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The Banks are baking in 20% now


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The banks aren’t buying this mini-boom at all. I have noticed a huge drop in activity in my area. Those that didn’t sell, will regret not accepting offers. Winter is coming folks.

Mail saying that 10 and 15% deposit mortgages are gone for FTBs in the past few weeks

“First-time buyers are being asked to save at least 20 per cent for a deposit on a house as there are little deals for mortgages on the market.  

In the past week, not one high street bank has offered mortgages for those with a 10 per cent deposit according to The Times

Brokers have also warned that deals for those with a 15 per cent deposit are also disappearing as more than 300 of them have been pulled since January. “

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Yes deposits higher and mortgage rates going up rather than down 

 

anyone buying now needs their head examined and I say this as someone who owns. No way would I want the shackles of ownership at this point when jobs are going up in smoke mortgages getting higher and deposits increasing 

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1 hour ago, house-down said:

Yes deposits higher and mortgage rates going up rather than down 

 

anyone buying now needs their head examined and I say this as someone who owns. No way would I want the shackles of ownership at this point when jobs are going up in smoke mortgages getting higher and deposits increasing 

Dunno, it depends on what you buy tye house for.

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1 minute ago, spyguy said:

Dunno, it depends on what you buy tye house for.

Yes if you are buying a probate deal where the seller is desperate to sell then by all means go for it

 

if you are buying because there is pressure that houses are going to go up In prices you are nuts 

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37 minutes ago, msi said:

Plenty of 5% and 10% mortgages on moneysupermarket. 

 

Try actually getting one though. That is the point the article makes. they advertise them to get the clicks, but you have to be a newly qualified doctor to get one. They said in the article that lots were advertised but reality is very very different.

 

Oooh...your reply will be your thousandth post! How exciting.

Edited by HovelinHove
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1 hour ago, house-down said:

It would be good in that case to hear your anecdotes. 
 

what area and price range and is your income affeceted by COVID and any problems getting a mortgage 

Sure.  Looking at around 700-850.  No problem getting a mortgage, even though we're pushing over 5.5 x our income multiple.  Was actually surprised they'd lend us what they did, although our offer was a couple of months back now and we have a very good broker.  Neither of our jobs are effect by Covid, yet.....

The house we're in the process of buying is pretty unique, so we're going for it.  I'm not sure i would be comfortable splashing out on a "standard" 2 up 2 down at the moment.  Guess we'll see what happens.

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I thought previously they were struggling with the demand given the recent massive interest in house buying, thus to help them cope they are cutting out the worse borrowers so they can process the best of the pool.

i mean if you have more customers than you can deal with, and you need to thin them out a bit so you can cope then the deposit requirement is the easiest choke point

instead of being a bearish sign it’s actually bullish, however, it seems a blow off top is the most bearish outcome and that seems the way this is heading. 

i know several people who out of the blue suddenly started looking or sold houses recently, and without much reason either, it’s like some subliminal call went out for everyone to suddenly do the same thing at once, none of which are FTB.

I don’t actually know any FTB anymore thinking about it, to me it feels when I bought I had to jump really high to grip the ever raising ‘ladder’ with the tips of my fingers, I can see much following me. 

crazy crazy times for sure, it’s madness.

 

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12 hours ago, house-down said:

Yes if you are buying a probate deal where the seller is desperate to sell then by all means go for it

 

 

In my experience probate vendors are the least desperate to sell and the most greedy, stubborn and/or deluded vendors out there.

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12 hours ago, msi said:

Plenty of 5% and 10% mortgages on moneysupermarket. 

 

Ah well, I d be carfeful.

Theres advertising loans. And theres gettign them

At the moment youre chances of getting less than 80% mortgage is about 0.

 

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54 minutes ago, spyguy said:

Ah well, I d be carfeful.

Theres advertising loans. And theres gettign them

At the moment youre chances of getting less than 80% mortgage is about 0.

 

I got an 85% offer about a month ago but it wouldn't surprise me if that had changed.

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12 minutes ago, Chunketh said:

I got an 85% offer about a month ago but it wouldn't surprise me if that had changed.

Barclay appears to been the go-to bank  for jumbo mortgages to higher earners.

They pulled the products and offers in the sales channel.

 

 

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Just now, spyguy said:

Barclay appears to been the go-to bank  for jumbo mortgages to higher earners.

They pulled the products and offers in the sales channel.

 

 

Mines not a particularly large mortgage offer (relatively!), it was made 11th August though so I guess that is subject to change given its going to run out in November. Mines via Halifax.

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2 hours ago, nome said:

In my experience probate vendors are the least desperate to sell and the most greedy, stubborn and/or deluded vendors out there.

Everyone's different - In my view in London the propertys that get sold in auction are those sold by executors or receivers - In both cases the seller simply wants out 

Its funny because in auction it is the owner occupier or BTL investor who holds out for fairy tale valuations 

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19 hours ago, house-down said:

anyone buying now needs their head examined and I say this as someone who owns.

That's me. Need my head examined. But we've been wanting to move from our current house for a long time, with a particular location in mind. A really nice house in the right budget came up just after the stamp duty change was announced. So we have gone for it. Contracts exchanged, too late now. 

I admit that I am bricking it.

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1 hour ago, dugsbody said:

...Contracts exchanged, too late now. 

I admit that I am bricking it.

Good one 😆.

 

 

Mortgages are going up.... But you try telling a homeless person how lucky they are!

 

 

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1 hour ago, dugsbody said:

That's me. Need my head examined. But we've been wanting to move from our current house for a long time, with a particular location in mind. A really nice house in the right budget came up just after the stamp duty change was announced. So we have gone for it. Contracts exchanged, too late now. 

I admit that I am bricking it.

Now you have exchanged that’s it. It is done. Did you pay full price or what percent off. Which part of Uk is this and house of flat 

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7 minutes ago, house-down said:

Now you have exchanged that’s it. It is done. Did you pay full price or what percent off. Which part of Uk is this and house of flat 

I got a small % off asking price, which in my opinion was a reasonable price. One of the best roads in the area, houses on that road sell quickly and as mentioned, I've been keeping an eye on it for a few years. I'm afraid I will refrain from giving details of the area for privacy reasons but it is quite a bit further out of London. We're both on full time remote working until things get back to normal and we were desperate for more space and to get near decent schools. I may have bought at the top, who knows, but for us it was the right decision. Also, we got a full asking price offer on our current place which was about £45k more than I had used as a value in my financial tracking spreadsheets (I keep track of our net worth) so that helps ease my mind.

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39 minutes ago, dugsbody said:

I got a small % off asking price, which in my opinion was a reasonable price. One of the best roads in the area, houses on that road sell quickly and as mentioned, I've been keeping an eye on it for a few years. I'm afraid I will refrain from giving details of the area for privacy reasons but it is quite a bit further out of London. We're both on full time remote working until things get back to normal and we were desperate for more space and to get near decent schools. I may have bought at the top, who knows, but for us it was the right decision. Also, we got a full asking price offer on our current place which was about £45k more than I had used as a value in my financial tracking spreadsheets (I keep track of our net worth) so that helps ease my mind.

Thanks make sense very happy for you 

 

Where did you sell and how quickly did it go - If in london was it a flat or house?  Im kind of looking for data points to help forumalte where the market is going 

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  • 433 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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