First time buyer help!!!!!!!!!!

HAZEL0212

I am a first time buyer, struggling to get on the property ladder!
Usual story at the moment all my money is being wasted on rent so savings are taking forever to mount up. 100% mortgages are no longer available, but are there any other options for someone with little savings?

Thanks in advance

Running_Horse

Money spent on rent is not a waste, any more than money spent on petrol or food. You would be living on the streets without it. The best options are to earn more and spend less. Could you get a part time job or train to earn more? You say you are a first time buyer; how much have you saved and in what period of time?

tazwhoever

you views were excellent...:j

Arthritic_Toe

Running_Horse wrote: »

Money spent on rent is not a waste, any more than money spent on petrol or food. You would be living on the streets without it. ...

Agree. This is a 'Kirstie and Phil' ism, that just isn't true.

Whether you pay money in rent or as interest on a mortgage, you won't ever see that money again.

There may be a capital gain or loss on the house when you come to sell it due to price fluctuations, but this is a different issue.

Horizon81

You could try and find a 90% mortgage (or 95% if they still exist) but the rates won't be as good as a 75% mortgage. The basic advice to 'someone with little savings' is to build up savings. The obvious ways of doing this are:

Get a 2nd job - evenings/weekends
Get a better full time job
Move in with family
Move into shared rental accommodation with friends (or strangers!)
Don't spend as much on clothes/eating out/entertainment

These points aren't meant to sound patronising. The bottom line is you need to accrue savings and these will all save money. There's no magic answer.

Running_Horse

I am a little confused when you say you are a first time buyer. Are you in the market looking for a home and limited by the size and type of mortgage on offer? Or do you aspire to be a first time buyer, unable to fulfil your hopes due to lack of income and deposit?

Fire_Fox

HAZEL0212 wrote: »

I am a first time buyer, struggling to get on the property ladder!
Usual story at the moment all my money is being wasted on rent so savings are taking forever to mount up. 100% mortgages are no longer available, but are there any other options for someone with little savings?

Thanks in advance

If you had saved up more quickly and bought in 2007 the value of your 'investment' would have fallen, all your deposit and mortgage payments wasted. Therefore your rent is not wasted as it's saved you being stuck in negative equity.

Move into a shared house, sell your car, live frugally and you can save up - read the 'Live on £4K for a year' threads (for an entire family!) on the DFW board, check out the 'Grocery Challenge' and 'Eat Healthily on 50p per day' on the Old Style board. :money:

HAZEL0212

Thank you for your replies, I have now secured a property purchase through a shared equity scheme with Keir homes, designed for first time buyers in my situation.

A word to all first time buyers out there, please don't be despondant. Things can happen for you. All the comments posted here only spurned me on to find a great property that was right for me both in location and financial commitment.

You will always find doom and gloom mongers wanting to rain on your dreams, but if you research fully all aspects of the purchase and ensure that the price is manageble for you as NIKE tells us, just do it!

There are schemes out there that will ensure your work/life balance does not disintegrate and does not tip into an 18 hour working day.

:beer:

brit1234

HAZEL0212 wrote: »

Thank you for your replies, I have now secured a property purchase through a shared equity scheme with Keir homes, designed for first time buyers in my situation.

I hope you really looked into the scheme before buying. My friends with the shared ownership all regret it even the one who was bragging about it last year. It really is the poison chalice attracting those most desperate without the funding to sustain house buying. A very risky move, just look at rightmove for all the people with these properties who can't sell.

HAZEL0212 wrote: »

A word to all first time buyers out there, please don't be despondant. Things can happen for you. All the comments posted here only spurned me on to find a great property that was right for me both in location and financial commitment.

You will always find doom and gloom mongers wanting to rain on your dreams, but if you research fully all aspects of the purchase and ensure that the price is manageble for you as NIKE tells us, just do it!

These so called doom mongers were trying to protect you. So be it if you decide to heckle them, you have made your own bed bying at the near peak of the market where interest rates can only go up and need too.

HAZEL0212 wrote: »

There are schemes out there that will ensure your work/life balance does not disintegrate and does not tip into an 18 hour working day.

:beer:

These schemes are designed to artifially inflate house prices whilst pumping as much money out of the buyer as posible with a cheaply constructed house. Don't believe me then tap on the interrior walls of your new purchase, bet you won't find brick.

HAZEL0212

Have you tried tapping on your head recently :rotfl:?????

Yes I have checked the walls, this property was originally marketed at £205,000, however due to the slump in the market it has been reduced by £80,000.

laughingcow81

Good luck to you, I am glad to hear you have found somewhere to buy.

I also hope that you have done your research and are fully aware of what shared ownership means and the legalities regarding selling on etc.