Am I nuts (buying a house)

Yup that's a big one. I managed an estate agency in Northampton, Keys in Gold St, in my mid 20s...very early 1990s.
Back then the interest rates were around 10 percent. The main business of the company was actually mortgages, well re-mortgages to be specific and the property agencies in Npton, M Keynes and Luton just sort of fitted the profile.
Anyway what was very different then was that mortgages were offered in the context of 2.5main plus 1x secondary salary and I'm not sure that's relevant anymore.
What certainly isn't relevant is that back then households also had a lot less peripheral debt and by that I mean there wasn't the borrowing outside the banks and building societies we see now. Yes there was credit card debt but not to the extent we see now.
Loans for this, loans for that, Sky TV, mobile phone deals at 50 quid a month, alarm contracts and on and on and on.
It's worrying that if the financial institutions who buy government bonds and therefore enable borrowing to pay for all this debt get cold feet then we really are up the creek.
The bank of England will have no option but to step in and raise interest rates, possibly higher than currently forecast.

 

The two year rate doubled last month, the chancellor has gone mad. It's a last ditch attempt to throw money at the rich whatever the cost before the conservative government fall on their sword.
Paul Donovan, the chief economist at UBS global wealth management, said investors were inclined to see the Conservative party as a “doomsday cult”.

 

Did you wear a double-breasted suit and hair gel? Be honest.

 

Mid 20s in the 1990's pull the other one!! You mean early 1980's

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1850s?

 

HFR. I was 25 in 1989 you cheeky young whippersnapper... so maybe I did massage it a bit...isn't that what all estate agents do

And yes! Not sure about the gel, I was a wax man myself but we did well enough for me to buy my first and only Rolex!
Thought I was the mutts nuts in my spanking new Montego with its car phone!

 

How do we move to the next step with the application without knowing how much we want to borrow?

 

If you want to go for it you have to get an Offer agreed (price you are prepared to buy the house for) on the house you are buying - then you put in full mortgage app which will eventually end up in a mortgage offer being issued. ( or not)

 

Thanks mate that makes sense

 

Get ya bid in then talk to @SundialCamperSpecialists Mrs maybe ?

 

This is turning into a first house panic buy in dodgy economic times. Been there done that, no regrets.
A month ago would have been better as it turns out but what can you do?
At least it's a whole one, we could only afford a broken one.

 

No XR3i?

 

Going to phone tomorrow to arrange another viewing before putting an offer in.

Then I suspect there may be a while of back and forth before we can settle on a price they will accept

Then it will be time to apply for the mortgage properly and also arrange for survey to be done

Judging by how rapidly things are changing in the world by the time all that happens it may be unaffordable

I’ve just seen that apparently somebody has sabotaged the gas pipeline under the sea to Europe and the uk.

The worlds gone potty

 

What’s the two year rate?

 

Government borrowing money to give away to rich peeps through tax cuts.

 

The back and forth can actually be quite quick, you may be surprised how quick an offer is accepted

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^ can be and in Para's case they may well jump to it so as not to loose their buyer in the crazy mortgage market, he could make his offer subject to a quick acceptance all things being as they are.

 

Just wondering…
But why haven't you bought one before now?

 

I see you now @theBusmonkey …. I freaking see you!!

 

"John! I'm on the train!"