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29929BlackTuesday

Ftb Panic? Rush To Use Up That Reserved Mortgage?

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If you are an indebted FTB for whom a 100% or thereabouts mortgage is the ONLY WAY you're going to get on the 'ladder' (Yes I know but this is how a lot of people think) then aren't you going to buy anywhere at any price just to get your house?

What I'm saying is - there are a lot of people with mortgage offers that will NEVER BE OFFERED AGAIN and if they don't use them NOW then they'll be renting forever.

This may account for a flurry of FTB houses having sold round here.

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Do you mean a rel offer or an offer in principle? Many people I know have mistakenly been under the impression that the latter meant they were sorted when in fact it does not.

I suspect that, until you have signed on a dotted line, an offer will not be binding and the supplier would be within their rights to withdraw.

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If you are an indebted FTB for whom a 100% or thereabouts mortgage is the ONLY WAY you're going to get on the 'ladder' (Yes I know but this is how a lot of people think) then aren't you going to buy anywhere at any price just to get your house?

What I'm saying is - there are a lot of people with mortgage offers that will NEVER BE OFFERED AGAIN and if they don't use them NOW then they'll be renting forever.

This may account for a flurry of FTB houses having sold round here.

Good theory however lenders are reducing the time an offer is live and 100%'s basically do not exist unless you pay a huge fee and rate which kinda negates the point of taking one out. Lenders are currently insisting that you re-apply for just about any offer that's been out there for a while, you'd swear they don't want the business :blink: Where is this flurry of FTB activity you speak of...could always send someone down there :D that's a joke BTW guys... :unsure:

Edited by Converted Lurker

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My understanding is that they can set a deadline to complete and if you fail to complete the offer is void regardless of the 6 months or so you have from when you are offered.

I truly believe home ownership will become a thing of the past once we see through this "uncertainty"

Edited by mobeyone

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Well who's going to own the houses then? The wilsons?

For the masses.. we may see a return to mass council houses or rental properties through private companies.. who knows but I see rental being a more viable opportunity for your average joe as lenders continue to close doors on anything that is "subprime" or high risk. those who do own may be stuck with thier house for the rest of the life due to the size of thier debt and those "lucky" enough will be able to move on or downsize but will they?

Financial borrowing has died a sudden death in the UK and will take years to recover, wonder what the decline rates are at the moment for loans, credit cards etc? My guess is high... very high and those who are having thier applications approved are looking at rates of anything upto 25%

Edited by mobeyone

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For the masses.. we may see a return to mass council houses or rental properties through private companies.. who knows but I see rental being a more viable opportunity for your average joe as lenders continue to close doors on anything that is "subprime" or high risk. those who do own may be stuck with thier house for the rest of the life due to the size of thier debt and those "lucky" enough will be able to move on or downsize but will they?

Financial borrowing has died a sudden death in the UK and will take years to recover, wonder what the decline rates are at the moment for loans, credit cards etc? My guess is high... very high and those who are having thier applications approved are looking at rates of anything upto 25%

50% of credit card apps rejected atm, not 'cos of adverse just rejected.

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50% of credit card apps rejected atm, not 'cos of adverse just rejected.

I thought it would have been higher than that.. I know of one bank that is selling loans when offered at aprs of 28% and when you get conned into taking protection makes up a monthly return of around £700.. total cost of borrowing over £50k on a £20K loan......

How times have changed..

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Guest Fedup
If you are an indebted FTB for whom a 100% or thereabouts mortgage is the ONLY WAY you're going to get on the 'ladder' (Yes I know but this is how a lot of people think) then aren't you going to buy anywhere at any price just to get your house?

What I'm saying is - there are a lot of people with mortgage offers that will NEVER BE OFFERED AGAIN and if they don't use them NOW then they'll be renting forever.

This may account for a flurry of FTB houses having sold round here.

I will be a FTBer (eventually), but I wont need a 100% mortgage, and I would never buy anywhere "just to get a house". It's not that I can't afford to buy a house now, but I simply refuse to pay the ridiculous amounts of money asked for a decent home in this ridiculously overcrowded country where house prices are likely to fall anyway, and im not planning to be around too long. £200k for a 2 bedroom rabbit hutch in a nice-area where I can commute to a job that pays a decent wage? Hah. I'll be around 2 more years for personal reasons, and if the situation isn't any better, im off to North America or Aus, where queues and overcrowding are an exception rather than the rule.

The UK is a great place to work for the salaries on offer, the benefits and the holidays, but after any extensive travel to any "western", 1st-world country in Oceania, North America or Scandinavia, it becomes apparent that the general quality of life we have here is quite apalling. I realise one can't have everything, but I'd take a relative (on a world scale) pay decrease for a local pay increase, for open spaces and countryside that dont require queues of traffic to get to and are still full of people when you get there, for a lack of dog***t and chavs on the streets, for better weather, for cheaper fuel, for not being monitored constantly with CCTV and id cards and having ridiculous laws that criminalise innocents (bells on bicycles anyone?), for not being crammed on trains like cattle whilst paying ridiculous fares, for not having to pay a large proportion of my salary to a socialist government that helps the lazy and penalises the hard workers.

So in answer to your question, no, I'd rather leave the country than get a ball and chain around my neck for an overpriced rabbit hutch. Funny thing is, a lot of my friends feel the same and are planning to leave within the next 5 years also. I'm not sure why the government thinks anyone that didn't have to stay here would stay here. The only people that benefit from this kind of society are the unemployed, eastern european immigrants, and MPs.

Edited by Fedup

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If you are an indebted FTB for whom a 100% or thereabouts mortgage is the ONLY WAY you're going to get on the 'ladder' (Yes I know but this is how a lot of people think) then aren't you going to buy anywhere at any price just to get your house?

What I'm saying is - there are a lot of people with mortgage offers that will NEVER BE OFFERED AGAIN and if they don't use them NOW then they'll be renting forever.

This may account for a flurry of FTB houses having sold round here.

fair point, the rug is being pulled from below FTBers feet, but think this.

YOu get a 100% mortgage on a £250k place

2 years later, you will have a 200% mortgage on a £100k place

you go onto SVR, you seek a better deal. You is fooked. Even 90% LTV borrowers is fooked from now on.

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I will be a FTBer (eventually), but I wont need a 100% mortgage, and I would never buy anywhere "just to get a house". It's not that I can't afford to buy a house now, but I simply refuse to pay the ridiculous amounts of money asked for a decent home in this ridiculously overcrowded country where house prices are likely to fall anyway, and im not planning to be around too long. £200k for a 2 bedroom rabbit hutch in a nice-area where I can commute to a job that pays a decent wage? Hah. I'll be around 2 more years for personal reasons, and if the situation isn't any better, im off to North America or Aus, where queues and overcrowding are an exception rather than the rule.

The UK is a great place to work for the salaries on offer, the benefits and the holidays, but after any extensive travel to any "western", 1st-world country in Oceania, North America or Scandinavia, it becomes apparent that the general quality of life we have here is quite apalling. I realise one can't have everything, but I'd take a relative (on a world scale) pay decrease for a local pay increase, for open spaces and countryside that dont require queues of traffic to get to and are still full of people when you get there, for a lack of dog***t and chavs on the streets, for better weather, for cheaper fuel, for not being monitored constantly with CCTV and id cards and having ridiculous laws that criminalise innocents (bells on bicycles anyone?), for not being crammed on trains like cattle whilst paying ridiculous fares, for not having to pay a large proportion of my salary to a socialist government that helps the lazy and penalises the hard workers.

So in answer to your question, no, I'd rather leave the country than get a ball and chain around my neck for an overpriced rabbit hutch. Funny thing is, a lot of my friends feel the same and are planning to leave within the next 5 years also. I'm not sure why the government thinks anyone that didn't have to stay here would stay here. The only people that benefit from this kind of society are the unemployed, eastern european immigrants, and MPs.

be aware that in Aus (sydney anyway), property prices are similarly stupid ratios to salary as in the UK. That's because the wages over there are very low but property prices, proportionately, aren't. YOu do get more for your money though (land and general quality of aspect etc).

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I will be a FTBer (eventually), but I wont need a 100% mortgage, and I would never buy anywhere "just to get a house". It's not that I can't afford to buy a house now, but I simply refuse to pay the ridiculous amounts of money asked for a decent home in this ridiculously overcrowded country where house prices are likely to fall anyway, and im not planning to be around too long. £200k for a 2 bedroom rabbit hutch in a nice-area where I can commute to a job that pays a decent wage? Hah. I'll be around 2 more years for personal reasons, and if the situation isn't any better, im off to North America or Aus, where queues and overcrowding are an exception rather than the rule.

The UK is a great place to work for the salaries on offer, the benefits and the holidays, but after any extensive travel to any "western", 1st-world country in Oceania, North America or Scandinavia, it becomes apparent that the general quality of life we have here is quite apalling. I realise one can't have everything, but I'd take a relative (on a world scale) pay decrease for a local pay increase, for open spaces and countryside that dont require queues of traffic to get to and are still full of people when you get there, for a lack of dog***t and chavs on the streets, for better weather, for cheaper fuel, for not being monitored constantly with CCTV and id cards and having ridiculous laws that criminalise innocents (bells on bicycles anyone?), for not being crammed on trains like cattle whilst paying ridiculous fares, for not having to pay a large proportion of my salary to a socialist government that helps the lazy and penalises the hard workers.

I couldn't agree more. Seeing other countries certainly is an eye-opener, an I honestly don't think I will spend much more of my life in the UK. I've worked hard through school, uni and the last five years working and progressing my career. I don't have an issue paying a proportion of my income towards helping people who genuinely need it, but I do have an issue with rip-off Britain, lying politicians, bent economics and a tax/welfare system which helps the extremely wealthy and the lazy, but penalises everyone in between who makes an effort! :angry:

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Guest DissipatedYouthIsValuable
Well who's going to own the houses then? The wilsons?

Goodnight Carol-Anne.

Goodnight John-Boy.

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> be aware that in Aus (sydney anyway), property prices are similarly stupid ratios to salary as in the UK.

It's the same everywhere I think. Your best bet is to earn UK wages but live in India/Thailand or somewhere. I'm working on this plan. Thanks to the Internet it's pretty straightforward these days.

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Guest Fedup
be aware that in Aus (sydney anyway), property prices are similarly stupid ratios to salary as in the UK. That's because the wages over there are very low but property prices, proportionately, aren't. YOu do get more for your money though (land and general quality of aspect etc).

Yep, im fully aware that property is always proportional to wages generally. Why can I afford a 6 bedroom mansion in Thailand without batting an eyelid, but the local populace live in what I would call squalor?; because of the exact reason you stated. I have a nice chunk of sterling I can put down as a deposit in Aus or wherever. I would be prepared to actually have LESS spending power (to use on things like luxuries, going out, entertainment) if it meant I could get a nice place to live that I felt was actually worth the money.

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  • 295 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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