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Vendor Forced Me To Exchange - Help

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Comments

  • Georgedunn
    Georgedunn Posts: 27 Forumite
    csgohan4 wrote: »

    Your a high earner and you depending on Help to buy is in itself evident of your poor grasp of finances. You do know you will likely be paying back more than you get from the HTB scheme.

    Certainly not dependent on the help to buy at all, was always my intention to cut outgoings once mortgage was approved. Using the help to buy is just allowing me to get further up the ladder. By having 2 lodgers who are in effect paying my mortgage it will allow me to pay off the £110k loan from Help To Buy in 2/3 years.
  • dunroving
    dunroving Posts: 1,881 Forumite
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    Georgedunn wrote: »
    Certainly not dependent on the help to buy at all, was always my intention to cut outgoings once mortgage was approved. Using the help to buy is just allowing me to get further up the ladder. By having 2 lodgers who are in effect paying my mortgage it will allow me to pay off the £110k loan from Help To Buy in 2/3 years.

    So each of your lodgers is paying upwards of £2k per month for a bedroom?
    (Nearly) dunroving
  • csgohan4
    csgohan4 Posts: 10,587 Forumite
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    dunroving wrote: »
    So each of your lodgers is paying upwards of £2k per month for a bedroom?



    For that kind of money I could rent a nice apartment in a nice part of London al to myself, no thanks OP
    "It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"

    G_M/ Bowlhead99 RIP
  • Georgedunn
    Georgedunn Posts: 27 Forumite
    dunroving wrote: »
    So each of your lodgers is paying upwards of £2k per month for a bedroom?

    No, £1,200 a month mortgage ( Santander at 1.49%), each lodger is paying £600 a month which is the going rate for a room in Milton Keynes. Bills are then split 3 ways, so in effect I am paying 1/3 of bills to live in this property.
  • dunroving
    dunroving Posts: 1,881 Forumite
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    Georgedunn wrote: »
    No, £1,200 a month mortgage ( Santander at 1.49%), each lodger is paying £600 a month which is the going rate for a room in Milton Keynes. Bills are then split 3 ways, so in effect I am paying 1/3 of bills to live in this property.

    My A-level maths is deserting me.

    How will each of them paying £600 per month pay off a £110k loan in 2-3 years? Even an interest-free loan would take monthly payments of £3,056 to pay off in 3 years . I can't see any way you are netting that amount. Never mind the fact that at the start of the loan there is £1,639 per year in interest to pay.
    (Nearly) dunroving
  • Georgedunn
    Georgedunn Posts: 27 Forumite
    dunroving wrote: »
    My A-level maths is deserting me.

    How will each of them paying £600 per month pay off a £110k loan in 2-3 years? Even an interest-free loan would take monthly payments of £3,056 to pay off in 3 years . I can't see any way you are netting that amount. Never mind the fact that at the start of the loan there is £1,639 per year in interest to pay.

    Apologies, didn't explain it correctly. They will in effect be paying my £1,200 a month mortgage, I will then be able to save more to pay off this £110k Help To Buy.
  • hazyjo
    hazyjo Posts: 15,470 Forumite
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    You know the rent a room scheme rental income is only up to £7,500pa (not each) then you're paying tax?
    2023 wins: *must start comping again!*
  • Asl77c
    Asl77c Posts: 87 Forumite
    You do realise that you have posted on a public forum, with your full name and job, and now are essentially saying you are going to take part in tax evasion by your mates paying cash? That!!!8217;s the impression I get from this. Not the best idea.........
  • dunroving
    dunroving Posts: 1,881 Forumite
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    hazyjo wrote: »
    You know the rent a room scheme rental income is only up to £7,500pa (not each) then you're paying tax?

    Or should be ... OP seems to have other ideas about his mate's cash payments. I can see this thread taking a whole different turn.

    People in glass houses and all that.
    (Nearly) dunroving
  • davidmcn
    davidmcn Posts: 23,596 Forumite
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    Oh dear. I guess paying tax is for the little people...
This discussion has been closed.
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