renter1

As a first time buyer married with one child in a public sector job I am finding I cannot afford to buy an average 3 bed detached house in my area. Fortunately I have a large deposit saved up but the banks arn't lending! Surely prices cannot continue as they are if the banks wont lend? and yet I am repeatedly told I need to buy now or miss out for various reasons. In addition a friend of mine is self-employed and with an annual income of £25 from his business was told by the bank he coud have a mortgage of £62k even thought he had an £80k deposit! Considering I have a another friend who is employed by a bank and in 2008 borrowed £165k with no deposit on a £23k salary!

I am all for ethical banking but who are the ethical banks? Who also offer good rates for my FTB deposit

yes, i would have to agree, houses in my area are going up for more and more and are still selling reasonably quickly. I have no idea what is going on or who is buying these properties!

My dad said he was talking to a woman that works for a mortgage broker and he mentioned I was a FTB and wanted to suss out her thoughts on the housing market - her advice was to stay put in rented, she said 'I remember the last time the snowball left the mountain and the next one is just around the corner' She said her company has had a good run getting people on the ladder with self-certification aka fraudelant mortgages and that after xmas this is all going to be stopped by the Gov What is she referring to, have the gov got plans to stop this practice. Sorry if this has already been discussed

Not not sharing - this is total rent. Average in my area is 600-700pcm for this sort of house and nice part of east dorset too.

true, the house im renting is 625pcm. If i was to buy it (based on how much neighbours have sold for) my repayment mortgage would be £1,100pcm - why would i?

a friend was telling me I should get a credit card like hers and how great it was because she earnt money back. I said I don't have any credit cards (because I chose not to and can live off my salary quite happily)and she replied "oh yes, sorry i forgot, they don't let people like you have them, you know, because your not a home owner like me" I use the term friend loosely!!!

East Dorset

As much as i hate to say it i am not seeing a crash round my way. House on my street (mid terraced 2 bed 1980's estate, postage stamp garden) have never sold for more that £185,000 (nethouseprices) One a few doors up went on the market a montha go for £210,000 not in great condition. My husband and I laughed saying it would never sell. A month earlier one a few doors down was on the market for 9 months and sold in June for £175,000 in better condition and end of terrace with bigger garden. Well the house at £210,000 sold for full asking price on second viewing - the neighbours are crowing about the price of thier houses and they will only go up (im renting) The buyers are in late 20's, wages aren't great in dorset - who on earth are these people? Will this sort of person just keep propping it up?

Hmm - buying when prices are crashing with high interest rates is a position i would rather be in than low interest rates for a while unitl fixed term expires and then a house worth less that i padi for it and unable to sell as i wouldnt be able to repay the bank!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

People on this site (myself included) have been saying watch this space this year in 04 and 05, or, its just around the corner etc etc I have noticed an few posts saying, by the end of next year, in the next couple of menths, by the end of the year........ Are people more certain now and if so why? Why is 06/07 so different? How confident are you?

why december 2007?

In my experience (friends who have bought recently) they tend to ask the first question - how much can I lend and rarely think about - how much can i afford. What also concerns me are the 10year fixed rate mortgages offered by some lenders - interest rates are not going to affect them for 10years! How many first time buyers have taken out these mortgages? They may have paid an extortionate price for the house but have factored in they can pay the fixed rate for 10 years and any rises in rates will not affect them.

i never instigate the conversation for the same reasons but I am always asked, its like they are obsessed with why I haven't and want to force me ot buy - probably to make themselves feel better!

Why are you on this site then?