House Prices

[Boutros-Boutros Ghali]

Agree completely. Even worse is seeing people pay over the odds for dives so they’re taking out huge loans on top of the mortgage I know it’s only negative equity when you realise it eg go to sell but wonder what happens when it comes to remortgage time…? We’ve not remortgaged yet so I don’t know the process but I’d imagined we’d get another independent valuation done which would inform our LTV calculation therefore products available, with the idea the lower the LTV the better the products. What are people going to do when they’re in a WORSE LTV? Will there be FTBs who find themselves being told it’s gone down and they’ve gone from starting at a 90% LTV to now being in a 95% or 105%?! And what happens re affordability checks for people that maxed out the mortgage and then got loans out on top when they’ve only got a tiny % of equity in the property?

They’ll be stuck on their current lenders SVR and there’ll be lots of sad face articles in the Daily Mail about how they’re trapped paying over the odds for a mortgage and have no quality of life etc….the banks can be brutal.

 

[Yel]

https://www.12ft.io/https://www.dai...build-TINY-home-lockdown-30-000.html#comments

Good on them. They have worked hard to create something for themselves and avoid paying out too much rent to some robber known as a landlord.

Is it just me that rolls my eyes at stories like this?

If only your parents owned a farm then you could spend 30k on a glorified shed to live on their land

 

[Boutros-Boutros Ghali]

Is it just me that rolls my eyes at stories like this?

If only your parent owned a farm then you could spend 30k on a glorified shed to live on their land

No you’re not the only one….look how amazing we are having no mortgage in our 20’s but then we did get the land for free. And no doubt still use their parents home. Not like her parents will want her to sell it or rent it, so what happens when they want more space and they realise they spent £30k on a garden shed

 

[heretoreaditall2019]

They’ll be stuck on their current lenders SVR and there’ll be lots of sad face articles in the Daily Mail about how they’re trapped paying over the odds for a mortgage and have no quality of life etc….the banks can be brutal.

Sorry to be like a toddler and be why why why, but then what happens when these people inevitably can’t afford the SVR? This is coming from a place of privilege and not talking about people on min wage or struggling but the number of “comfortable” mums I know who’d love to drop a day but can’t afford to because of their current financial obligations shocks me, that’s 20% of their salary - assuming pay parity between husband and wife 10% of household income, more likely to be between 5-10% really. So when rates rise or something like this happens what are the Telegraph Money gonna be writing about their beloved demographic?! Had to get rid of the Land Rover lease cos of Rishi?

 

[thegirlscout]

There’s a tiny, two bedroom flat near me that is on the market for £500,000. It’s madness how much property costs.

 

[justbeingnosy98]

Thanks everyone I’m glad it’s not just me being a nervous Nelly!

I am in an unusual position - I sold my flat in England and moved to Scotland (Edinburgh, crazy crazy prices) and back in with family. So I can wait a bit but I would like to get back into my own space! I might give it 6 months and see if I want to buy or maybe just rent for a bit.

 

[Boutros-Boutros Ghali]

Sorry to be like a toddler and be why why why, but then what happens when these people inevitably can’t afford the SVR? This is coming from a place of privilege and not talking about people on min wage or struggling but the number of “comfortable” mums I know who’d love to drop a day but can’t afford to because of their current financial obligations shocks me, that’s 20% of their salary - assuming pay parity between husband and wife 10% of household income, more likely to be between 5-10% really. So when rates rise or something like this happens what are the Telegraph Money gonna be writing about their beloved demographic?! Had to get rid of the Land Rover lease cos of Rishi?

Allegedly the affordability calculations the bank do are based on the interest rate rising to about 9% (someone will likely correct me on the exact figures) but that would literally leave most people paying their mortgage and having very little to live on. People have got used to a certain standard and it’s very difficult to adjust

 

[Kmacg]

The market is still nuts here in Nottingham. We have HS2 coming () and thats part of the sales drive as folk are buying up for the London commute. Our area is massively student accommodation, so rent is high on the few family properties, but they are building loads of purpose places do hopefully thatll all settle down. Weve set out to save another 5k by July next year and will start looking then, hopefully we dont blow our whole £23k budget on a property alone, but Im not being naive about it!

 

[JoeBloggs]

Allegedly the affordability calculations the bank do are based on the interest rate rising to about 9% (someone will likely correct me on the exact figures) but that would literally leave most people paying their mortgage and having very little to live on. People have got used to a certain standard and it’s very difficult to adjust

They do, it came in under new regulations in 2014. It is about 10% but I don’t know the exact figure. Despite this, I know many who would struggle with any increase.

 

[Tublet83]

Yes when we moved in 2016 it was based around a 10% increase as part of your affordability assessment. We lent nowhere near the maximum we could have. I don’t think I could sleep at night if we had done!

 

[Boutros-Boutros Ghali]

The market is still nuts here in Nottingham. We have HS2 coming () and thats part of the sales drive as folk are buying up for the London commute. Our area is massively student accommodation, so rent is high on the few family properties, but they are building loads of purpose places do hopefully thatll all settle down. Weve set out to save another 5k by July next year and will start looking then, hopefully we dont blow our whole £23k budget on a property alone, but Im not being naive about it!

That may change as there’s a strong rumour that HS2 will never make it past Birmingham, so hang in there

 

[Kmacg]

That may change as there’s a strong rumour that HS2 will never make it past Birmingham, so hang in there

Fingers crossed the pandemic put a stop to it now most folk are remote working

 

[Boutros-Boutros Ghali]

Although the amount of money wasted someone should be held accountable….but they won’t be of course just billions squandered that could have been put to better use elsewhere

 

[HoneyBee29]

We’ve just been approved for a mortgage in principal and have started viewing houses the last couple of months that are within our budget, the main problem we are having is property developers coming in and offering a lump sum of cash and a lot of people that are selling property are accepting it so even if we put in a higher offer the cash offers are always being accepted first

 

[kazizzle]

We’ve just been approved for a mortgage in principal and have started viewing houses the last couple of months that are within our budget, the main problem we are having is property developers coming in and offering a lump sum of cash and a lot of people that are selling property are accepting it so even if we put in a higher offer the cash offers are always being accepted first

My next door neighbour sold her house to a property developer for cash just last month. She didn’t even have anyone else come to view it, she just accepted the cash offer straight away. It wasn’t even on the market for a week.

 

[rlouisep9]

Is anyone else in the process of / thinking of buying just now? I’m really worried I’ll pay a hugely inflated price and then the market will crash

I'm in the process of buying at the moment, offer accepted right at the end of July. We got ours for 5.5k under asking price, I live in the South East where it's so expensive normally so there is hope!

 

[Yel]

Talking of tax rises of up to 2% to fund social care. Won't this mean the working poor who struggle with housing, secure jobs, pensions etc will be funding yet another thing while people's inheritance is protected? Would seem to be something that will ever widen the intergenerational inequality. Especially if it's NI rather than income tax.

Bombshell tax rise for social care – find out how much extra you'll pay
Manifesto-busting plan will see even low earners paying hundreds of pounds more a year

archive.md

 

[Choco88]

Houses are selling so fast around here. A house on a street that’s flooded several times in the last few years has sold in 2 days.

 

[Tublet83]

Houses are selling so fast around here. A house on a street that’s flooded several times in the last few years has sold in 2 days.

Doesn’t mean the sale will go through though - the flooding will be picked up in the survey and I would be surprised they will get a mortgage on it

 

[AladdinSane]

The market is still nuts here in Nottingham. We have HS2 coming () and thats part of the sales drive as folk are buying up for the London commute. Our area is massively student accommodation, so rent is high on the few family properties, but they are building loads of purpose places do hopefully thatll all settle down. Weve set out to save another 5k by July next year and will start looking then, hopefully we dont blow our whole £23k budget on a property alone, but Im not being naive about it!

I'm looking to move to Nottingham and honestly the prices are crazy!!! We're currently in Derby and desperate to move over there but I would have to pay close to double what we bought our Derby house for for a property that is the same or slightly worse. I'm hoping that everything calms down soon. The only silver lining is that it means we can save more