at last someone that understands buy to let. no one in there right mind is going to pay more rent that a mortgage would be so IMO they are only good in the long run after you have paid the house off and you have somthing to show for it, by which time there may have been a resesion(sp) and i'll of got somewhere abit cheaper

 

there are plenty of people out there that pay more for rent than mortgages would be, its all down to personal circumstances !!

 

Reason I bought my my house (well, am trying to buy it anyway) is cos I wouldn't even pay LESS to rent than I would on a mortgage - I just do not see the point of renting! Why pay someone elses mortgage when you can pay your own? Either way you are gonna pay, so why not actually have something to show for it? Spend 25yrs renting, and at the end you have nothing. Spend 25yrs paying a mortgage, at least at the end you have a a property you own and can sell to make money on - you bought it for £150k and in 25yrs it might be worth ten times that! Sure, all the others have gone up aswell, but it's all releative, so if you want to downscale, or move to a different area (that might be cheaper) then you are quids in aren't you?

My old dear is paying off her mortgage currently. When her and my dad bought the house 25yrs ago it cost about £40/£50k. It's worth £350now, and if she puts £10k into re-slating the entire roof, and another £5k into decorating it to modern standards, it could be worth £400k..... My dads left, my older bro has moved out, I intend to move out soon, and in a few (10?) years my two younger sisters will probably want to move out aswell, so by that time it could be worth £450k (ish) and if she moves out and downscales to a 2bed house, or bungalow or something half the size of what we have (4 bed fully detached), then she'll be able to cash in on the house sale and have plenty money left over

Thats how I would like to end up in 30-odd yrs anyway...

 

bloody hell thats cheap!
Thought my 2bed for £350 a month was cheap

 

Mines about £180 a month

 

im lucky as im able to pay the rent/bills run 2 cars all by myslf and save a large amount at the end of the month ....me and the wife split up late last yr and i live in swindon-work in london-most friends and family in bournemouth area..and im not sure where to buy at th moment...so im just gona stay where i am and save,save,save and decide what to do in the future .............probably will buy where i meet a bird in the future???

 

Of course they will. Happens all the time. Remember, the mortage payments aren't based on 100% value, and quite often, rent exceeds morrtgage cost.

Round here for example - you can rent a 300k house for far more than the mortgage costs, precisely because you have neither the 30k deposit plus fees, or the salary to approve the mortgage in the first place.

 

Their are five lads in my house we all pay £240 each (£1200) a month so buy to let (especially to students) sounds a great investment

 

holy jesus on a pony, how much are some of you paying

i'm looking for a remortgage on the house NOW so that i can figure out what i'm going to be paying, rather than running around like a ehadless chicken in a years time wondering where the extra £500 a month is going to come from when the rates go back up again to 6.1%

but the reason people rent is that they don't have the capital to put down as a deposit (i did)

or

they don't earn enough to pay the mortgage (i didn't, thats why it's in 3 peoples name, even though the house is in mine)

there are ways and means, but if you want to buy a house in scotland where it's only going to cost you 25p but there are no jobs or transport and your only neighbours are sheep and wilderness then fine
but if you want to buy a house in london where the prices are still going up by 10 or 15% a year, year on year, then you are going to have to find yourself something like the £300k to get a property

or you can rent

the london market won't slow down for another few years, and they are already feeling the pinch in east london where the olympics are going to be staged where prices are already picking up at almost 20% a year since last year
people have already bought loads of properties with the sole reason to set them up as buy to lets and then sell them later on for millions and sod the capitals gains tax they may incour (there are always ways around that)

 

on a 23 year morgage of 165k which is fixed for 5 years im paying £1027 a month

 

pay £470 month for £53,000 but its semi commercial as my shop is joined to my house interest rate is also a killer @ 4.5% above base so its currently at 9.5% !!!!!

Looking to re-mortgage with another company up to £90k and have a couple of appointments arranged to try save some money on the interest rate, pay off some debt to release some cash to invest into some more mortgages

 

This is correct.


Thousands of people, not NONE...

This is also a valid reason why some people pay more rent than the mortgage would be.

 

so come on then dan, you seem to know your onions, how does somene with no deposit and no means of being able to afford the monthly payemnts get onto the property ladder?

or is the simple answer "they can't"?

whats going to happen to all these people who are living in rented acomodation who are currently working when they rech retirements age and their pensions won't cover their cost of living?

and, more worryingly, whats going to happen when people find out that they can't afford to pay the rent on the property they are currently renting? will the landlord/owner be up the creek without a boat?

in hidsight i hsoud have bought 3 houses with my compo payout after my accident rahter than listen to my dad and put it into the bank 15 years down the line the house prices have trebled, and, in some cases gone up 4 fold

 

There are lenders who offer 100% mortgage which means NO deposit required, for example Northern Rock, however if you cant afford to pay a monthly mortgage payment there is no option for obvious reasons.


This is the way forward, Buy-to-Lets are better investment than a bloody pension.

 

paying the monthly payment is fine...

saving for a deposit isnt!

also getting someone to give me a morgage in the first place...

 

any property investment is better than a pension

Dan what do you do and who you work for ?

 

There are also government incentive schemes such as shared ownership to help people get started.

Also, not blowing 5k on a cossie per year helps massively!

 

My partner is a fully qualified mortgage broker matey.
Bloody night after night of course work for the exams has sunk in....lol

 

dan are you on msn ? ive added you but you dont seem to have accepted

 

£1000 ish per month on £140,000

such is life

 

MSN makes me want to smash the PC up, so I dont use it any more....lol

It gets to costly in monitors to use....


PM me if you like.

 

But do you actually think house prices will drop???


if they are to go up then now would be a good time to buy???

If you bought now... they go up... then they drop... your still no worse off unless they drop below the current market value??


lee

 

i pay £825 a month on £130.000 over 25 years fixed for 3. i hate paying that amount because i was stupid and took a 100% mortgage instead of saving for a deposit

my fixed period is up in may and i hope i can sort a deal out that saves me a bit cash, may even consider going interest only for a couple of years so we can have another kid, at the mo i have to pay £320 a month for 3 days a week nursary for my 1 year old, we want another but i cant afford £640 childcare and my mortgage!!

 

I paid £170k for my 3 bedroom bungalow ,put £50k down what i made off my flat then last year i took a loan out on the house for 20k, its now 140k. I had the house valued in 2004 and it was 200k, but now it has a double garage ,paved driveway,3 bedrooms are decorated so god knows what its worth now ?????????? Got to be around the £230 mark

 

Bought nearly 2 years ago for £95,000, put £3000 down as a deposit so paying £450 a month over 40 years on £92,000.

40 years is a lot but was the longest period I wanted just to get onto the housing ladder and keep the repayments down for a few years. Thats seems to have worked ok now, just had an offer of £120,000 on the house and owe about £90,000 so will now be putting down £30,000 on a 3 bed around the £140,000 mark, been looking around for the best deal and I should be able to get something under £600 a month over 30 years. Hoping to stay for at least 3-4 years then take another jump up the ladder with a bigger deposit

I could probably go head first into a serious mortgage on a £200,000 house but I never really wan't to go above 2-3 times me and the g/fs annual earnings

 

cheers for the reply

knowing your experience then, how do you rate the news that some companies are going to stop offering lower than base rate mortgage deals?
are they just cutting off their customers or is there a more sinister motive?
and, to everyone else, what sort of price increases have you seen in property prices over the past few years then?

 

Some lenders offer "below BBR (bank base rate)" however they usually charge large arrangement fees which can range from £500 to 2% of the total loan amount, this is added to the loan, thus taking the balance of the mortgage up.

 

Some very high figure there -

think it would be very interesting to see peoples total monthly incomes compared to there committed monthly outgoings!! (or a percentage to keep the numbers secret!)

Just can't see how this can all carry on - high house prices, high mortgage payments and large debts.....!

 

I can tell you mate that the average in the UK is 84% of total income goes on living costs, mortgage/rent, council tax, rates, food, insurance etc.

This is national stat.


This leaves 16% for the cosworth......

 

And that does not include credit card, loans and higher purchase etc etc ??

 

pay approx £750 on 118k over 25 years although I have an endowment aswell which ends in 15 years and will pay a lump off the morgage(hopefully )

march 2006 paid 215k for my 4 bedroomed with a double garage
worth about 240k now
had 100k in equity from our first house which made the move possible.

steve

 

No, cards and secondary finance are not included , and you wonder why credit recovery agencies are the 3rd biggest business in the whole of the UK.

 

dont forget the government wants you to save for your pension too


but at least what ever you make your kids will get taxed to death on when you die
rule britania

 

The government take 40% off your inheritance when you die if its over 250,000 and this has to be paid to the government before you can touch a penny of it....

So anything over 250k is taxed 40% what a hurt.

NICE......

 

So 84% plus debts - I think that says it all! I am in no doubt something will give at some point and the average person will be fooked again!!

 

taxed on the money you have allready payed tax on,even when your dead,,why do we even try

 

Taxed money that has already ben taxed.

What a hurt.

 

Arent the laws being changed on inheritence tax?

 

This is how the law stands at present, there are speculation on reductions, but until the government changes this I wouldnt hold your breath.

The government KINGS OF TAX......MORE MORE MORE......

 

The country's fooked!

I pay £650 3 years fixed repayment on 106k mortgage over 30 years, with 6k deposit . 3 bed semi.

Only been on the ladder 8 months! We had to make a lot of sacrifices and it was a big shock going from our £200 a month flat to 3 times that!! got no other debt which helps, but a little un on the way in April, so moneys only going to get tighter!

Glad we did it but it can be stressfull.