Suggestions on where to buy in London? (£185k)

Name:_Lee

Hi,

I have £185k to buy a property in London.

I would ideally like minimum 2 bed, and something that can be lived in but also developed over time.

I would need it to at least keep its value, but hopefully it will sell at a profit perhaps as early as 2 years after purchase.

What areas would you be looking in?

I know Angel, Islington etc are out of the question...but Tottenham/ Crystal Palace/ Thornton Heath?

Any thoughts would be most welcome!

Thanks!
Lee

smj43

You will have to move quite far out. Mitcham, Kingston, Eltham, Bromley. They are all on the edge of London and you are more likely to find somewhere in your price range.

evoke

I doubt you'd make a penny over the next two years. Have you factored in the actual costs of buying a property and the renovation costs? Then there's the house price falls over the short-term future. You'll make a loss if you're after a fast buck. And then there's the costs of moving again after two years...

You need a dose of welcome-to-reality pills i'm afraid.

MrsAmanda_2

SE might be a good bet. Lewisham may be above budget as it has train and DLR but if you go a smidge further out to Hither Green and Lee you may be able to get a 2-bed for that sort of money.

Not so sure you'll make a profit that quickly though.

Name:_Lee

evoke wrote: »

I doubt you'd make a penny over the next two years. Have you factored in the actual costs of buying a property and the renovation costs? Then there's the house price falls over the short-term future. You'll make a loss if you're after a fast buck. And then there's the costs of moving again after two years...

You need a dose of welcome-to-reality pills i'm afraid.

It wasnt a requirment to 'make a profit'. I said it would be great if I could make a profit/ resell the property for more than I bought it for. But would at least hope for it to hold its value.

At the moment I pay £1500pm on rent.

I can get a bonus rate mortgage @ 2.6% on £155k over 2 years, with £30k deposit (£24k borrowed from parents).

I can have my own home and repay monthly:

£775 - Mortgage
£1000 - parents

Over 24 months. After this I will have £37k equity in a house...
minus £7k fees from purchase and with sale? Im hoping I would have £30k in my pocket... IF the property keeps its value... more or less if it doesnt.

The alternative is to keep renting and perhaps save £500pm - £12k after 24 months.

smj43 / MrsAmanda... Thanks for your suggestions. I will take a look in those areas.

hazyjo

Where do you work? (ie which station's nearest?) Makes a massive difference when choosing where to live in London!

Jx

MrsAmanda_2

this one's under your budget, but the second bedroom is less than 6' wide!
http://www.johnpayne.com/pdfs/residential/LEE%20HIGH%20ROAD%20216B%20179,995.pdf

Name:_Lee

hi HazyJo,

I work in Soho. My nearest tube stations are Oxford Circus, Tottenham Court road and Piccadilly. Therefore lines I could look at include:

Victoria
Central
Northern
Piccadilly
Bakerloo

Trains to Victoria, Kings Cross wouldnt be too bad.

Thanks

hazyjo

Walthamstow Ticks a lot of boxes.

Jx

MrsAmanda_2

You get a lot more property for your money if you look at areas that aren't on a tube line.

The only way I was able to afford London was to do that - and the only part of London I could afford was SE. I was after Blackheath but that was too expensive.

The likes of Lee have trains which run to London Bridge, Cannon St and Charing Cross which makes commuting easy to most parts of City/West End. Something to think about in terms of resale too, not just where you commute to, but where your potential buyers need to get to.

kmmr

Leytonstone. I actually know of a 2 bed ground floor flat, with garden, with scope for an extension (done on the rest of the street) for around that price. 10 mins walk from station, 30 mins from Liv Street.

Leytonstone isn't great, but for London you certainly get a lot for your money in my opinion. And it's got to be helped eventually by the new Westfield and Stratford regeneration.