of questions to answer when it comes to this, assuming of course, that you do want to buy a house instead of renting (which i guess you do). there is (or was) a lender out there who looked at what you're paying as rent, and then matched that monthly amount to the level of mortgage you can have - so not a salary calculation, more of an affordability calculator - a more realistic way of looking at it. I think it was leeds and holbeck. I'll try to find the info Link to comment Share on other sites More sharing options...
Turkish Posted 20 July, 2012 Share Posted 20 July, 2012 there is (or was) a lender out there who looked at what you're paying as rent, and then matched that monthly amount to the level of mortgage you can have - so not a salary calculation, more of an affordability calculator - a more realistic way of looking at it. I think it was leeds and holbeck. I'll try to find the info Did you still need a deposit though? That's the problem for us, whilst we're paying nearly £1k a month rent we can't save for th big deposits they are demanding these days. Link to comment Share on other sites More sharing options...
buctootim Posted 20 July, 2012 Share Posted 20 July, 2012 Did you still need a deposit though? That's the problem for us, whilst we're paying nearly £1k a month rent we can't save for th big deposits they are demanding these days. I got my first flat on a 95% mortgage and the 5% on a credit card. Maybe you could get a personal loan for the 10% and a mortgage for the rest. Its not ideal but might still work out cheaper than rent. Link to comment Share on other sites More sharing options...
Turkish Posted 20 July, 2012 Share Posted 20 July, 2012 I got my first flat on a 95% mortgage and the 5% on a credit card. Maybe you could get a personal loan for the 10% and a mortgage for the rest. Its not ideal but might still work out cheaper than rent. Don't they take any debt into account for how much ou can get as a mortgage? Link to comment Share on other sites More sharing options...
stug76 Posted 20 July, 2012 Share Posted 20 July, 2012 It's a decent scheme for some but not as good as it first appears! Well it wasnt for us anyway. We looked into it a while back. Mrs Turkish and I rent a nice 3 bed semi, good size in a reasonable location. We earn a decent amount of money between us and have a nice lifestyle, could easily afford the mortgage repayments to buy the place we live in but we cant save the £25k minimum deposit we'd need to get a house of a similar standard to the one we live in now as we pay near on a grand a month in rent. This scheme seemed like a good idea as you can get a place with at little as £5k. However the two problems were that we weren't a priority as we earn too much and also you only qualify for a place that suits your circumstances. So the best we could get was a 2 bed flat. So we either have to sit on the waiting list and downsize to a two bedroom flat, which we don't want to do, or carry on renting and not be able to save a deposit. We seem to be in the weird situation whereby we earn to much to get any government support but we don't earn enough to save the huge deposit you need or have rich parents who can give/lend us th money, despite the fact we could easily afford the mortgage repayments every month. It's about choices, if you wanted a house you'd save the money. You say you earn decent money - why don't you sacrifice some of your "nice lifestyle", totally cut back for a few years and save the deposit? Lower your standards a bit and get on the ladder. Link to comment Share on other sites More sharing options...
buctootim Posted 20 July, 2012 Share Posted 20 July, 2012 Don't they take any debt into account for how much ou can get as a mortgage? You apply for the mortgage debt free, then they do the credit check and you get the mortage offer approved, then you take out the loan after putting an offer in and before exchange of contracts. Alternatively have a collection of low interest rate credit cards with sufficiently high combined credit limit. Remember interest rates are very low atm and mortage payments will rise eventually so dont over stretch yourself. That said they will likely stay low for another couple of years Link to comment Share on other sites More sharing options...
Turkish Posted 20 July, 2012 Share Posted 20 July, 2012 It's about choices, if you wanted a house you'd save the money. You say you earn decent money - why don't you sacrifice some of your "nice lifestyle", totally cut back for a few years and save the deposit? Lower your standards a bit and get on the ladder. Because I don't want to. I'd love to buy a house but I'm not obsessed by it like some are. I work hard to enjoy myself and having a couple of holidays a year, good lifestyle and being able to do more or less what I want while im also young enough to enjoy it are what get me up in the mornings. Link to comment Share on other sites More sharing options...
Turkish Posted 20 July, 2012 Share Posted 20 July, 2012 You apply for the mortgage debt free, then they do the credit check and you get the mortage offer approved, then you take out the loan after putting an offer in and before exchange of contracts. Alternatively have a collection of low interest rate credit cards with sufficiently high combined credit limit. Remember interest rates are very low atm and mortage payments will rise eventually so dont over stretch yourself. That said they will likely stay low for another couple of years Thank you Timothy, sound advice. Link to comment Share on other sites More sharing options...
Thedelldays Posted 20 July, 2012 Share Posted 20 July, 2012 I'm like you turkish....is owning a property all that..? it was way more hassle than it was worth with the one I actually lived in....paying out for this,, paying out for that. to sell it 6 years later and make no money...may as well have rented and rented somewhere nicer than where I lived for 6 years I have a busy 18 months and intend on revisiting this decision in 2 years.. I could bank some money, upgrade the ****ty car I now have and go on a nice hol or, plough it all in as a deposit/decorating money on a place i buy.... choices choices choices Link to comment Share on other sites More sharing options...
CB Fry Posted 20 July, 2012 Share Posted 20 July, 2012 (edited) I'm like you turkish....is owning a property all that..? it was way more hassle than it was worth with the one I actually lived in....paying out for this,, paying out for that. to sell it 6 years later and make no money...may as well have rented and rented somewhere nicer than where I lived for 6 years I have a busy 18 months and intend on revisiting this decision in 2 years.. I could bank some money, upgrade the ****ty car I now have and go on a nice hol or, plough it all in as a deposit/decorating money on a place i buy.... choices choices choices People lucky enough to get on the ladder at the right time often call renting "dead money" but I'm not sure. For my place I've bought not one but two boilers in six years for four odd grand. How much value has that put on my house? Eff all. Same for all the other outlays. I like my place but it aint no money spinner. If in doubt, rent. Edited 20 July, 2012 by CB Fry Link to comment Share on other sites More sharing options...
stug76 Posted 20 July, 2012 Share Posted 20 July, 2012 If you look a little longer term, what you pay on a mortgage is relatively fixed, there will be swings here and there - at the moment it's good, at some point rates will rise and it wont be as good but rents will always rise with property prices. If you know anyone who is coming to the end of their mortgage, ask them what their payments are and see if you could rent for that sort of money. They will own their house, renters will still have to rent. I can see that we are going to end up with a load of state spongers who on retirement have made no provision for where they are going to live. Link to comment Share on other sites More sharing options...
Turkish Posted 20 July, 2012 Share Posted 20 July, 2012 If you look a little longer term, what you pay on a mortgage is relatively fixed, there will be swings here and there - at the moment it's good, at some point rates will rise and it wont be as good but rents will always rise with property prices. If you know anyone who is coming to the end of their mortgage, ask them what their payments are and see if you could rent for that sort of money. They will own their house, renters will still have to rent. I can see that we are going to end up with a load of state spongers who on retirement have made no provision for where they are going to live. These "state spongers" may well be decent, hardworking people who have paid taxes all thier lives. It's not thier fault helmets borrowed more than they can ever hope to afford and screwed the whole economy up in the 00s. Link to comment Share on other sites More sharing options...
stug76 Posted 20 July, 2012 Share Posted 20 July, 2012 These "state spongers" may well be decent, hardworking people who have paid taxes all thier lives. It's not thier fault helmets borrowed more than they can ever hope to afford and screwed the whole economy up in the 00s. Yeah, but some will also have enjoyed a "nice lifestyle" whilst making no provision for later in life. There will be people that are in your position when reaching retirement will be moaning at the government about housing policy when in reality you'll have had your whole life to prepare for it. It's going to happen, it's not going to be a surprise. And don't give me all this "I've paid my taxes all my life" either - if you own a home you still have to pay taxes. You might get your 2 bed flat after all and I hope it's not in a "reasonable area". Link to comment Share on other sites More sharing options...
Thedelldays Posted 20 July, 2012 Share Posted 20 July, 2012 you make fair points stug... I will probably buy again....I just hope the interest rates are reasonable in 2014 Link to comment Share on other sites More sharing options...
dubai_phil Posted 20 July, 2012 Share Posted 20 July, 2012 http://www.csmonitor.com/USA/2012/0719/US-drought-how-it-could-impact-food-water-needs-around-the-world Prices of corefood products could rocket again The (God don't you love them) City traders could mean 40 or 50% increases in basic foodstuffs Add to the US stuff problems in India with the Monsoon and....... http://www.bloomberg.com/news/2012-07-19/a-so-far-subdued-monsoon-has-india-on-edge.html Link to comment Share on other sites More sharing options...
ecuk268 Posted 20 July, 2012 Share Posted 20 July, 2012 If you look a little longer term, what you pay on a mortgage is relatively fixed, there will be swings here and there - at the moment it's good, at some point rates will rise and it wont be as good but rents will always rise with property prices. If you know anyone who is coming to the end of their mortgage, ask them what their payments are and see if you could rent for that sort of money. They will own their house, renters will still have to rent. Exactly. Bought our first house in 1975 for £10000 (£9200 mortgage), sold in 1985 for £32000, paid off mortgage and put £22000 into next house at £49000 so had 27k mortgage which we paid off in 2008. So our highest mortgage was 27k and we now have a house worth 270 - 300k. Over the long term, property is still a good investment. Link to comment Share on other sites More sharing options...
View From The Top Posted 20 July, 2012 Share Posted 20 July, 2012 Exactly. Bought our first house in 1975 for £10000 (£9200 mortgage), sold in 1985 for £32000, paid off mortgage and put £22000 into next house at £49000 so had 27k mortgage which we paid off in 2008. So our highest mortgage was 27k and we now have a house worth 270 - 300k. Over the long term, property is still a good investment. Part of this country's problems is that they look at a house as an investment instead of a home. I'm no different in that respect. Link to comment Share on other sites More sharing options...
Jonnyboy Posted 20 July, 2012 Share Posted 20 July, 2012 Part of this country's problems is that they look at a house as an investment instead of a home. I'm no different in that respect. lol Link to comment Share on other sites More sharing options...
dvaughanwilliams Posted 20 July, 2012 Share Posted 20 July, 2012 http://www.csmonitor.com/USA/2012/0719/US-drought-how-it-could-impact-food-water-needs-around-the-world Prices of corefood products could rocket again The (God don't you love them) City traders could mean 40 or 50% increases in basic foodstuffs Add to the US stuff problems in India with the Monsoon and....... http://www.bloomberg.com/news/2012-07-19/a-so-far-subdued-monsoon-has-india-on-edge.html In situations where there is a surplus of food, those same city traders who make a loss, subsidise the food. Also futures for soft commodities originated from farmers, who benefit most, by allowing them to get a fixed price for their crops when they plant them, irrespective of the supply at harvest time. Link to comment Share on other sites More sharing options...
dvaughanwilliams Posted 20 July, 2012 Share Posted 20 July, 2012 Exactly. Bought our first house in 1975 for £10000 (£9200 mortgage), sold in 1985 for £32000, paid off mortgage and put £22000 into next house at £49000 so had 27k mortgage which we paid off in 2008. So our highest mortgage was 27k and we now have a house worth 270 - 300k. Over the long term, property was a good investment. As I am forced to write every day in my job - 'past performance is no guide to the future'. My prediction - flat or falling property prices for at least a decade. Current generations will not benefit in the way that you did. Link to comment Share on other sites More sharing options...
stug76 Posted 20 July, 2012 Share Posted 20 July, 2012 Part of this country's problems is that they look at a house as an investment instead of a home. I'm no different in that respect. You can't make a throwaway comment like that and expect to get away with it! ;-) Which problem and how has home ownership used as investment caused it? Link to comment Share on other sites More sharing options...
Turkish Posted 20 July, 2012 Share Posted 20 July, 2012 You can't make a throwaway comment like that and expect to get away with it! ;-) Which problem and how has home ownership used as investment caused it? Are you an estate agent by any chance? Link to comment Share on other sites More sharing options...
stug76 Posted 21 July, 2012 Share Posted 21 July, 2012 mmmm, what difference would it make? Have we moved on from trying to work out where you are going to live when you retire without expecting the state to help you? (If we don't assume that all those magical taxes that you have paid are somehow different to the taxes paid by home owners and should be used to house you in retirement) Link to comment Share on other sites More sharing options...
bridge too far Posted 21 July, 2012 Share Posted 21 July, 2012 Here's an interesting article I found whilst searching for something else http://www.guardian.co.uk/money/2011/mar/19/brits-buy-germans-rent Link to comment Share on other sites More sharing options...
suewhistle Posted 21 July, 2012 Share Posted 21 July, 2012 It definitely doesn't help if you're trying to keep up with the Joneses. Amen to that! Even the instruments I play are cheap! If I hadn't bought my house' date=' now paid off thankfully, I would really struggle to pay rent out of my tiny fixed pension.[/quote'] Likewise. Well, actually I'm not just on the pension but am able to work teaching English; but I saw the writing on the wall some time ago and made sure I paid off the mortgage over a shorter period than 25 years, which was handy when I was made redundant. [i lie, I jumped due to terminal boredom.] I rent a flat here in Italy and have greater security of tenure than would be the case in the UK, but it's not the same as having your own place for all sorts of reasons. I'll be wanting to move back in a year to be nearer aged parent, but how I'm going to find work to help out the pension I don't know. A summer school or pre-sessional ELT at a college would probably be enough, but either way I'd be coming on here to network! Link to comment Share on other sites More sharing options...
Turkish Posted 21 July, 2012 Share Posted 21 July, 2012 mmmm, what difference would it make? Have we moved on from trying to work out where you are going to live when you retire without expecting the state to help you? (If we don't assume that all those magical taxes that you have paid are somehow different to the taxes paid by home owners and should be used to house you in retirement) How do you know I haven't? Link to comment Share on other sites More sharing options...
stug76 Posted 21 July, 2012 Share Posted 21 July, 2012 How do you know I haven't? :lol:, oh ok. Link to comment Share on other sites More sharing options...
Turkish Posted 21 July, 2012 Share Posted 21 July, 2012 :lol:, oh ok. Sorry, I must be missing something. Please explain. Link to comment Share on other sites More sharing options...
stug76 Posted 21 July, 2012 Share Posted 21 July, 2012 You seem to be avoiding the issue(s). How are people who don't provide for living accommodation whilst working going to be able to afford to live in retirement? How is my occupation relevant in asking for clarification of VFTTs comment? Lets start there shall we? Link to comment Share on other sites More sharing options...
Turkish Posted 21 July, 2012 Share Posted 21 July, 2012 You seem to be avoiding the issue(s). How are people who don't provide for living accommodation whilst working going to be able to afford to live in retirement? How is my occupation relevant in asking for clarification of VFTTs comment? Lets start there shall we? No I'm not, all you know is I don't have a mortgage. I didn't realise mortgages were the only investment you can make to secure your future. Although obviously as an estate agent, it's the only one people make that enables you to buy your Top Man suits. Jokes on you, you garbadine cllad lemon. Link to comment Share on other sites More sharing options...
stug76 Posted 21 July, 2012 Share Posted 21 July, 2012 "obviously" :lol: I didn't realise you did jokes, but you're a funny guy Turkish. I'm not saying it's the only investment you can make. Anyway back to the question (again), ignoring the fact that I dont believe that you have anything in place for your retirement (largely based on your defensive nature, avoiding the question and what I assume was an attempt at an insult) how do you think people who chose lifestyle over prudent financial planning should be cared for in their retirement? Link to comment Share on other sites More sharing options...
Turkish Posted 21 July, 2012 Share Posted 21 July, 2012 "obviously" :lol: I didn't realise you did jokes, but you're a funny guy Turkish. I'm not saying it's the only investment you can make. Anyway back to the question (again), ignoring the fact that I dont believe that you have anything in place for your retirement (largely based on your defensive nature, avoiding the question and what I assume was an attempt at an insult) how do you think people who chose lifestyle over prudent financial planning should be cared for in their retirement? What defensive nature would this be? And I haven't avoided any question, you assumed because I don't have a mortgage I don't have anything else In place. Obviously I'd lie and pretend I did when I didn't. After all it would mean so much to convince people on a mong board I'm prepared for my retirement in 35 years time. Link to comment Share on other sites More sharing options...
stug76 Posted 21 July, 2012 Share Posted 21 July, 2012 Still no answers? Link to comment Share on other sites More sharing options...
bridge too far Posted 22 July, 2012 Share Posted 22 July, 2012 Perhaps if some of these companies and individuals paid up, we'd all be better off http://www.guardian.co.uk/business/2012/jul/21/global-elite-tax-offshore-economy?CMP=SOCNETTXT6966 Still, at least some people are getting under the skin of tax avoiders http://www.38degrees.org.uk/campaigns Link to comment Share on other sites More sharing options...
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