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Shared ownership/equity is a scam.

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  • Orpheo
    Orpheo Posts: 1,058 Forumite
    edited 1 May 2011 at 2:18PM
    HappyMJ wrote: »
    I'm basing my statement on my area (Burton-on-Trent). If a 3 bed semi-detached freehold property came onto the market at £75,000 today it would be purchased by tomorrow.

    East Staffordshire. -8.4% YOY. -11% in final quarter of 2010.

    Semi-detached in East Staffs -10.6% YOY.

    Coming to a street near you?

    Oh, I almost forgot to add...

    :eek:
    Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam
  • Orpheo
    Orpheo Posts: 1,058 Forumite
    edited 1 May 2011 at 2:25PM
    HappyMJ wrote: »
    You could also say that mortgages are a scam as it allows people to leverage into something that they could not otherwise afford.

    The principle is entirely different in that mortgages in themselves are not designed to prop up house prices, nor do they come with the conditions and pitfalls of shared ownership/equity. The risks involved in a mortgage are made clear in mortgage documents.

    What is scandalous is supporting mortgagees with SMI.
    Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam
  • Orpheo
    Orpheo Posts: 1,058 Forumite
    Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam
  • HappyMJ
    HappyMJ Posts: 21,115 Forumite
    10,000 Posts Combo Breaker
    Orpheo wrote: »
    That's on Harper Avenue. A council owned street so I'm assuming an ex-council house. A very high crime rate. A high unemployment rate. Very low average incomes. Google "murder harper avenue". One of the most deprived areas in the country. Thanks anyway.
    :footie:
    :p Regular savers earn 6% interest (HSBC, First Direct, M&S) :p Loans cost 2.9% per year (Nationwide) = FREE money. :p
  • HappyMJ
    HappyMJ Posts: 21,115 Forumite
    10,000 Posts Combo Breaker
    edited 1 May 2011 at 7:02PM
    I'm not actually denying it's completely over. Actually I think the market will be stagnant for quite a while to come. Small falls, small rises but at the end of two years about the same.

    Actually, thinking about it, Orpheo you can place a spread bet on the prices of housing falling. If you are so convinced that they have a lot further to fall then place that bet. You'll hopefully win the bet then can buy at a low price with your winnings as a deposit.
    :footie:
    :p Regular savers earn 6% interest (HSBC, First Direct, M&S) :p Loans cost 2.9% per year (Nationwide) = FREE money. :p
  • Orpheo
    Orpheo Posts: 1,058 Forumite
    HappyMJ wrote: »
    Thanks...I'm not actually denying it's completely over. Actually I think the market will be stagnant for quite a while to come. Small falls, small rises but at the end of two years about the same.

    Actually, thinking about it, Orpheo you can place a spread bet on the prices of housing falling. If you are so convinced that they have a lot further to fall then place that bet. You'll hopefully win the bet then can buy at a low price with your winnings as a deposit.

    I don't need to gamble on the housing market. I have all the deposit I need. Currently, my deposit goes up while house prices come down.
    Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam
  • poppysarah
    poppysarah Posts: 11,522 Forumite
    Shared Ownership or Shared Equity schemes can benefit the first time buyer. It will benefit me I am sure of it. This is because I didn't stretch myself financially. .


    Can help more than prices going lower would?
  • If prices fell by 50% then obviously that would be far, far better for me as I could then afford to buy without the help of SE/SO. Would be good! However I really don't see that happening in the areas I want to live in now and I doubt that will ever happen. But who knows? For now, though, properties are well out of my reach and I would be spending more money on renting a dingy flat than I am on a mortgage on an OK flat waiting for that to happen.
  • geoffky
    geoffky Posts: 6,835 Forumite
    If prices fell by 50% then obviously that would be far, far better for me as I could then afford to buy without the help of SE/SO. Would be good! However I really don't see that happening in the areas I want to live in now and I doubt that will ever happen. But who knows? For now, though, properties are well out of my reach and I would be spending more money on renting a dingy flat than I am on a mortgage on an OK flat waiting for that to happen.

    Your age shows......learn from history..or repeat the mistakes..
    It is nice to see the value of your house going up'' Why ?
    Unless you are planning to sell up and not live anywhere, I can;t see the advantage.
    If you are planning to upsize the new house will cost more.
    If you are planning to downsize your new house will cost more than it should
    If you are trying to buy your first house its almost impossible.
  • Geoffky - I was writing in response to poppysarah's message.
    And please expand...
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