Mortgage Help Scheme starts next week with 95% loans :)

[Never-In-Doubt]

Re: Mortgage Help Scheme starts next week with 95% loans

It suprises me quite frankly, that a site such as ours which tries to address debt, is in favour of MORE borrowing.

If it allows people the opportunity to own a home why not! Nobody here has a crystal ball, we can't see into the future but a 95% mortgage isn't the blame. Borrowers & agents are the blame.

If its truly capped at 95% then technically that's £5k deposit per £100k borrowed and so long as proper affordability checks are conducted I think it's a good thing. Why isn't it? Don't speculate on what *may* happen as we don't know. Lets concentrate in what we do know and from that, I personally think this scheme can only be a benefit.

[SA Gold]

Re: Mortgage Help Scheme starts next week with 95% loans

agree SX, the British people have this thing about owning your own home, we need to forget it for a while, and consolidate. We bought when we were young, we lived through the exit from the exchange mechanisim, think the rates went up about 10% in a day, we had to pay that, our endowments went down the toilet, we paid that, council tax had increased, fuel has rocketed, insurance has rocketed salaries haven't and pensions haven't because a lot of them were invested in property and two of mine went bust. All in all I would be saying to the youngsters, don't put a millstone around your neck, don't stick yourself firmly in the targets of all these financial shysters who are only interested in making excessive profits out of you, let someone else take the risk for a few years, you don't need a perfect credit record to live your life. The government shouldn't be encouraging this, they should be building more houses and doing something about the situation in London and the home counties where there is a bubble. Can assure you there ain't no bubbles here

true dat!

[helmsman]

Re: Mortgage Help Scheme starts next week with 95% loans

If it allows people the opportunity to own a home why not! Nobody here has a crystal ball, we can't see into the future but a 95% mortgage isn't the blame. Borrowers & agents are the blame.

If its truly capped at 95% then technically that's £5k deposit per £100k borrowed and so long as proper affordability checks are conducted I think it's a good thing. Why isn't it? Don't speculate on what *may* happen as we don't know. Lets concentrate in what we do know and from that, I personally think this scheme can only be a benefit.

Average house price £200000 deposit £10000 £190000 mortgaged that's a lot of borrowing, a lot of interest I hope aad is still here in 5 years.

[SXGuy]

Re: Mortgage Help Scheme starts next week with 95% loans

To put it into perspective, my 180,000 mortgage repayable over 32 years, currently stands at almost double the amount borrowed. Thats are my rate now, if it goes up, who knows!

[julian]

Re: Mortgage Help Scheme starts next week with 95% loans

There is currently no answer that fits the whole country. Tied cottages and corporation or charity housing associations have had their day when there is no guaranteed work and no job for life even if you have spent 20+ years in schools and colleges gaining certificates. 5% on a £450,000 house in London is almost what a house in Sunderland costs. 5% will be lost when the interest rates go back up to 15%pa.

Surely if more people are able to buy their own homes that will relieve the pressure on the dire shortage of social housing. - Not unless the pool of people eligible for social housing is constrained, and the pool of social housing is revised and doled out to those with a valid, actual need, rather than a historical or engineered need.

It does not look like most of the people buying their own houses would be eligible/interested in current social housing. Not everybody who needs or deserves a home applies to be put on the list, and not everybody who gets at home is deserving. Why should people with children moving into an area (from the UK or abroad) take precedence for housing over hardworking, local people who have contributed to the building of the community for generations and chosen not to have children because they have not suitable home? Why should newly-landed foreigners have the right to a central London council house, whereas a person from outside London cannot afford to take a job in central London because the cost of housing/travel will not be covered by the high wage being offered, so they remain on the dole whilst the foreigner can afford to take any low-paid job because there are so many subsidies. Social housing perpetuates the myth that having children is a human right and that a child not graft is a passport to housing. Housing stops social mobility unless you come in from abroad or earn enough to pay commercial rents or house prices. The workhouses were social housing in the basest sense, when mothers fathers and children were separated, and old people died alone in dormitories, but even they were not open to every Tom, Dick or Harry.

[The Tech Clerk]

Re: Mortgage Help Scheme starts next week with 95% loans

My 1st purchase interest rate was 9 3/4% fixed (Council right to buy set by the council) in the 80s.

[PlanB]

Re: Mortgage Help Scheme starts next week with 95% loans

situation in London and the home counties where there is a bubble. Can assure you there ain't no bubbles here

There's one coming your way

House prices in and around Aberdeen have more than doubled in the last ten years and are set to rise faster than most areas of London. It's oil money apparently. Maybe you should rename your house Southfork


http://www.bbc.co.uk/news/business-24348196