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sonastin

poppysarah wrote: »

I weep for people who think it's ok to buy a % of a property. What will they expect their children to be able to afford? The natural progression would be for them to be able to buy a smaller and smaller part of their property - and eventually future generations will buy 0.005% of a property and rent the rest.

Perhaps by then the "everyone must own their own home" bubble will have well and truly burst and we'll be back in the historically familiar position of property owned by a few and the majority happy to pay rent with no social stigma attached to that decision.

Home-ownership for the masses is a relatively new phenomenon and I don't understand the need to keep propping it up if it is a failed experiment.

poppysarah

sonastin wrote: »

Home-ownership for the masses is a relatively new phenomenon and I don't understand the need to keep propping it up if it is a failed experiment.

Silly multiples of income to buy a home or a bit of a house are the bit thats failed. There's nothing wrong with people buying sensibly priced property.

Look up houseprices.co.uk for your road in 2001. How much cheaper was stuff then? It's not that many years ago!

bombata

I am 27 now and was desperate to get onto the housing ladder when I was just 25.

I bought a shared ownership flat in London valued at £307.000 2 bedrooms with a 30k deposit. I bought 35%. So its about £400 mortgage and £509 rent but £130 a month service charge!

Thank good I have a lodger who pays half of it, but its really expensive.
I would have to pay that much rent anyway, renting in London in zone 2 in a nice flat, and with the view that at least I payed of 5k in the last 3 years I am happy (I took two years out of work to get back to uni)

However did I not have this flat I would not have to do my Msc in London (but somewhere cheaper) and now my boyfriend (who I met after buying the flat) is moving to another city and I would like to join him. But the burden of selling the flat without it loosing money is getting to me. Also I am unsure how long it takes to actually sell it?

I am glad to be living in a decent flat, being able to pay of a mortage but now that I want to move I am not so sure about it?

rich12ace

hi all i am just about to buy a 50% share part buy part rent 1 bed flat in a very good area that i never be able to afford to buy100% in [thats the key!] my mortgage is 199.95 and my rent is 195.95 and i can buy 100% of it over time seems like a good deal the flats for rent in this area are about £575 to£600 to rent! and you DONT own them! if you are going to buy a part buy part rent make sure the rent is not OVER £200.

property.advert

My previous rental was a shared ownership with a housing trust. The market rent for the property was £900 per month but the cost to "rent" the 50% the landlord did not own was costing over £550 and service charges were on top of that. The mortgage on the 50% the landlord was buying was around £350 per month.

You do not need to be a PhD to work out that it is a swiz.

brit1234

rich12ace wrote: »

hi all i am just about to buy a 50% share part buy part rent 1 bed flat

:eek: Don't do it, :eek:

leveller2911

poppysarah wrote: »

Silly multiples of income to buy a home or a bit of a house are the bit thats failed. There's nothing wrong with people buying sensibly priced property.

Look up houseprices.co.uk for your road in 2001. How much cheaper was stuff then? It's not that many years ago!

Exactly, In my area house prices have risen consistantly around 300% in 12 years, what have wages risen by? 30%? it says it all ..

helphelphelphelp

I have a 3 bed shared ownership property. I pay £220 pm rent for the 60% I rent and £370 pm for the mortgage. To rent the same house would cost me £850 a month, so it works out cheaper for me. Also, in this area the shared ownership (houses especially, which is what I have), are never on the market for more than a day as they are so sought after. As mine is owned in part by the local authority, once I own 50% or more, I am also able to rent it out, which you cannot do with the HA properties in the town, so another plus with this house.

So in my experience, it has worked out for me. Dont necessariliy think I am financially inept for buying a shared ownership property. This scheme suits me, the houses resell easily. It is all to do with knowing the market in your area and doing your sums.

Nikel

Article:
Shared ownership schemes: still a stretch to get on the ladder

http://www.guardian.co.uk/money/2011/mar/05/shared-ownership-schemes

Part-buy, part-rent schemes promise to fulfil the dreams of first-time buyers. But they're not a low-cost option.

It's the ads splashed across virtually every newspaper's property section that do it. They show groups of glamorous twentysomethings or loved-up couples lounging around in perfectly minimalist interiors. All have model looks, all appear to be in various states of ecstasy, and all are living the dream in a shared-ownership flat.