House prices

[Viney]

Id have a 50 year morgage if i could get one!

Eveyone says you waste money in rent, but i done the maths once. You end up paying over twice the value of your home if you buy it in a standard 25yr morgage.

If you rent, you actually end up paying less over the same period. That was at the then interest rate.

Ok, you walk away with nothing to show, but i havent paid for any maintaince, or anything. I have no risk. Why are people in the UK so set to buy houses?

[Viney]

Originally Posted by Paws

Me and treacle are looking at getting a place together at some point this year/early next year and we have no option but to rent (or live with my parents ), im going to use my accident payout (when it comes through ) as a deposit for a morgage and weve also both started saving but it all seems tbh that it wont happen, house prices arent bad here (up to 135k for a 3 semi with garden and garage) but find a company that will take on first time buyers.
ho hum.

Does Treacle know?

Originally Posted by Viney

. Why are people in the UK so set to buy houses?

because you cant rent forever (ok you prob could but the upheaval of keep moving when you cant stay in the same house as they want to sell etc)

Originally Posted by Viney

Does Treacle know?

yes hes does , we could movve into his gradmas house in London but hes wants out of London and tbh i refuse to move there.

Originally Posted by Viney

Why are people in the UK so set to buy houses?

To leave your children something? or as Paws says, just to have that security and flexibility to do whatever you want to it.

Originally Posted by Viney

Ok, you walk away with nothing to show, but i havent paid for any maintaince, or anything. I have no risk. Why are people in the UK so set to buy houses?

Because at the end of it, I can sell my house when im retired, make a huge profit, then move to another country and live off the money for the rest of my life. Call it a long term saving account.

Those who rent will only have their pension.

Plus its nice to own something and call it YOURs, not just a place you rent.

PS, currently i have a 30 year mortgage, and have no issues, esp as i've got a cracking house

Originally Posted by Viney

Eveyone says you waste money in rent, but i done the maths once. You end up paying over twice the value of your home if you buy it in a standard 25yr morgage.

That's if you pay it off over 25 years. If you can pay it off early you save a fortune in interest repayments.

I paid off most of my mortgage early and my mortgage payment on my flat is currently around £2.40 a month. If I was renting, I'd be paying around £1000 a month for a similar flat in North London. That £1000 a month that I'm saving is going towards buying house eventually.

However, I was *very* lucky to be able to buy in the 90's, during a dip in the market. If I was buying now, I'd probably never be able to pay the mortgage off. I feel very sorry for first time buyers these days and feel strongly that something needs to be done about the situation.

Originally Posted by Quedos

I feel like i should have something worthwhile to say but i don't - i'm in scotland where although prices are high comparably but not as bad as down south. I got my 3 bed flat for a sum of money that wouldn't buy a garage in oxford so my heart goes to everyone trying to get on the ladder
and dizzy's right - we have loads of luxury high rise flats on the clyde that are empty and being repossed when they said they would never build high rise again.
i can just see the waterfornt becoming like red road

Depends where you are - we are in the catchment area for two of the best performing state schools in Scotland, so house prices round here are eye-watering to say the least.

If you don't have to limit areas you can get great deals, but I don't think house prices in certain areas will drop - in fact they may be kept high as people can't afford their private school fees and think it's worth moving here, it's a catch 22. My friend works in an estate agent here, and she says while properties are taking longer to shift, they are still making around 40% over asking in the school districts - huge mortgage, still cheaper than school fees

Originally Posted by Daimo

Because at the end of it, I can sell my house when im retired, make a huge profit, then move to another country and live off the money for the rest of my life. Call it a long term saving account.

Those who rent will only have their pension.

Plus its nice to own something and call it YOURs, not just a place you rent.

PS, currently i have a 30 year mortgage, and have no issues, esp as i've got a cracking house

Makes even more sense these days considering the state pension will probably stretch to toilet paper when we need it.

Originally Posted by Paws

house prices arent bad here (up to 135k for a 3 semi with garden and garage) but find a company that will take on first time buyers.
ho hum.

If you can, put a huge deposit down when you're buying the house. The mortgage companies love a big fat wedge!

That's the way we got a mortgage - I was working self employed, and we managed to put £40k deposit on the £160k mortgage.

As for the stability of the market, I've lived in this house now for just over two years. We have young kids, and I don't honestly see us moving in the next 20 years. So we can pretty comfortably ride most things out in the housing market.