My offer on a 3bed semi-detached for £245k was accepted. Overwhelming feeling of dread now.

Schwarzwald

HampshireH said:

If you're dating and wanting kids soon  why rush to buy something why not wait and do it together

you dont control the dating luck.
you control making progress in life by buying a house and living by yourself.
do what you can control otherwise you might end up putting things of in life for a very looooooong time ....

FreeBear

white_tree said:

WellKnownSid said:

white_tree said:

I will have about £8k to furnish the house, repaint some walls, fit carpet. If I have anything left for an emergency fund it'll be a miracle. 

Find your local British Heart Foundation or similar furniture store and take your time because stock changes regularly, choose the cheapest carpets from somewhere like Carpetright but negotiate hard on decent underlay and fitting, look for clearance offers on curtains (places like Dunelm), etc - and you can furnish, repaint some walls, and fit carpet for less than £2,000

If you want to spend any money at all on anything, get yourself a decent mattress (but only for your bed, not guest beds...).  Nothing else matters.

thank you, i will check out the BHF. i assumed carpetright had fixed prices! 

Also worth checking out local independent carpet suppliers - You will find "end of roll" and remnants at reduced prices.

ReadySteadyPop

white_tree said:

Hi,

Scroll down for tldr.
I (27) will be buying on my own and I currently have an offer accepted for £245k on a 3bed semi-detached house. I've struck some luck as the property could have very well sold for more under another circumstance. 3beds, driveway big enough for two cars.

My take home after NI, tax, student loan and pension is £2,562. My monthly repayments will be £974pm (5years fixed rate). This is the only deal i can get on my salary.
I am budgeting £340pm for:
£129 council tax
£75 gas (estimate)
£75 electric (estimate)
£21 water (estimate)
£25 broadband
£16 sim only deal
Home insurance will be paid in full by exchange

About me
Buying in Kent
No car expenses
I work from home
Currently living at home with parents for £0 and saving
Actively dating and would like to have kids as soon as we're both ready
Putting down a £38k deposit on this property

After mortgage and bills, my new take home will be £1,248 and that's for day to day living... food, saving, shopping. 

I feel extreme dread going into this as my disposable is down by a significant amount and I've never committed to a purchase like this. It'd be less if I go on maternity.

I will have about £8k to furnish the house, repaint some walls, fit carpet. If I have anything left for an emergency fund it'll be a miracle. I'm spending the next few months saving close to 70% of my take home to boost my savings before completion.The longer the process takes, the better for me. 

Kids are a big part of my decision too. I don't want to NOT be able to afford them whether that's by money or house set up. I don't think I'd qualify for any help from the gov't with my salary? I've no idea honestly. Just want to make the right decision here.

I plan to get a lodger in for some financial relief although I don't feel comfortable relying on this. Who knows how long it'll take me to find a compatible lodger? But if I found one, it'll take my disposable to around £1.8k if I charge £625pm.

I've also been applying for jobs in my field, can expect £200-400 increase per month, Will that make a huge difference? Debatable. Take home with £200-400 increase could be £1448-£1648

I say all that to ask whether I should go for the house or pull out while I still can? I've not instructed my conveyancer yet.

Feels like I'm future proofing myself with this house but I also feel like I may be biting off more than I can chew when I remember how much take home I'll be left with.

Any advice, warnings, or encouragement is welcome. Up at nearly 1am stressing about this. 

Thanks

Tldr
In process of buying 3-bed house. Salary will be tight after mortgage + bills (£1248 left). Will have to dip into my emergency fund to furnish house. Worried about affording future kids & emergencies. Potential to get higher paid job or 1-2 lodgers. Unsure whether to go forward with house or pull out

Lodger isn`t a great idea IMO, and relying on them for income is an even worse idea (as you rightly said) You should start a thread asking about the legal rights a lodger has once they have moved in. Could you find a cheaper house maybe, that would solve a lot of problems?

Groover24

I was exactly the same when I signed on the bottome line for my house and had a bit of a wobble when I was about to hand over my hard earned deposit - this was mainly due to someone at work suggesting I wait for the crash in 2008. Yes, it came to an extent a year later but I have not regretted buying. 

I was in house shares for many years as it suited me - it used to be incredibly cheap and I got used tohaving a lot of my income for myself as well. You have got used to the idea of having pretty much all of your income to do as you please and have been lucky that you do not pay rent. You may have to adjust your lifestyle to suit your new situation but that is life I am afraid - I changed habits but have not really had any regrets.

If your friends and family are handy with a brush then ask them to help in decorating.  You can do the essential rooms first - I started with the lounge, then the bedroom and then continued through the house when time allowed. There is no rush to get it perfect and I started with lots of reasonable second-hand items and replaced later when I found my feet. If the house has good bones then you should be OK 

Based on my experience I would go for it and enjoy the house.

FreeBear

ReadySteadyPop said: Lodger isn`t a great idea IMO, and relying on them for income is an even worse idea (as you rightly said) You should start a thread asking about the legal rights a lodger has once they have moved in.

Having a lodger can be a very rewarding experience if you get the right one. As for rights, a lodger has very few - They can be asked to leave on a whim with zero notice. The only real protections they have are contractual rather than legal.

Just don't use words like "tenant" or "tenancy" in any documents - They are "excluded occupiers" with a licence.

kipsterno1

I'm a big fan of Freecycle. If you haven't used it you will be amazed at the quality of items people donate.

jimbog

ReadySteadyPop said:

white_tree said:

Hi,

Scroll down for tldr.
I (27) will be buying on my own and I currently have an offer accepted for £245k on a 3bed semi-detached house. I've struck some luck as the property could have very well sold for more under another circumstance. 3beds, driveway big enough for two cars.

My take home after NI, tax, student loan and pension is £2,562. My monthly repayments will be £974pm (5years fixed rate). This is the only deal i can get on my salary.
I am budgeting £340pm for:
£129 council tax
£75 gas (estimate)
£75 electric (estimate)
£21 water (estimate)
£25 broadband
£16 sim only deal
Home insurance will be paid in full by exchange

About me
Buying in Kent
No car expenses
I work from home
Currently living at home with parents for £0 and saving
Actively dating and would like to have kids as soon as we're both ready
Putting down a £38k deposit on this property

After mortgage and bills, my new take home will be £1,248 and that's for day to day living... food, saving, shopping. 

I feel extreme dread going into this as my disposable is down by a significant amount and I've never committed to a purchase like this. It'd be less if I go on maternity.

I will have about £8k to furnish the house, repaint some walls, fit carpet. If I have anything left for an emergency fund it'll be a miracle. I'm spending the next few months saving close to 70% of my take home to boost my savings before completion.The longer the process takes, the better for me. 

Kids are a big part of my decision too. I don't want to NOT be able to afford them whether that's by money or house set up. I don't think I'd qualify for any help from the gov't with my salary? I've no idea honestly. Just want to make the right decision here.

I plan to get a lodger in for some financial relief although I don't feel comfortable relying on this. Who knows how long it'll take me to find a compatible lodger? But if I found one, it'll take my disposable to around £1.8k if I charge £625pm.

I've also been applying for jobs in my field, can expect £200-400 increase per month, Will that make a huge difference? Debatable. Take home with £200-400 increase could be £1448-£1648

I say all that to ask whether I should go for the house or pull out while I still can? I've not instructed my conveyancer yet.

Feels like I'm future proofing myself with this house but I also feel like I may be biting off more than I can chew when I remember how much take home I'll be left with.

Any advice, warnings, or encouragement is welcome. Up at nearly 1am stressing about this. 

Thanks

Tldr
In process of buying 3-bed house. Salary will be tight after mortgage + bills (£1248 left). Will have to dip into my emergency fund to furnish house. Worried about affording future kids & emergencies. Potential to get higher paid job or 1-2 lodgers. Unsure whether to go forward with house or pull out

 You should start a thread asking about the legal rights a lodger has once they have moved in. 

Would be a very short thread. Very few legal rights

annetheman

A lodger is definitely great back up if you can stand living with a stranger. I couldn't, so never got around to getting one...

Your actual disposable income amount is healthy. I really believe what it comes down to attitude towards finances and mindset around spending. You seem to have the right one, seeing as you started this thread and are aware of your financial position and have a rough SoA already. It is for that reason I concur that you will be absolutely fine!

When I first bought, my disposable income dropped so much from about £1,600 pcm to £600, BUT I didn't adjust my lifestyle. I bought new stuff, continued to live lavishly (lobster dinners every Friday, yes, that lavishly lol) and drank A LOT of alcohol, holidays, all sorts. I ended up with tens of thousands of credit card debt that I am only now paying off as a high earner.

This is my second time buying and in that time I have learned:

• Know your outgoings, write up a Statement of Affairs (SoA) and keep track of spending monthly - check.
• Pay off debts with a clear overpayment plan, stick to it and be diligent - check.
• Second-hand furniture - never buy new!*
• Mindset over everything

*I decorated my home with almost every item of furniture from charity shops (even the cushions, books, picture frames etc) over time, not all at once - I've had lots of compliments on my interior design, and you would be shocked at how little it cost. 

I also had recent significant pay rises (which you will if your partner moves in, too). This was mostly due to a change in my mindset overall. Because of your responsible attitude and mindset, you will be fine. Don't underestimate the power of that SoA and keep it in use!

millie

I got some nice curtains from charity shops. When my son bought his first property we got all the furniture he needed except for a bed and fridge freezer we preferred to by those for him new. The suite, television table dining room suite and bedside cabinet was all delivered for £250 from BHF. That was 10 years ago so probably a little more now.

AlexMac

The scoresheet;
”Go for it!” - 19 votes
the doubters - 1or 2?
plus lots of helpful positive advice…

… which means that my contribution (I skint myself at exactly your age to buy a wreck over 50 years ago, traded up to the max every 5-10 years, never regretted it and am now sitting pretty) is wholly redundant!