Property Price Drop

SingleSue

Kier - well done on your purchase.

I don't think most are doom merchants but are advising caution in the current market (except maybe in rougher terms).

It is obviously a purchase that you believe is best for you at this time but please, please try to offset any negative equity that may occur by overpaying or saving as much as you can, this would make it easier in the event of having to move in the near future (new relationship, a job loss/change, children or illness).

We too purchased during a recession believing we would be ok (good income etc) but for us it went wrong hence my urging of caution.

kier333

SingleSue wrote: »

Kier - well done on your purchase.

I don't think most are doom merchants but are advising caution in the current market (except maybe in rougher terms).

It is obviously a purchase that you believe is best for you at this time but please, please try to offset any negative equity that may occur by overpaying or saving as much as you can, this would make it easier in the event of having to move in the near future (new relationship, a job loss/change, children or illness).

We too purchased during a recession believing we would be ok (good income etc) but for us it went wrong hence my urging of caution.

May i ask in what respect it went wrong?

SingleSue

I got ill and couldn't work for a while, in the meantime I lost my job.

Well that is a rather simplified way of saying it...we also had a child which we shouldn't have been able to have (I was supposed to be sterile) rather more severe maternity leave than that allowed now which meant my company expected me to be back at work whilst I was still in hospital due to things going wrong during the birth or not come back at all. This then lead to me taking all sorts of jobs whilst being too weak to really be working leading eventually to kidney failure, severe pneumonia and severe post natal depression.

Apart from that, everything was peachy! :rotfl:

Edit - The biggest problem though was the negative equity which made it impossible for the building society to be flexible although they tried everything to be flexible, it was an impossible situation for both parties.

chucky

kier333 wrote: »

Well they do unless HSBC lied to me today when adding the Mortgage to my online account!

6.79% is around average for a 90%LTV Mortgage at this time.

Does he live in a dark room!

probably - historically that is a reasonable rate.
when rates do kick in they will be around this in a couple of years anyway.

kier333

Sorry to hear that Sue , must have been tough.

I plan to take insurance in case of illness, i don't intend to have children because i'm male and as i plan to move to OZ in 8 or so years, Involved in the Olympics so work OK untill 2011 plus i'm strongly involved in rail and cross rail will see me through until 2020.

So fingers x i hope i'll be ok

kier333

chucky wrote: »

probably - historically that is a reasonable rate.
when rates do kick in they will be around this in a couple of years anyway.

Chucky,

I can still fix for 5 yrs if i chose as even though i paid the booking fee £999 (rip off) but guessed that in 2 yrs i will still be paying less on a SVR than the 6.79 i signed up for.

What you recon?

lostinrates

kier333 wrote: »

Sorry to hear that Sue , must have been tough.

I plan to take insurance in case of illness, i don't intend to have children because i'm male and as i plan to move to OZ in 8 or so years, Involved in the Olympics so work OK untill 2011 plus i'm strongly involved in rail and cross rail will see me through until 2020.

So fingers x i hope i'll be ok

I hate to tell you but men can get ill ....albeit not related to pregnancy. I'm female...and recovery from longterm illhealth..not related to pregnancy. This lead me to the very same place as your other post...with a feeling that insurance is dangerously overlooked.

I have to say, I find it scary that in this world where nothing financial or institional seems so very impervious to this climate, the fact that the Olympics is unsettles me a bit. (Its great for you though!)

SingleSue

No worries...it was tough along with the complete shock of actually getting pregnant!

We had a nice life before and had settled down to be a couple with a cat rather than a family.... what made it worse was the fact I was the main income earner, my husbands salary was only £64 more than our mortgage payment, mine had been over 3 times the mortgage payment per month.

kier333

lostinrates wrote: »

I hate to tell you but men can get ill ....albeit not related to pregnancy. I'm female...and recovery from longterm illhealth..not related to pregnancy. This lead me to the very same place as your other post...with a feeling that insurance is dangerously overlooked.

I have to say, I find it scary that in this world where nothing financial or institional seems so very impervious to this climate, the fact that the Olympics is unsettles me a bit. (Its great for you though!)

I think insurance should be compulsory with a Mortgage like having building insurance, I love the Olympics and love rail more, i'm a fully qualified trades man working in Managment so work providing i'm not ill should not be a huge problem as i can always go back on the tools, everyone needs electricity.

chucky

kier333 wrote: »

Chucky,

I can still fix for 5 yrs if i chose as even though i paid the booking fee £999 (rip off) but guessed that in 2 yrs i will still be paying less on a SVR than the 6.79 i signed up for.

What you recon?

personally i'd go for the 5 year - i've just fixed a 5 year on 4.69%, others may have a different or even a better view on it

but you need to do your own research and what suits your circumstances