First-time buyer - £30k salary

SG27

cashbackproblems wrote: »

30k*4 = 120/130k, there is aboslutely no way you can a 2 bed apartment anywhere near central for that amount, neither in north or west london suburbs. You are probably looking at commuting on the overground and buying somewhere like Oxford or Chelmsford (just off the top of my hat). If you can wait, save and buy with a partner you will have much more chance of getting something decent in lndn.

Not much chance in Chelmsford either for that much, more like Basildon or Thurrock! :eek:

firesidemaid

if you would consider an hours commute into london, there are areas such as northants where you can get a nice house/flat for less than 100k.

i know many people want to live in london if they work in london.

where do you work?

if you can find somewhere further out, where you can get off at the last zone 2 stop and then walk a bit you will find your travel costs in a whole lot cheaper.

Print_Screen

If you are using your overdraft on a regular basis work out if you can afford the mortgage repayments.
Take into account if you are currently renting, will the payments be less or more.

Erkybaby

Have a look at areas in Hertfordshire such as Cheshunt, Waltham Cross, Watford, Borehamwood and Stevenage there are lots of new build 2 bed apartments well below £180K if you don't mind a new build! Commuting by train takes around 30-40 minutes to get to central London.

SilverSix

Pigeon81 wrote: »

Hiya,

The overdraft isnt interest free, I get charged a little each month (LloydsTSB), but actually had no idea using my credit card would be better for my rating! Thanks for the tip - all this time (and I'm 30), I avoided getting a credit card, until last year. However, looks like I've been doing the opposite all this time - thank you!!

I use mine as a secondary debit card. If I don't want to have the money disappear straight from my account for things like internet purchases etc should they not turn up or my details be cloned it's not 'my' money that's going missing.

Pay it off in full each month, allowing a few days for the payment to clear.

Good for things like petrol and random purchases.

Pigeon81

Hiya,

Yes, I realised that I dont have much of a chance, unless a get a new job. I'm hoping from £50k salary if I'm lucky right now, but 40K would be a good settle. x4 = £160k, i could get a 2 bed somewhere i think, just not central.

Thanks for your help guys, appreciate it.

maninthestreet

Pigeon81 wrote: »

Hiya,

Yes, I realised that I dont have much of a chance, unless a get a new job. I'm hoping from £50k salary if I'm lucky right now, but 40K would be a good settle. x4 = £160k, i could get a 2 bed somewhere i think, just not central.

Thanks for your help guys, appreciate it.

Have you looked on rightmove to check property prices in the areas you would like to live??

Dan_Simms_84

Hi Pigeon81

Im sorry to say that you might be trying to get on the property ladder a little prematurely with only £10,000 saved up. The average house price in London is roughly £408,534, so with a minimum deposit of 10%, thats already a 30k shortfall. Okay, so realistically you're not going to buy a house, but one bedroom flats usually come in at around £180,000 minimum in the capital, so perhaps commuting will be a better option.

There are ways you could pay just a 5% mortgage deposit. Check this first time buyer site out...

irsttimebuyerguru.com/categories/sneaky-mortgage-deposit-shortcuts

Hope that helps! I feel your pain too!

Dan

Dan_Simms_84

Sorry! I missed out the 'F' at the start of firsttimebuyerguru!

firsttimebuyerguru.com/categories/sneaky-mortgage-deposit-shortcuts

Dan

VJ_

You might also want to bare in mind that you get better rates at 25% & 40% deposits- if you can save up enough to hit one of those targets, do it!

I'm in the middle of my first time purchase; according to all the brokers I spoke to, the rates only improve at those two targets*.
I was fortunate enough to get together a 40% deposit, but then I'm an outlier who's been saving since before I was even 16.


*In the end, I didn't go through a broker, but direct to HSBC who are currently offering a better rate than they can match - HSBC don't go through Brokers; I still needed my 40% deposit to get the best rate.