SOD IT!!! I'm giving up and having a damn good holiday instead!!!

Dithering_Dad

I've never understood the mania in the UK for having to crucify yourself financially to have your "own" home, especially if it takes a 100% mortgage to do it (which inherently means that the bank owns the house and you own the debt).

If you're so convinced that the housing market is going to crash, why not invest the 30k in a decent fund for the next three to five years and just enjoy the money you are earning right now. If the crash occurs then you will have received a return on your 30k investment and be really well placed to buy perhaps an even better property than the one you're aiming for now. If the crash doesn't happen then at least you still have the investment return that will have probably outstripped the house market gains during the same time, plus you'll have lived a little with your 30k earnings.

benbenandme

I'm about to complete on a property in the Christchurch area, and yes it is a typical ftb property (2 bed flat), but I am downsizing into it rather than just getting on the ladder. I'm also not the typical age of the local residents either;) i understand your points about the high prices but its all relative, I'm moving from greater London so the prices seem great to me!!

Also, in reply to why people keep paying these prices sometimes there aren't many alternatives, renting isn't always a cheaper option and we have to live somewhere!! Have a good trip and might bump into you down the beah one day

snowmaid

We are FTB and are buying because we want reasonable stability for our children and cannot bear the thought of having to move from one rented property to the next and uprooting the kids everytime, changing schools etc. I just won't do it.

CharleneUK

I'm a FTB as well as was seriously considering backing out, but as the council are assisting our purchase with a £30,000 grant, I'm just praying if there is a crash, it won't fall below the figure minus the grant.

We are a family of 3, in a 2 bed council flat with boxed rooms. We don't earn that much, but I will be going into full time employment in the next 2 years, when our youngest is in school, but we will get by if rates rise.

I think it's really unfair calling people idiots, you have no idea the personal reasons people are buying.

Good luck to all the FTB's out there.

OP, I hope you have a great holiday, sounds like your in real need of one! x

pamaris

Hi,

I just wanted to share with you what I have observed. I have had two close friends who several years ago received an inheritance in their early/ mid twenties. Friend A received $140k, friend B received $100k. They both squandered every penny. I will compare your situation with friend A because she received her cash from her father's premature death. She spent her money on traveling the world, buying gifts for people, and pretty much whatever her heart's desire was. Her heart's desire was to have her father back, and that didn't happen.

Of course, she now wishes she handled the money differently, because she is driving a car with no A/C in Texas with 200k+ miles on it and can't replace it, but she was grieving and could not see straight at the time. Perfectly understandable, but sad. The money was meant to give her a helping hand in life, but basically she spent it, now it's gone and so is her dad.

You can have a helluva holiday for £5k! Spend that and save/ invest the rest. There is no need to spend every penny just because it is there.

My OH and I are living with my husband's mum for the time being while saving for a deposit (not ideal!!). We're also on 30k. We're going to save for a year or two, and then if the market has corrected and we can afford, we will buy. If not we will bank the money and rent until prices stabilize. The current situation is unsustainable. Where I live (south Manchester) prices are high but stagnating. Properties are sitting unsold. Within a year the prices will start tumbling (they already are)... within 3 years they will be affordable... hopefully less.

Just hang tight... house prices will stabilize and you will be ready with your deposit to take advantage. This is a good opportunity for you.

Benny24

I know how you feel OP. Our sale has just crashed through the floor and we're back to square one, having spent a lot of money on solicitors fees, valuations and surveys. To cap it off our sellers have decided to take the house off the market.
HUMPH!

Dithering_Dad

CharleneUK wrote: »

I think it's really unfair calling people idiots, you have no idea the personal reasons people are buying.

I'm not sure who this comment is aimed at because I had a quick re-read of the thread and couldn't find any reference to people being called idiots for house buying. I did see remarks about how the OP would be a fool if she/he spends her entire life savings on a holiday, and I have to say that unless she is dying of cancer and has no dependants then I have to agree with this.

As far as a crash is concerned, I just don't see it happening. Houses near me in Manchester are not really selling, but people seem happy to just sit and wait. In order for a crash to occur, you need more than just high house prices, you also need high interest rates (towards double digit) and high unemployment rates as occurred in the early 90's housing crash.

People will not sell their houses at give away prices unless they are desperate due to their financial circumstances. With (still) historically low interest rates and (still) good employment levels, there will be no crash, just a slowdown or halt in house price inflation.

Dead_Eye_Jones

fimonkey wrote: »

Here's the rant.....

As a FTB with a good salary (30K) and good deposit (30K) I have finally been priced out of the market for the area I live in (Christchurch/ Bournemouth). All I want is a nice little 2 bed place with a private garden, but now all I can afford is a grotty 1 bed flat in an over-developed area, and this ridiculous further rise in property prices has happened in the past year!! (this time last year I could have afforded what I want, however this time last year my dear mother was alive and therefore I had no deposit together from the sale of her house recently).

So THAT'S IT! I'm OUT of this stupid game!!! Good luck to the suckers who intend to continue to work their assess off to afford a leasehold cupboard! Ha ha, skit! and no sympathy whatsoever from me IF there's a house market crash (I personally don't think there will be, but I'll be laughing the loudest if there is)!!

Meanwhile I'm taking my deposit and booking myself a damn good luxury holiday. :j My late mother would have wanted me to be happy, and a holiday will do just that! Then I'm gonna go buy a whole new wardrobe, and perhaps throw a couple of parties. Life is for living right? Well being a frugal-boring-old-paying-60%-of-my-salary-on-a-mortgage isn't what I call living!

And finally I feel relaxed!.... Off you all go now little ratties, carry on with your big important race!

GL to ya chap, but I think you are being a little shortsighted. For example, if there is a downturn that deposit could be the difference between getting what you wanted and still being priced out.

I also think that holiday's are of course fun but once its over - its over. I've always found it better to work towards a longterm goal and enjoy the reward. I bought my house in London last year through working hard and saving. I earn a similar amount to you and managed it by looking for a good deal and had saved since coming out of Uni.

Having now got what I want I am able to see that mortgage come down each month, put in overpayments etc, thanks to normal wage rises my disposable income is only increasing and to be honest I could now afford a nice holiday every year. Whats the alternative - be a slave to rent for the rest of your life?

Its up to you, remember that its normal for mortgage repayments to start out high but over time inflation erodes this and the repayments will seem small in 5, 10 years time etc. So you can put in the work now and enjoy the rewards in your 30s - 40s or you can have the once in a life trip and end up working just to keep your head up.


I also dont get references to the "rat race" - I work in the City but find the environment most enjoyable. My colleagues are team players, we get on, have fun, go for lunch, go for drinks, watch the footy. We enjoy our work. I live in the 'burbs but with a good train link im in work in 40mins - I get to sit in comfort and read the paper or just stare out the window, where's the stress there!

Tomorrow I will be chilling out by the river with a cool lager and enjoying a weekend of free events (http://www.southbankcentre.co.uk/overture/) - having fun doesnt mean spending money. Id rather spend a day with friends than jet off on my own somewhere - but each to their own of course .

Life is good, chill out and have fun by all means, but you dont have to commit financial suicide to do it!


Best of luck, hope you get what you want eventually, I dont think blowing your deposit will help though!

CharleneUK

fimonkey wrote: »

Here's the rant.....


So THAT'S IT! I'm OUT of this stupid game!!! Good luck to the suckers who intend to continue to work their assess off to afford a leasehold cupboard! Ha ha, skit! and no sympathy whatsoever from me IF there's a house market crash (I personally don't think there will be, but I'll be laughing the loudest if there is)!!

HI DD, not idiots per say, but from this general tone from OP. There have been countless times people have been slagged off for buying, and it's just nasty and rubs me up the wrong way.

Guy_Montag

CharleneUK wrote: »

HI DD, not idiots per say, but from this general tone from OP. There have been countless times people have been slagged off for buying, and it's just nasty and rubs me up the wrong way.

Hey, if I got a 30k discount on a property I want to buy, I'd go for it too. But then I'm not likely ever to get a council house & strangely my landlord doesn't offer me that option.