Comments on: Shared Equity for New House Sales http://www.mortgageguideuk.co.uk/blog/uk-housing-market/shared-equity-for-new-house-sales/ Simplifying Finance, Housing and debt Fri, 10 Feb 2012 11:38:14 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Uncommonadvice http://www.mortgageguideuk.co.uk/blog/uk-housing-market/shared-equity-for-new-house-sales/comment-page-1/#comment-1701 Uncommonadvice Thu, 18 Sep 2008 13:08:40 +0000 http://www.mortgageguideuk.co.uk/blog/?p=332#comment-1701 The Barratt's deal is rubbish because the discount they give you is "fake". Have a look at how much the same property retails for on the second hand market and you'll soon see that the Barratt's deal is just hot air. It's a bit like me giving you 10p off a Mars Bar I am selling for 60p. You could go to the Newsagent next door and buy the same Mars Bar for 30p. Their numbers just don't add up. These deals are not an effort to revitalise the UK property market. They are just a marketing promotion. The Barratt’s deal is rubbish because the discount they give you is “fake”. Have a look at how much the same property retails for on the second hand market and you’ll soon see that the Barratt’s deal is just hot air.

It’s a bit like me giving you 10p off a Mars Bar I am selling for 60p. You could go to the Newsagent next door and buy the same Mars Bar for 30p. Their numbers just don’t add up.

These deals are not an effort to revitalise the UK property market. They are just a marketing promotion.

]]> By: mike http://www.mortgageguideuk.co.uk/blog/uk-housing-market/shared-equity-for-new-house-sales/comment-page-1/#comment-1689 mike Thu, 11 Sep 2008 10:46:10 +0000 http://www.mortgageguideuk.co.uk/blog/?p=332#comment-1689 So you buy a property from Barratts at say 200k (150k now,50k later). If the market falls just another 10% Barratts will pick up 3k of your 20k loss and you stll owe them 50k!! . I'll bet also that if you accept this 'deal' you cannot negociate an upfront price reduction on the property. Result is negative equity is virtually guaranteed from day 1 and the Builders and Banks supporting this will expect the Taxpayers to pick up the Bill So you buy a property from Barratts at say 200k (150k now,50k later). If the market falls just another 10% Barratts will pick up 3k of your 20k loss and you stll owe them 50k!! . I’ll bet also that if you accept this ‘deal’ you cannot negociate an upfront price reduction on the property. Result is negative equity is virtually guaranteed from day 1 and the Builders and Banks supporting this will expect the Taxpayers to pick up the Bill

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