markyh Posted February 27, 2009 Share Posted February 27, 2009 Hi gang. I dont post too often but I have been here since around mid 2005 and it has helped me be more informed than anyone else I personally know about the housing market so far. But Mr & Mrs MarkyH and child have bought a house. Why? Well it all fell into place after stalking the newbuild developers for the whole of 2008 and walking away from several EA's and developers sales peaople every other month who thought they knew better than me, HPC.co.uk and property bee. We have now exchanged and are set to complete mid march. So what happened? Well basically in December after playing Persimmon and two divisions of Bryant, all on the same development, off against each other and securing a First Direct 1.49% over base tracker mortgage on my salary alone, we are buying a five bed 144m2 house after selling a 70m2 two bed semi 18months ago in August 07. It has gone like this, bought 2 bed in 1996 for 55k, sold in 2007 for 195k, STR 18 months, bought new five bed for........................... £230k, and this is in Aylesbury, the SE. So we have got it at about 30% off from peak. This what we got and the same house type bought on the same development in late 07 / early 08 were sold for £330k. http://www.rightmove.co.uk/property-for-sa...y-24085520.html Apart from getting the purchase price dropped by £30k+ I also got them to throw in free ........ flooring, mix of carpet and vinyl through the whole house, intigrated kitchen appliances (AEG cooker, dishwasher, washing machine and fridge freezer), extra built in wardrode in second main bedroon and turf on the lawn. So we will move into a 98% ready new house just as if we had bought second hand of an OO. The good thing is that they way the base rate is going our C&I mortgage payments are already going to be £200 less than our rent on the 3 bed we have now and may be £250 less if the BOE drop another 1/2% next week. So plenty of scope for overpayments and to acheive the long term plan of a affordable family house on 1 full time wage alone, of 1 full time and one part time if we want spare cash and extra luxuries. We can choose. how did I do it, well being able to get any mortage deal due to good credit rating and low LTV and having a six figure STR deposit certainly helped. Thrown in with 3 develpers all competing with exactly the same type house on exactly the same development in an otherwise dead for sales December helped too. All sorted in one weekend. Sat morning went to look at prospect no 1 on for £290k with Bryant Midlands. When asked what would I offer I said no more than 249999 as I wont pay 3% stamp duty. Within 1/2 hr sales guy got the ok from his H/O. Then went to Persimmon lunchtime looked at theirs. Said to sales woman, Bryant Mid will let me have one for £240k can you beat it. She made some calls and 1 hour later called to say no, can't go below £250k but will throw in £10k of extras for free, kitchen appliances, flooring, wardrode and turf. Said ok will get back to you. In the afternoon walked into Bryant Oxford, looked at theirs (which had the best location and garden size) and said Persimmon will let me have theirs fro £235k with £10k of extras as metioned free, can you beat it? 1/2 hr later while we were still mulling around in their show homes the sales girl personally found us and like and excited spanial said they sadi they will do it for you due to your proceedable position for £230k with extras. But you must put down holding deposit by mid December and exchage in Jan, complete in March. Done i said. But......... due to being way low for what they wanted to sell for it was subject to Taylor Wimpey board approval and it got refused twice and made it through third time in mid Jan. I had to have a long, stern talk with the Bryant regional director, point out my situation so he could explain to the TW board this was a no hassle deal, and also point out I was a 5000 TW shareholder (bought @ 11p hee, hee) and was not happy the board was rejecting my quick sale offer at a time when TW banking covernents are being tested harshly. It all worked out. Any questions, comments gladly answered. M p.s. Yes i still expect it to fall in value by up to 20% in 09/10/11. Maybe more who knows, but dont care as we can stay here until the kids leave home in 20 years time. p.p.s. Yes I did hold Gold in my STR pot, 5% of the total and i made a 20% return between April and December 08. BullionVault.com, very easy, very safe. Quote Link to comment Share on other sites More sharing options...
Executive Sadman Posted February 27, 2009 Share Posted February 27, 2009 Conglatulations! Quote Link to comment Share on other sites More sharing options...
markyh Posted February 27, 2009 Author Share Posted February 27, 2009 Conglatulations! Thanks Quote Link to comment Share on other sites More sharing options...
Nicholas Cage Posted February 27, 2009 Share Posted February 27, 2009 (edited) "C&I mortgage payments are already going to be £200 less than our rent" And that is with base rates at 1.00% ? Congrats etc as well, nothing wrong with buying a house as a family. Just not sure about the cost savings. Edited February 27, 2009 by Nicholas Cage Quote Link to comment Share on other sites More sharing options...
aa3 Posted February 27, 2009 Share Posted February 27, 2009 Congratulations from me as well! You sure drove a hard bargain! Quote Link to comment Share on other sites More sharing options...
Frank Hovis Posted February 27, 2009 Share Posted February 27, 2009 Good for you. Life is not entirely about money. Quote Link to comment Share on other sites More sharing options...
threetimesdead Posted February 27, 2009 Share Posted February 27, 2009 Congratulations on a new home. What is the mortgage outstanding? Quote Link to comment Share on other sites More sharing options...
markyh Posted February 27, 2009 Author Share Posted February 27, 2009 "C&I mortgage payments are already going to be £200 less than our rent"And that is with base rates at 1.00% ? Congrats etc as well, nothing wrong with buying a house as a family. Just not sure about the cost savings. Yes but the savings are £200 p/m C&I paymants as an OO on a five bed vs renting a 3 bed. We will have about 40% more space for less cash p/m and no LL / LA hassle. It we wanted to have ourselves and the bank as a LL we can I/O the offset for 1/3rd of the monthly cost of the three bed rent. This would be less p/m than you could get a 4 bed council house on a crap estate in aylesbury, assuming there are any. For a family home it was a no brainer. Quote Link to comment Share on other sites More sharing options...
markyh Posted February 27, 2009 Author Share Posted February 27, 2009 Congratulations on a new home.What is the mortgage outstanding? 4.1 x my salary, special deal done with HSBC due to 59% LTV. But in reality currently only 2 x Family income so we have a redundancy safety net as long as one of us keeps a job. M Quote Link to comment Share on other sites More sharing options...
deeplyblue Posted February 27, 2009 Share Posted February 27, 2009 (edited) Congratulations! Bare-faced cheek - just what's required, an inspiration to us all. Did you take Mrs Markyh with you, or is she one of those whose face would have given the game away? Lucky you didn't haven't a helpful 4-year old, "No, daddy, it was £249,999, I remember it because of all the nines - that's what the lady said!" db Edited February 27, 2009 by deeplyblue Quote Link to comment Share on other sites More sharing options...
Authoritarian Posted February 27, 2009 Share Posted February 27, 2009 (edited) It has gone like this, bought 2 bed in 1996 for 55k, sold in 2007 for 195k Congrats. You lumbered another family with more than a lifetimes worth of debt and have bought yourself a nice house off the back of their future efforts. You're a model citizen and would make Gordon Brown proud. Edited February 27, 2009 by chefdave Quote Link to comment Share on other sites More sharing options...
Ruffneck Posted February 27, 2009 Share Posted February 27, 2009 Congrats. You lumbered another family with more than a lifetimes worth of debt and have bought yourself a nice house off the back of their future efforts.You're a model citizen and would make Gordon Brown proud. so? it's not his fault the buyer was stupid enough to buy at the peak... i would say well done , looks like you played your cards quite well Quote Link to comment Share on other sites More sharing options...
ItsColdUpHere Posted February 27, 2009 Share Posted February 27, 2009 (edited) Hi gang. I dont post too often but I have been here since around mid 2005 and it has helped me be more informed than anyone else I personally know about the housing market so far. But Mr & Mrs MarkyH and child have bought a house. Why? Well it all fell into place after stalking the newbuild developers for the whole of 2008 and walking away from several EA's and developers sales peaople every other month who thought they knew better than me, HPC.co.uk and property bee. We have now exchanged and are set to complete mid march. So what happened? Well basically in December after playing Persimmon and two divisions of Bryant, all on the same development, off against each other and securing a First Direct 1.49% over base tracker mortgage on my salary alone, we are buying a five bed 144m2 house after selling a 70m2 two bed semi 18months ago in August 07. It has gone like this, bought 2 bed in 1996 for 55k, sold in 2007 for 195k, STR 18 months, bought new five bed for........................... £230k, and this is in Aylesbury, the SE. So we have got it at about 30% off from peak. This what we got and the same house type bought on the same development in late 07 / early 08 were sold for £330k. http://www.rightmove.co.uk/property-for-sa...y-24085520.html Apart from getting the purchase price dropped by £30k+ I also got them to throw in free ........ flooring, mix of carpet and vinyl through the whole house, intigrated kitchen appliances (AEG cooker, dishwasher, washing machine and fridge freezer), extra built in wardrode in second main bedroon and turf on the lawn. So we will move into a 98% ready new house just as if we had bought second hand of an OO. The good thing is that they way the base rate is going our C&I mortgage payments are already going to be £200 less than our rent on the 3 bed we have now and may be £250 less if the BOE drop another 1/2% next week. So plenty of scope for overpayments and to acheive the long term plan of a affordable family house on 1 full time wage alone, of 1 full time and one part time if we want spare cash and extra luxuries. We can choose. how did I do it, well being able to get any mortage deal due to good credit rating and low LTV and having a six figure STR deposit certainly helped. Thrown in with 3 develpers all competing with exactly the same type house on exactly the same development in an otherwise dead for sales December helped too. All sorted in one weekend. Sat morning went to look at prospect no 1 on for £290k with Bryant Midlands. When asked what would I offer I said no more than 249999 as I wont pay 3% stamp duty. Within 1/2 hr sales guy got the ok from his H/O. Then went to Persimmon lunchtime looked at theirs. Said to sales woman, Bryant Mid will let me have one for £240k can you beat it. She made some calls and 1 hour later called to say no, can't go below £250k but will throw in £10k of extras for free, kitchen appliances, flooring, wardrode and turf. Said ok will get back to you. In the afternoon walked into Bryant Oxford, looked at theirs (which had the best location and garden size) and said Persimmon will let me have theirs fro £235k with £10k of extras as metioned free, can you beat it? 1/2 hr later while we were still mulling around in their show homes the sales girl personally found us and like and excited spanial said they sadi they will do it for you due to your proceedable position for £230k with extras. But you must put down holding deposit by mid December and exchage in Jan, complete in March. Done i said. But......... due to being way low for what they wanted to sell for it was subject to Taylor Wimpey board approval and it got refused twice and made it through third time in mid Jan. I had to have a long, stern talk with the Bryant regional director, point out my situation so he could explain to the TW board this was a no hassle deal, and also point out I was a 5000 TW shareholder (bought @ 11p hee, hee) and was not happy the board was rejecting my quick sale offer at a time when TW banking covernents are being tested harshly. It all worked out. Any questions, comments gladly answered. M p.s. Yes i still expect it to fall in value by up to 20% in 09/10/11. Maybe more who knows, but dont care as we can stay here until the kids leave home in 20 years time. p.p.s. Yes I did hold Gold in my STR pot, 5% of the total and i made a 20% return between April and December 08. BullionVault.com, very easy, very safe. Ignore the doomsayers on here. They'll do anything to pick holes in your strategy, even though its well thought through, you're happy with it and you and your family end up with a nice home. The price is amazing - people are STILL asking more than that for similar houses up here in a shite hole corner of the North east - 18 months ago they were even selling. And finally, I wish I had your balls!!! Edited February 27, 2009 by ItsColdUpHere Quote Link to comment Share on other sites More sharing options...
ItsColdUpHere Posted February 27, 2009 Share Posted February 27, 2009 Congrats. You lumbered another family with more than a lifetimes worth of debt and have bought yourself a nice house off the back of their future efforts.You're a model citizen and would make Gordon Brown proud. Loser Quote Link to comment Share on other sites More sharing options...
Ski Posted February 27, 2009 Share Posted February 27, 2009 AEG cooker As they say in Germany... Auspacken, Einschalten, Geht Nicht ! Good Luck ! Quote Link to comment Share on other sites More sharing options...
buytoilet Posted February 27, 2009 Share Posted February 27, 2009 congrats not many called the top as well as you. Not sure about newbuilds but you got a good deal. Quote Link to comment Share on other sites More sharing options...
markyh Posted February 27, 2009 Author Share Posted February 27, 2009 Congrats. You lumbered another family with more than a lifetimes worth of debt and have bought yourself a nice house off the back of their future efforts.You're a model citizen and would make Gordon Brown proud. Actually it was a 26 y/o single girly, who was my next door neighbour accross the drive, who was renting her house off her BTL dad, who was also a director of their firm repairing refridgeration equipement for Tescos / sainsburys etc. she also had an new Audi A3 as her company car and a 2004 lotus elise in her garage. Oh.... and she agreed with her dad and brother, the other directors to borrow the deposit off the business cash. She is still their, the company is still going and she has replaced the boiloer and fitted double glazing since she got it. So they are ok for the debt. I will sleep easy. M Quote Link to comment Share on other sites More sharing options...
grey shark Posted February 27, 2009 Share Posted February 27, 2009 Well done Markyh for screwing such a good deal out of one of the big builders ... will be putting some 'insulting' cash offers myself in very soon , and when we eventually buy we won't give a flying if it goes up or down , houses are for living in not looking at it's daily worth like some saddo's do . Quote Link to comment Share on other sites More sharing options...
munimula Posted February 27, 2009 Share Posted February 27, 2009 Hi gang. I dont post too often but I have been here since around mid 2005 and it has helped me be more informed than anyone else I personally know about the housing market so far. But Mr & Mrs MarkyH and child have bought a house. Nice one! A great HPCer done good story Quote Link to comment Share on other sites More sharing options...
jonewer Posted February 27, 2009 Share Posted February 27, 2009 YOU BOUGHT A HOUSE!! Just kidding. well done! Quote Link to comment Share on other sites More sharing options...
NotMyHouse Posted February 27, 2009 Share Posted February 27, 2009 Nice one. Looks like you got in just in time. Those houses are going back up in price. 27 February 2009 * Price changed: from '£259,995' to '£269,995' * Status changed: from 'Offers Available, New home' to 'New home, Offers Available' * Title changed: Kerscott at Chrysalis at Buckingham Park, Aylesbury, HP19 9DJ What are those builders on? Quote Link to comment Share on other sites More sharing options...
PopGun Posted February 27, 2009 Share Posted February 27, 2009 Well done, people need to get on with their lives. Quote Link to comment Share on other sites More sharing options...
grumpy-old-man-returns Posted February 27, 2009 Share Posted February 27, 2009 It has gone like this, bought 2 bed in 1996 for 55k, sold in 2007 for 195k, STR 18 months, bought new five bed for........................... £230k, and this is in Aylesbury, the SE. So we have got it at about 30% off from peak. so how much would it have cost to rent that house for 1 year ? this time next year, your house WILL have dropped another 10%. So that's 23k. How much would that rent have been again for 1 year ? apply same formula for the next 3 years + good luck if you're happy though & can live with the negative equity for a decade. Quote Link to comment Share on other sites More sharing options...
AteMoose Posted February 27, 2009 Share Posted February 27, 2009 (edited) Well done, good move and example to other HPC members. You make your own crash, some people may more some people pay less . This is a big discount on the peak price of 330k so IMHO your relatively well protected, you have a biggish house in the SE (so your not in the dire flat/apartment/ex council/terrace category which is bound to fall the furthest). Welcome to the housing market, trust me it is interesting owning a house you bought at a big discount waiting for other sales to come through. The bigger the discount you negotiate the further into the future (or past) your buying and the better protected you are. Looking at equiv sold prices on new builds what year did you buy at? the 2001 price? 2002 price? Edited February 27, 2009 by moosetea Quote Link to comment Share on other sites More sharing options...
Guest KingCharles1st Posted February 27, 2009 Share Posted February 27, 2009 so how much would it have cost to rent that house for 1 year ?this time next year, your house WILL have dropped another 10%. So that's 23k. How much would that rent have been again for 1 year ? apply same formula for the next 3 years + good luck if you're happy though & can live with the negative equity for a decade. Man- thats is TRULY GWUMPY! The boy did good- YOU'RE JUST JEALOUS!! Quote Link to comment Share on other sites More sharing options...
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