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halifax 40% deposits needed for a mortgage


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18 minutes ago, interestrateripoff said:

Yes. Prices will fall and banks will respond in a similar way to 2008.

Things went from 100% LTV and interest only to 85-90% LTV repayment mortgage for many first time buyers nowadays.

I suspect 75% LTV will become the new minimum along with many more 'bank of mum and dad' type options.

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Be great if the 'bank of mum and dad' also withdrew all lending facilities as well...that would also be a massive 2 fingers to the banks and VI's.

It is one of my most hated terms that has arisen as a consequence of the ridiculous post-GFC house price bubble. It's peddled around by the press and VI's as if its now 'normal or 'the done thing'' to expect this additional borrowing stream to boost house prices. 

If people just took a step back and thought for 2 seconds about what is actually going on, who is the only winner out of these transactions - the banks.

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30 minutes ago, interestrateripoff said:

The reason Libor is up? The banking system no longer believing everyone is solvent?

No, US n UK mortgage markets are very different.

US banks are alwaysfialing. Alwsy have been. They only holdthe mortgage for afew years before they go in a GSE.

In this case the mortgage writer will need constant business to stay in business.

 

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45 minutes ago, Jimmyjammy001 said:

A US mortgage lender is in big trouble due to a credit Tumult, this could be just the start.... 

I suspect that Angel Oak is under pressure to deleverage and is being pursued by their creditors forcing margin calls.

https://www.zerohedge.com/markets/mortgage-massacre-continues-mounting-margin-calls-spark-crisis-wall-street

Edited by crazypabs
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13 hours ago, Smiley George said:

Be great if the 'bank of mum and dad' also withdrew all lending facilities as well...that would also be a massive 2 fingers to the banks and VI's.

It is one of my most hated terms that has arisen as a consequence of the ridiculous post-GFC house price bubble. It's peddled around by the press and VI's as if its now 'normal or 'the done thing'' to expect this additional borrowing stream to boost house prices. 

If people just took a step back and thought for 2 seconds about what is actually going on, who is the only winner out of these transactions - the banks.

Sorry to be negative but won't the government just do the usual 'funding for lending' interference in the free market? And expand 'help' to buy?

Edited by bear.getting.old
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14 hours ago, crazypabs said:

I suspect that Angel Oak is under pressure to deleverage and is being pursued by their creditors forcing margin calls.

https://www.zerohedge.com/markets/mortgage-massacre-continues-mounting-margin-calls-spark-crisis-wall-street

Again, US mortgage != UK mortgages.

They were founded waaaaay back in 2013.

An they are non prime.

Specialised is a strange word. One of my brothers used to pick up 'specialised' girls from the pubs. Have you seen her birth certificate, just to be sure? - Id ask.

 

 

Angel Oak Mortgage Solutions offers the nation’s most aggressive non-agency and specialized mortgage solutions. We work directly with brokers and correspondents specializing in non-conforming, non-agency products that offer consumers unique flexibility. It’s a simple, best practice; paperless submission with the ability to track loan status with the click of a button (nothing new there). But wait… you can talk to an underwriter! Just call the underwriter and explain the loan. Brilliant! Angel Oak Mortgage Solutions is a team of industry veterans who provide programs specifically for borrowers whose circumstances do not meet standard Agency guidelines but whose loan makes sense.

We have experienced the housing cycles and are smart about ATR and Non-QM regulations. Our products are for owner occupied, non-owner occupied, non-traditional income, foreign nationals, full doc and cash flow income investment properties. Product/Services available in over 35 states (www.angeloakms.com/map) – and many more states coming soon. To date, Angel Oak has funded the most in unit and dollar volume of true Non-QM loans of any company in the nation! The mortgage industry has lacked common sense. There is the opportunity! We are bringing liquidity back into the underserved segment of the market. It’s simply practicing responsible lending, with risk management, while staying compliant. It’s not difficult, just common sense lending. Partner with us and fund good loans you currently turn down.

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3 hours ago, bear.getting.old said:

Sorry to be negative but won't the government just do the usual 'funding for lending' interference in the free market? And expand 'help' to buy?

I imagine that would be this lot's first preference, but it's whether there's actually enough left in the pot for it once this is all over.

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9 hours ago, bear.getting.old said:

Sorry to be negative but won't the government just do the usual 'funding for lending' interference in the free market? And expand 'help' to buy?

This is what they have done for the last ten years and I am sure they would like to continue...but politically can they justify pumping billions into inflating the price of housing with all the other demands now on the public purse? Let's hope not...but I expect they will try.

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17 minutes ago, Wayward said:

This is what they have done for the last ten years and I am sure they would like to continue...but politically can they justify pumping billions into inflating the price of housing with all the other demands now on the public purse? Let's hope not...but I expect they will try.

I think you make a good point here.  There are so many people in the UK who don't have a vested interest in housing being expensive that carrying on down that path could become politically toxic. This government will have to deal with issues regarding their decade of cuts to public services whatever the outcome of the corona virus is, propping up house prices (and private developers) will hopefully be low on their list of priorities.

Edited by dougless
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16 minutes ago, Wayward said:

This is what they have done for the last ten years and I am sure they would like to continue...but politically can they justify pumping billions into inflating the price of housing with all the other demands now on the public purse? Let's hope not...but I expect they will try.

 

House prices had a link to the last financial crisis, associated with the cause so an indirect pump to the banks was deemed a necessary/acceptable ‘fix’ by the sheeple.

This virus has been pinned as the cause, though we know the economy was never fixed, with no one/sector to blame, the everything bubble can now deflate and the reset can commence.

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  • 417 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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