Past bad credit rating and buying through shared ownership!

scatz

I appreciate your time in replying Polly.

I was paying my way out of debt and would have been debt free by this time, even without the windfall. I fear people have misread my financial situation, partly due to me and my inability to put thought to page maybe!

I did have a problem managing money in the past. I never defaulted on an agreement and all accounts are settled and say as such on my credit rating! I was frivolous in the past but have paid all I owed. I have responsibilities now that I didn't have in the past and as such have learnt to manage my money extremely well! Yes, I have spent what I could have saved, granted! This does not, in my eyes, make me poor at managing money....moreover, enjoying the moment within my means!!

My current score is that of an average person and I imagine within the next few months will be above average based on the trend in which it has been rising over the last 18 months!

The figures I have given earlier quite clearly show that I have £1,200 spare every month which can be used for mortgage and saving. The mentality I have of saving, now there is an option to buy, is obviously going to change. Please listen when I state once again, save large deposit and buy on open market will not work, I have done my sums I could save for the next ten years but then my age will truly mean I would have missed the boat.

I can save, I do have contingencies and they have worked for me in the last 18 months! Maybe they aren't conventional but they have seen us through comfortably! We've never been in a position to say that before. I know that if we had a £1000 bill tomorrow we could get it paid within the week and tighten the purse strings and have that money back within a couple of months and also be able to save some on top! What I'm saying is that I am very frugal with money when I want or need to be!

DVardysShadow

scatz wrote: »

... Having mentioned the above, if because I haven't saved a massive amount of money I am financially illiterate then I fear for the posters true intent. Where is the qualification of such a statement.

I would not regard you as financially illiterate because you have not saved a deposit. We all know that not everyone can do so. It is more because you are intent on going ahead without much of a deposit.

geoffky

I think the op should buy a shared ownership place..He will be at home with all the other fools looking at their fools gold..

neverdespairgirl

scatz wrote: »

Why will lenders not touch me with a bargepole seeing as my credit rating is fair bordering on good! We owe no money to anyone, we have but one credit card between us which the balance is paid even before it appears on the statement, we have no CCJ's or have ever been declared bankrupt. Please qualify your statement

Just over a year out of an IVA could be a problem for a mortgage.

As I said earlier in the thread:

"Back to the initial question, you might want to post on the mortgages board,

My understanding is that very few banks and building socities do mortgages for shared ownership, and the ones that do are quite fussy about good credit records. But I could well be wrong, and the mortgages board lot would know."

scatz

DVardysShadow wrote: »

It is more because you are intent on going ahead without much of a deposit.

Because to purchase the share we would be looking at would only require a deposit of up to £2250 which is extremely achievable!

geoffky wrote: »

I think the op should buy a shared ownership place..He will be at home with all the other fools looking at their fools gold..

Thanks for you utterly useless and down right derogatory remark. In fact, if you didn't have your head so far up your own !!!!! then I'd tell you where to shove that remark!

I cannot believe some of the personal remarks that have been made. I mean, who are you to tell me that I am ready or not ready to go ahead with something. I came here and asked a specific question, I made it quite clear what my intentions were and what I didn't not want to hear for true and valid reasons yet some still seem to repeat the same old thing over and over again!

Only I know what is possible and what is not possible and all I asked was for anyone in a similar situation for advice. Not one single post has been from a person who the OP was directed. This is supposed to be a forum for advice not belittling and such remarks! You advised me on deposits, I thanked you and asked for the information that I requested but still the whole deposit bomb was drilled and drilled. Please note that I was quite polite until I was told I was a financial illiterate.......hmm, why have I got a bit short since then I wonder!

I shall think very carefully before I frequent this forum again which is a shame because at one point it was a very friendly affair indeed. What has happened I do not know?

I bid you all a good weekend.

DVardysShadow

While some of the remarks are derogatory, it seems that joining in is not beneath you ...

Most of £2250 will be swallowed up by the costs of buying. You are intent on choosing who answers your question. Now geoffky was gratuitously offensive when he said

geoffky wrote: »

I think the op should buy a shared ownership place..He will be at home with all the other fools looking at their fools gold..

But don't disregard the grain of truth hidden behind the offensiveness.

Now, suppose there was a scam, nothing to do with housing. And half the world could see it was a scam, but the rest were involved in it. And someone asked whether it was worthwhile investing in the scam. If you saw it as a scam, and the person asking about it insisted that they only wanted to hear from people who had subscribed, you would surely be a bit bemused by their attitude.

Not saying that shared ownership is a scam. Opinions vary from 'scam' to 'poor value for those who have no other option' to 'best thing since sliced bread'. But by demanding answers from only those who are into shared ownership, you are ignoring a substantial part of the good advice you are getting here.

Now, to repeat, £2250 will be swallowed by the costs of purchase. This leaves you with virtually no equity and in a very vulnerable place if you can find a lender. In fact, you should be wary of anyone who becomes involved in offering you finance if they don't laugh at how little money you are bringing to the table. You have not been seriously saving for a sustained period, preferring life's little luxuries. That id fine. But your choice now is to decide that this is a boat you will not take at the moment or to proceed on a very risky basis.

I realise that you may find this upsetting. That is not the intention. I just hope that you realise what you are getting into and the risk involved.

Running_Horse

scatz wrote: »

South East is only 2nd to Greater London in the average property price game and even terraced housing is averaging £200k. Our earnings only allow for a mortgage of around £100k!!

What area are you?

There are plenty of terraced houses in the south east for less than £100,000.

thequant

Running_Horse wrote: »

What area are you?

There are plenty of terraced houses in the south east for less than £100,000.

like many other deluded buyers in this market, he's probably aiming way out of league and expects to live in a "nice" are

silverchair

Running_Horse wrote: »

What area are you?

There are plenty of terraced houses in the south east for less than £100,000.

Where? We are looking at moving to the South East from London & havent seen any for 100,000 other than one which you would then have to sink a min of 50,000 to make it liveable (but not to a good standard). Are there any particular areas. I know medway is fairly cheap, but again having seen houses that cheap unless you have to sink loads of money into it

Running_Horse

silverchair wrote: »

Where? We are looking at moving to the South East from London & havent seen any for 100,000 other than one which you would then have to sink a min of 50,000 to make it liveable (but not to a good standard). Are there any particular areas. I know medway is fairly cheap, but again having seen houses that cheap unless you have to sink loads of money into it

I've found this amazing website that lets you search for property:

http://www.rightmove.co.uk/property-for-sale/map.html?locationIdentifier=REGION%5E61307&sortByPriceDescending=false&minPrice=80000&maxPrice=110000&minBedrooms=3&maxBedrooms=3&displayPropertyType=houses&oldDisplayPropertyType=houses

http://www.rightmove.co.uk/property-for-sale/map.html?locationIdentifier=REGION%5E61307&sortByPriceDescending=false&minPrice=80000&maxPrice=110000&minBedrooms=3&maxBedrooms=3&displayPropertyType=houses&oldDisplayPropertyType=houses#_includeSSTC%3Don%26auction%3Dfalse%26displayPropertyType%3Dhouses%26locationIdentifier%3DREGION%255E61299%26maxBedrooms%3D3%26maxPrice%3D110000%26minBedrooms%3D3%26minPrice%3D80000%26oldDisplayPropertyType%3Dhouses%26previousSearchLocation%3DSurrey%26radius%3D0.0%26searchLocation%3DEssex%26searchType%3DSALE%26sortByPriceDescending%3Dfalse%26useLocationIdentifier%3Dtrue%26box%3D-0.29114%2C1.56555%2C51.23785%2C52.29672%26mapType%3DMap

http://www.rightmove.co.uk/property-for-sale/map.html?locationIdentifier=REGION%5E61307&sortByPriceDescending=false&minPrice=80000&maxPrice=110000&minBedrooms=3&maxBedrooms=3&displayPropertyType=houses&oldDisplayPropertyType=houses#_includeSSTC%3Don%26auction%3Dfalse%26displayPropertyType%3Dhouses%26locationIdentifier%3DREGION%255E1089%26maxBedrooms%3D3%26maxPrice%3D110000%26minBedrooms%3D3%26minPrice%3D80000%26oldDisplayPropertyType%3Dhouses%26previousSearchLocation%3DHampshire%26radius%3D3.0%26searchLocation%3DPortsmouth%252C%2520Hampshire%26searchType%3DSALE%26sortByPriceDescending%3Dfalse%26useLocationIdentifier%3Dtrue%26box%3D-1.30188%2C-0.83771%2C50.68863%2C50.95886%26mapType%3DMap

No way you need to "sink" £50,000 into a terraced house in Medway. £10,000 at most, and often not even that. It's not the greatest area, but did for my first home when priced out of London.

I have searched for up to £110,000 as no one pays full price. I could have gone to £120,000 if the OP had a standard deposit saved up, which opens up many more possibilities, as would just 2 bedrooms. Even excluding the mobile homes and shared ownership results, there are lots of houses for anyone with a budget of around £100,000.