Mortgages - Help!

[pintsofguinness]

You're talking months and months to go down the co ownership route - months to get selected and if you do months for the legal stuff to go through.
Personally I would never consider it. Why don't you just rent for now.

[flantheman82]

Myself and the wife went through co-ownership 3 years ago as first time buyers and no deposit. Found the mortgage side of things harder to sort out than the co-ownership.
Only thing is now we're completely tied into it for the foreseeable future as our apartment is valued about 50% lower than what we paid for it so we couldn't afford the loss on the mortgage side of things.
If however, we had the money, we would only be required to pay back the same percentage of the sale price as we borrowed from them. I.e. If we bought a £200,000 house with 50% mortgage, then if we sold for £100,000, we'd only have to pay £50,000 to co-ownership. Therefore instead of us losing out on £100,000 it'd only be half that.
Confused? I am!

[pintsofguinness]

Myself and the wife went through co-ownership 3 years ago as first time buyers and no deposit. Found the mortgage side of things harder to sort out than the co-ownership.
Only thing is now we're completely tied into it for the foreseeable future as our apartment is valued about 50% lower than what we paid for it so we couldn't afford the loss on the mortgage side of things.
If however, we had the money, we would only be required to pay back the same percentage of the sale price as we borrowed from them. I.e. If we bought a £200,000 house with 50% mortgage, then if we sold for £100,000, we'd only have to pay £50,000 to co-ownership. Therefore instead of us losing out on £100,000 it'd only be half that.
Confused? I am!

You didnt borrow the money - they own the precentage of the house - if you go to sell they get the house valued, same way you would and if the value has dropped they also take a hit, just like you as a part owner.

[Minder]

I am thinking about buying a house and I have been to a mortgage advisor who has gave me advice on the best option for me (no deposit saved).  He has recommended the Co-ownership scheme - has anyone any experience with it?

If you cannot save a deposit you really should be asking if you can afford to buy at all. Avoid co-ownership at all costs.

Obviously saving a substantial amount of money like that teaches you certain discipline but just because someone is not able to save £20k in a short period of time does not mean they can't service a mortgage.

[delboy]

Myself and the wife went through co-ownership 3 years ago as first time buyers and no deposit. Found the mortgage side of things harder to sort out than the co-ownership.
Only thing is now we're completely tied into it for the foreseeable future as our apartment is valued about 50% lower than what we paid for it so we couldn't afford the loss on the mortgage side of things.
If however, we had the money, we would only be required to pay back the same percentage of the sale price as we borrowed from them. I.e. If we bought a £200,000 house with 50% mortgage, then if we sold for £100,000, we'd only have to pay £50,000 to co-ownership. Therefore instead of us losing out on £100,000 it'd only be half that.
Confused? I am!

You didnt borrow the money - they own the precentage of the house - if you go to sell they get the house valued, same way you would and if the value has dropped they also take a hit, just like you as a part owner.

I think the rub is though that they value the house 'independently' of you so you might for instance be prepared to sell for an offer of 100K but if their valuer puts its value at say 140K they'll be holding their hand out for 50 % of 140K ie 70k and not 50 % of the lower figure (I presume its to stop the owner selling it cheap and taking a backhander).
I think quite a few people have found themselves caught out by this and are now effectively trapped in a co-ownership house which is valued by the co-own people much higher than the current market.

[Milltown Row2]

We-ve been with nationwide on a tracker morgage for past 6 years. with the intrest rates down we are saving a third off what we had 4 years ago

[Shortso79]

I am thinking about buying a house and I have been to a mortgage advisor who has gave me advice on the best option for me (no deposit saved).  He has recommended the Co-ownership scheme - has anyone any experience with it?

My friend works in Co-Ownership - he would highly recommend it - banks are reluctant to lend at moment but are more likely with co-ownership behind you - yes its taking more time these days to complete but thats a sign of the times - more checks by both banks and solicitors

[Shortso79]

came out of a fixed rate mortgage there with Halifax

now on Standard Variable Rate 3.5% (thats 3% above base)

but seems the best option at the moment until rates start going up

[Newbridge Exile]

We came out of our 5 year fixed last October and went onto the nationwide base mortage  rate of 2.5% which we are going to stick with until rates start taking a hike again

[Square Ball]

I was on a fixed rate with the A&L for 5 years which finishes in Dec, after that I will be on the B.O.E base rate + 1% for a year, hope to get a good fixed rate to see out the final 5 years after that

[Hereiam]

If interest rates start going up do people really believe the banks will not put up the their intrest rate anyway even though you are on a 5 yr fixed rate. One thing to learn from this recent banking mess up is that they can do what they want and are not to be trussed.

[STREET FIGHTER]

What are the best mortgage deals out there at the minute?

Any competitve rates to be had?

[quit yo jibbajabba]

depends what youre at chap; you buyin, remortgaging etc....

[Muzz]

Street Fighter - I dont know a while pile about Mortgages but was searching for one.  After going through Mortgage Shop they were taking too long and decided to look some up myself.  Went ahead with one and they failed me on the very last step.

I was given a number for a completely independant guy in Belfast - Called him and had a better rate and Mortgage signed within a week.  Sorted Insurance and everything for me.

I know this guy is in it for himself i.e. hes getting commision on what he sells but basically he talked to the guys first gave them all the details made sure that the mortgage would go through and then got me to sign my papers.  I cant fault the service.  Top notch and kept me informed the full way through.

If you are in Belfast and fancy meeting with him give me a PM and I'll forward the contact details.  Worth a chat anyways - would do no harm.

Muzz

[STREET FIGHTER]

depends what youre at chap; you buyin, remortgaging etc....

Considering buying lad. 

First time buyer.

Trying to pull together a deposit. 

Tough stuff.

Just wondering if anyone is in the same boat or has any useful advice.