House deposits?

[Ducatista]

I'm sure no-one is intending to be patronising.
You are perfectly entitled to make the lifestyle choices you want.
The point has already been made that not all comments were aimed at your personally but to make sure lurkers get a balanced view.

Saving is a great concept, rovided you can afford to do it, like everything else.

At the risk of repeating myself the point of a deposit (as well as reduced LTV) is to prove you can afford home ownership.
There are costs with ownership that renters don't have. As an example buildings insurance is a mandatory contractual requirement of a mortgage (the lender does want their money if the house burns down).
If someone can't save from a position of renting then there is a question mark over the affordability of home ownership because where will you find the money for the extra costs you don't currently have?
For people living at home it's even worse than for renters.

I don't have any comment on your lifestyle, but if you can't afford everything you want then like the rest of us you either have to wait or you have to choose.
I personally put off a bike purchase last year, because I preferred to pay down my mortgage. I feel happier than way and when I was at risk of redundancy in May I was glad I had less debt. We all make those choices and it's a personal matter.
A fancy scheme will not ultimately magically make you be able to afford more. In fact accelerating buying things you can't afford through normal channels usually costs more long term and is occassionally disastrous.

1st time buyers everywhere are struggling

What do you think would happen if first time buyers didn't buy?
I think prices would come down.
However those in the buisiness don't want that, so they invent fancy schemes to keep it all going.

I have no idea if this scheme is right for your personal situation, but I would encourage you to get a second opinion and to work out your up-front costs and on-going costs related to home ownership.

[Snowy]

[quote author=BMWGraeme link=1313401076/78#78 date=1313746863]
I also wish I had had the benefit of so much actual experience as you obviously have at such a young age. All the personal knowledge of bad Solicitors, bad IFA's, bad Teachers, bad Doctor's, bad Public Servants etc will, I'm sure, stand you in good stead for the rest of your life.

You really are an arrogant, patronising & condascending knob at times Graeme.


[/quote]

Happy to accept that one SF - a calm and measured response. Also happy to accept that if I "bigged" myself up on this forum I would accept there may be some cynics out there ready to knock me down.

[Squashed_Fly]

That was a much better way of putting it Duc

It's not something we'll be rushing into, and Star has said she's happy for us to bounce any questions off her.

From some of the comments made by certain contibuters, you could be forgiven for thinking I was still an 18 year old child. And in some ways it's a compliment that Graeme thinks I am that, alas however, I am quite a bit older than that. I forget it sometimes, until those rare occasions when I do enjoy a drink and I suddenly remember this is why I gave up going out and getting drunk when I was in my early 20's! ;D

[Snowy]

That was a much better way of putting it Duc

It's not something we'll be rushing into, and Star has said she's happy for us to bounce any questions off her.

From some of the comments made by certain contibuters, you could be forgiven for thinking I was still an 18 year old child. And in some ways it's a compliment that Graeme thinks I am that, alas however, I am quite a bit older than that. I forget it sometimes, until those rare occasions when I do enjoy a drink and I suddenly remember this is why I gave up going out and getting drunk when I was in my early 20's! ;D

At 18 you are a responsible adult, if only in the eye of the law.

The problem SF is that you have commented on this thread and many others on this forum from a position that you think is fact. When I read your statements on these threads I sometimes agree and disagree with them and on others where I have no knowledge on the subject, I do sometimes wonder where you get your facts from and how accurate they actually are. Sorry for being a cynic and that you feel I'm patronising, but I have owned 5 houses to date having bought the first 30 years ago, so feel reasonably confident in at least putting up an alternative point of view to balance yours.

[Scotty]

You really are an arrogant, patronising & condascending knob at times Graeme.

And you, Aidan, come across as little more than an arrogant fool, the quintessential squid, a little knowledge on a subject from something you've heard or read somewhere and now you're the ****ing expert on it - not just this one, but damn near everything you post about, you ask a question and proceed to argue the toss with everyone who responds.
I've watched this thread with interest as you've managed to make yourself look more and more of a fool with every day, ignoring professional advice from people who do it for a living because it doesn't suit you, and throwing a casual insult at everyone who has gained a professional qualification through sheer hard work and effort - do you have a degree? Just a matter of passing a few exams according to you, so you surely must have one, or more?
You're the one who's forever bringing your personal finances onto the forum and believe me, we couldn't give a **** whether you were as rich as Beckham or as poor as a tramp, just don't keep bringing it up. Your final flourish is to progress from a generalised casual insult to a direct personal one aimed at someone who's spent days offering you the benefit of his experience, but because it wasn't aligned with your little scheme you had to resort to name-calling. If you were as clever as you believe, you'd at least spell condescending correctly, there is no "a" in it.

Do whatever you feel you have to in order to get aboard the property ladder. Have you any idea what someone's credit rating would be like following a conviction for mortgage fraud and a repossession? It could be you...

Announcing on a public forum that you're going to do something that is potentially illegal is smart, really smart. Good effort.

[Ryan]

Thank you Graeme and Lisa for the words of advice i would note that as both of you have your own houses and many years of experience you should know what your talking about

Unlike some of my friends i am very sensible when it comes to money, i wont have anything on finance if i cant afford it i wont buy it, been buying stuff on credit cards i have the money for then paying it off at the end of the month to build up my credit rating, also never faulted once on phone bills insurance etc, so i'm hoping i should be in with a good shot next year.

Lisa and Graeme... Thank you both once again

[redken1]

Scotty, did you mean to say "We" or was it a typing error like SF's spelling mistake?

[Squashed_Fly]

[quote author=Squashed_Fly link=1313401076/79#79 date=1313747676]
You really are an arrogant, patronising & condascending knob at times Graeme.

And you, Aidan, come across as little more than an arrogant fool, the quintessential squid, a little knowledge on a subject from something you've heard or read somewhere and now you're the ****ing expert on it - not just this one, but damn near everything you post about, you ask a question and proceed to argue the toss with everyone who responds.
I've watched this thread with interest as you've managed to make yourself look more and more of a fool with every day, ignoring professional advice from people who do it for a living because it doesn't suit you, and throwing a casual insult at everyone who has gained a professional qualification through sheer hard work and effort - do you have a degree? Just a matter of passing a few exams according to you, so you surely must have one, or more?
You're the one who's forever bringing your personal finances onto the forum and believe me, we couldn't give a **** whether you were as rich as Beckham or as poor as a tramp, just don't keep bringing it up. Your final flourish is to progress from a generalised casual insult to a direct personal one aimed at someone who's spent days offering you the benefit of his experience, but because it wasn't aligned with your little scheme you had to resort to name-calling. If you were as clever as you believe, you'd at least spell condescending correctly, there is no "a" in it.

Do whatever you feel you have to in order to get aboard the property ladder. Have you any idea what someone's credit rating would be like following a conviction for mortgage fraud and a repossession? It could be you...

Announcing on a public forum that you're going to do something that is potentially illegal is smart, really smart. Good effort.[/quote]


Scotty, dear Scotty.

Go back to school, and write 100 times
"I must learn to read peoples posts properly, then do some research before I make stupid comments, then finally, before I get involved at the back end of a debate just to look the big man on the forum, I should probably find out all the facts first"

That will stop you joining 'Camp Graeme' in the red corner.

Oh, and just for the record, those pople that have had years of owning houses & having mortgages, probably don't understand, and can't relate the issues surrounding trying to save up £18,000+ in 5 years when they have bills, rent & families to think about, in a time when inflation & cost of living cmpared to salary, is at an all time high!

If you have been a saver, and always saved, and/or lived at home for years where you could afford to put enough aside, or bought your first house before the last 2 years (when banks were quite willing to lend 100% mortgages and 5x your salary), then just accept that, for the time being at least, things might be a bit different to when you got your first house.

Oh and Scotty - GDs are NOT mortgage fraud. Not if done properly anyway! That's a bit lke saying 'After my accident, when I needed new kit, this set of leathers I got a good deal on in George Whites, that would normally sell for £500, but I managed to squeeze them down to £300, I just commited Leather Fraud' on. Leather Fraud would be if bought the leathers at £500, but they wrote the value on the receipt as £700 just to get an £200 back from my insurance company. See the difference? Perhaps I could explain it one more time if you still don't understand the concept?

I wish I'd been brought up to make saving money a lifestyle choice (because that's what it is), but I wasn't, and it's not until now that I realise how important that is, to get started from a very young age.

[Snowy]

[quote author=Squashed_Fly

Oh, and just for the record, those pople that have had years of owning houses & having mortgages, probably don't understand, and can't relate the issues surrounding trying to save up £18,000+ in 5 years when they have bills, rent & families to think about, in a time when inflation & cost of living cmpared to salary, is at an all time high!

[/quote]


Camp Graeme writes:

No one is saying it's easy as a first time buyer in the current climate, I have four kids finding that one out. But it can be quite easy to find statistics to back up personal opinions especially if only considering a narrow range of historical evidence. Those of us who have been through the house buying experience all have our own real life experiences to remind us how hard it was for us to. Take for example, when looking at your statistical evidence why not include interest rates into the equation? To give you somewhere to look at, try 1980 and 1990 - just take a look at the Bank of England base rates. Then maybe consider what it might have been like for first time buyers then. You need to put statistics into context to make a balanced comparison before you assume its harder now than it was back then.

Has there ever been a time when it's been cheaper to borrow money than it is now?

You may also wish to check out the inflation figures since 1980 as well, as an example in 1990 it was around 7%. What is it today?

[Bikermouse]

It's no wonder I can't be asked to contribute to this forum anymore. It's like being back at school again except some people simply don't learn.