Having doubts after offer accepted

Skiddaw1

Oh Crashy, poor Dan is finding it stressful enough....


Dan, for what it is worth, I think you've seen that the majority of posters agree you're doing the right thing by going ahead. It's a lovely wee bungalow, with bags of potential, and when push comes to shove, it's going to be YOUR HOME. I'm sure you'll look after it and improve it and frankly, no-one can really guess what it will, or wont, be worth in 5 or 10 years time (or whatever).


Honestly, Dan,I really believe that sometimes you just have to take a leap of faith....

Crashy_Time

danlightbulb wrote: »

Second guessing what the market might do is a complication i dont need. All i know is my rent would be higher if i had to find a comparable place now (as ive been here 10 years and he only put it up once), and the new mortgage will be the same as my rent is now.

I just need to have confidence thats its a good house and not something undesirable because my judgement is lacking confidence.

One rent rise in ten years is great value for you and the landlord obviously knows how to keep hold of good tenants, but the new mortgage on any house around this price will be the same as your rent, why the rush to buy this particular place? Do you think there could be some kind of credit event soon (I do) that will make mortgages more expensive or are you feeling pressure to "get on the ladder"? Looking at this house I just see basic shelter that exists in similar shape and size all over the land, and IMO it might be slightly overpriced as well..

danlightbulb

Crashy_Time wrote: »

One rent rise in ten years is great value for you and the landlord obviously knows how to keep hold of good tenants, but the new mortgage on any house around this price will be the same as your rent, why the rush to buy this particular place? Do you think there could be some kind of credit event soon (I do) that will make mortgages more expensive or are you feeling pressure to "get on the ladder"? Looking at this house I just see basic shelter that exists in similar shape and size all over the land, and IMO it might be slightly overpriced as well..

There is no rush as such (although I'll caveat that for later), and I have been looking (casually) at houses for sale for over a year. This one stood out because it was detached with a good sized garden. Everything else i have been seeing for the same money were smaller semis or terraced with smaller gardens, and in many cases in not very nice roads. So it does stand out as being relatively good value in that regard, albeit it needs work and is a bungalow and has no driveway - things I struggle to put a value on.

My 'rush' caveat is that I'm 40 next month. I have already had to step down a year to a 29 year mortgage as advised to by my broker, because a 30 year mortgage takes me past my retirement age which creates problems. The problem is, the longer I wait, the lower term I can get, the more the monthly repayments will be, the less house I can afford. And houses aren't getting cheaper. I could find myself priced out, or forced into something far cheaper by virtue of needing to be able to afford repayments over a shorter mortgage term.

DCFC79

OP if you like it then go ahead with it as that's whats important.

Splatfoot

I've lived in a bungalow for 13 years and I'm not old:rotfl: they are very popular where I live and not just for old people. This is the second bungalow I've owned, I bought my first one when I was 28. I think it looks great, loads of potential.

paddyz

I love that house

It’s got loads of space, you can move in and just take your time upgrading it
I also freaked a bit about my house, after my offer was accepted and I think most people do, that garden looks really lovely

ian1246

Dan, ignore Crashy. His views are well known on this forum regarding the "inevitable" housing Crash.

What you have just said - about struggling to find homes which are bigger, better and in nicer area's - should tell you you've lucked out & found a good property.

The house oozes potential - take a leap of faith and go for it. Just think: whilst your monthly payments may be equivalent to rent for a similar place, around 50% of it will actually be paying the mortgage capital back - building equity in YOUR home and basically you accumulating wealth which you can either release (downsize) or utilise for future expansion/move to an even nicer house.

Rent is 100% wasted. Your basically giving yourself a few hundred £££ a month pay check (the part of the mortgage payement going on capital repayment, i.e. building equity) which your immediately cashing into wealth, the moment you move into your own house vs. Where your at renting....

.... and from what you ve said, you ve struggling and are going to continue to struggle to find somewhere which is as large & well located as this place at the same price....

Plus if steps worry you in terms of future sale, nothings stopping you building a ramp, probably for a few hundred £££a

[Deleted User]

~Another one who thinks its a lovely house. Yes it needs a new bathroom, kitchen, redecorating (you can use what is there though and change as you want to, no rush) but the rooms aren't small, you have a lovely garden and you can afford it.

If there is access to parking at the back, you don't really need a drive, you have a garden instead (which many would consider an advantage not a disadvantage). Tiny tiny compromise compared to most.

You have a better house than most you have seen in your search, with a nice garden, lots of room, its reasonably priced with potential.., why are you still looking for reasons to not buy it? You like it, and it meets your needs, Enough said.

Crashy_Time

danlightbulb wrote: »

There is no rush as such (although I'll caveat that for later), and I have been looking (casually) at houses for sale for over a year. This one stood out because it was detached with a good sized garden. Everything else i have been seeing for the same money were smaller semis or terraced with smaller gardens, and in many cases in not very nice roads. So it does stand out as being relatively good value in that regard, albeit it needs work and is a bungalow and has no driveway - things I struggle to put a value on.

My 'rush' caveat is that I'm 40 next month. I have already had to step down a year to a 29 year mortgage as advised to by my broker, because a 30 year mortgage takes me past my retirement age which creates problems. The problem is, the longer I wait, the lower term I can get, the more the monthly repayments will be, the less house I can afford. And houses aren't getting cheaper. I could find myself priced out, or forced into something far cheaper by virtue of needing to be able to afford repayments over a shorter mortgage term.

Basically IMO if you are conflicted enough about the purchase to ask for advice on a forum you are probably not going to be happy in the house for 29 years, the fact that you feel pressured by all the Get On The Ladder stuff also indicates that this is not your dream purchase by any stretch of the imagination.

Crashy_Time

ian1246 wrote: »

Dan, ignore Crashy. His views are well known on this forum regarding the "inevitable" housing Crash.

What you have just said - about struggling to find homes which are bigger, better and in nicer area's - should tell you you've lucked out & found a good property.

The house oozes potential - take a leap of faith and go for it. Just think: whilst your monthly payments may be equivalent to rent for a similar place, around 50% of it will actually be paying the mortgage capital back - building equity in YOUR home and basically you accumulating wealth which you can either release (downsize) or utilise for future expansion/move to an even nicer house.

Rent is 100% wasted. Your basically giving yourself a few hundred £££ a month pay check (the part of the mortgage payement going on capital repayment, i.e. building equity) which your immediately cashing into wealth, the moment you move into your own house vs. Where your at renting....

.... and from what you ve said, you ve struggling and are going to continue to struggle to find somewhere which is as large & well located as this place at the same price....

Plus if steps worry you in terms of future sale, nothings stopping you building a ramp, probably for a few hundred £££a

You need to be very very wary of advice like this, many posters bought decades ago when this sort of "wealth building" from property could be taken more seriously (although they didn`t know at the time the biggest housing bubble in history was coming up round the bend) There are plenty of people around now with houses on the market for literally years who believed the line about housing "wealth" just being something you "cashed in" when you felt like it, it doesn`t work like that any more, not nearly so well as it used to anyway, and you are not "cashing into wealth" anything the moment you move in, you are sitting in four walls and a roof that you paid/borrowed X for and that only has a value of what someone else decides (or more likely, what a bank decides) it is worth, and unlike a stock you cannot realise the loss or gain by clicking a mouse as you will be trying to sell one of the most illiquid "investments" imaginable. If you want to live in this as a home for a couple of decades then buy it, if you want to build wealth that is accessible when you need it then investigate stock market and other investments, but don`t do as many of the population (and posters here) have done and confuse the two very different financial vehicles.