Unsure if I want a house now?

mysterymurdoch

PS some grey hairs won't stop you getting a boyfriend. For many that's actually quite attractive!

mark55man

cashbackproblems wrote: »

You are paying rent and getting nothing from it why wouldn't you pay a mortgage? especially if you have some savings as back up in case of redundancy etc. Plus the last few years in the markets have been booming and easy to make money out of, equities are at a all time high and we are due a correction.

The thing that is being got by not having a mortgage is freedom from worry, and flexibility to move. If you don't worry and dont want to move they are worth nothing - otherwise they are worth something. And given that OP has a cheap rent its not at a big cost.

Not sure I agree with you investment analysis as a basis for future decisions. You may be right, but you cant tell - markets can stay irrational longer than you can stay solvent

sparky130a

I don't know why you ever thought STEM would provide a pot of gold.

By definition those who excel at the subjects would never teach from graduation. They would work in their respective field and then maybe consider teaching in their dotage. And they'd be remunerated accordingly.

Your alternate view on life is fine, but i don't see that it entitles you to complain about the situation your own self imposed decisions have led you to.

Buy, don't buy.. the world will keep turning. And given the scenarios you paint your life will more than likely become increasingly untenable.

Kynthia

There are lots of people that aren't going to take out a mortgage, but for the majority it's because tgey don't meet the lenders criteria rather than it being their choice. I'm sure there are some with a strong aversion to debt but I'm afraid I don't know them.

It sounds like you had things hard before graduating in a recession, plus losing friends to suicide must have been awful. Whether or not you buy a property isn't important. Finding people who will support you when you need it and getting some enjoyment out of life are what's important. I hope you get enough financial security to relax a little and have some fun. Take advantage of not being tied to a property and live in different places and travel to other countries. If you find that even when you have enough money to more than meet your needs and a good buffer in case of job loss, but you still can't spend and want to work yourself to the point of illness then perhaps you might need to talk to someone as that doesn't sound healthy and issues from your childhood or from later things may have affected you more seriously.

I was lucky in how I was raised and in the support I've had. I was taught that there can be good debt as well as bad. Debt that saves you money, gets you an education, or puts a roof over your head earlier can be good. However like many things it can go bad if you don't have a repayment plan. Plus people misuse debt, such as using it to fund a lifestyle they can't afford, taking out high interest debt, viewing borrowing limits as a target instead of a maximum, or not thinking about how to pay it all back. If you could ever see debt as a tool to be used appropriately it might make things easier for you but I can imagine that's hard for someone who has suffered with debt.

Rosieandjim

You need to turn things around to your advantage. If you purchased a home you could take in lodgers who will pay you to stay. There will never be a better time to take people in as there is a housing shortage and the demand will remain.


You are however just renting off the Bank until you pay that mortgage off, I have met a lot of older people who are in just a much poverty trying to upkeep a property that they no longer can afford on their pensions. Most end up back in Council or housing association property. So there is a flip side.


What is STEM?

Pixie5740

A life lived in fear is a life half lived.

Lumanous

Please excuse my confusion, I understand the principals and general decisions you're working with but in terms of a mortgage, it sounds from initial posts like a mortgage is an option but from later posts it sounds like you're not in a position to get an approved mortgage at this stage yet anyway. Is that right? Big discussions so I may have misread.

I was just curious. Are you looking to decide what to work towards next? Rather than what options you have available now?

I will check in more later on the rest of your post, interesting discussion. In the end it's up to you but good you are looking to consider other people's opinions and suggestions. Always worth knowing what may work and what options you may not have considered. If not for now, you don't know what you might decide years down the line or if situations change

Planet_Switzerland

CharllieSays wrote: »

"I'm doing alright in my career now and I'm on the property ladder. It took me years to take the plunge, though having to save a London sized deposit was a factor in that. I was however worried about taking on such a huge debt and being so reliant on my job to get it paid. For example, the monthly payments are more than I would earn a month in my first permanent job."

I'm glad to hear you are doing better now. I am curious to know what your plan would be if there was another big recession and you were out of work for a year or more? For several years I struggled to find ANY work, and even getting interviews for temporary or minimum wage roles was difficult. If I'd had a mortgage back then, then I would have lost the house without question. Do you have some sort of back up savings for that kind of situation?

I have an emergency fund which should cover me a few months. Obviously if I'm out of work for over a year then I'm in trouble, but the only way to truly cover yourself is to have your entire mortgage payments saved up, but if you have that you may as well pay the mortgage off.


If I was renting though I'd still need to make the rent payments, but also because my savings were over £16k I'd get no benefits so would see my savings go down and down. At least if I did get my property repossessed I'd get some money back from it.

Crashy_Time

mysterymurdoch wrote: »

PS some grey hairs won't stop you getting a boyfriend. For many that's actually quite attractive!

Many grey hairs will stop you getting a house though, until rates rise of course.

Crashy_Time

Planet_Switzerland wrote: »

I have an emergency fund which should cover me a few months. Obviously if I'm out of work for over a year then I'm in trouble, but the only way to truly cover yourself is to have your entire mortgage payments saved up, but if you have that you may as well pay the mortgage off.


If I was renting though I'd still need to make the rent payments, but also because my savings were over £16k I'd get no benefits so would see my savings go down and down. At least if I did get my property repossessed I'd get some money back from it.

If there is a proper correction in the housing market I would rather be attached to savings/investments and a cheap rental than a large mortgage, especially if rising rates are a factor in the correction. This also makes it easier to move for work if things get really bad.