peahead Posted August 29, 2012 Share Posted August 29, 2012 http://www.24dash.com/news/housing/2012-08-28-Orbit-gets-35-million-for-mortgage-rescues So not only are the banks having to show forbearance, the gov't are also shoveling money via the HCA to buy back 3,500 homes at the peak of the market Quote Link to comment Share on other sites More sharing options...
OnlyMe Posted August 29, 2012 Share Posted August 29, 2012 http://www.24dash.com/news/housing/2012-08-28-Orbit-gets-35-million-for-mortgage-rescues So not only are the banks having to show forbearance, the gov't are also shoveling money via the HCA to buy back 3,500 homes at the peak of the market Corporate BTL with taxpayer's money. The Tories are just as much scum as Labour were. Again, very glad I didn't vote for them. Quote Link to comment Share on other sites More sharing options...
Executive Sadman Posted August 29, 2012 Share Posted August 29, 2012 meanwhile, tenants get jack sh1t. Quote Link to comment Share on other sites More sharing options...
Monkey Posted August 30, 2012 Share Posted August 30, 2012 meanwhile, tenants get jack sh1t. just imagine being a Tax paying tennant......... oh, i am Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted August 30, 2012 Share Posted August 30, 2012 http://www.24dash.co...ortgage-rescues So not only are the banks having to show forbearance, the gov't are also shoveling money via the HCA to buy back 3,500 homes at the peak of the market 3500 new ASTs. with nearly 1000 possessions a week, and this scheme ALREADY in operation, there is going to be no slowing in the crash from this source. Quote Link to comment Share on other sites More sharing options...
Spork of Damocles Posted August 30, 2012 Share Posted August 30, 2012 http://www.24dash.com/news/housing/2012-08-28-Orbit-gets-35-million-for-mortgage-rescues So not only are the banks having to show forbearance, the gov't are also shoveling money via the HCA to buy back 3,500 homes at the peak of the market These are the primary qualifications for the scheme: "To be eligible for the scheme your household must include someone in 'priority need'. This could be: a pregnant woman someone with dependent children someone who is vulnerable because of old age or a physical or mental impairment" So basically it's Mortgage Rescue for Reputational Damage – we don't too many hard-luck stories about eviction appearing in the papers. The scheme either provides an IO loan to lower monthly payments or they will buy the home at 90 per cent of market value - you either have to keep paying the difference to the existing lender or hope they write it off (ho ho). Quote Link to comment Share on other sites More sharing options...
Guest_James Toney_* Posted August 30, 2012 Share Posted August 30, 2012 just keep rewarding the reckless :angry: Quote Link to comment Share on other sites More sharing options...
Si1 Posted August 30, 2012 Share Posted August 30, 2012 These are the primary qualifications for the scheme: "To be eligible for the scheme your household must include someone in 'priority need'. This could be: a pregnant woman someone with dependent children someone who is vulnerable because of old age or a physical or mental impairment" So basically it's Mortgage Rescue for Reputational Damage – we don't too many hard-luck stories about eviction appearing in the papers. The scheme either provides an IO loan to lower monthly payments or they will buy the home at 90 per cent of market value - you either have to keep paying the difference to the existing lender or hope they write it off (ho ho). it's sad and unfair but this kind of thing needs to happen in order to help to reveal the price in the market, so it can begin functioning again Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted August 30, 2012 Share Posted August 30, 2012 Orbit Group has been given a £35 million contract to help people who are struggling with their mortgage payments.It is hoped that the two-year contract with the Homes and Communities Agency (HCA) will help over 600 families to stay in their homes. 35,000,000 / 600 = £58,333 per home. Sounds like a nice little earner for Orbit. I wonder how much of the £58,333 they get. Quote Link to comment Share on other sites More sharing options...
Monkey Posted August 30, 2012 Share Posted August 30, 2012 35,000,000 / 600 = £58,333 per home. Sounds like a nice little earner for Orbit. I wonder how much of the £58,333 they get. i dont think its clear cut as the £35m will be the ONLY fund for 600 homes Orbit operates the scheme in the West Midlands and East regions, retaining some of the homes itself and passing others on to local authorities and other housing associations. i read the word passing as selling, so they will get money back from housing associations for selling a house to them, i bet at a proffit as well. so the original could possibly only fund 250 homes @ £140k per home, selling 100 of them them to the HA for £150k each netting another £1m to invest in homes/take proffit from etc. whilst still getting a rental income on the other 150 homes. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted August 30, 2012 Share Posted August 30, 2012 i dont think its clear cut as the £35m will be the ONLY fund for 600 homes i read the word passing as selling, so they will get money back from housing associations for selling a house to them, i bet at a proffit as well. so the original could possibly only fund 250 homes @ £140k per home, selling 100 of them them to the HA for £150k each netting another £1m to invest in homes/take proffit from etc. whilst still getting a rental income on the other 150 homes. so profitable, they NEED another handout? WOW, this BTL, BMV deal is marvelous. Quote Link to comment Share on other sites More sharing options...
mfs1959 Posted August 30, 2012 Share Posted August 30, 2012 These are the primary qualifications for the scheme: "To be eligible for the scheme your household must include someone in 'priority need'. This could be: a pregnant woman someone with dependent children someone who is vulnerable because of old age or a physical or mental impairment" So basically it's Mortgage Rescue for Reputational Damage – we don't too many hard-luck stories about eviction appearing in the papers. The scheme either provides an IO loan to lower monthly payments or they will buy the home at 90 per cent of market value - you either have to keep paying the difference to the existing lender or hope they write it off (ho ho). On the other hand, where there is an element of the press that will play on public sympathy then one can hardly blame any Govt. for seeking to head off that element. Just look at the voices calling for compulsory purchase of houses where the owner is adversely affected by some development. Provided that the schemesaccurately value the houses before taking a 10% discount then this may just introduce some realism. Quote Link to comment Share on other sites More sharing options...
RufflesTheGuineaPig Posted August 30, 2012 Share Posted August 30, 2012 So not only are the banks having to show forbearance, the gov't are also shoveling money via the HCA to buy back 3,500 homes at the peak of the market I told you a couple of weeks ago this would happen. it's sad and unfair but this kind of thing needs to happen in order to help to reveal the price in the market, so it can begin functioning again No this is NOT price discovery. At 90% of "market value" which will be an EAs ramped-up price, the gov will definitely end up paying more than the property would sell for in the open market. This is exactly what I said a couple of weeks ago would happen - the government is buying up the repos at full price to prevent property hitting the market at auction prices. If this takes off it will set back the HPC at least 2 years. Just look at the voices calling for compulsory purchase of houses where the owner is adversely affected by some development.I assume this is a reference to the woman with the new school next door. If the government does something that makes it so you can no-longer reasonably live in your house any more then the government should compensate you.One of the fundamentals of democracy is that no-one should have possessions taken from them without due process. It's not about house prices it's about one person being unreasonably and extraordinarily penalised for no reason for the benefit of others. If the government built a monstrosity next to every house in the country then it would be fair. To do it to just one person isn't. Quote Link to comment Share on other sites More sharing options...
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