House buying dilemma - criticize my thinking please.

FTB_Dan

steve866 said:

You could do a longer mortgage (e.g 38 years based on a retirement age of 75) which will reduce the monthly payments by a couple of hundred a month. You will pay more interest overall, but you could always overpay or go into a shorter term if and when your incomes increase. Have you considered a ground floor garden flat closer to London?

This is a good shout. 

We recently got a mortgage and opted for 35 years. Cheaper payments and can still overpay whenever we want to make it more manageable.

BikingBud

steve866 said:

You could do a longer mortgage (e.g 38 years based on a retirement age of 75) which will reduce the monthly payments by a couple of hundred a month. You will pay more interest overall, but you could always overpay or go into a shorter term if and when your incomes increase. Have you considered a ground floor garden flat closer to London?

What a mad world we are in!

ACCA

MysteryMe said:

ACCA said:

MysteryMe said:

Just seems so odd that with all this research you've done you've not listed a single location in East Herts or Essex which are the locations which along with Cannon Street are most convenient for Bank going into Fenchurch Street and Liverpool Street.

Probably a miss of mine, the places I shortlisted - I have colleagues or friends living in, that's why. What areas do you think worth having a look at? 

Leigh's been covered and Benfleet already mentioned but you could look along the C2C line to Westcliffe and on the Greater Anglia line Rochford, Hockley, Rayleigh, Billericay. You either have the seaside or green open space and country parks close by.  They may be out your price range though and GA may have higher fares. Good train service from Chelmsford, only 30 mins into Liverpool St and you could find somewhere in your price point but an annual ST is £4500 however no need for tube other end.  I don't live in any of the areas mentioned but know them. Some of the best secondary schools in the country are located in Southend and Chelmsford. Not so nice areas in both. but applies to any sizable town including several on your short list.  

Thank you. The season ticket is a robbery, but just noted that Basildon has got an annual price of £3,200, which is bearable more or less. I will pop those locations on my list and will need to properly re-search. 

hazyjo

Wouldn't buy in Basildon. Far nicer places on your budget. £3844 from Leigh or Benfleet.

Rumana03

ACCA said:

MysteryMe said:

ACCA said:

MysteryMe said:

Just seems so odd that with all this research you've done you've not listed a single location in East Herts or Essex which are the locations which along with Cannon Street are most convenient for Bank going into Fenchurch Street and Liverpool Street.

Probably a miss of mine, the places I shortlisted - I have colleagues or friends living in, that's why. What areas do you think worth having a look at? 

Leigh's been covered and Benfleet already mentioned but you could look along the C2C line to Westcliffe and on the Greater Anglia line Rochford, Hockley, Rayleigh, Billericay. You either have the seaside or green open space and country parks close by.  They may be out your price range though and GA may have higher fares. Good train service from Chelmsford, only 30 mins into Liverpool St and you could find somewhere in your price point but an annual ST is £4500 however no need for tube other end.  I don't live in any of the areas mentioned but know them. Some of the best secondary schools in the country are located in Southend and Chelmsford. Not so nice areas in both. but applies to any sizable town including several on your short list.  

Thank you. The season ticket is a robbery, but just noted that Basildon has got an annual price of £3,200, which is bearable more or less. I will pop those locations on my list and will need to properly re-search. 

We looked at Basildon once and driving around the area put me off. It looks so rundown and rough. We never went back there after that 😂

Tiglet2

Billericay is close to Basildon, but a much much nicer place to live, in fact pretty desirable.  Not too sure of the commute costs, but will take you around 30 mins on the train to Liverpool Street.

This house is in a nice part of Billericay, close to Norsey Woods for walks and countryside, plus excellent schools nearby.  It is around 0.8 mile from Billericay Rail Station.  There is a bus from Norsey Road to the station, or you could walk/cycle (reasonably flat route).

https://www.rightmove.co.uk/properties/122254109#/?channel=RES_BUY

hazyjo

When I last looked, Billericay was actually more expensive to travel in from compared to Benfleet/Leigh-on-Sea. C2C is much more reasonable and reliable.

ACCA

hazyjo said:

When I last looked, Billericay was actually more expensive to travel in from compared to Benfleet/Leigh-on-Sea. C2C is much more reasonable and reliable.

Spot on! Annual season ticket to the Brentwood which is just 5 miles away (20m cycle or 5m train) is £3,050, Billericay is just nearly £4k. 

Anyways - many thanks for such a valuable pieces of advice everyone! Definitely lots for us to digest. Now need to research the areas and actually travel there, then stalk to zoopla and rightmove, and keep putting beans aside  

Tiglet2

ACCA said:

hazyjo said:

When I last looked, Billericay was actually more expensive to travel in from compared to Benfleet/Leigh-on-Sea. C2C is much more reasonable and reliable.

Spot on! Annual season ticket to the Brentwood which is just 5 miles away (20m cycle or 5m train) is £3,050, Billericay is just nearly £4k. 

Anyways - many thanks for such a valuable pieces of advice everyone! Definitely lots for us to digest. Now need to research the areas and actually travel there, then stalk to zoopla and rightmove, and keep putting beans aside  

Benfleet and Leigh on Sea to Fenchurch Street = £3844
Billericay to Liverpool Street = £3936
Brentwood to Liverpool Street = £3016

In the grand scheme of things - not much in it.

getmore4less

My first thought was you don't take a long/expensive commute for 30k.

If that is not going up a lot then it has to be a job change.

Do the budgeting based on one £30k job being local.

With £140k and ~£90k income I would target higher

The 75% LTV (the interest break is there with most lenders) takes you to £560. 4.7x so a bit high 4x gives you £500k and 72%LTV



With £5.5k(before pension etc.)  net coming, £1,400 housing, some bike repairs no commute costs, why can you only save £1,230pm?

Where is the other £2k+ going,  even whacking £10k in your pension give £5k net

one income
£60k, £10k in the pension  leaves £3kpm
£1,500 mortgage, £500pm commute still leaves £1k for bills and food