My Choice/New Build Home Buy

mojobanana

Hi all,

first post and a couple of questions, but it'd be great if anyone can help out.

I've applied to various people for shared ownership and am now looking at my choice homebuy and new build homebuy. I've just applied to a second company on this.

Initially, I was interested in shared ownership, but when I applied I was told that I was a single person I could only have a 1 bed apartment, which isn't appropriate as I have a dog (and I'm not giving her up) and really need a garden. Plus, I just don't want to live in an apartment.

So then I started to learn more about homebuy and have been looking at properties in my area. I'd ideally like a 2 bed house, which are about as rare as hen's teeth in Milton Keynes, but have been looking at 3 bed (new build) houses. I've found one I really like, I'm just worried about the money aspect of it. The price of the house is £242k and I could raise a mortgage for the £142k without too much of a headache, so that means I'd need an equity loan for £100k. A 2 bed house is available (but not as nice and in a less nice area) for £190k.

Does anyone have any experience of these schemes and if it's likely I'd get a £100k equity loan? (Assuming I'm accepted, I am eligible as far as I know.)

I've fallen in love with the idea of having my own place as I've rented for 10 years now, and had 11 different addresses in that time. This is causing sleepless nights as well, making me ill!

Thanks to anyone who can help or offer words of advice.
Jo

Lotus-eater

Well I would have a good read through this and the sub house price board.

All I would say is, you've rented for 10 years and now want to buy at probably the worst time in those ten years........ think about it.

mojobanana

I would have thought now is a good time to buy. I have no chain, the builders are desperate to shift their new houses and I can get a mortgage, as advised by 2 different (independent) financial advisers. All of the developers I saw over the weekend were keen to stress they're happy to put a deal together...

Or am I missing something?

Lotus-eater

mojobanana wrote: »

Or am I missing something?

Depends if you've read through the two boards I mentioned?

There are plenty of FTB, shall I, shan't I threads.

If you still want to buy after reading them, then no, you probably aren't missing anything.

Jorgan_2

Have you looked to see if there are any shared equity schemes in your area? They are different to shared ownership in that you do not have to pay a rent as well as the mortgage. We have just been instructed to sell a new build property by a HA, on a 70:30 basis. The HA retain ownership of the 30% until the property is sold, the 30% is calculated on the sale price, not the purchase price. The 30% is also viewed as a deposit by some lenders.

Not dealt with equity loans, so can't advise on that side of things.

geoffky

I you are missing somethink and that will be 100k in a year or two time..and i am not joking...

ioscorpio

With Mychoice Homebuy you can only have one more bedroom than you need, so if you are a single person, you can only have a two bedroom property.

You will own the property 100% but have a service charge % on top of your mortgage.

jennyred

Hi

have a look at ownhome (places for people) who do equity loans for up to 40% interest free for 5 years then 1.75% for 5 years. i think they only do properties up to 200k though i'm not sure. there is criteria - key worker or renting social housing and FTB and earning under 60k a year. only snag is you HAVE to get your mortgage through co-op although they have a great 10 year fix at 5.99 with 899 fee.
we are doing this at present and it is the only way my partner and I can think about getting on the property ladder. the money that we save in interest - had 10k deposit our self - 95% LTV approx 6.8% - we can save in ISA and pay of the loan before the interest kicks in.

worth looking into

jenny

mpsavuk

If you really want to do this then maybe better get it sorted quickly, before lenders pull share ownership mortgages.

pushpa

hello please help me.
i have got my house on for sale through an agency.as i have no viewings so i decided to advertised it
where i work we have a noticeboard where we can sell items and only staff can access the adverts on the notice board so i then decided to put my house on that notice board..and guess i had lady ring me on my mobile and wanted to view my house later on that day she viewed the house and she really liked it so we both agreed to a price a gave her a big discount has i dont need to pay agents fees as i have done this privetly by advertising it myself (dont worry my contract with my agents ran out long time ago so they wont have a leg to stand on) she then asked me if it was alright to give my telephone to an agent that is dealing with her geting a loan so i said yes thats fine by me.
now my buyers agent rang me up to say that she likes your house and we will sell it for you and you will have to pay us a fee for doing that,first of all i was quite confussed as i got the buyer myself by advertising it and i did not understand why am i going to pay my buyers agents i have never spoken to them i have no contract with them i did the sale myself i explained this is a private sale he then explained that he gave the lady estate agents cards with his name and number to her and said that if you know that someone is selling and you like that house they will have to buy it from us but this was not the case in my sale she did not give me a card so i urgued with him no it was not like that i advertised it and i dont have to pay you anything he then said he will not let that lady buy my house unless i go through then that is blackmailing we went round and round in circles as they are helping her to get a my choice home loan so she can only buy my house if i sell it through them that is wrong he said if you dont sell through my agency then i will tell that lady not to buy your house wow i was shocked he said to me that he going to put the phone down he was so rude but i am sure its up to me end of the day MY HOUSE SHE VIEWED THROUGH MY ADVERTISEMENT AND ARRANGED WITH ME TO VIEW THE HOUSE THAT IS A PRIVATE SALE WHERE HAVE THIS AGENT POPPED OUT FROM
PLEASE HELP .ANYONE THAT WORKS FOR MY CHOICE HOME PLEASE REPLY TO ME OR SEND ME A LINK

ioscorpio

Walk away, it will take ages for it to go thro MCHB, your buyer misled you as she does not have the funds in place to proceed. Her EA is trying a fast one with you. You could get in touch with MCHB direct, as they will refer your buyer to one of their own financial advisers. I have not dealt with MCHB on the used market, but have on the new market.