Anyone bought there council home?

[Tute]

Exactly. It seems that the quickest way to get yourself into one of these council houses is to be irresponsible in the first place (have a child that you can't pay for is a good way to accelerate up the list), but then we reward people like that by subsidising their house purchase with taxpayer money after they've lived there a certain time?

This scheme needs to be scrapped, or at the very least, tightened down to something like 5% discount maximum.

 

[deuse]

The maximum discount in the South West was £30,000 from 1998.

If they bought this £140,000 house for £17,000 in the last 10 years then something is amiss.

Not if they bought a house that was not modernised. Mine was £12,000 for a two bed house but the toilet was outside.

I modernised it over a six year period then sold it at a very nice profit.

 

[deuse]

That's not my point though is it - my point is, why are taxpayers subsidising someone else's house purchase?

Oh you mean the same as the gov subsidize first time buyers mortgage with tax monies?

 

[Tute]

Two wrongs do not make a right.

[Edit] Also, if you mean this:

http://www.direct.gov.uk/en/Nl1/Newsroom/DG_197938

It seems it's a loan, and would still need to be repaid on selling the property in the future?

 

[deuse]

Two wrongs do not make a right.

[Edit] Also, if you mean this:

http://www.direct.gov.uk/en/Nl1/Newsroom/DG_197938

It seems it's a loan, and would still need to be repaid on selling the property in the future?

You don't have to pay back a penny if you use your head
"Loans will be repaid on resale of the property, with the government's share available for reinvestment in more affordable housing"

What happens if someone lives in the house for thier life time then leaves it to their kids is anyones guess.
But blame the tory gov as they started it

 

[Slade2]

If you just wait the 5 years thats 7.2k in rent on a 130k property gives you a house for 97.5k so a saving of 25k which isn't bad but you need to get someone to give you mortgage first right? How is a bank going to lend you that amount of money without any kind of deposit unless your on a good wage?

I believe most mortgage companies can use the discount you get off the property as your deposit since your load to value percentage will be lower than the value of the house you might not need a deposit.

 

[HighlandeR]

Two wrongs do not make a right.

[Edit] Also, if you mean this:

http://www.direct.gov.uk/en/Nl1/Newsroom/DG_197938

It seems it's a loan, and would still need to be repaid on selling the property in the future?

You don't have to pay back a penny if you use your head
"Loans will be repaid on resale of the property, with the government's share available for reinvestment in more affordable housing"

What happens if someone lives in the house for thier life time then leaves it to their kids is anyones guess.
But blame the tory gov as they started it

Was reading this with interest, but feels like there are some catches after reading that first buy guide.

Seems u can this equity loan of 20% of your house/flat price but u gotta start paying back some interest after 5 years, if that is the case u cant escape.... also from what I read on that guide u pay back that 20% from your house value.... what if your house goes up in price they get more share?

Also I dont think this equity loan of 20% is working with the Right to buy scheme, seems its seperate and available for the people that register for the First Buy scheme ?

Perhaps someone who understands these schemes or knows about houses/morgages can correct me lol

 

[Tute]

I'm not 100% sure how it works - I did have a look as i'm interested in buying a house in the next year or two, but I can't seem to understand how exactly it works.

Either way, it's not as clear cut as getting upto £75,000 off the price of a house!

 

[Surveyor]

Not if they bought a house that was not modernised. Mine was £12,000 for a two bed house but the toilet was outside.

I modernised it over a six year period then sold it at a very nice profit.

That's fine but there's not much point in him saying they bought a house for £17,000 that's worth £140,000 now if the property has been modernised since they bought it.

It wouldn't be a valid comparison.

I'd have thought he would have mentioned that.

 

[HighlandeR]

I'm not 100% sure how it works - I did have a look as i'm interested in buying a house in the next year or two, but I can't seem to understand how exactly it works.

Either way, it's not as clear cut as getting upto £75,000 off the price of a house!

this will help explain the terms better

http://www.direct.gov.uk/en/homeandcommunity/buyingandsellingyourhome/homebuyingschemes/dg_4001398

course in a year or 2 who knows if the £75k off council homes offer will even exist, and house prices may go up and down also.

I have been considering buying our council home under the right to buy scheme but there are many things to consider indeed, it is not an easy step.

That equity loan of 20% might have sealed the deal for me but I dont think it applies for people taking the Right to buy scheme, afterall one getting 75k off there council house and then a 20% free morgage would be far to much off!

Anyhow dispite Right to buy being good or bad if you have a chance to get 75k off a house or 50% off a flat then it is a chance to get on the property ladder.

 

[elmarko]

Right to buy only works if you replace all of the sold stock with new council houses.