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Drives me mad that you pay the stamp duty on your new main residence, not on the property you'd be letting out (the actual second home). Benefits people already with money and a house who are buying up cheaper buy to let properties.

 

We're struggling to sell our flats in the current market to buy a house together, but could rent them out easily and would have no qualms paying the stamp duty on their value as they'd be effectively investment properties...but simply can't afford to pay it against the home we'd buy as our new main residence.

Edited by Taffin
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1 hour ago, The Old Tolbooth said:

 

I've done a rough estimation on a £200k mortgage over 25 years for you, paying just £100 per month in over payments, this is what it does for you, the £16k saving of interest is massive for people. 

 

Hope that helps 👍

 

image.thumb.png.74347a1169c7c982cd44e1d4e665664a.png

 

 

Is that calculator publicly available?

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Home reports are an absolute wrought. They provide the lending bank with a free valuation and the building part of the report is worthless. Not worth the paper it's written on. Money out of the vendor's pocket for no return.....

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16 hours ago, Dean Winchester said:

Yeah doesn't appear to. Their site says: 

 

If you’ve got a Halifax mortgage, overpayments won’t automatically reduce your mortgage term or your monthly mortgage payment, but could save you money by reducing the amount of interest charged. When the next monthly payment recalculation happens, for example at an interest rate change, the monthly payment will be calculated using the existing remaining term of the mortgage. If you want to reduce your term you will need to speak to one of our mortgage advisers to discuss your options. 

 

Indeed. If you overpay your mortgage then you are obviously in a position to make your monthly mortgage payments. When I had a mortgage the overpayments meant that nearer I got to the end of the mortgage, the lower my monthly payments were. I had considered paying off my mortgage early, but decided against as by having a mortgage it gave me the option of access to cheaper rates for borrowing against building an extension.  Before paying off my mortgage it was suggested that I could have kept it open at the end of the mortgage period by leaving, for example, £100 outstanding and paying the interest on that for however long just to give me access to the cheaper borrowing rates available to mortgage holders. This was a while ago, so things may have changed.     

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To those considering an exit fee to move or change - check with your advisor as I moved house a year back, paid the fee then when my new mortgage kicked in (stayed with in laws for 3 months in between) they gave me this fee back

 

this was Halifax and was only valid if you took your new mortgage with them as well. 
 

edit - no idea if they still offer this in these dark times 

 

 

Edited by DarthVodka
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19 hours ago, Irufushi said:

I was on a rate of 1.6% or

something silly (2 years). Due a renewal in September and have got  got 5 years at 3.4% 

Same here and 5 year was slightly better rate than 2 year which is unheard of normally.

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17 hours ago, Jambo 4 Ever said:

What’s the average cost of moving houser these days when you already have a mortgage?

 

ie - how much are the legal fees, home report fees etc?

 

Home report around £500

Legal fee's will be quoted on the sale price and purchase price with some elements being a set price and others based on the value

Estate agency is usually either a fixed price of a % of the sale price

Also factor in any early repayment fee for your current mortgage (you will sometimes get this back if you take it a new mortgage for the new property with the same lender

 

As an example it cost us roughly 5k all in to sell a flat at 157k and buy a house at 205k

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The Old Tolbooth
4 hours ago, Jeff said:

 

Is that calculator publicly available?

 

The one I used isn't available unless you're and adviser with MAB, but here's the Halifax one for you, it pretty much does the same thing. My one has a graph as well, I just didn't post it, the numbers are always the part that excites me :D 

 

https://www.halifax.co.uk/mortgages/mortgage-calculator/overpayment-calculator.html

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The Old Tolbooth
10 minutes ago, Dawnrazor said:

Is there an upper age limit on getting a mortgage or a buy to let mortgage?

 

Most lenders impose and age cap of around 65-70 for taking on a new mortgage, however there are some lenders out there who will go as far as 75 or even 80, depending on if you can prove you can afford it with your pensionable income. 

 

For BTL properties, it's a bit later because most of these are interest only and pensioners use this to top up their income, but you'll need a minimum of 25% deposit to do this, and it has to fit inside the stress testing calculator of whichever lender you go with. 

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Harry Potter
11 minutes ago, Dawnrazor said:

Is there an upper age limit on getting a mortgage or a buy to let mortgage?

older folk will go for a shorter term , probably about 15 years, obviously the older the person the less time they have

to pay it off.

Not sure about an age limit.  but maybe about 65-70.

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The Old Tolbooth
2 hours ago, DarthVodka said:

To those considering an exit fee to move or change - check with your advisor as I moved house a year back, paid the fee then when my new mortgage kicked in (stayed with in laws for 3 months in between) they gave me this fee back

 

this was Halifax and was only valid if you took your new mortgage with them as well. 
 

edit - no idea if they still offer this in these dark times 

 

 

 

Yeah some lenders still do this, if you go back to them within say 3-6 months with your new property, then they waive the fee. 

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6 minutes ago, The Old Tolbooth said:

 

Most lenders impose and age cap of around 65-70 for taking on a new mortgage, however there are some lenders out there who will go as far as 75 or even 80, depending on if you can prove you can afford it with your pensionable income. 

 

For BTL properties, it's a bit later because most of these are interest only and pensioners use this to top up their income, but you'll need a minimum of 25% deposit to do this, and it has to fit inside the stress testing calculator of whichever lender you go with. 

Thanks 👍

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5 minutes ago, Harry Potter said:

older folk will go for a shorter term , probably about 15 years, obviously the older the person the less time they have

to pay it off.

Not sure about an age limit.  but maybe about 65-70.

👍

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On 05/08/2022 at 11:40, Taffin said:

Drives me mad that you pay the stamp duty on your new main residence, not on the property you'd be letting out (the actual second home). Benefits people already with money and a house who are buying up cheaper buy to let properties.

 

We're struggling to sell our flats in the current market to buy a house together, but could rent them out easily and would have no qualms paying the stamp duty on their value as they'd be effectively investment properties...but simply can't afford to pay it against the home we'd buy as our new main residence.

This is what annoys me too. There really should be an additional dwelling supplement that is only applied to “additional properties” not your main residence. Not that I am going to whinge too much given the current financial situation some people are finding themselves in.

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highlandjambo3
On 04/08/2022 at 13:43, Jambomuzz said:

What’s the best way to get a no obligation value on your property come to think of it? I fancied seeing how much mine had increased since having all the work done. 

That’s always a difficult one…….over the last 2 years I’ve spent £30k on internal/external fittings….2 shower rooms completely refitted, a completely new hot water/central heating system with upgraded water pressure to enhance the showers, new flat roof on the extension with 20year guarantee but, I’ve been told that won’t add £30k of value to the property as it’s only superficial upgrades (replacing what was already there) it may help with a sale though as it’s more appealing to a buyer to see new stuff fitted.  Growing your property, extension/garage/conservatory etc will increase the value of your property.

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38 minutes ago, highlandjambo3 said:

That’s always a difficult one…….over the last 2 years I’ve spent £30k on internal/external fittings….2 shower rooms completely refitted, a completely new hot water/central heating system with upgraded water pressure to enhance the showers, new flat roof on the extension with 20year guarantee but, I’ve been told that won’t add £30k of value to the property as it’s only superficial upgrades (replacing what was already there) it may help with a sale though as it’s more appealing to a buyer to see new stuff fitted.  Growing your property, extension/garage/conservatory etc will increase the value of your property.

Really that’s wild. I had the house rewired, new boiler, new kitchen. Majority plastered. Spent around 15k. 

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highlandjambo3
1 hour ago, Jambomuzz said:

Really that’s wild. I had the house rewired, new boiler, new kitchen. Majority plastered. Spent around 15k. 

Yes but you just replaced…..you didn’t add anything or grow your house

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We were recently outbid on a house by £40k plus, ended up going for £70k over asking price. 

 

Mental. Absolutely mental. If folk want to bid silly money for things, they are welcome to it. Especially with recession looming. 

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