What route would you take..flat in London vs house outer london?

seema_1001

We want to buy our first property upto £250k (no stamp duty and affordable for us) but have found that in London you cannot buy a house in that price unless you look in horrible areas:(.

In £250k, You can buy a decent 2-bed flat in a good area in London.

Alternatively you can buy a 2-3 bed house outside london within that price...but I work in central London and our family and friends are based mainly in North London so it can't be too far from them

As my husband and I are first time buyers, we are wondering whether to buy a flat in London or a house in outer London (which we think is less sellable)? We are looking to live in the first property for no more than 5 years so we can buy a big house in a good area later (as by then we will have offspring!). Therefore the first property would need to be more sellable with equity/growth or can even be let out after 5 years so that we can get something bigger.

With the way the housing market seems to be panning out, should we take the risk and get a small flat in London (within tube zone 4) and wait for the market to pick up so we sell-up/let it out OR should we live in a house outside London for the same amount of time, probably not make as much equity and then buy a bigger house?.. I am worried that if we're in outer london, we'd hardly make much equity to put down for a bigger house. Four outer london, I'm thinking of areas such as watford, borehamwood, bushey, radlett..

**Also Bearing in mind also that we are in our late twenties, we're thinking of starting a family end of next year or 2012...

What is the best bet in our situation?

Please help...so stuck on what to do!!!:(

dave111

What makes you think that you will be afford a more expensive property in 5 years time? You may not be working as you will have kids to look after?
If you could buy a flat in Zone 1 otherwise jump to house in watford

CLAPTON

you're making the assumption that your income will be much much higher in 5 years time even though you will have children ? is that likely?

you are considering letting out your flat; so you won't be able to realise the equity so how will you fund the deposit for the big house?

if you are going to have children soon will you be happy living in a flat with them?

kaych

My partner works in London but we live in Watford. We have recently bought a two bedroom flat for 215k (probably overpriced as it's new build) about 10mins walk away from Watford Junction. We don't think the houses near the station are that great and I am sure you don't want to live too far from the station as you will be travelling by train (?) everyday.
so in my opinion don't expect a lovely detached house for under 250k and near to the station in Watford.

ItMightBeUsefulOneDay

seema_1001 wrote: »

Alternatively you can buy a 2-3 bed house outside london within that price...

Please help...so stuck on what to do!!!:(

Ah you've posted twice. Well in case I think it's only right I reply here too: I'd recommend you buy my house

Outer London (20 minute commute to central London)
3 bedrooms
Lovely chav-free location
...
Oh North London Would a bit further East do? - it's much nicer over here.

Seriously I stand by my other post - buy a home, not a property to "sell on for a tidy profit" a few years later.

Alias_Omega

With kids your going to need a garden for that swing, slide, sandpit, bouncy castle, play house...etc

Just move to up-north/wales/somewherenice where you open the window and you look at green green fields..

BitterAndTwisted

Not all of the less-expensive areas of London are horrible. If you must buy now, buy a freehold property within commuting distance but don't expect to be able to "trade up" unless your income/s radically increase in the next five years. Quite honestly, I don't think that where your family and friends are is that crucial given how excellent the transport links are in this city: it's not like you'll be going to your Mum's for tea after work every day before going home, is it?

anotherginger

most of the areas outside of london are pretty expensive too! you wouldn't get a 2 bed house in Amersham (Met Line Zone 9) for under 250k.

googler

seema_1001 wrote: »

We want to buy our first property upto £250k (no stamp duty and affordable for us) but have found that in London you cannot buy a house in that price unless you look in horrible areas:(.

So many people here will suggest ..... move away from London, to somewhere you can bring your (expected) kids up in relative peace and tranquility.

£250k for a 2-bed flat ....... sheesh.

Within a 20-minute commute of central Edinburgh, you can get yourself a four-bed detached house with gardens and garage.... and not in any horrible area of anywhere. Think quality of life, think small village schools with attentive teachers and small class sizes, etc etc

Unless your line of work demands that you stay......

dander

I agree with others here, your plan needs rethinking. You won't get a bigger, better house by building up equity unless you buy in an area that outperforms the rest of the market - and that generally happens by getting somewhere cheap because it's somewhere unfashionable and it becoming fashionable.

With the uncertainties in the housing market, theres's no guarantee that any prices will increase significantly in the next 5 years - but my feeling would be that if that's what you're looking for then a "good area" of London is probably about the worst investment you can make.

silvercar

I would buy a house now for the simple reason that in 5 years time when you hopefully have children you will be able to live comfortably in the house if you can't afford to move.

Four outer london, I'm thinking of areas such as watford, borehamwood, bushey, radlett..

You can easily get a nice 3 bed house in b'wood or bushey for under 250k and that would suit you if you couldn't afford to move for 10 years. Also the train line from b'wood means that it is faster to commute into central London from b'wood than suffer the Northern Line tube from Finchley or Hendon.

PM me if you want opinions on roads, I've lived in the area for 20+ years.