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Confusion of VIs

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Everything posted by Confusion of VIs

  1. I think you hugely underestimate the cost of self building, I had similar ideas a couple of years ago but gave up as I couldn't make the numbers add up. I looked at Using Sips but ignore the hype the reality is that they are more expensive than traditional build and still raise a lot of issues re building regs/insurance.
  2. Because I had to go through my bank and credit card accounts in detail explaining what every item was.
  3. No its not its adjusting your spending to reflect the fact you will have a mortgage to pay, something the morons who assess mortgage applications seem unable to comprehend. I went through this nonsence with the Nat West who turned down a mortgage application because I was spending too much of my income, pointing out that £2,500 a month was discretionary spending that I could stop at any time and I only needed an extra £800 to pay the larger mortgage was too complex a concept for the box ticker to understand. Had the same problem with an application to the Chelsea, eventually got an approval from the Woolwich and surprise surprise no problems paying the mortgage - just a few less visits to Dabbous and weekends away.
  4. That's ignoring the 10% less relief arising from the withdrawl of the wear and tear allowance.
  5. For many BTL investors, and all the more probably more marginal standard tax rate payers, this will have more impact: Osborne also announced that from April 2016, the existing 'wear and tear allowance', which lets landlords reduce the tax they pay whether or not they replace furnishings in their property will also be replaced. In its place will be a new system that only allows them to get tax relief when they actually do replace furnishings
  6. If you are properly informed and freely enter into a leasehold contract where's the scam. If you really want to buy the freehold you can. For some people thats what they will do others won't want the hassle of managing a block of flats.
  7. I think you learn to cope with whatever you have, we spent years living in a small house and didn't have any problem with it. We now live in somewhere about three times as big but after a few days of revalling in the space it now doesn't really feel any different - at least until the gas bill comes in.
  8. I what strange world (or possibly alternate universe) does waiting 999 years to make some money on a flat qualify as hey presto. I think waiting 10 plus years for HPC is startng to get to some people on here.
  9. In truth almost no one sees those massive returns, you invest your profits in the next house ....repeat until you die. I am not sure there ever will be HPC at least not anywhere people actually want to live. The future I see is you rent (or spend everthing you have to buy a hovel) until your parents die then you invest their "massive return" in your own house. Of course if your parents don't have anything to leave you, live to be a 100 or end up frittering all the money away on care home fees - that's just tough.
  10. Not round here (Croydon) they're not. I am currently looking for builders for an extension/refurb, anyone with a decent track record has plenty of work and according to our achitect builders generally have massively raised their prices over the last 12-18 months.
  11. I dont think you can assume all remortgages are MEW's many, maybe most, will be remortgaging to get a cheap fix before interest rates go up and some of these will actually be paying off some of the loan to access the best deals. We recently completed a remortgage, paying off a few grand to qualify for a 2.2% five year fix.
  12. Many a true word said in jest. Over the last ten years London has become a true global city, it now draws in talent from all over the world and its connection with the rest of the UK is being weaker with every passing year and .
  13. I don't have any inside knowledge but if its now like the rest of MPW's dismal chaiin, I suspect its failure is more to do with appalling food/service than any rent rise.
  14. I imagine Ferrari will have a great business making track day cars that cannot be driven on the road - they already sell a £1m track day car.
  15. I think you would already be hard pushed to find a modern car that does not rely on a computer, and even if you can you will be on a road populated by cars relying on their computers not to crash into you.
  16. Perhaps its a new EA wheeze, buy it now or we will knock it down. Seems a bit drastic.
  17. It works in London, when prices are rising strongly and you find you are in a queue of 30 people to view a property. However, these EAs are probably doing it just to show the vendors they are still trying hard for a sale, but without lots of potential buyers they won't be creating a frenzy and risk putting off any potential buyer who does turn up to view a deserted property. I don't believe the EA getting his mates round to fake interest actually happens, we all agree the average EA is lazy and doing this seems like just too much work for probably no return.
  18. Looks like they have, the cost has just gone up to £7 billion (BBC 1pm news)
  19. I am no Not sure about this. Some friends put their Dagenham & Barking 3 bed property on the market last week, recieved 2 offers within days of it hitting the market, and 2 more by lunchtime on Saturday (at the open morning). Have now accepted £12k above what they thought was already an optimisitc asking price from a cash buyer.
  20. I wouldn't get too excited about this A couple of years ago we wasted several weeks trying to get one of the Chelsea's market leading deals. We were given endless hoops to jump through to prove affordability and eventuality were turned down. These included arbitary and unrealistic amounts allocated to various spending categories, and bizarrely that profits retained within my self employed wife's company did not count as income. Explaining that they were left in the company because we did not need the money cut no ice with the box tickers handling our application. We eventually got a mortgage with Barclays 0.25% dearer but entirely straightforward process and given offer approval within 7 days of applying.
  21. I think you might be missing the point, the debt is never going to be paid back. At best the interest will be paid and capital rolled over for ever. This will work just fine as long as interest rates remain below our GDP growth rate for ever - or at least until after the next guy takes charge.
  22. Having the valuer come round, as I know from experience is not guarantee that the buyer is in a position to proceed. Mortgage companies will instruct a valuer once they have recieved the valuation fee, the detailed checking of finances happens after that. You may be right that the agent wants to know your finances for other reasons but as a seller I still want to know whether a potential buyer is in a position to proceed before accepting an offer - or at least before taking the property off the market. NB the 5% was just intended to make the point that, if the offer was particularly attractive I might be prepared ignore th above and take a risk.
  23. Given the number of sales that fall through owing to the buyer being unable to obtain finance I think its entirely reasonable for the agent to ask for proof a potential buyer is in a position to proceed. As a seller I wouldn't be interested in an offer from someone who could not satisfy my agent they were in a position to proceed, and even less so if the buyer refused to disclose any details - maybe if they offered 5% over the asking price to cover the risk that I was dealing with a dreamer
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