Own Home Scheme Pros and Cons

ladybird3

tek moneky with regards to your question about remortgage the answer is no! it only counts as a remortgage if after the 5 years you want to increase the amount you want to borrow in order to free up equity that you can use as cash, if you just move the original amount you borrowed to a new deal then this is not a remortgage
However I'm not entirely sure that even if you did remortgage that you would have to pay back the equity loan? does anyone know this?

as for the deeds and registration. . . not quite sure i'll have to check that, i remember i got a whole heap of stuff from optima with a kind of signing out letter saying thank you and goodbye when i move however il be honest iv barely had chance to look at it!

With regards to the mortgage payment it is definately worth checking with the co-op well before you move. When I rang originally they told me that the arranegement fee (which is nearly a grand) would just come out with the first mortgage payment!! NOOOOOO! I had them tage it onto the mortgage instead and then spread over the term-but do check that because sometimes i think they do it automatically. I had my first payment taken out on the first which consisted of the payment for november plus the time from 8th oct when i moved it-not quite double but was still a lot!

Hay mcknight I am really feeling for you-must be so stressful cant help but think someone has not be totally straight with you. . . . how can they not have known there were 2 other people in the chain?!! i mean seriously that would just be mental! dont solicitors know these things from day one?? absolutely all the best of luck and keep us posted-hope you get there eventually

one last thing, remember that if you make ANY alterations to your property that are anything above and beyond decorating (so new kitchens/bathrms/boilers/conservatories etc etc etc) do make sure you let P4P know this in writing with the exact amount that it cost you. This is in your best interest because if they know about these amounts they will ensure that when you come to sell and the property is valued you will not be penalised for making alterations that have added a lot of value and therfeore bumped up their loan share. in short, they'll deduct what you spent from their share of the equity.

sontoon

Well we got our keys yesterday :j

I can't believe what you're going through Hay like ladybird says surely you should've been told about the other 2 people in the chain no wonder you are going arghhhhh. And I thought I was having a bad week being as we had our car rear ended on saturday.

I'm pleased you got your extension tek-monkey keep plugging away.

Thanks for the heads up sideslipmike I was kinda just assuming that the co-op would send you a welcome pack of some sort explaining payments and that better get on the phone.

Thanks ladybird for your info on mortgage and P4P better get onton that as we are having a shift around of the kitchen and stuff. How are you settling in?

We didn't do a lot last night just surveyed the place and was in there with no one else looming over us a really surreal feeling we just started peeling wallpaper for the hell of it lol which our little boy (3 1/2) thought was great fun lol.

Keep us posted Hay and tek

tek-monkey

ladybird3 wrote: »

tek moneky with regards to your question about remortgage the answer is no! it only counts as a remortgage if after the 5 years you want to increase the amount you want to borrow in order to free up equity that you can use as cash, if you just move the original amount you borrowed to a new deal then this is not a remortgage
However I'm not entirely sure that even if you did remortgage that you would have to pay back the equity loan? does anyone know this?

Thanks for that, thought it was the case but wasn't sure so was panicing!

Skibuddy_2

Hi, my son is very interested in participating in a home share scheme located in Chelsea. There are many plus sides (I think), but I wonder if anyone has the experience of annually increasing their percentage share and if there are financial and legal costs involved in order to do so ?
From those of you that have participated in the scheme, do you see it as your long term home or just a means of "getting started" and hopefully moving on in the next 5 years or so?
many thanks to anyone who replies

tek-monkey

After the hassle I've had, I aint ever moving again!

I certainly see it as mid term, I may outgrow it (am only 33), but its a 3 bed place and if necessary I could kick my bro out I suppose. My partner already owns outright and doesn't want to give up her place, and its too small for me to move into as well, so I guess we'll just live between the 2 til we decide otherwise. I made sure it was a house I was happy with, apart from no garage, so I won't mind staying for 15 years or so.

Ama

tek-monkey wrote: »

After the hassle I've had, I aint ever moving again!

I certainly see it as mid term, I may outgrow it (am only 33), but its a 3 bed place and if necessary I could kick my bro out I suppose. My partner already owns outright and doesn't want to give up her place, and its too small for me to move into as well, so I guess we'll just live between the 2 til we decide otherwise. I made sure it was a house I was happy with, apart from no garage, so I won't mind staying for 15 years or so.

The same here. I am buying a three bedroom for me and my two children; a boy and a girl. I am 34 and I don't think I will be going anywhere soon. I will probably be downsizing when the time comes to move unless I win the lottery and buy a bigger and better house! It's taken me two years to get here. I've been very choosy about the neighbourhood and managed to find a house in a very nice area......just hope the neighbours are just as nice.

ladybird3

For me it's short term to be honest, I have just turned 25 and bought a 1 bed flat in central london through the scheme-when the time comes for children etc then I'll def have to move! Imagine this will do me and possibly my partner for the next 5 years or so
However I see buying at the moment as an investment for me, prices have remained steady in the neighbourhood I bought in despite the recession and it looks like they're on the rise again
I hope that by the time I need to move again selling my little place here will give me enough of a deposit to buy a reasonable sized home outside of central london-certainly wont be able to afford a house in these parts!

Skibuddy I would search through the forums again to try and find one dedicated to the shared ownership schemes as it sounds like thats what your son is interested in? the Ownhome scheme has now closed so new applicants and wont be reopened so keep your eyes peeled for a similar thing under a different name!

well done for getting the keys sontoon! what a relief! I have a lovely new boiler just fitted yesterday in my place so im a happy bunny!

hay_mcknight

I exchanged at about 5.15 today... Dont ask me how it happened!!!! Im soooo happy !!!

I basically went in to the estate agent and was nice but firm with them and said if I dont exchange today then I'll pulling out and starting asking them about other properties on the market. Well miraculously I was then able to exchange ....... I asked no questions !!!! Someone was lying not quite sure who but apparently my seller is moving and possibly living with his parents for a few weeks !!!!

I will be completing on 17th and finally be in my new flat !!!

Thanks everyone

hertsman2009

Hi all,

I thought i'd just let everyone know that I Exchanged on Friday with a view to Complete on the 1st of Dec (so i only pay a month's mortgage on my first payment!). The vendor's solicitor wanted me to give a small deposit as a sign of financial commitment, even though they were aware of the scheme. I haggled them down from £1000 to £500 eventually. I could've probably stood my ground and refused out right but i just wanted to get it over and done with so coughed up!

I didn't think i'd ever get to this point, so much happier now, although, it ain't over yet!

We just need tek-monkey to get sorted now.

tek-monkey

Congrats

I'm, erm, still waiting! Absolute deadline is now the 17th, I lose both funding and my mortgage then. I am just waiting for the indemnity from the vendors solicitor, and have been told to expect it "this week sometime". So not close at all, lol! It looks like the other solicitor at the practice has taken over my case (still not sure why mine left), so we'll see. If it all goes well, I'll be in for christmas. Well, a day or 2 before!