A Bit Of Advice Please

jj78

Hello all , this is my first post on these forums and hopefully my thread is in the right place.

Having just finished a long term relantionship where me and my ex were renting i`ve moved back in with my parents for a couple of weeks. Now i have two options in front of me. I roughly earn 32k a year and have no debts.

1. Rent.

Rent out another flat , monthly around £650 , and wait until the interest rates return to a more sane level.

2. Buy

I have roughly around 20k saved which would be entirely put as a deposit for a flat.

Now i know that the saying is rent money is dead money , but the cheapest mortgage i can find for a £125k mortgage has the monthly repayments at £760 a month. I`m worried if i tie myself at a high interest rate , the rates will drop and im stuck for the next few years , also the fact that the prices are set to drop over the coming months.

Any advice will be greatly appreciated , thank you.

_Andy_

1) Rent.

Leave it a year or so, keep saving, property prices will have dropped.

dimbo61

Stay with mum and dad for a year or so ( pay them rent )
save every single penny you can over the next year and then look for your own place with a £35/40k deposit.

jj78

Thanks for the replys.

Dimbo , the staying with parents is limited to only a couple of weeks.

dimbo61

If you want your own place then most prople would say to rent somewhere cheap and save like mad to get as big a deposit as you can.
Look round at flats/small houses after 9/10 months as this gives you time to sort out mortgage /surveys /legals
Drive a hard bargain its a buyers market.

minimike2

You could look to rent a room from someone? Works out cheaper and means you can continue to add heavily to uour deposit.