Mortgages
- Thread starter platypus
- Start date
It was shocking when looking at a mortgage of 215k after 2 years of payments and we had made about a 2-3k dent in it. However it was also refreshing that after the two years we could (without adding additional funds) get a much better rate as the mortgage was then 85% ltv instead of 100% - due to house price increase.
Affordability is such a varied thing anyway. A simple rule of not having more than x% of your income paying your mortgage is a very basic guide. If someone earns 90k and lives similar to someone who earns 30k then bills,council tax etc become less of an issue and >50% of income on mortgage could be doable.
Affordability is such a varied thing anyway. A simple rule of not having more than x% of your income paying your mortgage is a very basic guide. If someone earns 90k and lives similar to someone who earns 30k then bills,council tax etc become less of an issue and >50% of income on mortgage could be doable.
As much as you can. If you can get >=10% deposit then imo the mortgage deals are very similar. If your mortgage is > 90% ltv then the lenders don;t seem to favour you.
I suppose this figure is fairly interesting, why 10% - could this be the predicted amount that the housing market may fall (thus ensuring the lenders will not lose any money).
As big as you can get is best. The more deposit you have the more chance of a better lending rate, as you LTV is lower
I agree with that. Personally I think it's become a way of controlling the masses. Its become an obsession. My friends are always talking about property, how much they have or haven't made. How much they can't afford to go out etc.
My dad bought us up on a decent council estate in cambridge. We lived in the same house for nearly 20 years. As did most of the neighbours. There was a great community spirit and my dad had plenty of money to improve the home and bring us up. If something like a boiler broke he just called up the council.
He's always paid his rates and tax and now he's old an is suffering the early signs of alzheimer's he doesn't have to worry about rent or council tax. He's had a great life on the wages of a driving instructor and has never worried about having his house repo'd or debt, subsidence or maintenance.
The trouble is those decent estates are few and far between these days or I'd be happy to live the same way.
It would be mate, the plan is to charge you to leave the city boundaries too. If you use a car in the boundary even to leave it will cost you. The worst is they have put the line outside the park and ride. So to use the park and ride you have to drive into the toll area.
Whichever council is in power when that starts up can say goodbye to cambridge for years.
We went 97% (3% of which was a vendor gifted deposit) which gave us a better rate than 100%, so I certainly agree. Furthermore, you need a fair wedge behind you full stop, even on 100% (about £2000 for us) what with surveys, solicitors fees and first months bills which are generally larger!
Yer i kind of guessed that
I would put 50% deposit down if i had it.Any examples ? I.e. would 10k be what is expected when taking out a 100k mortgage. But if i could put down more then great.
Soldato
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As stated I think you need a 10% deposit or greater as the 90% ltv value mortgages are normally a lot better rate/total cost wise than 90%ltv or 100% ltv. I don't find the same when going from 90% ltv to 80% ltv.
I would say if you are looking for a 100k house then having 10k for a deposit and 3k to cover costs (surveys,arrangement fees etc) is a fairly solid start.
I would say if you are looking for a 100k house then having 10k for a deposit and 3k to cover costs (surveys,arrangement fees etc) is a fairly solid start.
Ah cool your not far from where I used to be, the other end of Coldhams lane in Cherry Hinton. My Mrs used to work on the site that got demolished for your houses.
Atleast you haven't got to go far to see the U's play
I can hear the U's from my Kitchen
Have only been to see them once, and I've lived in and around Cambridge 29 years!My girlfriend lives in Cherry Hinton, and my Brother-in-Law is from there.
I've been slowly reaching this conclusion - even though I only use my car to drive to work (bicycle at all other times). I really don't want to live outside the centre though, and so will probably continue to rent for a while.
And the boat stays
How far are you prepared to go? Even as close as Milton you will get more for you money. You can still bike to work.
Essentially the lower your LTV (Loan-To-Value) ratio, the more offers will be open to you.
Generally speaking there is no/very little gain from dropping below 75% LTV in terms of what is on offer. 90% is a reasonable target although obviously you can do better.
I can hear the U's from my Kitchen
My girlfriend lives in Cherry Hinton, and my Brother-in-Law is from there..
I lived in Cherry Hinton for 29 years and I too have been to see them once