Anecdotal - compare now to 18 months ago

Batchy

http://www.statistics.gov.uk/cci/nugget.asp?id=352

see what I mean!!

Thrugelmir

Batchy wrote: »

PS, I think we will actually see far less tourism out of the country.

More home holidays, to seaside resorts... camping etc.

travel with fuel costs high is expensive
the knock of strikes has been bad
snow has been bad
ash cloud has been bad
taxes are bad
baggage extra's are bad
currency exchange rates are bad

I know where my money wont be going this year...TRAVEL COMPANIES.

Many people I know are now opting for cruises. Free parking at Southampton docks. Far less hassle than flying.....

torontoboy45

batchy: how many bloody posts do you need to make, given you started this thread?

Batchy

sorry torontoboy... I just kept thinking of something else to post!
Apologies!

Kenny4315

Batchy wrote: »

The banks wont be much of a bank if they are not into Lending money via mortgage......

I rest my case .... in what you have stated here ...... the banks/valuers/fsa are putting so much pressure on restricting mortgages lending that's it's making it fffing impossible to get cash out of them.

For example, 2007 true self-cert mortgage £250k on derelict £350k house spent £70k, sold previous house, down to £39k mortgage o/s, on self cert SVR at 4.84%, recently valued at £750k, looking to remortgage release cash sometime soon, banks won't take most of my household income into account, as it is not via contracted employment.

2006 Nov, 3 flats under one freehold £342k, O/S mortgage £282k, income £25k, value £550k to £500k, irish bank in doggy doo doo no further advances, on 1.65% above base, so don't want to rock to boat too much.

The banks are an absolute pile of steaming dog tur*, they have gone from one extreme to the other, and this is one of the main downward forces. This year is going to see further tightening, I don't see any relief from this tick box blotter jotter mentality until 2013 at the earliest, and then only due to house price decreases of around 12% 2011 & 5% 2012, so 17% in total.

My FA's are so hacked off with wasting time on mortages that result in nothing that they aren't doing any more unless for existing clients, and even then they aren't that keen.

Batchy

But self cert... they were not the mortgage norm.
Property BTLers/ Developers... had exposed themselves to greater losses so are all higher risk.

The whole market is dependant on FTBs (or historically BTLers) and also on secure employment, which people do not have that feeling.

However, if you feel the time is right, have a job have a deposit, then 4x income is EASY to get... 5 times probably no so easy but possible.

The fact self cert cant get mortgage is probably more down to the fact there historical income does not point to future income. I know a contractor at the moment struggling his !!! off...my self employed gas engineer friend... just has no work at the moment. AT ALL.

It doesnt matter what his account state, he doesnt earn enough money at the moment to insure his van or pay his other debts off.

Being employed at least you know what your income is, or you know when you need to find another job. Plus you would get some redundancy to buy you a month or two minimum.

Just because self cert is a no no...

My friend has just finished an IVA... ie, Bankruptcy nearly
He is buying a shared ownership (higher risk to lender than normal, due to never having the only interest in the property)
He got a mortgage 6 months after he finished his IVA, he needs a 20% deposit, which he is getting off his MOM.

Fact is ... he got the mortgage... if in doubt contact HALIFAX, they will mortgage anyone by the looks of it!

Kenny4315

There are quite alot of self employed out there .... plumbers, painters, builders, joiners, electricians, etc etc etc and they represent a large chunk of the workforce ... if they can't remortgage or get a mortgage ... that's sure to have an effect.

Being employed doesn't mean anything .... it means you have a job on the day ... that's all ... if you were fired today ... the likely hood is that it would take sometime to find an alternative. If one of my tenants moves out its relatively easy in comparison to find another, in a short space of time.

Maybe you're one of those that get through the million tick box check ..... but that's not the norm at the moment by long distance.

Kenny4315

Batchy wrote: »

Property BTLers/ Developers... had exposed themselves to greater losses so are all higher risk.

I have over £700k equity in my main house, what risk do I present, worst case, on default they'd flog my house, and they'd still have a ton of cash spare.

Even on my BTL's I have nearly 50% equity, on a revenue earning stream.

Batchy

Yes you have equity in your house.

but why do you want to release equity, if it isnt to gear yourself up even more?

This is the problem with (not you) but many other BTLers. They dont know where to draw a reasonable line... they just think ... buy buy buy ... and then when they have cash flow shortages with a couple of voids, they just dont understand how it can go all wrong.

Most people want a house, live in it,there you go...

Im sure if you went with a 50% deposit on your next BTL, they would snap your fingers off... however, do you need to do equity withdrawal to do it...? if so... not ideal really? your just gearing UP. in essence like punch taverns ... enterprize inns did... all about property and margins and not about customers punters and licence's

Kenny4315

Batchy wrote: »

your just gearing UP. in essence like punch taverns ... enterprize inns did... all about property and margins and not about customers punters and licence's

Is a geared company worth more than a non-geared company ? If, the two are identical in all other ways.