The Beebs Still At It

[zebbedee]

"At a time when a lack of mortgage finance is hindering first-time buyers, opting to buy with a friend or relative can represent a sensible way of getting into the market,"

http://www.bbc.co.uk/news/business-13411292

FFS!!!

[Violushevski]

Strange how they never advocate taking advantage of desperate sellers. They need some property porn on buying repos :angry:

[spyguy]

Yep. Just tunred on the telly, saw a quick preview with some scnaky looking woman saying 'buy with friends'. f.king nuts. Its bad enough buying with your gf - and then you get a sh*g in bargain . . but friends!!!!

[GordonBrownSpentMyFuture]

Slavebox friend.

[Frank Hovis]

I knew one time this happened in '88. Two blokes plus a third buying as "an investment".

Negative equity and took >5 years before anybody could afford to buy themselves out of it - friends no more.

[ingermany]

These "buy with a friend" mortgages caused a hell of a lot of misery in the 1990s creating shared negative equity with blame and recrimination of which "friend" was responsible. Friends don't stay friends when there are massive debts to share. Of course the BBC won't mention any of this.

[ingermany]

These "buy with a friend" mortgages caused a hell of a lot of misery in the 1990s creating shared negative equity with blame and recrimination of which "friend" was responsible. Friends don't stay friends when there are massive debts to share. Of course the BBC won't mention any of this.

[ingermany]

These "buy with a friend" mortgages caused a hell of a lot of misery in the 1990s creating shared negative equity with blame and recrimination of which "friend" was responsible. Friends don't stay friends when there are massive debts to share. Of course the BBC won't mention any of this.

[ccc]

This really is shameful. It is like half way through the dot com bust the BBC doing a special on how people can pool together to buy more tech shares.

[ccc]

EA on now ?! FFS.

£850 to rent a 2 bed flat in Manchester ?! Same place would cost only 450 per month in mortgage payments. 'Money to be made'

Is this chump just bare faced lying or taking the most extreme examples possible to make a very lame point ?

[Wurzel Of Highbridge]

The article on the beeb is open for comments, could someone who has a beeb account please make some sensible comments.

[MrFlibble]

"At a time when a lack of mortgage finance is hindering first-time buyers, opting to buy with a friend or relative can represent a sensible way of getting into the market,"

http://www.bbc.co.uk/news/business-13411292

FFS!!!

Haven't we been here before? Best way to afford a house is to wait until they become affordable. Buying with a buddy is a recipe for disaster.

[200p]

"At a time when a lack of mortgage finance is hindering first-time buyers, opting to buy with a friend or relative can represent a sensible way of getting into the market,"

http://www.bbc.co.uk/news/business-13411292

FFS!!!

Sick isn't it?

But the pr*cks behind the scenes pushing this crap must be laughing. Put yourselves in their shoes for a minute.

"Excellent muahaha" "Herd the little sheep in there!" "Let them take out huge debts, so they are stuck with dogs for years! Whilst at the same time enriching me ha ha ha!"

The mainstream media have so much power - they are considered as the gold standard of sources information in 90% of households, I say. Power must come with responsibility.

---

1.

JimP

1 Hour Ago

Up to 100% mortgage finance & model rules for co-operative home buying is available through the co-operative movement for people who are interested in doing this. Look on the web for Co-operative & Community Finance (100% deal is 30% from them 70% from Triodos), the Ecology Building Society or Radical Routes for examples.

oh thanks for that comment

[200p]

Mortgage squeeze

Former schoolmates Neil Tippett, Andy Jones, and Sam Jones, decided to take the plunge when they bought a house together in Oxted, Surrey.

Fifteen months later, the trio say they have no regrets, with washing up rather than their financial welfare leading to the only arguments.

"Just make sure you think through what is going to happen in the worst case scenario," says Mr Tippett, a 28-year-old software engineer.

At 28, you'd really want your own place though? Starting a family, getting married? Not living like a student, when were 22?

Edited May 20, 2011 by Money Spinner

[200p]

Well at least theres a story about people losing a load of money on their "investments" in Spain on the righthandside http://www.bbc.co.uk/news/business-13313924

[guitarman001]

Can't they get done for blatant bias and/or reckless financial advice?

[guitarman001]

Mortgage squeeze

Former schoolmates Neil Tippett, Andy Jones, and Sam Jones, decided to take the plunge when they bought a house together in Oxted, Surrey.

Fifteen months later, the trio say they have no regrets, with washing up rather than their financial welfare leading to the only arguments.

"Just make sure you think through what is going to happen in the worst case scenario," says Mr Tippett, a 28-year-old software engineer.

At 28, you'd really want your own place though? Starting a family, getting married? Not living like a student, when were 22?

I'm approaching that age - still at home!

Need to get out of the country to be honest. No future here for youngsters.

[Caveat Mortgagor]

EA on now ?! FFS.

£850 to rent a 2 bed flat in Manchester ?! Same place would cost only 450 per month in mortgage payments. 'Money to be made'

Is this chump just bare faced lying or taking the most extreme examples possible to make a very lame point ?

I heard the end of this piece. Cue a bout of Tourettes in the CM household.

Another bit about LSL average rents on the radio on the way into work. Apparently renters have to compete with the glut of students leaving uni and getting their own place but cannot afford to buy. Thats why rents are so high. In summary, its demand driven and there is no end in sight to that demand.

No mention of housing benefit as a factor.

Nor do they mention that LSL is predominantly an estate agency that wished to sell houses.

Looked on Rightmove and found nearly 200 flats in Manc city centre for £600pcm or less.

And if he thinks a 2 bed flat is worth £180k, he will probably have a queue of thousands of people currently renting from the bank who wish to offload to him.

TWUNT!

Edited May 20, 2011 by Caveat Mortgagor

[arrgee1991]

Haven't we been here before? Best way to afford a house is to wait until they become affordable. Buying with a buddy is a recipe for disaster.

Yes, around about 1988 just before Nigel Lawson ended the option to pool allowances (Multiple Mortgage Tax Relief).

The last hurrah of the eighties property boom. The only way now is south.

[thecrashingisles]

Hahaha. They have a deed which "states the level of offer they would accept if they decided to sell the property."

[THE L4 KID]

EA on now ?! FFS.

£850 to rent a 2 bed flat in Manchester ?! Same place would cost only 450 per month in mortgage payments. 'Money to be made'

Is this chump just bare faced lying or taking the most extreme examples possible to make a very lame point ?

I nearly put my foot through the telly when I heard that this morning (but for the fact it would have involved getting out of bed!).

Is he talking about an Interest only variable rate mortgage with a 25% deposit? That's the only way I can possibly think this would be the case!

In my own experience the Mrs and I are about to move into a rented 3 bed semi at a cost of £695pcm as opposed to the almost £950pcm it would cost to buy the same place so I really can't see where this guys getting his figures.

And then the EA guy went on to say "Friends sharing homes like this were really big in the late 80's and they now seem to be making a comeback" - yes and what happened after the late 80's......?

[Gerinako]

I'm only 24, briefly considered sharing buying a place with a friend, thought of complications that could occur and gave it a swift F' that idea!

[ccc]

I heard the end of this piece. Cue a bout of Tourettes in the CM household.

Another bit about LSL average rents on the radio on the way into work. Apparently renters have to compete with the glut of students leaving uni and getting their own place but cannot afford to buy. Thats why rents are so high. In summary, its demand driven and there is no end in sight to that demand.

No mention of housing benefit as a factor.

Nor do they mention that LSL is predominantly an estate agency that wished to sell houses.

Looked on Rightmove and found nearly 200 flats in Manc city centre for £600pcm or less.

And if he thinks a 2 bed flat is worth £180k, he will probably have a queue of thousands of people currently renting from the bank who wish to offload to him.

TWUNT!

Yep I am sure I have herad central Manchester is full of new build 2 bed flats ?

I nearly put my foot through the telly when I heard that this morning (but for the fact it would have involved getting out of bed!).

Is he talking about an Interest only variable rate mortgage with a 25% deposit? That's the only way I can possibly think this would be the case!

In my own experience the Mrs and I are about to move into a rented 3 bed semi at a cost of £695pcm as opposed to the almost £950pcm it would cost to buy the same place so I really can't see where this guys getting his figures.

And then the EA guy went on to say "Friends sharing homes like this were really big in the late 80's and they now seem to be making a comeback" - yes and what happened after the late 80's......?

I know. Although at least I take consolation in the fact that these efforts just seem to get more and more desperate. Hopefully showing us it is nearly the end of the line.

[thecrashingisles]

I know. Although at least I take consolation in the fact that these efforts just seem to get more and more desperate. Hopefully showing us it is nearly the end of the line.

But this time they've got smart and put it in their contract that they won't accept less than a certain amount when they sell it! I still can't get over how ridiculous that is.

[GordonBrownSpentMyFuture]

I'm only 24, briefly considered sharing buying a place with a friend, thought of complications that could occur and gave it a swift F' that idea!

Very wise. Good for you.

This type of report / article / property PR was doing the rounds around 18 to 12 months before the first peak of the bubble in 2007. I suppose I should not be surprised to see it again now - prices are, after all, at the same levels they were in 2005-6 (2004 in some parts of the UK): i.e. completely unaffordable.

Such "innovative" mortgage products, and the ramping they receive, smacks of desperation; an attempt by the over-indebted to off-load their burden on to somebody else.

Ignore the vested interests (VIs) and use your own judgement and wisdom. The estate agent, mortgage broker and BBC journalist - even a well-meaning relative kindly assisting with a deposit contribution - won't be the ones regretting it later when it all goes t!ts up.