Own Home Scheme Pros and Cons

ladybird3

With regards to the 2 cooling off periods I'm pretty sure this isnt quite right, I had been led to believe that it was just the 7 day cooling off period then once that was over everything depended on making sure the final credit things were sent back etc plus the transfer fee had been recieved by P4P and the deposit had cleared into the solicitors account (if you have a deposit)

I'm not sure about how area affects prices etc, always thought that they based what you were allowed on where you wanted to buy rather than where you currently lived. That said, I'm buying in the area that I already live and work in anyway so wouldnt have known really if it would be any different.
I'm a keyworker too and know that for other schemes in order to be eligible for a keyworker property you must already live and work in that area, perhaps something similar happens with the OH assessment?

Calmspirit I really feel for you! is there no way you'd be able to find a property with a normal mortgage plus your deposit? well done on managing to save up that much-serious achievement!

calmspirit

Hi Ladybird...thank you!

wasnt really an achievement...I sold my house.....long story but PFP and Moat both accepted me on marital breakdown criteria ......I am desp to find a way to buy now as I dont want to use all my savings paying rent for the next few years and end up with nothing!

I am really at a loss now, do I sit and watch my savings dwindle on rent, seems I have no option as I really cant get a big enough mortgage to buy a property....gutted coz a perfect property came up with so much potential. I wanted so much to use my savings to provide security for my kids.
thanks for your kind comment

hugs

calmspirit

but it IS good to see this scheme working for some people..... I wish you all success!

ladybird3

Would you consider a new build? there seem to still be lots of schemes offering shared equity on new builds still?

I know you're not a first time buyer but I would highly recommend a magazine called exactly that 'First Time Buyer' it comes out monthly and you can get it in big branches of borders or whsmiths and it's all about affordable home ownership and is full of adverts for all the different schemes that are running.

If you take a look you never know you might just find something that suits-worth a try! I've found it really helpful because they have lots of advice and useful articles too.

Good luck!

brit1234

ladybird3 wrote: »

Would you consider a new build? there seem to still be lots of schemes offering shared equity on new builds still?

You have to remember these schemes are a con, They are designed to inflate prices and exploit as much money out of the buyer as possible. Far better to rent and save.

As for these people moaning about the maximum they can borrow, it precisely increasing these amounts that have priced out first time buyers more. Remember it was £160,000 maximum a 6 years ago and that was just short. By constantly increasing the amout you just fuel prices higher and make a bigger bubble.

calmspirit

Hi
I have looked at new builds but there are none in the area I want to be in...I moved because of distance and travelling to school and work.

I understand the view that these schemes are a 'con' but in my circumstances (and I have done lots of research.....it would work for me, giving me the stability me and my kids need.) I wont be able to save more of a deposit than I already have due to fact that rent is more than double what I would be paying if there was any funding left !) In MY circumstances the scheme works.

ladybird3

Brit 1234,
Yes new builds are not ideal for everyone, but have you seen how much it costs to rent???

It's impossible for the average joe to rent AND save whereas shared equity is a very affordable option for many. Besides you make it sound like schemes like this are the sole cause of inflated prices and the collapse of the housing market which clearly they're not.
Such schemes enable people with normal (not low) incomes who are employed tax payers to get on to the ladder in a still vastly inflated market, you're taking out an affordable mortgage which then means you can actually save up to pay the equity loan. This is possible at the moment due to interest rates being lower and the ability to fix that rate for 5-10 years. Saving would not be an option for me if I continue to rent that's for sure and that's despite being on an above average income.

I can only imagine from your comments that you've either been a home owner for a long time from the days when it WAS easier to buy property, or you’re in a very comfortable financial situation. Either way it’s clearly very easy for you to look down your nose at people who’s only option for financial security and a roof over their heads is to opt for one of these schemes. For most people here there is no other way.

parisjordana

parisjordana wrote: »

Yay at last....we exchanged this afternoon.....Im a very happy lady right now!!!!!!!!!!!!!!!!!!!!!:beer:

Yay even better still completed today:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j:j........just off to fetch the keys......Hope you guys and gals all have success ans I wish you all the best of luck with your purchases......:beer:

tek-monkey

Congrats, all the best in your new place

MORPH3US

ladybird3 wrote: »

I can only imagine from your comments that you've either been a home owner for a long time from the days when it WAS easier to buy property, or you’re in a very comfortable financial situation. Either way it’s clearly very easy for you to look down your nose at people who’s only option for financial security and a roof over their heads is to opt for one of these schemes. For most people here there is no other way.

There is certainly a bitterness there towards people just looking for a home of their own isn't there.

It makes me wonder if he is one of the people struggling to get on the property ladder and so is jealous of people who are pushing themselves to do so.