Mortgage Rates next Year

abaxas

HammersFan wrote: »

So at BoE +1% that's 3.75-4.% meaning that every 120k borrowed is going to cost £400 / month in interest. That's "buying cheaper than renting" territory by quite a margin.

I love comments like that, because they are pure guff. Who knows if the lender will allow you to buy. No-one has right to ANY finance.

It's a bit like saying. If all the good looking men die, I get to sleep with Kylie. You never know, she might say no!!

However in terms of getting finance, lenders will always lend to safety. If they stopped that, they couldn't exist. Make sure you are safe to the bank.

Realy

abaxas wrote: »

I love comments like that, because they are pure guff. Who knows if the lender will allow you to buy. No-one has right to ANY finance.

It's a bit like saying. If all the good looking men die, I get to sleep with Kylie. You never know, she might say no!!

However in terms of getting finance, lenders will always lend to safety. If they stopped that, they couldn't exist. Make sure you are safe to the bank.

And so are your coments.
If you have good credit and rates fall (like expected) he will be right.

A lanlord can turn you down if your credit is rubbish!
He made a general comment which if happens would be correct, why the sore response?

Generali

Realy wrote: »

And so are your coments.
If you have good credit and rates fall (like expected) he will be right.

A lanlord and turn you down if your credit is rubbish!
He maid a general comment which if happens would be correct, why the sore response?

Frankly if you can borrow at £400pcm and earn an income stream of £800 on it then you're not going to struggle to borrow.

abaxas

Generali wrote: »

Frankly if you can borrow at £400pcm and earn an income stream of £800 on it then you're not going to struggle to borrow.

Of course, but what kind of drop in house prices and interest rates would that need? Maybe by that point, a tennant will own your property as the state will have collapsed.

I rent, and 800PM in the north east = 350000 of 2007 value.
400pm at 3% is £84,000 of mortgage.

But I agree, if the business finance works. You should be getting involved!

GDB2222

abaxas wrote: »

I
It's a bit like saying. If all the good looking men die, I get to sleep with Kylie.

In that case, I'm praying that some of the good looking men look after themselves.

Or am I missing the point? :cool:

Realy

abaxas wrote: »

I rent, and 800PM in the north east = 350000 of 2007 value.
400pm at 3% is £84,000 of mortgage.

But I agree, if the business finance works. You should be getting involved!

I did not know people paid 2007 price still or is that only if you rent.:D

Are you trying to say a house in the north east that rents at 800PM is equiverlent to £350K:rotfl:
I just looked at newcastle and that is seriously not the case.

abaxas

Realy wrote: »

I did not know people paid 2007 price still or is that only if you rent.:D

Are you trying to say a house in the north east that rents at 800PM is equiverlent to £350K:rotfl:
I just looked at newcastle and that is seriously not the case.

Of course it is. The only way to know the market is to get involved and see what is avialable, obviously discounting the overpriced. Dont just search for NE1 and assume that the rents of never occupided flats are correct.

That isnt the best we found, before we moved back up the NE we were in Sheffield.

Property on the market for 299,995. Also avaiable for rent at £575 pm. We eactually put a deposit down on a new place but had pull out due to the move. Originally on the market for £249,900 rent £550pm.

(just had a look on rightmove, grrr the house in Whickham up for £350,000 and rent £695 (reduced from £750) has dissapeared. Someone got a bargain !)

Realy

abaxas wrote: »

Of course it is. The only way to know the market is to get involved and see what is avialable, obviously discounting the overpriced. Dont just search for NE1 and assume that the rents of never occupided flats are correct.

That isnt the best we found, before we moved back up the NE we were in Sheffield.

Property on the market for 299,995. Also avaiable for rent at £575 pm. We eactually put a deposit down on a new place but had pull out due to the move. Originally on the market for £249,900 rent £550pm.

(just had a look on rightmove, grrr the house in Whickham up for £350,000 and rent £695 (reduced from £750) has dissapeared. Someone got a bargain !)

http://www.rightmove.co.uk/viewdetails-19791895.rsp?pa_n=1&tr_t=rent&mam_disp=true = £2500PM

http://www.rightmove.co.uk/viewdetails-17486605.rsp?pa_n=1&tr_t=buy&mam_disp=true = £425,000

The house for sale is in the same area and is almost as cheap as renting at the moment 4.99% no deposit!

Sorry you are talking tripe on this one. In Newcaste you get a 4 bed detached for £250K or a 4 bed terace for £800PM Rent.:rolleyes:

I know some area's are a lot more than renting but your figures don't match up. In my opinion you are trying to prove a point how much cheaper it is to rent than buy in that area but the figures do not match the facts I can see.

Do you wan't to find another town to prove you point.:)

abaxas

Realy wrote: »

http://www.rightmove.co.uk/viewdetails-19791895.rsp?pa_n=1&tr_t=rent&mam_disp=true = £2500PM

http://www.rightmove.co.uk/viewdetails-17486605.rsp?pa_n=1&tr_t=buy&mam_disp=true = £425,000

The house for sale is in the same area and is almost as cheap as renting at the moment 4.99% no deposit!

Sorry you are talking tripe on this one. In Newcaste you get a 4 bed detached for £250K or a 4 bed terace for £800PM Rent.:rolleyes:

I know some area's are a lot more than renting but your figures don't match up. In my opinion you are trying to prove a point how much cheaper it is to rent than buy in that area but the figures do not match the facts I can see.

Do you wan't to find another town to prove you point.:)

Got to laugh at you. Millfield road is the best address in Whickham, while the other is next to the worst.

All you have proven is that you dont understand the local market. Obviously all of London is worth the same too? Woot, I'm moving to Mayfair.

EDIT : for more clarity the ASHFIELD PARK house is about 50m away from a huge chav infested council estate. I know, when I was a teenager I used to buy my drugs from there :P

Realy

abaxas wrote: »

Got to laugh at you. Millfield road is the best address in Whickham, while the other is next to the worst.

All you have proven is that you dont understand the local market. Obviously all of London is worth the same too? Woot, I'm moving to Mayfair.

EDIT : for more clarity the ASHFIELD PARK house is about 50m away from a huge chav infested council estate. I know, when I was a teenager I used to buy my drugs from there :P

Same town
3 Bed terrace £150K ish
3 Bed Terrace £750 rent.

Sorry I don't think the rent to purchase ratio is higher in newcastle than london.