How did you 'move up' the property ladder?

UKJubilee_2

I agree with the buy the worst possible house in the best possible area...it's how I got mine. Needed rewiring, new doors and windows, new kitchen, new bathroom, redecoration throughout and the garden tidied up so we got it for about 40k less then the average on the street. If you get a doer upper make sure that it is sound as a house otherwise it can be really pricey!

nearlyrich

This is my second house since leaving my parents, bought a 2 bed cottage in need of TLC in a good area for under £10k in the early 80's, moved up to a 4 bed detached on the same road in 1992, sold cottage for £37k and bought this one for £69k, in between I bought out my ex when the property book was in full force, so I didn't make as much on the deal as he did.

I am a believer in living within my means so I would never stretch myself to afford a bigger mortgage, I like to sleep at night. We have been lucky to find a good property in a great area that was liveable but not "done up" and we have over 14 years done it up to our taste and for our comfort not as an investment, it makes a massive difference.

Jorgan_2

Live within your means, factor in a higher rate of interest for your re-mortgage payments, make sure you are comfortable with what you have to pay back.

Why over stretch yourself to buy a property? Prices don't always go up, you have probably only ever known a buoyant market place if you've only been a home owner for 6.5 years.

If you are happy with the increased costs involved, look for a property that you can add value to. By this I mean a property with a good size plot which you can extend on, not a quick makeover.

Chrismojam

Jorgan wrote:

Live within your means, factor in a higher rate of interest for your re-mortgage payments, make sure you are comfortable with what you have to pay back.

Why over stretch yourself to buy a property? Prices don't always go up, you have probably only ever known a buoyant market place if you've only been a home owner for 6.5 years.

If you are happy with the increased costs involved, look for a property that you can add value to. By this I mean a property with a good size plot which you can extend on, not a quick makeover.

This is what I've been thinking for a while...........Usually, I'm like..I want a 4 b/r with a garden and driveway/parking.......then I see the prices:eek:

Now I'm thinking a decent 3 b/r with good sized garden (potential to extend) and parking........

sanfrancisco

Chrismojam wrote:

Now my boss always says go for the maximum you can afford...you will always find a way to pay for it (??)....whereas I am a much more cautious soul and prefer a bit more financial stability should things go pearshaped!

This is an outdated myth from the days when inflation was high and after a very few years (3/4) the massive debt you had taken on would be somewhat diminished, and life would be easy again. This is no longer true with such bigger amounts of debt and lower inflation. I bet you boos is older than 45.

Chrismojam

sanfrancisco wrote:

This is an outdated myth from the days when inflation was high and after a very few years (3/4) the massive debt you had taken on would be somewhat diminished, and life would be easy again. This is no longer true with such bigger amounts of debt and lower inflation. I bet you boos is older than 45.

Actually he's about 44/45. He is somewhat old fashioned though (very annoying)...think he would be quite happy if women (particularly those with children) stayed out of the workforce......doesn't think there should be part time/job share.......women don't funtion at work when they have kids etc etc apparently...:mad:

mishkanorman

our first house was in a very nice area, a small 3 bed terrace house, no garden to speak of and parking for one car.
Our current house is twice as big, 3 decent sized bedrooms, around 10 times as much garden area (im not boasting keep reading !) And parking for around 4/5 cars + a garage.
However, we now live on an ex council estate, our neighbours opposite are noisy and have five kids ! BUT when i shut the door, its nice and quiet, big ,spacious and i dont think about the estate im on. Our old house also had noisy neighbours and at least now i know that ive got someone to complain to if needs be. The whole area is maintained to a better standard than where we used to live, and this house cost a couple of grand less !!

I personally believe that as long as the area isnt high crime or a problem area its ok to choose a bigger house in a less favorable area. Who wants to sit in a tiny house, even with the knowledge its a great postcode. sarah beeny (sp?) is talking about re-sale value and profit margins not the enjoyment factor you can get from your home.

Mishka

leftieM

We considered moving recently. We went to see a few houses and it made us really appreciate what we have which is just as well as we couldn't move up the ladder anyway! The house that was 40K more in 2001 is now £80K more. We'd swop our 4 bed ex-council house for a 3 bed semi on the same road.
We didn't get as expensive a house as we could afford back then as I was on a temp contract and nervous of unemployment. We were very cautious. That said, we can now carry the mortgage on one salary and I'm at home with the kids.
It's no harm going to see a few houses. That will help you decide one way or another. Viewings cost nothing.

Chrismojam

leftieM wrote:

....It's no harm going to see a few houses. That will help you decide one way or another. Viewings cost nothing.

I'm loath to start going viewing properties until we are least most of the way to getting this place in a reasonable state to sell......also would feel rather awful wasting peoples time if I wasn't actually looking to buy at the time......wouldn't like it happening to me........

Still if I get this house to a good/reasonable standard (a bit like the house that Jack started to build and then !!!!!!ed off half way through at the mo!:o ).....then at least if we decide we either can't move up or don't want to anymore, then the house will be done anyway...

Chrismojam

mishkanorman wrote:

....I personally believe that as long as the area isnt high crime or a problem area its ok to choose a bigger house in a less favorable area. Who wants to sit in a tiny house, even with the knowledge its a great postcode. sarah beeny (sp?) is talking about re-sale value and profit margins not the enjoyment factor you can get from your home.

Mishka

Very true. I always used to think what if I bought an ex-council and the neighbours were ok...they move out and you get complete !!!!!! living there....but then again that can happen anywhere can't it...council/landlord or private....

I think (although I'd love a really nice area).....I'll probably go with a bigger house etc in a ok/good area as my next step up.......

Saying that, at the rate we are moving, I'll be posting this again next year!