Renting a place, good idea?

RobLondon1984

If I say earn £300 a week, would it be a good idea to rent a one bedroom flat for £150 a week for example? As everything e.g electricals, furnitures is avaliable in the rented place. Would 50% on rent of your weekly wage be too much? What % is feasible do you reckon? It would be closer to work and your not living with family. I seen advert in gumtree, are there better websites or companys that rent places out? Also, is there any way of living out, I don't think theres any other way, since I can't afford to buy a one bedroom flat at 150k for example, and I don't know how a mortgage work. I think you pay a fix amount every month? I think you pay interest, not sure what %, and if your moving jobs, then I don't know what happens with the flat you have a mortgage on.

Thanks for any replies

Gingham_Ribbon

I think you'll get more replies on the buying, renting and selling board. I'll move it over for you.

lynzpower

Hi Rob

I expect your best bet is to look for a houseshare with bills included. your salary isnt that high unfortunately.
have a look at the budget planner on the top of the debt free wannabee board, this will help you plan your finances.

liz545

You should expect to spend between 20%-33% of your salary on housing, 50% is just too much. At this level, you're not leaving yourself much room for bills, food, transport, increases in living allowances etc. Take a look at the budget planners, and see if you can afford to live out.

Jon211

When I first moved down to London I was doing something similar.

I was only earning £20K at the time and with student loan was coming away with around £1200 per month.
Rent was £650 per month and I managed to survive fine, couldn't go mad buying lots of stuff but I got by and even managed to save a bit.

RobLondon1984

Jon211 wrote:

When I first moved down to London I was doing something similar.

I was only earning £20K at the time and with student loan was coming away with around £1200 per month.
Rent was £650 per month and I managed to survive fine, couldn't go mad buying lots of stuff but I got by and even managed to save a bit.

Hi there, do you mean you had to pay back your student loan for £1200 per month? If yes, how can you afford to pay rent of £650 per month?

Jon211

What I meant was at the time I had around £1275 per month once tax and NI were taken off then I was paying student loan as well which left me with £1200 per month.