The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
Afternoon Dowsie
I initially bought my first house with my best mate as we both wanted to get on the property ladder in early 1988.It was the only way to get in. I was 20 and just come out of my time as an apprentice at RR. My initial payments were lower and over 25 years. I think there was no such thing as fixed rates back then, or not much interest, but like I said the £546 was in ‘90. I believe the BOE rate was 15.5% so why I was paying £546 I’m unsure. Maybe it was something to do with the good old indemnity?
That was my highest payment. Think it was 08/91. Had a good year or two of the rise in house prices at the back end of the eighties then, well, we know what happened then.
Those figures represent a figure of 18.5%!
In comparison, still owe just over 255k with interest only payments of £353 per month.
Meconopsis, thanks for the reply on Friday. I’m pleased it was a best guess. Having built an extension of my own.
That doesn't leave much headroom is they run low on disposable income.
Might I add, there’s also the mortgage charter that’s been launched by the government that pretty much all lenders have signed up to. You can extend the length of your mortgage, switch to interest only. On the average of 189.5k @4% that would still enable you to live in your own home for £630 a month if needs be. Things really are not comparable to the 1990’s. Attitudes have changed. Oh, I remember my 35k mortgage in the late eighties/ early nineties when I was twenty something myself.
The subject could quite easily read
Housing market still looks uncertain although H2 figures have improved over H1 figures for both TW & PSN.
Maybe that’s not negative enough for some though?
Afternoon Meconopsis
Hope all is well. May I ask where you’ve pulled this data from?……
but it’s far from the build cost, which will be probably closer to £80-100k per property.
https://www.msn.com/en-gb/money/other/entire-housing-estate-worth-40million-torn-down-just-after-being-built/ar-AA1n8DUX?cvid=0bb600376de44cb3b2f4be43580ed2e3&ocid=winp2fptaskbarhover&ei=9
Thanks Strictly
I’ll shall visit the blog later. I do not hold Crest currently. Have done twice but always seems to be short lived. I’m sticking to RDW, BWY, Wimps & here for the foreseeable. I moved out from here into Redrow back at the start of October which represents a couple of % gain as I liked the value. Re-invested here on the update for the reason I highlighted earlier
Thanks for the heads up all the same
Armani,
May I ask, which other HB’s do you hold?
Next week we have Crst’s figures. Bit worried about that update tbh. Then three days running for Bdev, RDW & BWY beginning on 07/02. I’m looking for what RDW have to say on the 8th after stating in their last update they’d taken a hit and projected lower end of the 180-200m pre tax due to lower chain cancellations. If PSN’s update is relative then things should have improved there?
Best of luck whichever you hold
Morning,
I know we’ve had a few negatives on the latest trading statement but for me it was very positive.I can’t believe this hasn’t been mentioned but for me, the main encouragement was the unit figures. H1 figures came in at 4249 and the full year at 9922. That gave us 5673 sales in H2 which represents a near 34% increase in H2 over H1. With a strong showing in Q4.
Can that momentum continue into 2024 or even improve as, hopefully, sentiment improves and rates continue to fall as we move through the year? Here’s how 2024 kicked off if interested (the first 30 minutes is sufficient if you indeed are)
Glad this is back…..
https://youtu.be/XE2zli8D2vk?si=2wiCFsr-H_9Ow1zd
Evening Meconopsis
You seem to be more actively interested in the sector lately.
I know you’ve invested in Barratt’s, (From the New Year LGen conversation ) May I ask, how much of the sector have you investigated?
Evening st
Isn’t it all about what was stated in November and comparing to see how the business is performing moving forward. Eg: In November they stated…
We have a strong balance sheet and are highly cash generative. We continue to expect to end the year with net cash** between £500 million to £650 million after returning c.£338 million in dividend payments during 2023.
Also, Still predicting top end of profit forecast
I do not know your capital. LGen have said they will raise the dividend by 5% per year thru 2024 which they have so far each year since stating. So,unless things have changed, which there has been no indication of, this years div should be 20.62p. Only 8.15% on £2.53