Jump to content
House Price Crash Forum
Sign in to follow this  
Fairyland

How To Double Your Deposit And Get On The Property Ladder In Central London

Recommended Posts

Link: http://www.telegraph.co.uk/property/house-prices/how-to-double-your-deposit-and-get-on-the-property-ladder-in-cen/

A new scheme designed to help first-time buyers get on the ladder in the most expensive parts of central London has been launched today in a bid to tackle the affordability crisis in the capital.

Dolphin Living, an affordable homes provider, and charity, has teamed up with Westminster Council to offer an accelerator programme the first of its kind in the UK which will boost an applicants deposit while they pay reduced rent.

Working Londoners, with a deposit of £22,000, can rent one of the Dolphin living flats at 65pc of the market rate for three years while they keep on saving. In the meantime their deposit will accrue at the same pace as the average house price in Westminster.

Rents per week (£)

Weekly rents through the Dolphin Living scheme

Studio

1 bed

2 bed

3 bed

0

100

200

300

400

3 bed● Rent per week: 325

Highcharts.com

At the end of that period, that pot of savings will have grown to anywhere between £44,000 and £77,000, enough to then buy a Dolphin Living property through a shared ownership scheme, a purchase that the charity will assist with. At this point a new tenant will enter the scheme.

Share this post


Link to post
Share on other sites

Working Londoners, with a deposit of £22,000, can rent one of the Dolphin living flats at 65pc of the market rate for three years while they keep on saving. In the meantime their deposit will accrue at the same pace as the average house price in Westminster.

At the end of that period, that pot of savings will have grown to anywhere between £44,000 and £77,000

So they are suggesting that Westminster prices will increase between 100% and 250% in just three years? How have they done recently and what happens to the deposit if prices drop?

Share this post


Link to post
Share on other sites

Are dolphin living covered by the boe savings guarantee?

And what if you choose to back out before purchase, can you get your money back?

Share this post


Link to post
Share on other sites

"There will be 50 available flats in the scheme across three Dolphin sites in Maida Vale and Bayswater."

50 flats in Westminster.

Meanwhile, back in the real world...

Share this post


Link to post
Share on other sites
Westminster Council will be paying grants to Dolphin Living to help them fund each payout

Council tax-payers paying for this.

Yet another house price prop.

Imagine if this scheme extended to all the councils.

Council tax up 10% to help pay for it.

HTB17.0.

Yawn.

Share this post


Link to post
Share on other sites

In order to protect itself from soaring house price growth or protect its applicants from a market collapse, Dolphin Living has capped the scheme at 8pc growth and the lowest rate they will pay out is 3pc.

I heard Carney talking about 3% earlier ... Will IRs really rise to 3%+ ? Seems too good to be true. Edited by Fairyland

Share this post


Link to post
Share on other sites

However, the value of property in London is still 40pc above its 2007 peak, preventing many young workers from stepping on to the first rung of the property ladder. Particularly in Westminster where the average home costs £979,595 (according to the latest Land Registry figures).

40pc above 2007peak, with 40%HTB, so in real terms it is now at 2007 peak and ready to fall further coupled with a weak pound.

Share this post


Link to post
Share on other sites

"There will be 50 available flats in the scheme across three Dolphin sites in Maida Vale and Bayswater."

50 flats in Westminster.

Meanwhile, back in the real world...

At the end all you have to look forward to it seems is a shared ownership property no doubt with a huge service charge and a massive rent on the unowned 75 or 80 per cent you will have to pay in retirement unless you sell up and move.

And as you say 50 flats and possibly 250 helped. Only another 449,750 of the expected 450000 new Londoners expected to move here by 2020 to find housing for. Or in other words why bother - a lot of bureaucracy to achieve nowt much.

I wonder who will be picked too. I recently saw a shared ownership scheme in Westminster where people earning £30k qualified for subsidised share ownership - unfortunately you needed a £95000 deposit to qualify also currently live in Westminster. Now what sort of people living in Westminster earning £30k could save a £90k deposit - the sons and daughters of the rich perhaps.

Share this post


Link to post
Share on other sites

When did council tax payers money become a subsidy for the bankers?

And their children

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   101 members have voted

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.