Should we downsize to save money?

pingu2209

My sister in law lives in a 3 bed terrace with 3 children (13, 10, 7). It has a large downstairs extension but upstairs is still the standard 2 doubles and 1 single/box. It drives her mad and the 2 boys argue and are desparate for their own rooms and own space, especially now the eldest has hit the teens.

I would think long and hard before thinking 2 children of the same sex can share. What is okay when they are little is very different as they get older.

steve237

Is there any way you can switch your mortgage to interest only for a year or so? This would probably free up about a third of your £1000 monthly payment and give you some breathing space. We did this once. The bank (Abbey) were fine about it.

Think about it; lots of poeple rent all their lives. If you go interest only for a year or two, then you're a bit like a renter in that you're not paying off a mortgage, but with the added bonus that it is still your home and that it's an asset that is more than likely going to be going up in value.

I'd stay put if at all possible. 3 kids in a 3-bed semi is probably not going to be ideal for the future.

Also, as someone else has said, there are so many ways you can cut bills down. Cheaper energy, cheaper broadband, cashback sites for purchases...

Person_one

I say increase the term. 35 or even 40 years if possible and when times get easier when your OH gets a new job or you are able to work more hours when the kids are in school you can overpay massively and make up for it.

I think as your children get older you will all really appreciate the luxury of them having their own rooms. Sharing is not so bad at 5 and 3, but its a little bit harder at 8 and 10 and a nightmare at 13 and 15!

[Deleted User]

Person_one wrote: »

I say increase the term. 35 or even 40 years if possible and when times get easier when your OH gets a new job or you are able to work more hours when the kids are in school you can overpay massively and make up for it.

I think as your children get older you will all really appreciate the luxury of them having their own rooms. Sharing is not so bad at 5 and 3, but its a little bit harder at 8 and 10 and a nightmare at 13 and 15!

really!! I shared with 4 sisters and it was fab

re my post in favour of downsizing. I forgot to add that over time we saved and progressed up the housing ladder until we had a lovely house in 1/3 acre in a sought after village. We may never have been able to do that if we hadn`t been able to ride the financial storms in the 70s and 80s. Imagine a very stretched elastic band, it would not have taken much for it to snap financially in those days and the same goes for many people today.

It was really good having a house we could afford and if you are still not sure then read the debt and bankruptcy threads

tyllwyd

We are in a very similar situation, and we are looking to move from our four bed house to a cheaper three/four bed. It's quite difficult, because obviously quite a lot of money will get swallowed up by stamp duty etc etc in the move, so if you haven't already done it, make sure you do a budget with all the costs of the move and see how that changes if the price you buy or sell at changes.