Buy or stay in HA?

dimbo61

I read in the paper today that you need £625,000 to rent in your old age.
Owing your own home is the very best place to be when you do hope to retire.
You may get pay rises, your kids may get jobs and help out by paying board, you might get an inheritance.
If you can please buy your home.

HampshireH

dimbo61 said:

I read in the paper today that you need £625,000 to rent in your old age.
Owing your own home is the very best place to be when you do hope to retire.
You may get pay rises, your kids may get jobs and help out by paying board, you might get an inheritance.
If you can please buy your home.

Was that in social housing where all repairs are catered for as well as major works?

Or in private rental where it is pretty much luck of the draw?

I am all for homeownership. Personally for me it was a huge achievement. But only if it's genuinely affordable and £1400 a month is a big commitment 

housebuyer143

dimbo61 said:

I read in the paper today that you need £625,000 to rent in your old age.
Owing your own home is the very best place to be when you do hope to retire.
You may get pay rises, your kids may get jobs and help out by paying board, you might get an inheritance.
If you can please buy your home.

Where on earth did you read that? At £650 a month they could rent it for 80 years! 

MultiFuelBurner

dimbo61 said:

I read in the paper today that you need £625,000 to rent in your old age.
Owing your own home is the very best place to be when you do hope to retire.
You may get pay rises, your kids may get jobs and help out by paying board, you might get an inheritance.
If you can please buy your home.

Thanks £2600+ a month for 20 years

Don't believe everything you read 😂😂

Sarah1Mitty2

dimbo61 said:

I read in the paper today that you need £625,000 to rent in your old age.
Owing your own home is the very best place to be when you do hope to retire.
You may get pay rises, your kids may get jobs and help out by paying board, you might get an inheritance.
If you can please buy your home.

That isn`t correct, but you do need around 600k to buy a half decent house, that is why mortgage debt now is a bad idea, wait for interest rates to do their work then start off with less debt and be able to save more for your retirement.

silvercar

housebuyer143 said:

dimbo61 said:

I read in the paper today that you need £625,000 to rent in your old age.
Owing your own home is the very best place to be when you do hope to retire.
You may get pay rises, your kids may get jobs and help out by paying board, you might get an inheritance.
If you can please buy your home.

Where on earth did you read that? At £650 a month they could rent it for 80 years! 

Rents will increase over time. How will you fund the rent in retirement?

Really difficult to choose between buying and a secure rental. If you worry about mortgage payments now, will you worry about rent in retirement? Always the option to downsize when the kids have left home if you own your own property, whereas giving up a secure tenancy isn’t advised.

jimbog

Sarah1Mitty2 said:

dimbo61 said:

I read in the paper today that you need £625,000 to rent in your old age.
Owing your own home is the very best place to be when you do hope to retire.
You may get pay rises, your kids may get jobs and help out by paying board, you might get an inheritance.
If you can please buy your home.

 you do need around 600k to buy a half decent house

Wow. That's over double the average UK house price. Expensive tastes

Dustyevsky

jimbog said:

Sarah1Mitty2 said:

dimbo61 said:

I read in the paper today that you need £625,000 to rent in your old age.
Owing your own home is the very best place to be when you do hope to retire.
You may get pay rises, your kids may get jobs and help out by paying board, you might get an inheritance.
If you can please buy your home.

 you do need around 600k to buy a half decent house

Wow. That's over double the average UK house price. Expensive tastes

And then it's only 'half-decent,' so the other half must be 'indecent.'

I wouldn't presume to tell someone they should go for home ownership, rather than remain in HA housing they see as 'secure.' Sacrifices must be made, and although I don't regret them, I'm sure others would. Private property has been confiscated by governments, so there is no such thing as ultimate security. Looking at the sustainability of ideas originating in the first half of the previous century, however, I wouldn't bank on a home of choice for life if it isn't owned outright.

BungalowBel

Option A - Secure social housing, all repairs/maintenance paid for by someone else.  However, you will always have to pay your rent until the day you die and the benefits system may not be so generous in the future.

Option B.  Owning your house.  However, the mortgage is double the rent and there will be repairs/maintenance on top of that.  BUT, after a while you will have paid it off and won't have to pay any more.

I can understand your husband being worried about it.  He probably thinks he can never retire.

If you can afford the mortgage and hopefully overpay as well to bring the term down so that you can pay it off earlier (and save loads of interest), then buying every time would be my choice

badmemory

I would take care out of the equation.  If you rent & have savings then those savings will pay for your care (remembering deprivation of assets) & if you own the sale of your house will pay for your care.  I think a lot depends on what proportion of your earnings your mortgage is going to be & how big the rises are likely to be when you pass your remaining exams.