In fact he has pledged 200,000 in a ‘right-to-buy’ revamp. this will be great news for people living in council houses that really want to buy the home they currently live in.

I borrowed this from www.yourmortgage.co.uk

David Cameron has promised up to 200,000 extra affordable homes as he unveiled plans to extend Margaret Thatcher’s ‘right-to-buy’ programme.

In an interview with the BBC’s Andrew Marr, the Prime Minister said the government is to increase the discounts available to council housing tenants in England who want to buy their own homes.

The move is an extension of the right-to-buy policy, which proved a vote winner for Margaret Thatcher, but critics said crippled the stock of social housing and fuelled a house price bubble.

Cash raised by the sale of council housing will be spent on buying further homes, which will then be rented out at a reduced rate.

Cameron told the BBC: “There are over two million homes that are still available to be bought.

“So this is something that will make a big difference. And again that could provide another 100,000 homes, another 200,000 jobs.

“So taking those two policies together that could be 200,000 extra homes, 400,000 extra jobs.”

The government’s aim is to build one new home – to be let at up to 80% of the market rent – for each property sold. On proposed changes to the planning laws, Cameron said changes needed to be made to give communities a greater say on the extra housing they need to keep their shops, pubs and post offices alive.

“Boost for first time buyers with 10 per cent deposit as mortgage rate falls below 6 per cent for first time in three years

The average cost of a 90 per cent loan-to-value (LTV) mortgage, typically taken out by first-time buyers, is now 5.98 per cent -  0.4  per cent less than in May last year.

In a further boost to people trying to get on to the property ladder, the number of different deals available to those with only a 10  per cent deposit has soared by 41 per cent during the same period to 229″

Naturally there are better deals out there for those with a bigger deposit. If you have 20-30-50% or more then, you could expect 3.91% (40%)

But of course, only those with existing properties, will have those kind of deposits. But a lot of my existing customers are looking for and getting better deals all the time.

But, first time buyers are an ingenious bunch and they seem to find lots of ways to come up with the 10% deposit that is often required.

They borrow from parents or grand parents, or they they go out and get two or three extra jobs to help the save for a deposit.

No different now, than it was when I bought my first property back in the 80′s.

More competition please

So now there are more 10% deposit mortgage deals on the market and about time too. We need more competition in the market….That’s what drives this business and makes the banks lend at more competetive rates.

Its true there are more deals available now and if you need some help and advice, give me a call.

Because your monthly payments on a mortgage could well be less.

There are some caveats to this and I cannot give you any actual advice here, because I do not know your particular financial position.

After all, mortgages are not a “One Size Fits All Solution”, we arrange mortgages only after a personal discussion to determine what I think would be best for your situation, followed by researching the whole of the mortgage market.

But Suren Thiru, who is a housing economist at Halifax, said earlier today “a marked decline in mortgage costs has improved affordability for those able to enter the market”

He said this because, there has been a fall in mortgage rates during the last 3 years, which means that the average three bedroom property costs £608 per month to buy, compared to £709, that you may pay in rent. But in March 2008, the same 3 bedroom property, would have cost £1,060 per month, compared to £761 to rent.

In 2008, the average rates were 5.28% compared to 3.59% today.

The only problem is the deposit, a minimum of 10%

Now who in your family can lend you 10% as an investment.

We provide many mortgage solutions, we may have one for you.

If you think we can help, give me a call.

Michael Usher,
The Friendliest Mortgage Adviser In Town.

Although we are not sure of what the criteria will be and if it will be postcode allocated, I thought it best to try and give you the facts as we know them.

Whether this will be good for Camberley people looking for their first mortgage, we’ll have to wait and see.

£250 million has been allocated to the ‘First Buy scheme’, this means that this is only available to real first time buyers. Those that do qualify, will be eligible for a loan of up to 20% of the property’s value.

But buyers will still have to find 5% from their own savings, there fore there will be 75% mortgage.

The 20% loan will be shared by the government and house builders.

The scheme is also only open to couples who have a combined salary is no more than £60,000.

This scheme will available for 10,000 new homes, which is just a drop in the ocean, considering the number of young people that want new properties.

Will this scheme be operated locally, well have to wait and see, but rest assured I will have my finger firmly on the pulse and keep you updated.

If you want to buy a house in Camberley, then heed the advice.

I am always here to offer mortgage advice, so please call me for a chat to see if we can take things any futher.

This advice came from the BBC’s watchdog programme.

Consider the two types of mortgage very carefully

Essentially there are two types of mortgage: interest only and repayment.

If you do go for an interest only mortgage, make sure that you have enough money to repay it at the end of the term. Look at your financial plan and current income and see if you will be able to keep up the payments. Imagine having to spend on something suddenly, e.g. a new central heating system; could you still afford the mortgage?
Start looking early

Start shopping around for your mortgage as early as possible. You can secure a deal as much as six months in advance; this should help sidestep any issues around your equity disappearing as house prices continue to fall.
Select a term you can afford

The longer the term, the more interest you will repay overall. So without overstretching yourself, select a term you can comfortably afford. Don’t go in at the top end of your budget because if something goes wrong it will be completely unaffordable and the banks wont look favourably on it.
Mortgage flexibility

You will want a mortgage that is as flexible as possible to suit your needs. Ask some practical questions such as: Does it offer overpayments? Does it offer a premium holiday in the event of a sticky time? If you move house can you move the mortgage to the new property without paying big penalties?

Get financial advice

Speak to an Independent Financial Advisor (IFA) or your bank. It is free advice and they will tell you what you can and can’t do. Ask both bodies for both – don’t just rely on one. Anyone giving you advice should run through a budget with you and make sure it is affordable.
Interest rates

Interest rates can be confusing but always remember that you are looking for a high rate for savings and a low rate for mortgages and other borrowing.

You need to bear in mind that if you are on a variable interest rate and interest rates rise in the general economy, the mortgage company will likely pass this increase onto you. This means that you could find your interest rate is increased and therefore your monthly repayments are too.

If your fixed rate comes to an end and you have to remortgage when interest rates are higher, then your repayments again could be higher.
Consider all the options

You need to consider the whole package being offered by the mortgage company and whether or not it’s the right one for you. Don’t just go for the cheapest monthly cost or the one that offers huge cash back.

Look at what other options the mortgage company offers, for example payment holiday or maybe allowing you to make overpayments.

Also if you are being offered a low interest rate for an introductory period, you need to ask the question, what happens after this period ends? Will I be tied in at a high interest rate for a long period of time?
Overpay, overpay, overpay!

By maintaining your payments you could save tens of thousands on interest over the term of the mortgage. However, you must check that you won’t suffer any penalty as a result of the overpaying.
Make a big deposit

Try and get together the biggest deposit you can afford. This has always been the case but never more so than now – the days of 100% and even 95% mortgages are gone.

It’s recommended you have at least 10%, but get more if you can as it will open up more options in today’s mortgage market.

Low rates: Don’t be fooled

Don’t just be drawn in just by a low rate. These days mortgage products can come with fees that amount to thousands of pounds. People with smaller mortgages may want to consider going for a deal with a higher interest rate and a lower fee as it could cost less overall.
Shop around

If you already have a mortgage, check what your existing lender will offer you but always shop around.
Mortgages: In it for the long haul

Bear in mind that a mortgage is in place for a long period of time and that your circumstances may change. So when working out how much you can afford to borrow, try and consider likely future events – it’s a bad idea to borrow the maximum you can afford and not be able to spend money on anything else.

When you get your mortgage, you don’t have to stick with the same lender for the whole term. You can transfer and take advantage of lower interest rates with other lenders.

Just be sure of terms and conditions before you sign on the dotted line, as some mortgages tie you to the lender for a fixed amount of time. Changing within this time may mean paying a fee.
Don’t suffer in silence

If your mortgage payments become difficult, get in touch with your mortgage lender at the earliest opportunity. It is always good to communicate with your lender as they may be able to offer a solution.
Save for Emergencies

And last but certainly not least, make sure you have an emergency fund in place incase something goes wrong.

The mortgage industry changes all the time. At our offices in Frimley, we get daily emails from lenders, telling us about the latest offers.

The good thing is, that we don’t get these details from just one lender, but from a whole host of lenders, so that we can survey the situation from on top.

Of course if we were tied to just one lender, then like the banks, we could only offer you deals from just one source, but this is the beauty of dealing with an independent mortgages adviser like myself, I get to find out the latest offers and pass them on to my clients.

10% deposit mortgage

I have just received details of a mortgage that requires just a 10% deposit, tracker mortgage.

Now, I have to tell you that many banks and building societies often promote certain types of mortgages in their window,  to get you through the door, but often when you get down to it, the actual mortgage advertised isn’t there.

But this is definitely available from a major lender that we have contacts with.

Obviously, you have to meet a certain criteria, but if you meet the criteria, then this 10% mortgage is available.

If you are thinking about getting a mortgage, or you know someone who is looking to buy, like a first time buyer, then give me a call and we can talk it through, to see if its a good fit.

As I said earlier, things are changing in the mortgage market and we are on the cutting edge, when it comes to the latest deals and offers.

Can I help you or someone you know to obtain a mortgage? Please call me 01276 670 777

Michael Usher

Here in Camberley, first time buyers have been given an opportunity to get a foot on the housing ladder.

One of our favourite lenders Abbey, have launched an exclusive 85 per cent first time buyer loan to value.

This is a three-year fixed rate mortgage is available at 5.69 per cent with a £495 fee.  Borrowers are also offered free basic mortgage valuation and £250 cashback on completion.

Some of Abbey’s rates, especially fixed and tracker products have also been reduced by up to 0.2 per cent.

This reduction includes a two-year fixed rate at 3.25 per cent up to 70 per cent LTV. It was previously at 3.45 per cent.

The two-year tracker at 70 per cent LTV has also been reduced from 2.69 per cent to 2.59 per cent.

“Our latest rate cuts demonstrate our ongoing commitment to supporting intermediaries by consistently offering highly competitive mortgages to help them meet the needs of their clients,” Alan Mathewson, managing director of Abbey for Intermediaries, said.

Santander recently announced new three and five-year fixed and two-year tracker products available to existing current account and investment customers.

Please note this is not available to everyone, call me for further details, but it does offer hope for first time buyers in Surrey.

Stamp duty and land tax has been abolished for properties up to £250k.

This I believe, will kick start a revival in the buying and selling of homes. Certainly I know that my estate agent friends have welcomed the best piece of news for the housing industry in almost 3 years.

According to some industry experts, property prices now more affordable than at any time since in 2003. So Now is a good time to buy.

Now as I mentioned, this proposal is for first time buyers only and so I am guessing that it will be down to the solicitor/coveyancer to do the appropriate checks as I believe this will create a minefield for them as they will have to do all the checks to see if the house-buyers have bought a property before.

So if you are a genuine first time buyer you should have no problems.

Buying a property has become a little easier in the last few months, as there are many more products (mortgages) available, especially if you have a deposit of 10% or more.

I am certainly seeing an increase in not only enquiries about mortgages, but also sales. Meaning that there are more and more people returning to the market and buying properties.

Yes it was a good piece of news today from the Chancellor and it grabbed the headlines, but then there is an election in a couple of months.

If you need any help or advice, please get in touch 01276 670777

Michael

I was invited to Flour Daniel, one of the largest local companies.

The talk was centred around “Getting Your First Mortgage”.

I gave a powerpoint presentation, along with Matt Penfold a former Estate agent who now works with me in the Frimley office.

Matt showed using a graph how the value of property had performed over the last 50 years. He showed that despite having some decreases in value, property could be seen as a long term investment with property prices nationally having doubled in value every 8-10 years. He also gave examples of property prices in Yateley over the last 10 years.

I gave a presentation with the latest information on mortgage rates, types of mortgages available and amongst other thing, where to get your deposit from…

After lunch we had a lively question and answer session and these young people really had some great questions lined up for us.

Matt Nicola and Yours Truly

I must say that I have given many talks in my time, but this one with these young people who really were interested the subject, was a very pleasant experience.

If I can give a talk to your group on any subject relating to the mortgage business, please contact me via the office number or blog.

Michael

I Came across this advice in a video from the BBC.

Thought it might be worth an airing here.