Shared Equity Mortgage VS Mortgage.

CloudCuckooLand

Why does the builder need to offer you "a lot"..? Because its not worth it, they know it, and want to blind you with goodies.

They offer extras/gifted deposit, but won't touch the price, to keep the figures that go into Land Registry high, to keep up appearances that prices are not dropping.

Trouble is, private re-sales are having to drop prices in many locations, they also go into LR figures, so when you come to sell your place it gets counted as second-hand and is directly related to those, price-dented sales...

A remortgage valuation will also use such sales for comparison in arriving at future LTV.

samo8076

the house is the last of the development, they way see is they are offering us more because we are in a position to buy now and want us to, hence the freebies so to speak.

getmore4less

HappyMJ wrote: »

.Oh, and another thing don't take out a 30 year mortgage. It's far too long. 25 years would be better or even 20 years. If you pick 20 years today and rates go up later you can extend the term to 30 years but if you select a 30 year term you will have no flexibility.

This is not the case

It is easier to shorten term than it is to lengten term.

30 years will be more flexable because your minimum payment will be lower, you can overpay, with a higher payment you can't underpay without issues.

GGB

CloudCuckooLand wrote: »

Why does the builder need to offer you "a lot"..? Because its not worth it, they know it, and want to blind you with goodies.

They offer extras/gifted deposit, but won't touch the price, to keep the figures that go into Land Registry high, to keep up appearances that prices are not dropping.

Trouble is, private re-sales are having to drop prices in many locations, they also go into LR figures, so when you come to sell your place it gets counted as second-hand and is directly related to those, price-dented sales...

A remortgage valuation will also use such sales for comparison in arriving at future LTV.

The thing is though, with a pre-owned property you would most likely to get things like Carpets, turfed lawn, a connected phone line, a TV aeriel, and if your lucky fitted wardrobes, white goods - or a knock down price for those in the house. These are effectively the extras thrown in by sellers and in most cases are what you would get from a builder.

Would you pay the same price for a pre-owned property without these 'incentives'?