Mortgages for New Build Flats

Idiophreak

JJmcClure wrote: »

Some of us aren't very experienced in this buying property lark and I'm asking the question because people are mentioning negative equity like it's the end of the world for ever and all new builds are a negative equity hell

Yes, take a lot of this "negative equity" talk with a pinch of salt. Certain people on these boards are very good at spreading their doom and gloom.

Odds on, using history as a yard-stick, house prices *will* at some point in the future recover to be higher than they are now - at which point, you'll be fine and dandy once again. Not that being in Negative Equity is, as you say, the end of the world - unless you need to sell, move or remortgage, odds on you'll just *live in the flat* and never notice the hell you've brought upon yourself

Similarly, be mindful of the cynicism toward new builds - this mainly assumes that new builds are small, poorly constructed and overpriced. This is, clearly, sometimes the case, but equally sometimes it's not...you have to look at the quality of the place then decide if it's as bad as everyone says.

Finally, if you're determined to buy now, try and remain positive, irrespective of those that will tell you it's a stupid time to buy, you'd be a fool and so on - the math they use to work out that they're "better off renting" is, at best short-sighted and at worst just wrong. If you think now's a good time *for you* to buy, that's what matters. Buying a house is supposed to be an exciting time and you should do your best to try and enjoy it..

jade1986

I was a little worried after reading some of this, so I rang The Nottingham again this morning just to double check everything and they said they are definitely able to do the FTB 95% LTV on new builds.. who knows!

We only actually require 90% if we go with buying the new build though, as the developers are giving us 5%, which again is acceptable with them

JJmcClure

Perhaps they mean homes over flats? And in the Nottingham area?

JJmcClure

Idiophreak wrote: »

Yes, take a lot of this "negative equity" talk with a pinch of salt. Certain people on these boards are very good at spreading their doom and gloom.

Odds on, using history as a yard-stick, house prices *will* at some point in the future recover to be higher than they are now - at which point, you'll be fine and dandy once again. Not that being in Negative Equity is, as you say, the end of the world - unless you need to sell, move or remortgage, odds on you'll just *live in the flat* and never notice the hell you've brought upon yourself

Similarly, be mindful of the cynicism toward new builds - this mainly assumes that new builds are small, poorly constructed and overpriced. This is, clearly, sometimes the case, but equally sometimes it's not...you have to look at the quality of the place then decide if it's as bad as everyone says.

Finally, if you're determined to buy now, try and remain positive, irrespective of those that will tell you it's a stupid time to buy, you'd be a fool and so on - the math they use to work out that they're "better off renting" is, at best short-sighted and at worst just wrong. If you think now's a good time *for you* to buy, that's what matters. Buying a house is supposed to be an exciting time and you should do your best to try and enjoy it..

Great answer, thanks for writing it

jade1986

JJmcClure wrote: »

Perhaps they mean homes over flats? And in the Nottingham area?

Yes maybe so.. I'll ask next time I speak to her just out of interest