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Tom Grosv

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About Tom Grosv

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  1. In my newsletter from Moat Housing (yes I'm in a shared ownership scheme - I know that makes me the spawn of satan but I didn't know any better 10 years ago) they had the following item - Additional shares in your house are bought at the current market rate. I wonder why Moat wants its' tenants to buy sooner rather than later?
  2. Am I coming to you with my begging bowl? I pay rent on the 25% of the house I don't have a mortgage on - does that make me a parasite? Perhaps it does. I suppose the HA had to get it's original capital from the taxpayer and I can understand your venom against the Government for doing this and I suppose by pushing the shared ownership schemes that contribute to HPI. But I didn't have any understanding about the dynamics of this when I got involved in getting this property over 6 years ago - I just acted like a rational human being in doing what I thought was the best thing for my family and I at the time. I think I've learnt a lot since, especially from this site. Perhaps you were ahead of the curve. Well done.
  3. I hadn't thought of myself and my wife both in full time employment for over 20 years as "scummy parasites" but there you go. Thanks for the epiphany.
  4. Bit confused by what you mean Converted Lurker. I bought 6 years ago and the house is about 30+ years old - not all HA houses are new. When I bought the house was valued at £143,000 and I got a mortgage for 75% of that value and paid rent to Moat for the remaining 25%. If I decide to staircase (buy) the remaining 25% of the house then it gets valued at today's prices and I have to pay 25% of that value. Every day I wait the cost of that 25% is dropping. Does that help?
  5. I hadn't previously thought of a housing association as belonging to the VI brigade but you're probably right. It just seemed so distasteful for them to target their own clients this way - it's a nasty thought that they want ordinary joe to suck up as much of the negative equity to keep it off their balance sheet as they can.
  6. Sorry, typo by me despite reading it through a couple of times. Perhaps you are right - it does fit better!
  7. So says the December 2008, Issue 19, of "Home Owner", the newsletter Moat housing association sends to it's customers who have shared ownership properties, like myself, with Moat. It uses the article to suggest that "now could prove a smart time to buy additional shares in their homes". Here's the article - comments anyone? "While doom and gloom about the housing market is the order of the day, new research from the National Housing Federation suggests house prices could be rising strongly again by 2012. According to the government Land Registry, house prices in London and the South East were down by 6-8.5% over the year to September. But to put this into context, house prices virtually trebled in the 10 years to 2007 and, during 2007 itself, rose 7-11% in the arrears where Moat operates. The latest housing market forecast received by the Federation from the respected economics consultancy, Oxford Economics, suggest that the credit crunch and cutbacks in housebuilding will stoke up new demand for housing. When the crunch eases and lending starts to flow again, we could see substantial rises in prices. Oxford Economics says prices should start to recover in 2010 and could rise by as much as 9% a year in 2012 and 2013. The Centre for Economic and Business Research published similar findings this autumn, though some commentators believe the market will take longer to recover. Meanwhile, over 600,000 households are now on housing waiting lists in London, the South East and the East of England , as people continue to struggle to find good accommodation at an affordable price in the private rental and sale markets. Though we need to remember that these are only forecasts and there is no guarantee things will pan out as the economists predict, when sentiment changes in the housing market it tends to happen quite quickly, Much will depend on what happens in the wider economy. The length and severity of the economic downturn will help determine the housing market’s future for the next few years." After lurking on housepricecrash for some time I'm not remotely convinced that now is the time to increase my 75% share of my house and I personally find it distasteful that a charity is encouraging it's customers, many of whom are not wealthy (hence buying a housing association house), to do this.
  8. Since Christmas I've been following the fortunes of a house near me that were using two EA's - Hamptons and Cubitt & West. http://www.hamptons.co.uk/PropertyDetails....tyRef=HOR070571 or http://www.findaproperty.com/displayprop.a...p;agentid=09942 (I hope those links work - it is on Chennells Way, Horsham, West Sussex RH12) I've kept an eye on it because I just couldn't believe that they were asking £590,000 for this - ok it is fairly large and let's not forget that, according to Hamptons, "to the outside the property is approached via an attractive herringbone style brick drive" but £590k for a boring 1970's box! Anyway, in the last few weeks they have obviously started panicking because the price has tumbled - 570, 550, and today, 535. Question is - why can't I find it on propertysnake? My maths is a bit suspect but isn't that a 9-10% drop?
  9. In the save&spend section of the Independent today there is an article entitled "Don't panic - Lifting the lid on mortgage scare stories - Revealed - the truth behind the housing market scare stories." One part, especially, seemed disingenuous - "Don't buy now", For first-time buyers struggling to get on the housing ladder falling house prices are very welcome. However, unless prices start to fall at a consistently fast rate the decision to wait could be a false economy, warns Melanie Bien, of mortgage broker Savills Private Finance. She says that unless you are living with parents, the amount that a prospective buyer pays out in rent, particularly in parts of the South-east, can offset any decrease in the purchase price of a house. Someone paying £800-a-month rent, for example, would pay an extra £4,000 by delaying a purchase for five months. "While you would have been paying a mortgage if you had bought instead of renting, you will still want to make sure you end up in front once the difference is deducted from the potential fall in property values," adds Bien. "First-time buyers would be better off making their decision based on affordability and finding a suitable property." Andy Pratt, chief operating officer of mortgage broker Alexander Hall, says prospective buyers should talk to a mortgage broker and work out how their rent compares with the cost of buying. Buyers should also consider that buying a home is a long-term commitment and not a short-term speculation on house prices. "Unless you believe house prices are going to correct by 20 per cent or more, it is a long-term investment and people should be out there looking. It is a buyers' market and there are some bargains to be picked up," says Pratt. I'm not so hot with this stuff but isn't this just VI nonsense? Surely you haven't saved £4,000 having a £800 monthly mortgage as the vast majority, especially at the beginning of your mortgage, is interest? Comments from the experienced out there appreciated.
  10. I've been watching Nationwide too. In September 2006 I took out a Nationwide Lifetime Tracker with a 10% deposit at 0.18% above BOE (and how glad am I that I did that). Since then I have seen that rate increase - I think I have seen 0.34%, then 0.44%, then 0.68%. I was stunned to realise today that it is now 0.88%. That is a massive 0.70% difference to what I took out - almost THREE BOE cuts. You can get 0.68% but with that new band of 25%. If you have a deposit of only 5% they now charge 1.28% above rate for the lifetime tracker - how clearly are they telling you to take your money elsewhere!
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