Is it the right time to buy??

rrwfotr

Is it the right time to buy??

Any views would be appreciated.....

With intrest rates etc is it worth the risk nowadays getting a big loan or better off renting....

lynzpower

Completely depends on your circumstances and what YOU believe it happening to the market.

theres been loads of discussions like this on here recently, have a nose about.

missk_ensington

You are NEVER better renting!

lynzpower

tripe. Miss K. I will be soon enough. Ill be significantly better off.

Id rather give my money to the BTL landlord than the bank any day. At least the little guy comes out with something

Gorgeous_George

missk_ensington wrote:

You are NEVER better renting!

I disagree.

If your job moves you around the country, you may be better renting.

If prices crash, you may be better renting.

If interest rates rise, you may be better renting.

If you are starting a family and will need a bigger house, you may be better renting.

It all depends on personal circumstances.

With prices at their highest levels ever, then over the longer term, it may have been better to buy but house-prices cannot keep going up. In the future, it may not be profitable to have owned your home.

I own a BTL that rents out at £80pw. Moving house when you own your home costs the equivalent of a lot of rent.

I would not recommend buying a small house that will not meet your needs for at least the next 5 years.



GG

missk_ensington

So you gonna rent your whole life? You've got to pay the bank some time, why wait until you're old and struggling to get a mortgage. The sooner you start the sooner you start paying it off.

I don't see how you can be better off, most places now are at least £400pcm yet you could get an interest only mortgage and repay £300 a month, and the value is increasing over time.

missk_ensington

Many mortgages offer a fixed rate for up to 5 years, and there are still many places where money can be made on property. Yes I agree if you move a lot because of your job, then you may be better renting, but that is the only reason I can think of. If you have a family you move! Many Landlords dont accept children, and as a general rule the ones that do are s*** holes that I wouldn't let a dog live in.

In rented you're completely beholden, you can't redecorate, you have to have permission to put up a bloody picture hook! Written permission if the management agency is strict!

House prices can keep going up, if only at the rate of inflation. In Hong Kong (or somewhere in that region) they have 100 year mortgages and your kids inherit it because the house prices are so high. What do you think thats it now, the prices will just stop and thats it forever?!

lynzpower

missk_ensington wrote:

So you gonna rent your whole life? You've got to pay the bank some time, why wait until you're old and struggling to get a mortgage. The sooner you start the sooner you start paying it off.

I don't see how you can be better off, most places now are at least £400pcm yet you could get an interest only mortgage and repay £300 a month, and the value is increasing over time.

Heres the maths bit

Rent 400
Interest only mortgage 350
life assurances, buldings insurances 60

TOTAL 810

Rent one bed flat 400.

Interest only mortgages dont get you anywhere fast do they?

missk_ensington

Errr yeah but why would you be paying 400 rent AND 410 for a house? Essentially buying costs you an extra £10 a month on your figures but you own it, and you can sit there quite happily for ten years and it'll be worth at least 10 grand more because everything goes up gradually.

missk_ensington

Renting doesn't get you anywhere at all, least of all anywhere fast! I'd rather go slowly on interest only, than go nowhere at all renting!

lynzpower

Shared ownership It costs 410 more to *buy* on interest only ( not buying it, renting it from the bank lets face it)

Miss K, if you "make" 10k on your house when you live in it, presumably everything else rises at the same level.

I think I will agree to differ with you on this one, Ive done my maths, and im fairly sure im in the right