Current mortgage rates + first time buyer is it worth it?

bubblesch

For the past year I have been waiting to get a permanent contract from work in order to get a higher mortgage, now that I have that with the current housing market, mortgage lenders pulling loads of their products and the interest rates being so uncertain/high. Is now a good time to go ahead with getting a mortgage and getting onto the property ladder?

MovingForwards

Is there ever a good time to buy? 

I did a risk assessment to see if I could afford rates of upto 15%, calculated how much I could afford to save and overpay, worked out how I could strip outgoings down if need be etc.

My mortgage is with a sub-prime lender and I put in a 15% deposit. I took the stance I'm paying off my home rather than renting as that rental money was better clearing my mortgage.

snowqueen555

I'm in the same boat. Offer accepted on a new build studio flat, it offers better value than 1 bed flats, which for the same price are only a few sq m bigger and requires refurbishment.

I lost out originally but they came back to me the next week. I'll be on 4.3% over 30 years and this is based on me working 6 days a week 🤦🏿‍♂️. I can cover 10%+ interest rate if it ever got that bad.

Market is really messed up right now, but I feel like for me it is now or two+ years time, it's crazy how I was in a better situation two years ago on my single job.

OP I think many factors apply depending on your individual circumstances. For myself I am in my late 30's, I really need my own space. With the new rules with stamp duty the impetus to save my FTB status is also less.

[Deleted User]

MovingForwards said:

Is there ever a good time to buy? 

Perfectly said. I am also a FTB and have had no luck buying a house until now. Gazumping, outbidding, extensive damp...that sums up my experience! However, I have now had an offer accepted on a house and riding the waves of the current situation. I will be tightening the purse strings, making a few adjustments, but I reason that I could take the leap now or wait 2+ years of renting and then go for it. 

There is a lot of fear on these forums, and perhaps it is justified, but you have to decide what buying a house is worth to you. To answer your questions, is it a good time to get a mortgage - not the best, but potentially better than several months down the line (who knows really?) Is it a good time to get on the property ladder? Surely the answer would be 'yes', but if your heart isn't in it, then perhaps it's too big a commitment to make. Only you know the answer to that.