Not sure if this is the right thread but wondered if someone could help me. Me and my girlfriend had an offer accepted on a house yesterday and we are a few ££ short of a 15% deposit. My gf's nan has said she will lend us the £2000 that we need but as she is an old lady, she wants to give it to us in cash. Is this gonna cause an issue when they come to checking our deposit?
Your Solicitor will also want evidence of where the funds have come from. Also, is this a new build, buying directly from the builder? If not 99% of deposits are just 10% these days.
I think the OP meant the deposit needed to buy the house, not the one needed at exchange. ie, they can get an 85% mortgage & has 15% to put down.
@Rob7Lee what's the deadline for the FTSE predictions? I'd thought you'd mentioned the 21st, but seems like a lot of people have committed early with their fingers in the air
I said end of July. But nor many of the originals left to come in!
I'm still watching & waiting......but at this rate I'll have to go something sub 7000 or something close to it's all time high!!
@Rob7Lee what's the deadline for the FTSE predictions? I'd thought you'd mentioned the 21st, but seems like a lot of people have committed early with their fingers in the air
I said end of July. But nor many of the originals left to come in!
OK, thanks @Rob7Lee I'll keep my powder dry for a couple of weeks. When news gets out that I am retiring, the Barclays share price could slump or rocket depending on your viewpoint!!!
Not sure if this is the right thread but wondered if someone could help me. Me and my girlfriend had an offer accepted on a house yesterday and we are a few ££ short of a 15% deposit. My gf's nan has said she will lend us the £2000 that we need but as she is an old lady, she wants to give it to us in cash. Is this gonna cause an issue when they come to checking our deposit?
Your Solicitor will also want evidence of where the funds have come from. Also, is this a new build, buying directly from the builder? If not 99% of deposits are just 10% these days.
I think the OP meant the deposit needed to buy the house, not the one needed at exchange. ie, they can get an 85% mortgage & has 15% to put down.
I am sure that it will go quite a lot higher than that during the 6 months, but I also think there will be a bump. Probably because the Johnson sorry, Delta variant refuses to co-operate, and inflation spooks markets. But as for the timing, that's a mug's game to guess. Overall I just feel that anything above the 14% annual increase for the whole year implied by that guess, won't reflect the likely overall state of the world. But that said, most of us are bunched in a very tight band again.
Bump! well, a dip, anyway. Think I will go for a dip in the market today...
Thanks for the heads up. I'm currently still stuck in the hospital waiting for my son to be discharged. Haven't really looked at the markets since last Wednesday & shocked to see it now around 6800 - a few of those who predicted it ending 2021 above 7500 might be rueing their figures now.
Looks like the markets have been spooked by the rises in Covid cases & Europe impacted by the flood damage & devastation. Insurers will be paying out millions.
I follow two sets of analysts - some food for thought.
One focuses exclusively on US markets and has an excellent track record. They're pointing out that price is still holding up but 5 of their 9 indicators are now on sells (mainly options signals which are generally leading and reliable and breadth, which are neither unless you also have other indicators). Advice is wait for price to fall below January support levels before worrying.
The other outfit is right maybe 60% of the time, has been calling this dip for some time and holding to the idea that it's an opportunity to buy. Their view is that we're way too early in the tapering cycle to worry about inflation and that volatility from taper fears are opportunities to buy. They think that tapering is driving the market more than Covid fears in an increasingly post-vaccine world.
Personally, it's cost me way too much money trying to second guess markets in the last 3 years, so holding on to quality and will ride out any storms.
I follow two sets of analysts - some food for thought.
One focuses exclusively on US markets and has an excellent track record. They're pointing out that price is still holding up but 5 of their 9 indicators are now on sells (mainly options signals which are generally leading and reliable and breadth, which are neither unless you also have other indicators). Advice is wait for price to fall below January support levels before worrying.
The other outfit is right maybe 60% of the time, has been calling this dip for some time and holding to the idea that it's an opportunity to buy. Their view is that we're way too early in the tapering cycle to worry about inflation and that volatility from taper fears are opportunities to buy. They think that tapering is driving the market more than Covid fears in an increasingly post-vaccine world.
Personally, it's cost me way too much money trying to second guess markets in the last 3 years, so holding on to quality and will ride out any storms.
I'd be interested to understand what that means as a figure. I assume that they would be focusing on the S&P 500 rather than DOW 100? Right now S&P 500 is at 4268. Jan support level looks like it was 3714. If it got back there that would be a 13% drop. Quite hefty for us mug punters..
What does the other outfit mean by "tapering" if you would also be so kind..?
Good luck with your son, Golfie, hope all under control.
Thank you & yes, it all now seems to be under control. Now just have to get used to counting carbs & converting it to units of insulin. Poor lad - has this for the rest of his life. Doctors say there is no rhyme nor reason for why the body just suddenly stops producing insulin for itself.
I follow two sets of analysts - some food for thought.
One focuses exclusively on US markets and has an excellent track record. They're pointing out that price is still holding up but 5 of their 9 indicators are now on sells (mainly options signals which are generally leading and reliable and breadth, which are neither unless you also have other indicators). Advice is wait for price to fall below January support levels before worrying.
The other outfit is right maybe 60% of the time, has been calling this dip for some time and holding to the idea that it's an opportunity to buy. Their view is that we're way too early in the tapering cycle to worry about inflation and that volatility from taper fears are opportunities to buy. They think that tapering is driving the market more than Covid fears in an increasingly post-vaccine world.
Personally, it's cost me way too much money trying to second guess markets in the last 3 years, so holding on to quality and will ride out any storms.
I'd be interested to understand what that means as a figure. I assume that they would be focusing on the S&P 500 rather than DOW 100? Right now S&P 500 is at 4268. Jan support level looks like it was 3714. If it got back there that would be a 13% drop. Quite hefty for us mug punters..
What does the other outfit mean by "tapering" if you would also be so kind..?
Yes, generally for US assume S&P. The guys I trust most are saying 4289 is the first support - looks like it's going to close below there today. Next is 4160 (June lows) and then 4060. If they hold, can still be in 'correction' territory. The other analysts are calling for a correction to 4125 and that this would be a buy.
The thing that bothers me about all that is that the FTSE has been so weak lately - will the US markets be catching up (US small caps are down similar to the FTSE) or drag us down even further?
P.S. tapering is winding down the quantitative easing (aka money printing, bond purchases, choose your poison). That will be a first step before rate rises. Canada and New Zealand have already started, BoE considering it, FED and ECB talking about it.
Tapering has an immediate affect on asset prices by taking away liquidity but is also a sign of getting back to 'normal'. Hence the short term volatility, medium term buy the (large) dip theory.
Golfie: I just downloaded an update on my preserved NatWest pension value and see that the lump sum and annual pension benefits have reduced slightly for the umpteenth consecutive year. I know that you are close to this fund and was wondering if you felt that seemed correct. I had the impression that the Fund was a reputable one and, on that basis, I would reasonably expect it to grow rather than contract. Any views? Should I be querying this with Willie Towers Watson? Thanks, Steve
Golfie: I just downloaded an update on my preserved NatWest pension value and see that the lump sum and annual pension benefits have reduced slightly for the umpteenth consecutive year. I know that you are close to this fund and was wondering if you felt that seemed correct. I had the impression that the Fund was a reputable one and, on that basis, I would reasonably expect it to grow rather than contract. Any views? Should I be querying this with Willie Towers Watson? Thanks, Steve
Presumably this can only reflect the element that you may have in AVCs and what fund(s) they are invested in as the rest would be linked to your salary (as was)? But perhaps not.
Golfie: I just downloaded an update on my preserved NatWest pension value and see that the lump sum and annual pension benefits have reduced slightly for the umpteenth consecutive year. I know that you are close to this fund and was wondering if you felt that seemed correct. I had the impression that the Fund was a reputable one and, on that basis, I would reasonably expect it to grow rather than contract. Any views? Should I be querying this with Willie Towers Watson? Thanks, Steve
First things first.
What type of pension is it ? A finaly salary one will not reduce year on year... ever. In fact it should increase annually due to RPI/CPI or whatever indexation measure the scheme has chosen.
Therefore, as a pp has suggested, is your pension a DC scheme or has an element of a "fund" within it, ie AVC's ?
If it is fund based do you have details of the fund(s) you are invested in. A DC scheme is only as good as the funds it invests in.
Finally, if you are simply looking at a figure that they are estimating at retirement, then it could quite simply be that the estimated returns they use have reduced (they use different %'s for different asset classes- so if all equity then they might use 4%, all bonds or cash then it could even be a negative return). Also the annuity rate might have reduced, so that the same fund would give you a lesser annual pension.
Unfortunately too many variables to give a clearer or concise answer.
Comments
OK, thanks @Rob7Lee I'll keep my powder dry for a couple of weeks. When news gets out that I am retiring, the Barclays share price could slump or rocket depending on your viewpoint!!!
Good job I've held off with my end of year prediction..
7350 for me please.
I am sure that it will go quite a lot higher than that during the 6 months, but I also think there will be a bump. Probably because the Johnson sorry, Delta variant refuses to co-operate, and inflation spooks markets. But as for the timing, that's a mug's game to guess. Overall I just feel that anything above the 14% annual increase for the whole year implied by that guess, won't reflect the likely overall state of the world. But that said, most of us are bunched in a very tight band again.
Looks like the markets have been spooked by the rises in Covid cases & Europe impacted by the flood damage & devastation. Insurers will be paying out millions.
One focuses exclusively on US markets and has an excellent track record. They're pointing out that price is still holding up but 5 of their 9 indicators are now on sells (mainly options signals which are generally leading and reliable and breadth, which are neither unless you also have other indicators). Advice is wait for price to fall below January support levels before worrying.
The other outfit is right maybe 60% of the time, has been calling this dip for some time and holding to the idea that it's an opportunity to buy. Their view is that we're way too early in the tapering cycle to worry about inflation and that volatility from taper fears are opportunities to buy. They think that tapering is driving the market more than Covid fears in an increasingly post-vaccine world.
Personally, it's cost me way too much money trying to second guess markets in the last 3 years, so holding on to quality and will ride out any storms.
What does the other outfit mean by "tapering" if you would also be so kind..?
The thing that bothers me about all that is that the FTSE has been so weak lately - will the US markets be catching up (US small caps are down similar to the FTSE) or drag us down even further?
Tapering has an immediate affect on asset prices by taking away liquidity but is also a sign of getting back to 'normal'. Hence the short term volatility, medium term buy the (large) dip theory.
It depends when you pick your reference point. Overall trend is positive.
FTSE 250 is the best.
https://www.swanlowpark.co.uk/ftseannual
What type of pension is it ? A finaly salary one will not reduce year on year... ever. In fact it should increase annually due to RPI/CPI or whatever indexation measure the scheme has chosen.
Therefore, as a pp has suggested, is your pension a DC scheme or has an element of a "fund" within it, ie AVC's ?
If it is fund based do you have details of the fund(s) you are invested in. A DC scheme is only as good as the funds it invests in.
Finally, if you are simply looking at a figure that they are estimating at retirement, then it could quite simply be that the estimated returns they use have reduced (they use different %'s for different asset classes- so if all equity then they might use 4%, all bonds or cash then it could even be a negative return). Also the annuity rate might have reduced, so that the same fund would give you a lesser annual pension.
Unfortunately too many variables to give a clearer or concise answer.