Worried about overpaying on house purchase

theartfullodger

Buying property is IMHO like getting married:. You won't know until a few years later if it was a good idea or not.

Back your gut feel.  And good luck

Getting_greyer

I'm worried about overpaying too, but I'm still going through with it.  And as Crashy no doubt agrees, prices will probably rocket in a few years  😀

Caramac

What I would consider is if I would be happy there if I had to stay for longer than two years. 

steampowered

Sounds fine to me. £20k sounds like a reasonable premium for an extra bedroom and end-of-terrace spot.

eidand

if you plan to move in a couple of years then I wouldn't bother buying a house. Why would you go through all that expense and stress for such a short time? Rent and be done with it. Buy when you plan to stay there at least 5 years, preferably more. 

RTC87

I think purchasing in this market with a plan of moving again in a couple of years is extremely risky. We just don't know how the market will change but there is a decent chase there will be a slight crash.

I would advise holding fire if it is something you wouldn't be willing to live in for at least 5-years.

NinjaTune

Echoing earlier sentiments, why would you want the expense (and hassle) of moving again in 2 years?  Legal costs, EA fees, removal expenses and stamp duty will probably wipe out any equity you may have built up.  Unless you are buying a place purely to do it up and sell on for a fat profit then it's crazy imo to buy somewhere for such a short period of time.

Davesnave

AdrianC said:

Crashy_Time said:

Right now is a bad time to buy if you are at all concerned about re-sale value IMO.

When, IYHO, was the last good time to buy?

Why am I thinking you won't get a straight reply to this simple question?

Angela_D_3

Crashy_Time said:

Angela_D_3 said:

Buying a house should be a 5 year plan minimum or plan a way of ensuring you save the deposit for the next house without relying on the equity from the first and keep hold of each house on the climb up the ladder then sell them all at the end when you know which one you want to die in.  That truly is the way to do it 

Tax burden on property hoarders going forward will make that a no no for most, and also most people ARE relying on the "equity" to keep moving up, that is how a ponzi/borrowing scheme works!

Not necessarily.  The next house I buy I’ll smash the mortgage in 5 years,  then live for free for 3 whilst saving the deposit for the next forever house.  Whilst holding on to the first two.  I don’t care about paying tax in fact I’d go so far as to say I’m delighted to,  it means I’m earning money and moving forward in life.  

Davesnave

When we bought in the depths of the last recession (2009) it was because of doomsayers suggesting world finance was in a downward plunge from which there was no escape. We figured bricks and mortar were somewhat more substantial than pixels on the screens of various banking web sites.

So, although it wasn't something we loved, we bought something with the potential to be a home for a long time. We're still here and although it's not perfect, our home's fine if the current crisis proves longer term than anyone in the mainstream supposes.

Two years? Pft! Imagine living there for at least 7 years and then decide.