Abandoned hope for all ye FTBs

Vinegartits

pickles110564 wrote: »

Which is what I said, it sold for more than the For Sale Price.

I didn't say that however what I will say is that this particular property sold at sub 2003 prices and will still make a loss for the purchaser.

pickles110564

mewbie wrote: »

As I understand it, no new small car is an investment. That's the problem with the scheme. Something a couple of years old, well that might be a sensible option.

btw - only £25k down is a result in this market. Have you factored a further 10% drop in to bring us through to 2010?

Some of the makers I visited yesterday were offering 3 Years warrenty and 3 years servicing for £249 which aint to bad a deal.
I can not get over the fact that the road tax is only £35.
In 4 years my oldest daughter will be 17 which means I can give her the car knowing that it should still be in good nick.

I have not factored in another 10% drop, you say what I have lost is a result but I call it a bl00dy disaster on what I had so confidently predicted.
Would I have made this last move if I knew what was coming? No Chance and over the next few years starting in next spring I will get rid of 50% of the BTL's and let some other fool take them on.

pickles110564

Vinegartits wrote: »

I didn't say that however what I will say is that this particular property sold at sub 2003 prices and will still make a loss for the purchaser.

In 2002 it sold for £385k and it just sold for £425k (For Sale price was £419k).

mewbie_2

pickles110564 wrote: »

Some of the makers I visited yesterday were offering 3 Years warrenty and 3 years servicing for £249 which aint to bad a deal.
I can not get over the fact that the road tax is only £35.
In 4 years my oldest daughter will be 17 which means I can give her the car knowing that it should still be in good nick.

Sounds like a good deal. But are you going to be happy in a Pink MG Roadster for the next four years?

pickles110564 wrote: »

I have not factored in another 10% drop, you say what I have lost is a result but I call it a bl00dy disaster on what I had so confidently predicted.
Would I have made this last move if I knew what was coming? No Chance and over the next few years starting in next spring I will get rid of 50% of the BTL's and let some other fool take them on.

Maybe BTLNewbie can take them on. But seriously - ONLY £25k down is not bad given the market. And I wouldn't pin any hope on things being any better next year.

pickles110564

fatpig wrote: »

For you pickles, a Reliant Robin 3-wheeler

Adowney being compared to DelBoy is an honour.

pickles110564

mewbie wrote: »

Maybe BTLNewbie can take them on. But seriously - ONLY £25k down is not bad given the market. And I wouldn't pin any hope on things being any better next year.

I agree with you but our senior managers still say that we will be pulling out of the recession by March 2010.

Vinegartits

pickles110564 wrote: »

In 2002 it sold for £385k and it just sold for £425k (For Sale price was £419k).

Considering it is twice the size and (even delapidated) twice as attractive as yours, perhaps your estimate of a £25k loss was a bit optimistic under the circumstances.

Thrugelmir

seraphina wrote: »

Look back 20 years ago and most normal people (eg, nurses, postmen, factory workers) had a good chance of buying - the same people in the same job nowadays have no chance.

Was a struggle back then. My first mortgage 26 years ago was for 2 and half times joint income! Interest rates were 10.5%. In fact the month after we completed and moved in, interest rates rose 1% a month for 4 consecutive months to peak at 14.5%. That was painful.

We were constrained by sensible lending policies which on reflection I'm eternally grateful for.

Snooze

mewbie wrote: »

Maybe BTLNewbie can take them on......

:rotfl::rotfl::rotfl::T

R

baileysbattlebus

seraphina wrote: »

What a bunch of patronising !!!!!

Quick reality check for you: many young professionals are working around the clock in their main job, let alone finding time for a second job. But no, you obviously think we're out on the lash every night, blowing our paychecks on iPods and ryanair flights! Society should be very worried indeed when young professionals such as doctors and solicitors, earning a good wage by "normal" standards, can't afford to get on the property ladder.

Look back 20 years ago and most normal people (eg, nurses, postmen, factory workers) had a good chance of buying - the same people in the same job nowadays have no chance.

In the "good old days" you had a hope in hell of finding an NHS dentist, free university education, MIRAS, married couples' tax allowances...shall I go on?

If I look back 20 years the average salary in the UK was £12.4k - the average house cost £61k. Where we are prices were about £90k. Not so very different to now. It's like it always has been - it depends where you live.

Miras - was available on the first £30k of your mortgage interest payable at the highest rate of tax you paid. If you were married you got it once - if you were not married you got £30k each. In 1988 when the announcement was made that it would become £30k per property not per person - announced in the April budget for August implementation. It caused havoc in the housing market - buyers (single people buying together went mad to buy before the deadline to utilise 2 or 3 or 4 or 5 allowances). It didn't affect married couples other than the fact that house prices shot up. The chancellor would have been better of making the change instant. And yes miras did help - especially when interest rates were high. It was steadily eroded until by the time of it's abolition it wasn't worth bothering with.

One of the bad things about miras was that it was very strictly regulated by the inland revenue. Because it was so strictly regulated banks and building societies stuck with mortgages where interest was calculated annually on your mortage, which is more expensive than daily calculations. I know I've had both. If you over paid it came off the balance once a year - not as you made the payments. It was on your the main mortgage only. Any loan over £300 even an administration fee had to be set up separately. It was like a straightjacket for mortgages.

If we still had it you would have no offset mortgages, no accounts like Virgin One, no trackers. You can save a lot more money by the flexibility in the mortgage market today than you ever could with miras.

Yes there was the married couples tax allowance - which was meant to offset the effect of going from 2 wages to 1 when a couple got married. When we got married, we didn't get married because of it, that's for sure, it wasn't worth that much.
A lot people don't get married now - so it wouldn't have impacted them if we still had it. The child tax credit is much better IMO, it gives extra money to people with children whether married or not.

And what is a good wage by normal standards? Most young professionals I have known throughout my career (in the south east) have not been able to buy property immediately. Entry level jobs - at what ever level are not normally highly paid.

One other reason could be that so many people are entering the workplace later than they were because they go onto university and I would imagine quite a few (not doctors or other professionals) come out of university to find they are competing with people who have already been in the work place for 4 or 5 or more years and are already doing jobs some new graduates want to apply for.

Governments want ever larger number of people going to university - but to do what?