Need someone to talk to

astp

I have recently bought my first house, it is shared ownership and we have bought 50% of it for £55,000, this make my mortgage £350 and my rent £200. When we did a pre-moving in budget, even with an advisor it seemed we could afford it, 8 months down the line i am panicing. Each month we are a little bit more into our overdraft and now this month (payday is next week) we are almost £1000 into it, as well as this we have loans to pay off with total monthly payments of £300. I can't work out how this has happened and I just feel so sick when i think about it, I have always been carefull with money, well i thought I had. I feel like it is all my fault and I have let my other half down because I dealt with our budget before we moved in. Should I just try and get out of my mortgage and go back home? Is getting on the housing ladder really supposed to be this hard. I just want some advice on what to do and where to get help, i just want to cry and feel like i have nowhere to turn.

mummy2mygirls

Hi first thing i would do is post your soa - link here (hopefully) http://www.makesenseofcards.com/soacalc.html
Then people can see if they can help you sort your budget out and see if any money can be saved

Try not to worry im sure you will be able to cut back some where and make ends meet. It s great that you have realised that things need looking at before it has become a 'big' problem

FerociousDave

Hi Astp,

I know how you feel, we bought our first house a year and a half ago and all the budgeting in the world can't really prepare you for it, someone needs to tell you that you need to build in a good amount of slack to pick up all the pieces. It got easier for us after a while, but not without learning the hard way

The good folks here will be able to help you better if you post a statement of affairs, which you can work out here: http://www.makesenseofcards.com/soacalc.html

ta
D

Justicenpeace

Hi astp,

Thanks for posting. I can appreciate that getting on the housing ladder isn't everything it is sold as being. Please don't despair. I'm fairly new around here too, and I'm sure there'll be someone more experienced along soon to advise.

It may help the good folk around here to help you if you posted your SOA (money coming in and going out) so that people can advise where you can make savings. There's a link at the top of this board for this. Also, it's likely that a 'spending diary', which keeps track of everthing you pay out (even the smallest expenditure), will help you to find out where money is going and where savings could be made.

You've made a very important first step. Onward and upward now. It's very unlikely that you could 'get out' of the mortage, so best to see how you can manage better with it.

Best wishes,

Justicenpeace.

rubyslipper

Hi astp

As others have advised, do post your SOA as soon as you can. It can be a great way of seeing clearly where things are getting out of control - when you're in the thick of it, you just can't see the wood for the trees sometimes. Don't resign yourself to moving home just yet, it may not be necessary - instead try and think logically about how to move forward. Spending diary is a great idea, it really helps you see what's going on.

Also, I just wanted to say well done for joining MSE and taking the first step in getting to grips with your situation. There are lovely people on the DFW board and I'm sure you'll get some fab advice. There's always someone here to listen and remember, you're not on your own. I spend most of my life panicking about money and it's only thanks to this site that I ever feel positive or supported.

Good luck love and keep posting.

Ruby xx

bluebag

Hi, couldn't just read and run, do what the good folks on here have said and post up that SOA, it will help to see it all in black and white. Don't give up yet.
Keep your chin up.
bb

property.advert

Without going into loads of numbers, you are now paying £500 a month. If you were paying £400 rent before, then this is where some of the "missing" money has gone. When you own your own place there are always loads of extra costs but your SOA will highlight some.

£55,000 for 50% and it is costing you £300 a month ? Assuming 100% on the 55k, then you are paying around 4.33% on a repayment mortgage over 25 years. The £200 on £55,000 is at 4.36%. Not sure you could trim much off the mortgage element but interest only would reduce it by just over £100 a month.

LandyAndy

Hi,

Without an SoA specific advice is difficult.

But....this shows that buying property is a very different prospect to renting.

Still... you have bought and you are where you are so post an SoA and get some advice

System

Welcome along!

Similarly to you, I also found getting on the housing ladder a huge struggle and no amount of budgetting in the world would've prepared me for it. Things are always way more expensive than you think they'll be, plus owning a property means you have to pay to maintain it and pay for repairs etc etc.

You are not alone - I managed to clock up a £20,000 debt in two years as a result of owning my own home. People on this forum are here to help and support you. Keep your chin up!

Red.