Want to get on the ladder

The_Bloodster

I want to get on the property ladder and I think now with prices so low its probably one of the best times to do it ............... if I can get a mortgage.

Has anyone got any advice? I want to start looking for a house and I know what area etc but need to know how I can find out what my price range would be. My salary is £21000 and I have £7000 saved at the moment. and obviously I'm a first time buyer.

Thanks

brit1234

Hi, house prices are well above traditional levels and set to fall a lot further in coming months. This is not the bottom and we are far from it.

My advice is to save as much deposit as you can and enjoy the falls. You will not miss the boat and when they do reach bottom they traditionally stagnate for years.

Remember rents are falling fast as well, so it makes it easier to save.

I have a £30,000 deposit and still need more on a much higher wage and I am waiting. Don't fall for the vested interest spin, research the economics underpinning the housing market and you will see I'm right. I successfully predicted this crash years ago when the vested interest groups were saying prices would rise 10% a year. Be smart and get a balanced veiw before buying.

_Andy_

Advice is - keep saving. As well as deposit (10%+) you need to consider legal fees, valuation fee, the cost of moving in, cost of furniture, re-decorating, as well as the cost of maintaining and improving a house (always more than you think).

daveb975

The_Bloodster wrote: »

I want to get on the property ladder and I think now with prices so low its probably one of the best times to do it ............... if I can get a mortgage.

Has anyone got any advice? I want to start looking for a house and I know what area etc but need to know how I can find out what my price range would be. My salary is £21000 and I have £7000 saved at the moment. and obviously I'm a first time buyer.

Thanks

Most indicators would suggest that house prices still have more to fall yet. I don't subscribe to the view of some people on here that prices will fall 70-80% from peak, but I wouldn't recommend buying into something that is more likely to fall in value than rise.

It is also worth looking at it from a cash perspective - if the interest element of a 5-6% mortgage is more expensive than renting the equivalent house, then is it really worth buying?

Finally, as mentioned above the actual costs of buying are huge, As well as the normal costs of moving between rental properties, you will need to add stamp duty, legal fees etc. You may find that this eats up a lot of your £7,000 leaving you with very little deposit.

focus888

im the same as you wanting to get on the ladder but the prices are still way too high for me. Dont know where abouts you are but ive seen alot of other buyers saving about 5k for the legal fees and other added cost that arent part of the deposit money. im just gonna concentrate on saving as much as i can and keep watching what happens. (just my opinion) good luck to you!