back 2 weeks already

Old Feb 14th 2007, 10:20 am
  #76  
BE Forum Addict
Thread Starter
 
woodyinoz's Avatar
 
Joined: Aug 2005
Location: Home and proud to be British
Posts: 1,035
woodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond repute
Default Re: back 2 weeks already

Originally Posted by FPM View Post
Mum and dad in Somerset, sister in Bucks so the M4 corridor suits us all together (although we have discussed moving 'oop North' to put some decent distance between us all,,long story). hungerford etc would be good, but wherever we go i'd need to make sure my wife could get to work by PT as she is loathe to drive for the first year or so. I'm up for anywhere really. Just need to look into some stuff. At least we have a ok deposit, just don't want a mortgage so big that we can't have a nice lifestyle (there's only two of us so we really only need a two bed house, three bed max, but that would mean further from London of course).
There is an ad on TV at the moment with 2 hedgehogs in. They claim to make buying your house easier with lending you 5x your income... they don't tell you that it makes it impossible to pay the monthly payments

ohh I think that we will soon see a few repo's
woodyinoz is offline  
Old Feb 14th 2007, 10:47 am
  #77  
FPM
Banned
 
FPM's Avatar
 
Joined: Oct 2006
Location: knuckle dragging, cultureless, boring, dingo oblivion
Posts: 441
FPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond repute
Default Re: back 2 weeks already

Originally Posted by woodyinoz View Post
There is an ad on TV at the moment with 2 hedgehogs in. They claim to make buying your house easier with lending you 5x your income... they don't tell you that it makes it impossible to pay the monthly payments

ohh I think that we will soon see a few repo's
I know Sydney repos have topped the 5,000 mark in last year. Highest on record. Can't imagine it's much different anywhere else. Hang tight and cash in, there's another rise for the UK coming in about 8 weeks according to the UK finance news.
FPM is offline  
Old Feb 14th 2007, 10:54 am
  #78  
BE Enthusiast
 
eurotramp's Avatar
 
Joined: Dec 2004
Location: Middlesex
Posts: 983
eurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud of
Default Re: back 2 weeks already

Originally Posted by FPM View Post
I know Sydney repos have topped the 5,000 mark in last year. Highest on record. Can't imagine it's much different anywhere else. Hang tight and cash in, there's another rise for the UK coming in about 8 weeks according to the UK finance news.
I so much hope so it just cant go on like this..
eurotramp is offline  
Old Feb 14th 2007, 10:56 am
  #79  
BE Forum Addict
Thread Starter
 
woodyinoz's Avatar
 
Joined: Aug 2005
Location: Home and proud to be British
Posts: 1,035
woodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond repute
Default Re: back 2 weeks already

Originally Posted by FPM View Post
I know Sydney repos have topped the 5,000 mark in last year. Highest on record. Can't imagine it's much different anywhere else. Hang tight and cash in, there's another rise for the UK coming in about 8 weeks according to the UK finance news.
problem seems to be that because there is such little on the market at the moment the prices are being pushed higher. Are we not better buying asap and getting a decent fixed term. The rate is still fairly low when you look at what it was in the 80's
woodyinoz is offline  
Old Feb 14th 2007, 11:01 am
  #80  
BE Enthusiast
 
eurotramp's Avatar
 
Joined: Dec 2004
Location: Middlesex
Posts: 983
eurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud of
Default Re: back 2 weeks already

Originally Posted by woodyinoz View Post
problem seems to be that because there is such little on the market at the moment the prices are being pushed higher. Are we not better buying asap and getting a decent fixed term. The rate is still fairly low when you look at what it was in the 80's
I dont think so...thats exactly why house prices still going up, because everybody is rushing on the sinking ship..soon we will be seeing lots of property coming on to the market...all the BTLs bought to late
I give it 1 or 2 more rate rises..
eurotramp is offline  
Old Feb 14th 2007, 11:07 am
  #81  
FPM
Banned
 
FPM's Avatar
 
Joined: Oct 2006
Location: knuckle dragging, cultureless, boring, dingo oblivion
Posts: 441
FPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond repute
Default Re: back 2 weeks already

Originally Posted by woodyinoz View Post
problem seems to be that because there is such little on the market at the moment the prices are being pushed higher. Are we not better buying asap and getting a decent fixed term. The rate is still fairly low when you look at what it was in the 80's
That would depend on how much deposit you have and how much you can earn from it to offset waiting. You'd need to factor in how much you want to borrow against how much appreciation would be in the house over the period you wait for. It'd be different in every case, as you also need to commit any extra disposable income. And how much you expect another increase to affect the affordability (ie repo rate) of the area in which you live, and how much you'd expect it to drop by. I'd suggest you haven't been in the UK long enough to accurately asses that yet.

I've been running this model in Sydney as my wife and I met in the middle of the boom, and we refused to be sheeplike and just jump on the 'sign me up' bandwagon. For what we could afford, where we wanted to buy (which is where we rent now) in every single financial model I run, we have made more by waiting. This factors in all expenses associated with a house offset against entry and exit fees and appreciation.

In my casual observation in 18yrs here I'd say the UK house market follows trends in the Oz market approx 2.5years later, and that also goes for domestic spending trends.

However the equation gets fuzzy if you throw in emotional stuff like settling a family and just 'wanting' a place of your own.

Asa rule of thumb, I'd say if you had a less than 40% deposit on principal I'd probably go for a fixed rate.

Caveat: this is my opinion, not professional financial advice. (geez you'd think I live in the US eh? )
FPM is offline  
Old Feb 14th 2007, 11:12 am
  #82  
BE Forum Addict
 
Mercedes's Avatar
 
Joined: Oct 2003
Location: Depends
Posts: 4,041
Mercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond reputeMercedes has a reputation beyond repute
Default Re: back 2 weeks already

I don't think you will see a crash, some people may lose their houses due to interest rates going up and they have no extra money. But with people coming in from other European countries with money, they will keep the prices up. There apparently are about 250,000 rich Russians now in London.


Originally Posted by eurotramp View Post
No..I'm German and hubby is from NI. We don't know anybody here. We have lived in Blandford/Dorset before, that was nice..
Hubby does not want to commute..but even if he would,,you don't get far in 30-45 min...makes no sense..even the neighboring Villages out side the M25 are not cheaper..I still hope for a crash
Mercedes is offline  
Old Feb 14th 2007, 11:15 am
  #83  
BE Forum Addict
Thread Starter
 
woodyinoz's Avatar
 
Joined: Aug 2005
Location: Home and proud to be British
Posts: 1,035
woodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond repute
Default Re: back 2 weeks already

Originally Posted by FPM View Post
That would depend on how much deposit you have and how much you can earn from it to offset waiting. You'd need to factor in how much you want to borrow against how much appreciation would be in the house over the period you wait for. It'd be different in every case, as you also need to commit any extra disposable income. And how much you expect another increase to affect the affordability (ie repo rate) of the area in which you live, and how much you'd expect it to drop by. I'd suggest you haven't been in the UK long enough to accurately asses that yet.

I've been running this model in Sydney as my wife and I met in the middle of the boom, and we refused to be sheeplike and just jump on the 'sign me up' bandwagon. For what we could afford, where we wanted to buy (which is where we rent now) in every single financial model I run, we have made more by waiting. This factors in all expenses associated with a house offset against entry and exit fees and appreciation.

In my casual observation in 18yrs here I'd say the UK house market follows trends in the Oz market approx 2.5years later, and that also goes for domestic spending trends.

However the equation gets fuzzy if you throw in emotional stuff like settling a family and just 'wanting' a place of your own.

Asa rule of thumb, I'd say if you had a less than 40% deposit on principal I'd probably go for a fixed rate.

Caveat: this is my opinion, not professional financial advice. (geez you'd think I live in the US eh? )
Bloody Hell that gives you something to think about
We are buying a place with FIL so I guess that if the market drops we loose on his too. Having a chat with him tomorrow as he wants us to buy a place with the view of him selling next year and moving in then. I am worried that the market may crash in that time leaving us with a whopping mortgage.
woodyinoz is offline  
Old Feb 14th 2007, 11:26 am
  #84  
FPM
Banned
 
FPM's Avatar
 
Joined: Oct 2006
Location: knuckle dragging, cultureless, boring, dingo oblivion
Posts: 441
FPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond repute
Default Re: back 2 weeks already

Originally Posted by woodyinoz View Post
Bloody Hell that gives you something to think about
We are buying a place with FIL so I guess that if the market drops we loose on his too. Having a chat with him tomorrow as he wants us to buy a place with the view of him selling next year and moving in then. I am worried that the market may crash in that time leaving us with a whopping mortgage.
Well depends on how you view the crash? a crash is only a crash if you can't afford the mortgage, or if you want to sell. If you can't afford the payments that it doesn't matter if there's a crash or not as you'll (anybody) will lose the house. And a real crash only hurts if you sell. If you intend to live there for a long time it really matters little how much it goes up or down in the short to medium term as you won't be realising the net gain or loss anyway, unless you want to release some equity against a redraw for rennovations or something.

If you're going to be in there years and years then I'd suggest this long enough to see out any fluctuations (which in general tend to have a life span of 7-8yrs).

At this point I'd be more worried about the effect of interest rate rises as they operate independantly (kind of) of how much a house is deemed to be worth. Interest rates rise when people spend too much either domestically (credit cards, store cards, car loans) or in equity (houses and shares).

People spending too much on c/cards will actually work in your favour as these are the people, in general that will lose their homes first. However that will ultimately increase interest rates as the BoE will have to 'cool' the economy (ie, give the public a bitch slap for being placcy happy). Your ability to weather the next 7 years or so (as the UK seems to be on the cusp of a change) will be more important than your house value, IF you intend to stay there a while.

Why not rent until your Dad has sold his place and borrow less?
FPM is offline  
Old Feb 14th 2007, 11:40 am
  #85  
BE Forum Addict
Thread Starter
 
woodyinoz's Avatar
 
Joined: Aug 2005
Location: Home and proud to be British
Posts: 1,035
woodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond reputewoodyinoz has a reputation beyond repute
Default Re: back 2 weeks already

Originally Posted by FPM View Post
Why not rent until your Dad has sold his place and borrow less?
This has been my prefered route but my mum who owns an estate agent thinks that prices are going to keep holding there own and rising. Her view is why pay somebody elses mortgage when we could be paying our own.
We all know not to trust an estate agent though
woodyinoz is offline  
Old Feb 14th 2007, 11:48 am
  #86  
BE Enthusiast
 
eurotramp's Avatar
 
Joined: Dec 2004
Location: Middlesex
Posts: 983
eurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud of
Default Re: back 2 weeks already

Originally Posted by Mercedes View Post
I don't think you will see a crash, some people may lose their houses due to interest rates going up and they have no extra money. But with people coming in from other European countries with money, they will keep the prices up. There apparently are about 250,000 rich Russians now in London.
I still cant see why a few rich people in London should stop the crash..
eurotramp is offline  
Old Feb 14th 2007, 11:52 am
  #87  
FPM
Banned
 
FPM's Avatar
 
Joined: Oct 2006
Location: knuckle dragging, cultureless, boring, dingo oblivion
Posts: 441
FPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond reputeFPM has a reputation beyond repute
Default Re: back 2 weeks already

Originally Posted by woodyinoz View Post
This has been my prefered route but my mum who owns an estate agent thinks that prices are going to keep holding there own and rising. Her view is why pay somebody elses mortgage when we could be paying our own.
We all know not to trust an estate agent though
True enough, but that gets back to my first model. Work out what you want to buy, how much you realistically expect the price to rise between now and when your Dad sells, then off set that against the interest you'd save by borrowing less. And there's your answer. Saying that renting is paying off someone else's mortgage is way too simplistic. We as a couple have been paying someone's mortgage for 5yrs and we're still better off. But it does depend on many factors.
FPM is offline  
Old Feb 14th 2007, 11:54 am
  #88  
Banned
 
Joined: Feb 2007
Location: London Suburbs
Posts: 71
TonyLondon22 is an unknown quantity at this point
Default Re: back 2 weeks already

Originally Posted by TraceyW View Post
So tell me, have your kids been mugged, abused by a weirdo, beaten by chavs or offered drugs in school yet?
My little ones are my greatest worry in moving back. It's supposed to be so 'not safe' for kids there anymore. How've you found it?
Tracey...In 50 years I've not been involved in a single incident and thats London and The Suburbs split equally.....If you avoid the Main Cities and live in The Suburbs or The Country you will have no probs!....Recently in very "English" East Grinstead,West Sussex I saw a 5-year-old Blonde Girl cycling on a 2 mile Path on her own!!..No Probs!......U R returning to (probably) the most creative and (Certainly!) the most individualistic Country on Gods Earth
TonyLondon22 is offline  
Old Feb 14th 2007, 12:08 pm
  #89  
BE Enthusiast
 
eurotramp's Avatar
 
Joined: Dec 2004
Location: Middlesex
Posts: 983
eurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud ofeurotramp has much to be proud of
Default Re: back 2 weeks already

What you guys think about this then?

http://uk.news.yahoo.com/14022007/14...d-welfare.html

and this makes me sooo made

http://uk.news.yahoo.com/13022007/39...s-death-0.html

look at this little angel face..how could you ever...

Last edited by eurotramp; Feb 14th 2007 at 12:12 pm.
eurotramp is offline  
Old Feb 14th 2007, 12:26 pm
  #90  
Banned
 
Joined: Feb 2007
Location: London Suburbs
Posts: 71
TonyLondon22 is an unknown quantity at this point
Default Re: back 2 weeks already

[QUOTE=eurotramp;4403299]What you guys think about this then?

If you live away from The Inner Cities you will be fine honestly....The major Cities ARE a different proposition though.

What a terrible story though Thankfully very rare.....When theres 60 Million People theres always going to be some rotten apples.

Last edited by TonyLondon22; Feb 14th 2007 at 12:28 pm.
TonyLondon22 is offline  

Contact Us Archive Advertising Cookie Policy Privacy Statement Terms of Service

Copyright © 2018 MH Sub I, LLC dba Internet Brands. All rights reserved. Use of this site indicates your consent to the Terms of Use.