Help to buy equity loan.... very unhelpful !!!

Pixie5740

sky_rat wrote: »

Because you can only get a 20% equity loan on a new builds. Otherwise I would need to find that 20% myself - thats the whole point of the help to buy equity loan.

Yes, I do understand what the HTB equity loan is but I also understand that new build properties tend to be more expensive that pre-owned homes. Could you not use the HTB mortgage guarantee scheme and buy a used home with a 5% deposit?

sky_rat wrote: »

My parents don't have £60k for the deposit, its £20k ! Based on the monthly payments I could afford on a mortgage (which is the same I pay in rent each month) I could afford a mortgage of around £180k.

Still £20k more than I was given by my parents.

sky_rat wrote: »

So with a mortgage of £180k and a £20k deposit it means I could afford a property of £200k.

However, two bedroom properties are nearer to £250k so I am £50k short... unless I can get a help to buy equity loan to make up the £50k short fall.

Have you sat down with a mortgage broker and gone through all the figures? You might be able to borrow more than you think, or at a better interest rate.

sky_rat wrote: »

Maybe you are better off than me with your 1st :P)

But maybe your situation is different to me and you aren't a single parent either (see my previous post!)

You've made lifestyle choices, I've made lifestyle choices.

There are things you could do to help yourself but you're being pretty fussy about where you're prepared to live and I'm sure there are things in your budget that could be cut down/out to help you save money. That said, home ownership isn't a god given right and there's nothing wrong with renting (well there's nothing wrong with it if your LL is decent).

You have choices, you just can't see them yet.

AdrianC

sky_rat wrote: »

I would rather rent until I find something I like than rush into buying something I don't like

OK, we're getting to the bottom of your priorities and "needs" now.

Still, even removing flats from the search, there's nearly 300 properties within your budget. If there's nothing you like there, there should be something you like soon enough.
http://www.rightmove.co.uk/property-for-sale/Milton-Keynes.html?maxPrice=220000&minBedrooms=2&retirement=false&primaryDisplayPropertyType=houses&partBuyPartRent=false

Even if you use Broughton as a shorthand for J14, there's still 165 houses within budget within 3 miles.
http://www.rightmove.co.uk/property-for-sale/find.html?locationIdentifier=REGION%5E4842&insId=2&maxPrice=220000&minBedrooms=2&retirement=false&displayPropertyType=houses&oldDisplayPropertyType=houses&primaryDisplayPropertyType=houses&oldPrimaryDisplayPropertyType=houses&radius=3.0&partBuyPartRent=false

sky_rat

PS. Just wanted to say thankyou to everyone who has taken the time to reply

sky_rat

Thanks AdrianC... Ill take a look and go back to the drawing board

arbrighton

sky_rat wrote: »

Been there and done that.. I lived in northampton for 3 years. It made contact with my daughter difficult as on a busy rush hour friday afternoon (and to some extent sunday evenings) it could take an hour to do those 20 miles. And now they have 3 years of roadworks so its likely to be worse still. Again I would have to reduce contact with my daughter so its the case of weighing up whats more important. Being in my daughters life as much as possible whilst she's still young, or reducing contact with her to make the commute and house buying easier. I have worked hard to have a close relationship with my daughter so she has been my priority

But if you're out 8 til 8 each week day, that's not going to give you any contact then anyway. If you can't buy where you are now and are so far from work and rarely see her, something needs to change, whether it's the job (including what you are prepared to do), where you live or which way the commute is (i.e. to see daughter rather than to work- you could use AL to take some friday PMs off to see her)

I used to commute round the M25 every friday night and sunday night from where I was going teacher training to see OH for the weekend, it sucked but I did it anyway.

arbrighton

Pixie5740 wrote: »

There are things you could do to help yourself but you're being pretty fussy about where you're prepared to live and I'm sure there are things in your budget that could be cut down/out to help you save money. That said, home ownership isn't a god given right and there's nothing wrong with renting (well there's nothing wrong with it if your LL is decent).

You have choices, you just can't see them yet.

Exactly, too many criteria that make it more difficult and too many excuses why this or that won't do

blahblahblah85

Okay west side of mk all within your budget, bar the last one they seem to tick the family home with a garden box.

Broughton
http://www.rightmove.co.uk/s6p/51390806
http://www.rightmove.co.uk/s6p/50832965

Monkston
http://www.rightmove.co.uk/s6p/51355526

Newport Pagnel
http://www.rightmove.co.uk/s6p/51132695
http://www.rightmove.co.uk/s6p/49028476

I appreciate you are frustrated and I admire you for prioritising your daughter here but you're coming across as entitled and fussy!
I don't think you've been trying very hard if you think it's impossible to find anything under £200k in MK. I know from experience you absolutely can and if anything I would say that budget is nearer the top end when talking about 2nd hand houses.
Also you seem to think new builds are hassle free but more often than not you will have a huge list of things for the builder to correct, may be free but depending on your levels of risk you will have to arrange for someone to be in....and if you want anything other than magnolia and blank walls you have to wait a year to decorate for the house to settle.
Lastly I wish my parents gave me £20k!!

blahblahblah85

sky_rat wrote: »

At the start of the year I put my name down for a 2 bedroom new build and I was approved for a mortgage agreement in principle. The property was priced at a ludicrously, over inflated price of £265k (in Milton Keynes) and my parents were able to help with a £20k deposit.)

Where was this out of interest?
Brooklands 3bed townhouses with ensuite etc were around this and just saw this http://www.rightmove.co.uk/s6p/25539681

kingstreet

silvercar wrote: »

We have an offer accepted on a 2 year old property that I thought was cheap compared to the new builds that are being sold on the same development. I put this down to the fact that new builds attract a premium but after reading this thread it could well be that the H2B scheme means that there is less demand for re-sales.

People who bought in 2013 & 2014 at Oakgrove, the Crest Nicholson site we have in Milton Keynes are selling at a profit and at a level close to the current newbuild prices.

We've had a couple of our clients come back to buy bigger newbuilds on the latest phase of the same development after selling their current homes.

The idea of the newbuild premium disappearing and values dropping seems to not be the case in some parts of the country where supply problems remain.

silvercar

kingstreet wrote: »

People who bought in 2013 & 2014 at Oakgrove, the Crest Nicholson site we have in Milton Keynes are selling at a profit and at a level close to the current newbuild prices.

We've had a couple of our clients come back to buy bigger newbuilds on the latest phase of the same development after selling their current homes.

The idea of the newbuild premium disappearing and values dropping seems to not be the case in some parts of the country where supply problems remain.

We were looking in North London. A development where the new builds were at £360k, we found a re-sale at £330k where the owner had bought at £305k. We may have found a bargain as similar re-sales are on at £360k and £380k.