We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

PLEASE READ BEFORE POSTING: Hello Forumites! In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non-MoneySaving matters are not permitted per the Forum rules. While we understand that mentioning house prices may sometimes be relevant to a user's specific MoneySaving situation, we ask that you please avoid veering into broad, general debates about the market, the economy and politics, as these can unfortunately lead to abusive or hateful behaviour. Threads that are found to have derailed into wider discussions may be removed. Users who repeatedly disregard this may have their Forum account banned. Please also avoid posting personally identifiable information, including links to your own online property listing which may reveal your address. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

FTB - Wanted to buy... but now considering renting...what do you guys think?

1246

Comments

  • mickym
    mickym Posts: 457 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    mickym wrote: »

    Any of you out there been long term renters? If so, how do you save/invest for the future?quote]

    My partner and I have been renting for 3 years now. We have wanted to move for at least a year now but we know that the longer we can sit tight, the better it will be in the long run. We had the opportunity to buy a new build last June, in the same block as a close friend of mine who was putting pressure on us to buy so we could be near each other (bless her!). However, she wants to sell, her property has just been valued at £15K less than she bought it and her mortgage has gone off its fixed rate and jumped up by a couple of hundred pounds per month.

    That decision (or non decision) has probably saved me a fortune.

    I've always been a saver (OH not so) and we earn £50K combined but I've always put EXACTLY 10% of my take home salary into an ISA each month. Since I got promoted in August last year, I put EXACTLY (to the penny!) 15% of my take home salary into an ISA. So far there is nearly £9K in there but at least it's building!

    Food for thought as well is that no job can ever be 100% secure due to various change in circumstances and if there is one thing Martin has taught me from his MSE books, it's that you should save at least 3 to 6 months salary, just in case you need it for a rainy day.

    Would you consider still living at each parents house for a few months and put the money you would have spent on rent into a savings account together? If you were going to go for a £600 pm property, why don't you stay at your parents' for 3 months and stick the £600pm into an ISA. You'll then have £1800 to play with, plus interest.

    Good luck with your decision and I hope I have helped in some way. ;)

    Ben

    good advice thanks!

    to be honest the reason why we seem to biting the bullit now is that the property we have seen avail for rent seems pretty good for the price (we still need to get a proper viewing though.)

    We have waiting for ages, and really despite having great parents who dont give us any hassle... we really are running out of room, and are eager to get our own independance.
  • rozzy_2
    rozzy_2 Posts: 78 Forumite
    Congratulations on doing the right thing, Is the place you are looking at empty and ready to move in? If so you definately have the power to negotiate cheaper rent as the LL is servicing the mortgage which I suspect he doesnt want to be for too long.

    Also as a previous comment about the rental term i would say definately go for 6 months unless you are comfortable with the landlord. Also at least then you will have made your mind up about the area too without being stuck there for too long if it wasnt as nice as you envisaged.

    In the meantime while you are viewing properties, definately save as much as possible, at least this will cover your furniture and save you dipping into your hard earned deposit.
  • mickym
    mickym Posts: 457 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    rozzy wrote: »
    Congratulations on doing the right thing, Is the place you are looking at empty and ready to move in? If so you definately have the power to negotiate cheaper rent as the LL is servicing the mortgage which I suspect he doesnt want to be for too long.

    Also as a previous comment about the rental term i would say definately go for 6 months unless you are comfortable with the landlord. Also at least then you will have made your mind up about the area too without being stuck there for too long if it wasnt as nice as you envisaged.

    In the meantime while you are viewing properties, definately save as much as possible, at least this will cover your furniture and save you dipping into your hard earned deposit.

    i suppose the problem with the 6 month contract is that we do get a good rental fee...theres more chance the LL will put it up the original price or more when the 6 months is up.

    Also...if the 6 month contract does finish, do you have to pay fees again to get another contract?
  • CHARDONNAY_3
    CHARDONNAY_3 Posts: 294 Forumite
    Just wanted to say congratulations for not being like some and jumping on to the property ladder - whatever the cost!

    There is a chance the LL could put the rent up after 6 months, but if you have been "good" tenants, I'm sure they would rather hold on to you than risk finding new and potentially "bad" tenants.
  • mickym
    mickym Posts: 457 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    true. will now see how a viewing goes. :)
  • How about hitting the 'Thanks' button a few times to people for the good advice received mickym?! :T :T

    Ben
    Savings as of April 2023 Savings account - £26460.50(14474.88)Current account - £2140.24(4576.79)Total - £28600.74(19051.67) £1010 (£65pm CS/BS) £250 CS/BS/JS
  • mickym
    mickym Posts: 457 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    :) ive said it enough...but only just noticed the thanks buttons!
  • mickym
    mickym Posts: 457 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    still awaiting on a viewing for the place we like... but the letting agent Robinsons is terrible. We keep calling no answer, but to be put through to a switch board. they say they pass on the message to call back but nothing. Makes me think what would they be like if we needed to report a problem such as a broken boiler! Grrrrrr
  • neverdespairgirl
    neverdespairgirl Posts: 16,501 Forumite
    It's a really good idea, if you are renting and saving over paying a mortgage (as you would be) to save the difference in an ISA. Tax-free savings (you both get them) and you get used to shelling out that amount of money at the same time as building up a deposit.
    ...much enquiry having been made concerning a gentleman, who had quitted a company where Johnson was, and no information being obtained; at last Johnson observed, that 'he did not care to speak ill of any man behind his back, but he believed the gentleman was an attorney'.
  • neverdespairgirl
    neverdespairgirl Posts: 16,501 Forumite
    mickym wrote: »
    The missus would do the washing but not the ironing! lol

    In our household, I do the washing, my other half irons. He says he finds it relaxing, and meditative. :confused:
    ...much enquiry having been made concerning a gentleman, who had quitted a company where Johnson was, and no information being obtained; at last Johnson observed, that 'he did not care to speak ill of any man behind his back, but he believed the gentleman was an attorney'.
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 352.1K Banking & Borrowing
  • 253.5K Reduce Debt & Boost Income
  • 454.2K Spending & Discounts
  • 245.1K Work, Benefits & Business
  • 600.7K Mortgages, Homes & Bills
  • 177.4K Life & Family
  • 258.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.2K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.