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Rise In Loans For First-Time Buyers: Number Approved For A Mortgage In February At Highest Level Since 2008

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http://www.dailymail.co.uk/news/article-2309702/Rise-loans-time-buyers-Number-approved-mortgage-February-highest-level-2008.html

More people are climbing onto the housing ladder after figures showed the best start to a year for first-time buyers since 2008.

The Council of Mortgage Lenders (CML) reported that 16,400 loans were advanced to first-time buyers in February, up on the 15,900 in January and 17per cent stronger than a year earlier.

They now account for 43per cent of all house purchase loans, the sixth consecutive month that this indicator has been at or above 40per cent and suggesting that market conditions continue to improve for newcomers.

Yeah the FTB is back....

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Rise in loans for first-time buyers: Number approved for a mortgage in February at highest level since 2008

It makes a "good" headline for the DM rampers but apparently numbers of ftbers had been falling since about year 2000 so the numbers being at the highest level since the low of 2008 doesn't seem to be particularly impressive even for the rampers. It's almost on a par with

http://

www.bis.org/ifc/events/5ifcconf/kuvshinov.pdf

Refer to chart 4

Edited by billybong

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If I knew what the definition of a 'first time buyer' was then I might be able to comment. ;)

House prices will now rise for the next couple of years thanks to the chancellors budget. This year he subsidises all new build deposits so you only need a 5% deposit. From next year all houses up to 600,000 will only need a 5% deposit. That will set the floor for house prices and most houses what ever they are valued at now will move up to the next "bracket" e.g under 250 to over 250, under 500 to over 500. The houses over 600K will increase in value for all the second timers who have made a profit on their first house.

This is just a short term policy to make people feel richer so the Conservatives can win the next election. Its not about people being gullible, they all have a certain amount of time on the Earth and most women are pre-programmed to "own" something and "settle down" for stability. The government just uses this fact to enable debt slavery for all.

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They now account for 43per cent of all house purchase loans, the sixth consecutive month that this indicator has been at or above 40per cent and suggesting that market conditions continue to improve for newcomers.

http://

www.bis.org/ifc/events/5ifcconf/kuvshinov.pdf

Refer to chart 2.

They must be getting a bit desperate to be trying to claim signs of much improvement with that percentage measure. It seems marginal at best.

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Is their any on what the FTBers are buying.

If they are only b uying new builds funded by some crazy government scheme then this must be making the reality of the housing market even harder to ignore for many...i.e. no buyers for their over-priced show box,.

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Is their any on what the FTBers are buying.

If they are only b uying new builds funded by some crazy government scheme then this must be making the reality of the housing market even harder to ignore for many...i.e. no buyers for their over-priced show box,.

Good question. The drop in mortgages, together with the rise in ftbs would suggest many are being sucked into newbuy - and this does seem to be gathering momentum now. Alternatively it could suggest a sh1tload of STRs - although rents have been softening too so doubt that.

Btw, don't think there's ever been a drop in overall mortgages for house purchase in Feb before, which there is now.

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Is their any on what the FTBers are buying.

If they are only b uying new builds funded by some crazy government scheme then this must be making the reality of the housing market even harder to ignore for many...i.e. no buyers for their over-priced show box,.

Good question. The drop in mortgages, together with the rise in ftbs would suggest many are being sucked into newbuy - and this does seem to be gathering momentum now. Alternatively it could suggest a sh1tload of STRs - although rents have been softening too so doubt that.

Btw, don't think there's ever been a drop in overall mortgages for house purchase in Feb before, which there is now.

Remains to be seen what the effect of Osborne's policy will be, but I for one cannot see the rising prices scenario others predict for the same reason that FLS is not the panacea that was touted amongst more excitable VIs- people are becoming poorer as time goes by. The Newbuild situation means increased competition amongst downsizers as T.C.O.N. says.

The notion that on 1st Jan 2014, the price of a house increases by 20% is comedy. People are at the limits of or beyond the limits of affordability (on a repayment basis) at the moment.

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the other thing I would like to know is how will all the help to buy b0ll0x be shown in the stats? I note that average FTB deposit is 20% - is this 5% from mug and lots of 20% from Gov't making the figure higher than it otherwise would be??

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the other thing I would like to know is how will all the help to buy b0ll0x be shown in the stats? I note that average FTB deposit is 20% - is this 5% from mug and lots of 20% from Gov't making the figure higher than it otherwise would be??

buyers still have to be able to afford the loans....thats the law...

If they got the 20% from one of the many Government bodies doing these schemes, then that has to be included.

And further, they have to pay that deposit back in 5 years.

Unless, LIAR LOANS are back, then i cant see this influencing prices much....criteria are criteria, and if its a 95% loan, then thats the criteria the banks have to use.

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buyers still have to be able to afford the loans....thats the law...

If they got the 20% from one of the many Government bodies doing these schemes, then that has to be included.

And further, they have to pay that deposit back in 5 years.

Unless, LIAR LOANS are back, then i cant see this influencing prices much....criteria are criteria, and if its a 95% loan, then thats the criteria the banks have to use.

I thought they had to start paying interest on it after 5 years?

Anyone know how this scheme is really going to work yet?

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I thought they had to start paying interest on it after 5 years?

Anyone know how this scheme is really going to work yet?

depends on the scheme, but the Budget one raises a high and guaranteed increasing interest rate for non payment @ 5 years.

so, the buyer could choose to set nothing aside for 5 years..

I would expect that some provision for this aspect would be in the agreement.

Ofc, being sensible is not what this is about...people and issuers may just view this as free money and worry about repayment later.

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Ofc, being sensible is not what this is about...people and issuers may just view this as free money and worry about repayment later.

When they've had a couple of pay rises and house prices have gone up?

I am sure there will be a whole lot of unintended consequences that this scheme throws up - there always is when the government interferes with the market place. With hindsight, these will have been obvious.

A few weeks' back, our little nipper had the flu and wasn't sleeping well on her own. So, in the interests of our sanity and her health, we brought her into our bed. Now she's better, she is refusing to sleep in her own bed and wants to be with us. Hi ho. I think this crazy Help to Buy scheme is going to have a similar result, ie, once the government directly steps into the housing market as it is proposing, it will find it very difficult to get out again.

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When they've had a couple of pay rises and house prices have gone up?

I am sure there will be a whole lot of unintended consequences that this scheme throws up - there always is when the government interferes with the market place. With hindsight, these will have been obvious.

A few weeks' back, our little nipper had the flu and wasn't sleeping well on her own. So, in the interests of our sanity and her health, we brought her into our bed. Now she's better, she is refusing to sleep in her own bed and wants to be with us. Hi ho. I think this crazy Help to Buy scheme is going to have a similar result, ie, once the government directly steps into the housing market as it is proposing, it will find it very difficult to get out again.

the scheme itself is not new...Essex CC announced an exact same scheme earlier this year...they expected to help 6000 people...so far trumpted?.....one couple.

there are many threads on councils up and down the country doing the exact same thing.

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When they've had a couple of pay rises and house prices have gone up?

I am sure there will be a whole lot of unintended consequences that this scheme throws up - there always is when the government interferes with the market place. With hindsight, these will have been obvious.

A few weeks' back, our little nipper had the flu and wasn't sleeping well on her own. So, in the interests of our sanity and her health, we brought her into our bed. Now she's better, she is refusing to sleep in her own bed and wants to be with us. Hi ho. I think this crazy Help to Buy scheme is going to have a similar result, ie, once the government directly steps into the housing market as it is proposing, it will find it very difficult to get out again.

I think the unintended consequence will be that rich folk will use it to buy expensive houses.

Think about it. You are a bank. The government wants to underwrite 20% of a mortgage for a fee.

Do you:

a- Give it to the working class family on the edge who need the help to buy the 120K terrace in the north?

b- Give it to the rich 25-year old Goldman Sachs employee in London with a large bonus and a healthy deposit for the 600K pad in Maida Vale?

You can see the headlines now.

Edited by the_duke_of_hazzard

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the scheme itself is not new...Essex CC announced an exact same scheme earlier this year...they expected to help 6000 people...so far trumpted?.....one couple.

there are many threads on councils up and down the country doing the exact same thing.

Do we know why though? Fee for the loan too high? No takers? Poor publicity? Useless council bureaucracy?

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Do we know why though? Fee for the loan too high? No takers? Poor publicity? Useless council bureaucracy?

Its the multiples...Im pretty sure that is the main reason....bankers have to lend as if the "free cash" wasnt there....oh, and beaurocracy

Braintree only just signed up

http://www.braintree...property_ladder

and even then the Braintree part of the scheme wont launch till July....so thats 6 months from launch and 0 people helped in this district.

tells you what you can expect too.

Edited by Bloo Loo

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  • 238 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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