Will I EVER be able to buy a house?

Macrae88

Hi,

I'd quite like to move out of my mothers house in the next couple of years, the problem is my job pays £15,000 and where I live houses are quite expensive (Warwickshire).

My question is with a salary of £15,000 would I ever be able to get a mortgage for a house? Obviously I'll never be able to buy a house outright, even small one bed flats around here are at least £125,000.

So, it seems like shared ownership is my only hope. My question is, will I even be able to get a 50% shared ownership flat with my salary? And do you need the same big deposits for shared ownership?

Thanks

monty-doggy

You can get help with deposit or a 5% deposit paid on a shared equity scheme. On your salary you could borrow around 60k which would give you a 50% share of a £120k property. You need to look at what schemes are available in your area.

A 5% deposit would be £6k

freeisgood

If you are living at your mothers house, could you live on 70-100 a week and still manage to save 20k in a couple of years?

OddballJamie

Monty-doggy I'm not certain Macrae88 will pass the affordability check as rent would need to be paid on the other 50% share.

Macrae88 - have you considered moving towards Birmingham, but on a good train/bus route? In the lesser desirable areas there's houses/flats for around £70k.

ILW

I would look at increasing your income if possible.

BitterAndTwisted

Shared-ownership has its own issues.

Who knows, in a couple of years you might have managed to increase your earnings and/or met someone you want to make a life-long commitment to. Then you'd be more likely to be able to afford to buy somewhere jointly in the conventional way.

Owning property isn't the be-all and end-all. Renting brings its own advantages, like the freedom to move more easily if your work/life circumstances change

[Deleted User]

Why do people have an expectation of being able to purchase a house as a single person earning near-minimum wage? You'll be able to buy a house if you increase your earnings or find a partner with reasonable earnings. Trying to purchase a house on minimum wage is crazy even if you do manage to scrape together enough money for a deposit...

monty-doggy

citricsquid wrote: »

Why do people have an expectation of being able to purchase a house as a single person earning near-minimum wage? You'll be able to buy a house if you increase your earnings or find a partner with reasonable earnings. Trying to purchase a house on minimum wage is crazy even if you do manage to scrape together enough money for a deposit...

I agree, the upkeep and responsibility that come with it. I'm still trying to remind myself of it now I'm buying!

Macrae88

Thanks everyone,

As for upping my income, I currently work in a call centre, but I do have a degree in engineering, but have been out of uni for over 3 years. So not entirely sure where my career could go in the short term, unless I do some other courses etc.

I was under the impression that shared ownership would be cheaper than renting, but a lot of you seem to be suggesting the opposite??

monty-doggy

Prob with shared is you pay rent on the other half. Which can add up to as much as renting if you inc mortgage payments, but then if something goes wrong like a leak or boiler breaks, it's up to you to pay for repairs.

DannyboyMidlands

What area of engineering?