FSA backs down on tough lending rules

shortchanged_2

chewmylegoff wrote: »

rightmove says 815 properties under £250,000 in "west london". i'm sure there's something suitable in there. i can't be bothered to look at them all, but there's a nice 2 bedroom flat in knightsbridge for £250,000. admittedly there's no share of freehold and only 4.5 years left on the lease, but i still think it represents a good opportunity...

Personally I would be very sceptical of this.

Thrugelmir

chewmylegoff wrote: »

but there's a nice 2 bedroom flat in knightsbridge for £250,000. admittedly there's no share of freehold and only 4.5 years left on the lease, but i still think it represents a good opportunity...

Lease extension £1 million?

abaxas

Conrad wrote: »

Can you tell me what the repo rate from self cert mortgages is and nhow that compares with non self cert, in order to back up your assertion?


Which lack of 'retail mortgage' regulation lead to the credit crunch in terms of UK mortgage securities? What impact and detriment did the UK mortgage scene have upon the credit crunch?

The problem is no-one knows the repo rate due to mortgage assistance by banks or the government.

Also there are no figures for second or third charge.

Ie no-one has any idea.

FTBFun

chewmylegoff wrote: »

rightmove says 815 properties under £250,000 in "west london". i'm sure there's something suitable in there. i can't be bothered to look at them all, but there's a nice 2 bedroom flat in knightsbridge for £250,000. admittedly there's no share of freehold and only 4.5 years left on the lease, but i still think it represents a good opportunity...

http://www.rightmove.co.uk/property-for-sale/property-30522857.html

£200k, chain free (so probably some wriggle room) and close to transport.

Admittedly I don't know the area.

DervProf

RenovationMan wrote: »

Anyone can use a mortgage broker, not just tax dodgers.

We used a broker to allow us to get the maximum mortgage we could, and he delivered. What a great bloke.

Let's hope you can pay off the "maximum mortgage" without any problems. If you can, he'll still be seen as a "great bloke". If not, I`m sure there'll be some scheme to enable you to claim compensation from him for being "mis-sold".

Most of the people I know that have mortages got them from a high street lender. I suspect that those who can't quite borrow enough directly from a lender will use a broker. I'm not suggesting that all brokers are "bent", but I suspect a fair few are living "on the edge".

Good luck with interest rates, BTW. I now see why you are here - looking for reassurance that rates won't rise too much ?

Thrugelmir

DervProf wrote: »

Let's hope you can pay off the "maximum mortgage" without any problems. If you can, he'll still be seen as a "great bloke". If not, I`m sure there'll be some scheme to enable you to claim compensation from him for being "mis-sold".

If he's still in business by then. More than likely retired abroad.

DervProf

Thrugelmir wrote: »

If he's still in business by then. More than likely retired abroad.

Or serving time, maybe.

Conrad

Thrugelmir wrote: »

Ultimately oversupply with the reliance on the wholesale lending markets to raise money. Banks borrow short and lend long. In 2000, the UK mortgage market was totally funded by retail deposits, there was no reliance on the wholesale money markets at all.

Sure, but that's no reason to now endure overly tight RETAIL mortgage regulation which effectively forces millions of capable mature adults to rent

chewmylegoff

Thrugelmir wrote: »

Lease extension £1 million?

at least, i should think

Conrad

shortchanged wrote: »

I at least hope the banks are very, very stringent with who gets an IO mortgage. i.e someone that has a genuine repayment vehicle in place.

Why?
Describe to me why having an ISA is better than making capital overpayments monthly?