First time buyer: one bedroom in London

Crashy_Time

 Most people buying in London now will be waiting a long time to actually own the property?

Slithery

Crashy_Time said:

 Most people buying in London now will be waiting a long time to actually own the property?

You're not trying to tell us that you don't own 100% of the property just because you happen to have a mortgage are you?

Crashy_Time

A good test of how much you own is to stop paying the mortgage for a while (I know I know the debt is secured on the house, you own the house etc., maybe I should have said -  Most people buying in London now will be waiting a long time to clear the debt on their property? Surely you don`t disagree with that statement?)

blue_max_3

Crashy_Time said:

A good test of how much you own is to stop paying the mortgage for a while (I know I know the debt is secured on the house, you own the house etc., maybe I should have said -  Most people buying in London now will be waiting a long time to clear the debt on their property? Surely you don`t disagree with that statement?)

People in London are likely to have similar mortgages to most people aren't they? Most buyers in London are unlikely to be first time buyers and are likely to have significant deposits. We've been used to high property prices for as long as anyone remembers. It's only a surprise to people in other parts of the country.

Crashy_Time

https://www.rightmove.co.uk/properties/84199528#/
Is it value with nearly 500 quid knocked off the initial price?

Mickey666

Crashy_Time said:

A good test of how much you own is to stop paying the mortgage for a while (I know I know the debt is secured on the house, you own the house etc., maybe I should have said -  Most people buying in London now will be waiting a long time to clear the debt on their property? Surely you don`t disagree with that statement?)

Is there something different about London mortgages that I've missed?  Surely a 25 year (or 30 or whatever) mortgage is the same in London as anywhere else in the country.  Yes, the mortgage amount may be different but surely the term is about the same?

steve866

Crashy_Time said:

Hannimal said:

Does anyone find Crashy's scaremongering actually helpful?

Do you think the OP has made a good financial move by taking out a mortgage on this London flat at this time?

I would say the OP will be worse off for a few years, but at some point prices will be back on the increase and the OP will have been chipping away at his mortgage and absolutely be in a better position that if he had remained in rented.

Crashy_Time

Mickey666 said:

Crashy_Time said:

A good test of how much you own is to stop paying the mortgage for a while (I know I know the debt is secured on the house, you own the house etc., maybe I should have said -  Most people buying in London now will be waiting a long time to clear the debt on their property? Surely you don`t disagree with that statement?)

Is there something different about London mortgages that I've missed?  Surely a 25 year (or 30 or whatever) mortgage is the same in London as anywhere else in the country.  Yes, the mortgage amount may be different but surely the term is about the same?

The debt is more, much more, and much of it is essentially a leveraged bet on HPI continuing in the same vein as recent years, which I don`t think is going to happen

steve866

Crashy_Time said:

Mickey666 said:

Crashy_Time said:

A good test of how much you own is to stop paying the mortgage for a while (I know I know the debt is secured on the house, you own the house etc., maybe I should have said -  Most people buying in London now will be waiting a long time to clear the debt on their property? Surely you don`t disagree with that statement?)

Is there something different about London mortgages that I've missed?  Surely a 25 year (or 30 or whatever) mortgage is the same in London as anywhere else in the country.  Yes, the mortgage amount may be different but surely the term is about the same?

The debt is more, much more, and much of it is essentially a leveraged bet on HPI continuing in the same vein as recent years, which I don`t think is going to happen

If house prices, rents and interest rates all remained static buyers would be better off?

redefinr

Crashy_Time said:

https://www.rightmove.co.uk/properties/84199528#/
Is it value with nearly 500 quid knocked off the initial price?

Mate, that's £800PCM for a single room in a flat share - what makes you think I would be willing to pay such a price for flat-sharing? I think you just browsing properties without really seeing details, locations etc.
I genuinely don't mind different vision, yeah I could have been off still renting...and renting...and renting. Then you retire, and what? You still renting? My plan is to pay off my mortgage before retirement and actually own a property, instead of giving my money to landlords for the rest of my life. You know what relief is not to worry anymore about renting going up? Or landlord repossessing the property I rent? Or even just the freedom to pain the flat whatever I want...
Bottom line is if you rent you never going to own a property. It's cool when you 20's but I'm not.