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Scared of becoming a homeowner

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sugarbabe84
sugarbabe84 Posts: 259 Forumite
in House buying, renting & selling
I’m now close to exchange, yet now feeling so nervous about becoming a home owner, despite having been paying extortionate rents for the last 5 years.

Does anyone else identify with this feeling?
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Comments

  • LandyAndy
    LandyAndy Posts: 26,377 Forumite
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    Actually no. I've owned since 1980 and I've always found it a very good experience. Only really for grown ups though, which im sure you are.
  • G_M
    G_M Posts: 51,977 Forumite
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    It's a common feeling when making any major change in life!

    Career change? New job? Marriage? Dumping a long-standing partner? Emigrating?

    Doubts and fears are normal. As long as your reasons for house-buying add up, and your reasons for choosing this house are sound, go for it.
  • ACG
    ACG Posts: 23,727 Forumite
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    I did when I first bought a house.
    Realising you are waking up one day owing tens or hundreds of thousands of pounds and you will do for the next 20-30+ years and that you have spent a few grand to get there so your basically stuck there for a couple of years at least.

    Well scary!

    I moved house last year from house a with a £70k Mortgage to a house with a Mortgage 3 times that and I got the same feelings all over again.

    But give it a month and it will subside...the fears, not the house (sorry...ill get my coat).

    The thing is to put it in to perspective. My Mortgage repayments are half what it would cost to rent the same house. My last house made £60k in 4 years, that is more than some people make in work.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • datlex
    datlex Posts: 2,239 Forumite
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    I totally know this feeling. But the thought of having to pay rent once I am retired scares me more.
    Paid off the last of my unsecured debts in 2016. Then saved up and bought a property. Current aim is to pay off my mortgage as early as possible. Currently over paying every month. Mortgage due to be paid off in 2036 hoping to get it paid off much earlier. Set up my own bespoke spreadsheet to manage my money.
  • sugarbabe84
    sugarbabe84 Posts: 259 Forumite
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    Thanks all for the reassurance.

    It!!!8217;s a completely irrational feeling, given the monthly mortgage payment is going to be less than my rent and I!!!8217;ve also never ever missed a rent payment.

    I need to put it into perspective indeed.
  • sheepy21
    sheepy21 Posts: 221 Forumite
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    It's normal to be nervous, it's essentially the biggest debt you ever have and it's a big responsibility BUT I've found as a fellow ftb, you just have to rationalise. Our mortgage will be little more than our rent, so no reason to be particularly worried when thinking rationally :)
  • sevenhills
    sevenhills Posts: 5,885 Forumite
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    sugarbabe84 wrote: »
    I’m now close to exchange, yet now feeling so nervous about becoming a home owner, despite having been paying extortionate rents for the last 5 years.

    Does anyone else identify with this feeling?

    I bought my council house towards the end of last year, a few people thought it the wrong choice, I never had any doubts.
    I never used to think about over-paying the rent, but having a mortgage is different. On paper I am a lot richer, but its just equity.

    I have a lot more freedom, a lodger, been and gone; might do it again in years to come.
  • Gwendo40
    Gwendo40 Posts: 349 Forumite
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    ACG wrote: »
    My last house made £60k in 4 years,.

    And presumably the house you've moved up to has also seen an equivalent increase in value? (Unless you've possibly relocated to an entirely different part of the country.)

    So in what way does that increase help you as an owner occupier?
  • worried_jim
    worried_jim Posts: 11,631 Forumite
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    sugarbabe84 wrote: »
    Thanks all for the reassurance.

    It!!!8217;s a completely irrational feeling, given the monthly mortgage payment is going to be less than my rent and I!!!8217;ve also never ever missed a rent payment.

    I need to put it into perspective indeed.

    Congratulations! Putting the key in YOUR front door for the first time is a wonderful experience, as is getting your mortgage statement (okay, maybe not for the first few years) and seeing how little you owe in comparison to the properties value.

    For me to rent next door would cost 100% more of what I repay every month on the mortgage after 15 years. I wake smiling every morning, as you will too.

    Enjoy you new home!
  • Davesnave
    Davesnave Posts: 34,741 Forumite
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    Gwendo40 wrote: »
    And presumably the house you've moved up to has also seen an equivalent increase in value? (Unless you've possibly relocated to an entirely different part of the country.)

    So in what way does that increase help you as an owner occupier?

    It helps people when they retire.

    Had I stayed in my first house, it would now be worth about £350k. The property I owned after that is currently worth about £500k.

    Let's imagine I stayed in Property 2; I'd now have about £150k to spend if I chose to downsize, or much more if I chose to relocate.

    I moved on to Property 3 and invested money in it for personal enjoyment. One day I'll be too crocked to enjoy it, so it will then buy me a good place to end my days.

    And, yes, I agree, I should be taxed and some of the money redistributed to the young when, or even before that happens. No problem with that idea.

    Like many of my generation, I didn't seek or create HPI, but you asked what advantage it brings.
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