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100 % mortgage first time buyer

24

Comments

  • Bf109
    Bf109 Posts: 634 Forumite
    Part of the Furniture 500 Posts Combo Breaker
    andys15 wrote: »
    What a crazy assumption.

    just because they dont have a deposit, it does not mean he couldn't afford a mortgage.

    When I qualified for my job, my pay went from £27000 up to £57000. I had no deposit as i couldn't save for one on a low wage, but I could afford the mortgage, as I bought when my circumstancess changed.

    Its not a crraazy assumption.

    If someone cant afford to save for a deposit then its quite a reasonable assumption that he cant afford to pay the mortgage - given that rents are much lower than mortgage repayments at the moment.

    Its an assumption, yes. But its not crazy.
    [FONT=Arial, Helvetica, sans-serif]Rise like Lions after slumber
    In unvanquishable number -
    Shake your chains to earth like dew
    Which in sleep had fallen on you -
    Ye are many - they are few.
    [/FONT]
  • brit1234
    brit1234 Posts: 5,385 Forumite
    cmart021 wrote: »
    Doom and gloom on here. It certainly does not. That all depends on what price you get the house for.

    But unfortunately there are no 100% products out there.

    A 100% mortgage does clearly mean negative equity. Prices are falling at the fastest rate ever for months, it could mean nothing else.

    It is good that there are no more 100% mortgages because it was hurting the stupid or short sighted.
    :exclamatiScams - Shared Equity, Shared Ownership, Newbuy, Firstbuy and Help to Buy.

    Save our Savers
  • poppysarah
    poppysarah Posts: 11,522 Forumite
    And people who can't save even a small deposit shouldn't be able to get a mortgage either.
  • olly300
    olly300 Posts: 14,738 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    andys15 wrote: »
    What a crazy assumption.

    just because they dont have a deposit, it does not mean he couldn't afford a mortgage.

    When I qualified for my job, my pay went from £27000 up to £57000. I had no deposit as i couldn't save for one on a low wage, but I could afford the mortgage, as I bought when my circumstancess changed.

    Every poster who has asked this question in the same way as the OP has done on this board is not like you, me and other people I know, who have managed to double or triple their wages just by qualifying and getting more experienced in their profession.
    I'm not cynical I'm realistic :p

    (If a link I give opens pop ups I won't know I don't use windows)
  • I really sympathise with situation you are in as I was in same boat as you 2 years back. In short tho have to agree with other posts. Save! You'd only regret it if you ended up in negative equity a few months down the line. Mortgage deals are terrible anyway if you could get a 100% deposit. Better to aim fior at least 5% deposit. Good luck.
  • Bf109
    Bf109 Posts: 634 Forumite
    Part of the Furniture 500 Posts Combo Breaker
    olly300 wrote: »
    Every poster who has asked this question in the same way as the OP has done on this board is not like you, me and other people I know, who have managed to double or triple their wages just by qualifying and getting more experienced in their profession.

    Why are you quoting me? Quote the other.
    [FONT=Arial, Helvetica, sans-serif]Rise like Lions after slumber
    In unvanquishable number -
    Shake your chains to earth like dew
    Which in sleep had fallen on you -
    Ye are many - they are few.
    [/FONT]
  • andys15 wrote: »
    my pay went from £27000 up to £57000. I had no deposit as i couldn't save for one on a low wage
    £27,000? A low wage? I'll have some of that poverty.
    Been away for a while.
  • hostman
    hostman Posts: 377 Forumite
    £27,000? A low wage? I'll have some of that poverty.

    Average UK wage is around the £24k mark (with a very large proportion of the population significantly below that), £27k is a pretty good wage.
  • brit1234 wrote: »
    A 100% mortgage does clearly mean negative equity. Prices are falling at the fastest rate ever for months, it could mean nothing else.

    It is good that there are no more 100% mortgages because it was hurting the stupid or short sighted.

    I understand what you are saying but just because house prices are falling does not mean that 'everyone' who buys now (say hypothetically with a 100% mortgage) will be in negative equity.

    Ill give you a for instance. House is valued and sold for 275000 at the housing peak last year.

    The very same house is sold for 187000 last week. Over 30% drop. Now im not proclaiming to be an expert but I dont think they have dropped that much.
  • £27,000? A low wage? I'll have some of that poverty.

    If you were living on that in a city like London with a couple of kids and renting in the private sector, it would not stretch very far. My sister is on about 27k and has 3 kids and is a single mum in London and all she can afford is a council flat and a holiday about once every 3 years.
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