Would I make more money getting on the property ladder or from saving living with parents?

Atomix

bp5678 wrote: »

In 5-10 years I'll have moved out but say in the next year or two I could move out or continue living with parents. Eventually I will get on the property ladder but in the short term I'm tempted to keep saving.

I earn £1.75k a month, give my parents £300 a month in rent and manage to save £1k at the end of the month taking into account the rent i've paid them.

My reply is based on the above. Do not forget that every year you wait, you are not paying down your mortgage both in time and money. So £300 per month cost of rent, plus the £1000 your saving could be going towards paying off the mortgage (and overpaying?) so, what you would be paying your mortgage per month, and add every year to 25 (assuming your getting the standard 25 year mortgage.) so if you bought a house today rather than in 10 years, you would have 15 years left to pay. So add 10 years of time and money to get back to where you would have been... and as interest rates are low, and expected to be low for the foreseeable future, these figures could change (and not in your favour- ie don't base your repayments in 10 years time on current rates)