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Debate House Prices


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Nationwide Slashes Higher LTV Rates...

The majority of cuts will be made on loans of between 70 per cent and 85 per cent loan-to-value (LTV), and the biggest reduction of 0.6 per cent has been made on selected two-year fixed rate deals available to house purchase customers at 80 per cent LTV.
http://www.ftadviser.com/FTAdviser/Mortgages/Products/News/article/20100107/26f54e7e-fb7c-11de-8fd9-00144f2af8e8/Nationwide-set-to-cut-number-of-mortgage-rates.jsp

Moving up.....

Last year 60% LTV got the best deals, then 75%, now big cuts up to 85%.

Won't be long now until 90% deals become attractive again.....

And when they do, it will unleash a huge wave of pent up demand.;)
“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

Belief in myths allows the comfort of opinion without the discomfort of thought.”

-- President John F. Kennedy”
«1345

Comments

  • MatteH
    MatteH Posts: 102 Forumite
    Not @ 3.5x your salary it won't, seeing as around 80% of UK households (everyone, including dependents) earn under £40k per year.
    The other 20% isn't going to be buying up all the property you know, unless we get 6x plus mortgages again.

    What are the salary multiples on offer Hamish?
  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    MatteH wrote: »
    Not @ 3.5x your salary it won't, seeing as around 80% of UK households (everyone, including dependents) earn under £40k per year.

    Interesting, do you have a source?

    And that is obviously ALL households, including the unemployed, the 20%+ that live in council houses, the million in private rented on housing benefit, OAP's, etc.

    What is the percentage of households in full time employment (as is required for a mortgage)? And what percentage of them earn more than 40K?
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”

    -- President John F. Kennedy”
  • MatteH wrote: »
    Not @ 3.5x your salary it won't, seeing as around 80% of UK households (everyone, including dependents) earn under £40k per year.
    The other 20% isn't going to be buying up all the property you know, unless we get 6x plus mortgages again.

    What are the salary multiples on offer Hamish?

    I've just plugged in a joint income of £40k (£25k + £15k) into the "how much can I borrow on the Nationwide website - assuming no debts you can borrow £164k from them - the Nationwide usually don't do income multiples - they use affordability.

    They also have a 90% mortgage for FTB's who have a flex account as their main account.

    I'm actually quite surprised - I didn't think 90% mortgages were really available - but it's on the front of the mortgage page on their website.

    http://www.nationwide.co.uk/mortgages/default.htm
  • Emy1501
    Emy1501 Posts: 1,798 Forumite
    I think you will find that NW are pretty strict on who they lend to Hamish. I read something a few weeks ago on the mortgage forums that someone got turned down for a mortgage as they paid their credit bill late twice in the previous year. Now being 1 in 10 people were at least 2 months behind on debt payments between 2006-2008 I suspect at least 20% of the population will not be welcome. I also suspect that anyone wanting more than 4.5X neeed not apply either.
  • MatteH
    MatteH Posts: 102 Forumite
    Interesting, do you have a source?

    And that is obviously ALL households, including the unemployed, the 20%+ that live in council houses, the million in private rented on housing benefit, OAP's, etc.

    What is the percentage of households in full time employment (as is required for a mortgage)? And what percentage of them earn more than 40K?

    It was on global HPC, legit info as it was from the ONS or something. It includes all the multi-million pound bonus earning bankers too I should imagine, just to counter your negative spin thrown in about the unemployed etc.

    I don't have a link, but seeing as you rarely post any to back up your cherry picked stat's, I can't really see the problem in that ;)
  • chucky
    chucky Posts: 15,170 Forumite
    10,000 Posts Combo Breaker
    MatteH wrote: »
    Not @ 3.5x your salary it won't, seeing as around 80% of UK households (everyone, including dependents) earn under £40k per year.
    The other 20% isn't going to be buying up all the property you know, unless we get 6x plus mortgages again.
    MatteH wrote: »
    It was on global HPC, legit info as it was from the ONS or something.
    lol - that's not true either you read it wrong or you've made it up.

    it's actually nearly 60% - you can work out the number of pensioners and unemployed etc to take that number even lower.

    334.gif
  • carolt
    carolt Posts: 8,531 Forumite
    Bit irrelevant as they're only on max 3 year fixes.

    And anyone who thinks taking out a 25 year loan on the basis that rates are going to stay at those rates beyond 3 years needs their heads examined.

    When long-term fixed rates are at attractive levels, then this thread is worth posting.

    As opposed to merely being a dull attempt to ramp the market for Hamish's own mysterious ends - again.
  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    MatteH wrote: »
    It was on global HPC, legit info as it was from the ONS or something. It includes all the multi-million pound bonus earning bankers too I should imagine, just to counter your negative spin thrown in about the unemployed etc.


    :rotfl:

    Convenient..... From a site that is closed down.

    Might have worked too, until chucky proved you were full of !!!!!!.:D
    I don't have a link, but seeing as you rarely post any to back up your cherry picked stat's, I can't really see the problem in that ;)

    Actually, I am one of the most frequent posters of links on this board.

    But then again, my stats are real, versus your little fictional effort above.
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”

    -- President John F. Kennedy”
  • boomerangs
    boomerangs Posts: 284 Forumite
    blah blah blah
    258Troll_spray.jpg
  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    carolt wrote: »

    When long-term fixed rates are at attractive levels, then this thread is worth posting.


    When long-term fixed rates are at attractive levels, prices will be well out of your reach.;)
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”

    -- President John F. Kennedy”
This discussion has been closed.
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