Shared Equity Taylor Wimpey £119,995 flat

poppy10_2

rh203 wrote: »

I have looked at them, but is that not relative to the location / property / developer etc?

What, "It's different here"? One of the most dangerous lines of thinking when it comes to the most expensive purchase you will ever make. The fundamantals apply, wherever you are in the country, and whoever the developer is. Shared equity and shared ownership are scams, pure and simple.

rh203

I can see how shared OWNERSHIP is a scam in a way, but how do you come to the conclusion that shared EQUITY is a scam? I'm struggling to see how a builder giving an interest free, 10 year loan for you to use as a deposit is scamming anyone. Unless the house prices are inflated, which for the majority they don't appear to be...

Also, to answer a question, why do new build houses pose more of a high risk investment than second hand homes?

Thanks again.

FraudBuster

The broker linked to the development

Take advice from an independant professional, not from somebody who has a target driven vested interest.

Dave101t

terrible, terrible idea, and your a student, wanting to take on a near 100k mortgage?!
heres what to do.....live with your parents, save the 500 quid a month for 5 years then get married and buy a house with your partner. double income plus your deposit.
ps i live in gateshead, dont pay 120k for a taylor flat...please!

clairecymru

I have made £15,000 profit in two years with shared equity with bovis homes. Not every shared equity has a horror story.

One thing you will have to check though is that you may not be able to rent out the property because of the second charge on the property. There are also not a lot of banks who like to give mortgages on shared equity. We did have a good deal with nationwide though at 4%

rh203

I'm a student with a guaranteed unconditional job offer at a large multi national company based in Newcastle after an internship, salary starts on 21k but climbs quickly due to the scale. Can't live at home - I'm from Durham and would need to travel near Blyth every single day which would probably cost more in petrol than renting a place here in the first place. I'm expecting some money in the coming years from various sources and my initial idea was to look to use the scheme to avoid throwing rent down the drain and actually put it toward something with the potential of my G/F moving in and adding onto the property or renting out the second room for greater income.

P.S what's up with the flats?

rh203

clairecymru wrote: »

I have made £15,000 profit in two years with shared equity with bovis homes. Not every shared equity has a horror story.

One thing you will have to check though is that you may not be able to rent out the property because of the second charge on the property. There are also not a lot of banks who like to give mortgages on shared equity. We did have a good deal with nationwide though at 4%

Thanks for the help... I asked that question and there is no restriction on rental or renting rooms etc. If you don't mind me asking, when and where did you purchase the properties and what was the outline of your shared equity deal? Do you know of any sites that can give an idea of shared equity mortgage rates etc?

Dave101t

the flats are ok, but only ok as in passable. nothing special. and to pay that much for it, you may as well buy a semi detached house for the same money...plenty in the metro.

rh203

Dave101t wrote: »

the flats are ok, but only ok as in passable. nothing special. and to pay that much for it, you may as well buy a semi detached house for the same money...plenty in the metro.

True, I know I could get a semi detached house, but I couldn't get a deposit together for that in a million years and seen as this is a two bed flat overlooking the river, I'd guess it would rent out quite well for professionals as well as increase in value, seeing as I'm viewing it as a long term investment and not something I'm going to look to sell in the coming years.

clairecymru

Purchased our flat in apr 2009 in Cardiff for 115,000. We used bovis homes jumpstart scheme. They paid our 25% deposit. Interest free for five years. Had to be repaid within ten years. Didn't need any deposit of our own. We just pay bovis back 25% of the sale price. Just had an offer for
135,000. The only places who did shared equity deals when we purchased our flat was nationwide and Halifax. Nationwide gave us the better deal.