Advice on the Homebuy Scheme

mrsmac2009

Hi all

My fiancee and I are currently in private rented accomodation paying £750 per month. We desperately want to buy a house but, unfortunately both of us have residential mortgages on other properties. Mine was done as an investment 5 years ago and my parents live at the property and his was bought with an ex and is now in about £10K negative equity!!

My parents pay the mortgage on my property and he has tenants in his which cover most of the mortgage. We live in privately rented accomodation.

We have come across a local development which offers a shared equity scheme for people who ned to move due to a relationship breakdown and were considering applying as we cannot see how we are ever going to get a deposit together for ourown home in the near future. The problems we face are that we both already have residential mortgages and we both have less than perfect credit!

Does anyone have any advice?

Thanks!

llh189

I am not sure that you can apply for several reasons, firstly your relationship seems not to have broken down and secondly homebuy schemes are meant to be for people struggling to get on to the housing ladder - don't mean to be mean but you already own not one but two houses between you, both of which are paying their way for you despite the recession. You won't always be in negative equity and will in time probably make money on both of your houses, even if some of the money needs to be split with ex partners.

Do you really need to own three properties between you?

mrsmac2009

Whilst it seems we are in a good position, neither of the houses we own are any use to us - if we could sell my partners house, we would but it has been on the market for over a year now and due to falling house prices it is going to stay on the market untl house prices start to rise again!!

I can understand what you are saying but we desperatley want to own our own home and start a family without having to bow down to the landlord!

We thought this may be a good way to get back on the ladder but if not, it looks like we have at least 5 years worth of saving to do in order to get a deposit together!

Wickedkitten

Sounds entirely greedy to me.

mrsmac2009

thanks wickedkitten!!

Wickedkitten

You own a house, he owns a house, and you want to use a scheme designed to help people onto the housing ladder because you can't afford a deposit in order to buy a third house.

If it isn't greed then what would you call it?

mrsmac2009

Bad luck and bad judgment!

Running_Horse

mrsmac2009 wrote: »

Bad luck and bad judgment!

Wouldn't it be worse judgement to buy another house when prices are still falling, and end up with three lots of negative equity? We all make bad decisions in life and accept the consequences. Renting isn't so bad.

Chris2685

mrsmac2009 wrote: »

if we could sell my partners house, we would but it has been on the market for over a year now and due to falling house prices it is going to stay on the market untl house prices start to rise again!!

Maybe you need to assess why your partners house hasn't sold.
There is probably only one reason, because the asking price is too highly inflated. I don't want to offend you, but it is people like you who cause these schemes to even exist, because you won't sell your property to at a reasonable level, and it just sits on the market...

Sell at a level which someone would buy it at, and you wouldn't have a problem selling the house.

vixarooni

im thinking of the homebuy scheme myself, and i read somewhere that you cant if you have already got on the housing ladder previously... there is a website all about it at homebuy.co.uk or something.

also if you can afford 750 worth of rent, with council tax and all the bills on top then im sure you could save for a mortgage?

brummybloke

live in one of the houses and bingo.. you have your own house.

at no extra cost either.