Hampden Demolition Posted October 12, 2016 Share Posted October 12, 2016 Has anyone used this to buy their first property? We currently have the 5% deposit but from what I believe, the government would be willing to pay up to another 15%? Has it been useful for you? Link to comment Share on other sites More sharing options...
Sooperstar Posted October 12, 2016 Share Posted October 12, 2016 Might want to scale your ambitions back a bit. Link to comment Share on other sites More sharing options...
Hampden Demolition Posted October 12, 2016 Author Share Posted October 12, 2016 Haha Link to comment Share on other sites More sharing options...
Sarah O Posted October 12, 2016 Share Posted October 12, 2016 Currently doing that government backed ISA thing. ?200 per month pays ?250 as long as you spend it on your first property. Which seems decent. Slow build up of cash, but of course you can have other savings to go towards the purchase, or just not be in too much of a rush I guess. I'm not sure how the 5% thing works tbh. Personally I think the larger the deposit the better. Link to comment Share on other sites More sharing options...
Irufushi Posted October 12, 2016 Share Posted October 12, 2016 Glad I bought mine when I was 21, I'd have zero chance of saving enough nowadays. That isa scheme seems decent. Link to comment Share on other sites More sharing options...
IMac Posted October 12, 2016 Share Posted October 12, 2016 Foolish not to get a help to buy isa. http://www.moneysavingexpert.com/savings/help-to-buy-ISA Link to comment Share on other sites More sharing options...
LGF Posted October 12, 2016 Share Posted October 12, 2016 I think I'll just wait for that Lifetime ISA to start. I'm well past the age for a Help to Buy to be of any use. Besides with only a max of ?3000 bonus after the full term, seems rather low. Link to comment Share on other sites More sharing options...
IronJambo Posted October 12, 2016 Share Posted October 12, 2016 I'd be asking 101 questions before starting a help to buy ISA http://www.independent.co.uk/news/uk/home-news/help-to-buy-isa-savers-outraged-government-bonus-accounts-deposit-house-first-time-buyers-a7200511.html Help to buy is a good idea, but when I looked at it the shitty interest rates on offer for it, they made it useless. Link to comment Share on other sites More sharing options...
LGF Posted October 12, 2016 Share Posted October 12, 2016 I'd be asking 101 questions before starting a help to buy ISA http://www.independent.co.uk/news/uk/home-news/help-to-buy-isa-savers-outraged-government-bonus-accounts-deposit-house-first-time-buyers-a7200511.html Help to buy is a good idea, but when I looked at it the shitty interest rates on offer for it, they made it useless. The way interest rates are in the banks these days, you'd be better off just shoving your savings in a box. Link to comment Share on other sites More sharing options...
Swarlos Posted October 12, 2016 Share Posted October 12, 2016 We just got a standard 95% mortgage from RBS. Don't know what all the fuss is about. Link to comment Share on other sites More sharing options...
In Absentia Posted October 12, 2016 Share Posted October 12, 2016 We just got a standard 95% mortgage from RBS. Don't know what all the fuss is about. You get a lower rate of interest with help to buy as effectively you have a 20% deposit. It also allows you to have slightly bigger budget. It allowed us to buy a reasonably sized house rather than a flat or a smaller house. Link to comment Share on other sites More sharing options...
Juan Jose Carricondo Perez Posted October 13, 2016 Share Posted October 13, 2016 For advice, go speak to First Mortgage. They'll answer all your questions. Link to comment Share on other sites More sharing options...
IronJambo Posted October 13, 2016 Share Posted October 13, 2016 The way interest rates are in the banks these days, you'd be better off just shoving your savings in a box. I meant with a help to buy mortgage. When I looked at it a couple of years ago the best rate on offer for the product was 3.99%apr. This may have changed but at that time the benefits of a better interest rate from 80% Ltv wasn't on offer to help to buy customers. Link to comment Share on other sites More sharing options...
Seymour M Hersh Posted October 13, 2016 Share Posted October 13, 2016 For advice, go speak to First Mortgage. They'll answer all your questions. Do you work there? Link to comment Share on other sites More sharing options...
Juan Jose Carricondo Perez Posted October 13, 2016 Share Posted October 13, 2016 Do you work there? Haha! No I don't. I did speak to them when I applied for Help to Buy though. Link to comment Share on other sites More sharing options...
Erik Posted October 13, 2016 Share Posted October 13, 2016 Not entirely the same, but when I bought my flat 7-8 years ago, I took up one of these 'shared equity' type deals through the property developer. In essence its a loan on top of my mortgage. At the time, it was great and allowed me in to a nice flat which i'd never have been able to fund on my own. 7-8 years down the line and i'm now considering moving house. The 'loan' becomes payable either after 10 years, or is taken as a percentage of the value of the property at tiem of sale. I think the expectation is that in the 10 year period you're meant to be able to save up the value of the loan in order to be able to pay it off - but needless to say....... that hasn't happened. I'm going to have to have a sit down and a chat with an advisor with regards to what this means for me in terms of buying my second home and how much i'll have to spend on it. Its been a great scheme and have loved the flat I was able to buy - but i'm a wee tad worried about where it'll leave me for my second place when the time comes in a few months. Link to comment Share on other sites More sharing options...
IronJambo Posted October 13, 2016 Share Posted October 13, 2016 Not entirely the same, but when I bought my flat 7-8 years ago, I took up one of these 'shared equity' type deals through the property developer. In essence its a loan on top of my mortgage. At the time, it was great and allowed me in to a nice flat which i'd never have been able to fund on my own. 7-8 years down the line and i'm now considering moving house. The 'loan' becomes payable either after 10 years, or is taken as a percentage of the value of the property at tiem of sale. I think the expectation is that in the 10 year period you're meant to be able to save up the value of the loan in order to be able to pay it off - but needless to say....... that hasn't happened. I'm going to have to have a sit down and a chat with an advisor with regards to what this means for me in terms of buying my second home and how much i'll have to spend on it. Its been a great scheme and have loved the flat I was able to buy - but i'm a wee tad worried about where it'll leave me for my second place when the time comes in a few months. Been through it with shared ownership and it was smooth enough. Stamp duty was complicated as we had to sell the property as if it was all ours so it meant we had to 'buy' it as we sold it. That cost us a couple of grand. The housing association were paid directly from my solicitor for their share and we walked away with ours. Shared ownership/equity loans don't really work in the way they promote them. Most people either won't ever be able to afford the whole property or they'll have outgrown it by the time they can. Link to comment Share on other sites More sharing options...
hmfc_liam06 Posted October 13, 2016 Share Posted October 13, 2016 Not entirely the same, but when I bought my flat 7-8 years ago, I took up one of these 'shared equity' type deals through the property developer. In essence its a loan on top of my mortgage. At the time, it was great and allowed me in to a nice flat which i'd never have been able to fund on my own. 7-8 years down the line and i'm now considering moving house. The 'loan' becomes payable either after 10 years, or is taken as a percentage of the value of the property at tiem of sale. I think the expectation is that in the 10 year period you're meant to be able to save up the value of the loan in order to be able to pay it off - but needless to say....... that hasn't happened. I'm going to have to have a sit down and a chat with an advisor with regards to what this means for me in terms of buying my second home and how much i'll have to spend on it. Its been a great scheme and have loved the flat I was able to buy - but i'm a wee tad worried about where it'll leave me for my second place when the time comes in a few months. Erik, I'm about to go through the same process. We bought our house with Ogilvie Homes 7 years ago, we have another year left on the mortgage deal we're on and then we are selling up. I'd be very interested to hear how it goes for you if you go through the process before I do. I'm certainly a bit concerned about the whole process when buying our second home as well. Link to comment Share on other sites More sharing options...
Erik Posted October 13, 2016 Share Posted October 13, 2016 Erik, I'm about to go through the same process. We bought our house with Ogilvie Homes 7 years ago, we have another year left on the mortgage deal we're on and then we are selling up. I'd be very interested to hear how it goes for you if you go through the process before I do. I'm certainly a bit concerned about the whole process when buying our second home as well. It wont be immediately, i'm due to finish paying for my car in December, so i'm waiting for that monthly outgoing to vanish before I start the process, but certainly come the turn of the year it'll be happening. I might need to start looking in to the numbers before then though. Will try and remember to come back to you on it when it happens. Link to comment Share on other sites More sharing options...
hmfc_liam06 Posted October 13, 2016 Share Posted October 13, 2016 It wont be immediately, i'm due to finish paying for my car in December, so i'm waiting for that monthly outgoing to vanish before I start the process, but certainly come the turn of the year it'll be happening. I might need to start looking in to the numbers before then though. Will try and remember to come back to you on it when it happens. Sounds like you'll definitely be before us, we won't really be looking to put ours up until next October at the earliest. Definitely let me know how you go. Out of interest, who's your builder? Link to comment Share on other sites More sharing options...
Erik Posted October 13, 2016 Share Posted October 13, 2016 Sounds like you'll definitely be before us, we won't really be looking to put ours up until next October at the earliest. Definitely let me know how you go. Out of interest, who's your builder? Miller Homes, although I believe the 'loan' part is managed by another company whom I cant remember the name of. Miller administered it themselves I think till fairly recently before signing it all over to third party company. Most of it is well over my head, my understanding of mortgages / property in general is about as limited as it gets, hence i'll need to sit down and have a chat with someone and see what the script is. Link to comment Share on other sites More sharing options...
hmfc_liam06 Posted October 13, 2016 Share Posted October 13, 2016 Miller Homes, although I believe the 'loan' part is managed by another company whom I cant remember the name of. Miller administered it themselves I think till fairly recently before signing it all over to third party company. Most of it is well over my head, my understanding of mortgages / property in general is about as limited as it gets, hence i'll need to sit down and have a chat with someone and see what the script is. Same boat Link to comment Share on other sites More sharing options...
Sooperstar Posted October 13, 2016 Share Posted October 13, 2016 For those selling I'd suggest that your solicitor should be able to tell you how it all works. Link to comment Share on other sites More sharing options...
mullen13 Posted October 13, 2016 Share Posted October 13, 2016 I'm recently in the midst of inheriting a share in an estate but the lawyer has said that if the property is placed in trust until a certain time I can still qualify for help to buy. The official help to buy website states that those with properties held in trust do not qualify. I don;t know what is right? Link to comment Share on other sites More sharing options...
Gambo Posted October 13, 2016 Share Posted October 13, 2016 Am I the only one disappointed to not find out how much our country can be bought for? Link to comment Share on other sites More sharing options...
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