Shorty

Renting, Mortgages and other things that remind us how old we all are

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I also got my basic pay, comission and a bonus this month (again) so money is looking fairly sweet. Thinking about taking out a loan to pay off my overdraft and maybe have a holiday with.

What's the interest rate on your overdraft?? It shouldn't be more than any prospective loan you're considering.

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What's the interest rate on your overdraft?? It shouldn't be more than any prospective loan you're considering.

That's a good point. I feel like having a loan I automatically pay via direct debit will make me feel 'richer' and it'll be good for my credit score. Went to a colleagues house for a BBQ today -- a two-bedroom bungalow with a massive garden and he pays less than £500 a month for his mortgage.... so I want to have a mortgage :P

 

So the kitten is a she. My ex/girlfriend took her off me in the morning with the idea that she'd look after her that day while I sorted out a place for the kitty to stay... turns out my ex/girfriend's allergies were too much, so she took the kitty to a sanctuary! Aaah! The sanctuary chipped her and gave her some vaccines, and basically if she isn't claimed back in a month I can get the kitty back so long as I pay for the treatment (twats), so yeah. it's making me want to move out. I've named her in my head.

 

Also a mate wants to try to holiday in spain so I'll try to do that.

 

The end.

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Went to a colleagues house for a BBQ today -- a two-bedroom bungalow with a massive garden and he pays less than £500 a month for his mortgage.... so I want to have a mortgage :P

 

[Thread ripped from good stuff thread!]

Edited by Shorty

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That's a good point. I feel like having a loan I automatically pay via direct debit will make me feel 'richer' and it'll be good for my credit score. Went to a colleagues house for a BBQ today -- a two-bedroom bungalow with a massive garden and he pays less than £500 a month for his mortgage.... so I want to have a mortgage :P

 

The problem with getting a mortgage is that you need a huge deposit. I'd be all over it if I had the money for a deposit.

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The problem with getting a mortgage is that you need a huge deposit. I'd be all over it if I had the money for a deposit.

Same here. My girlfriend and I could leap into a house now if we didn't need to have to slam down a deposit, which for a half-decent house round here is about £12k.

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I actually don't know how people can afford a deposit for a house and all that. It just seems impossible to me to save up that much money. I mean, I had saved up a £1000 for our car, but that took agessss. At that rate I would be saving up for years to even just get a deposit down (and that would be without any extra stuff like a holiday or something).

 

How people like my sister can afford to buy a house, pay for a wedding etc. at the same time is beyond me!

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Same here. My girlfriend and I could leap into a house now if we didn't need to have to slam down a deposit, which for a half-decent house round here is about £12k.

 

I actually don't know how people can afford a deposit for a house and all that. It just seems impossible to me to save up that much money. I mean, I had saved up a £1000 for our car, but that took agessss. At that rate I would be saving up for years to even just get a deposit down (and that would be without any extra stuff like a holiday or something).

 

How people like my sister can afford to buy a house, pay for a wedding etc. at the same time is beyond me!

 

I know, I have no idea how you do it.

 

Realistically, if I gave up my gym membership and a few other luxuries I could put away £250 a month to save towards a deposit but even then it would take 40 months to save £10000. Frankly, you're going to need around £20,000 by the time everything is sorted and you've bougth furniture etc. That's 80 months (unless I get a pay rise or whatever). Almost 7 years off living on the edge.

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You could rent which we did talk about, which would be about the same payage a month but we decided against it. It's a case of that if were to sell we would get our money back as opposed to renting which obviously goes to the landlord.

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Yeah, and even then I am not sure I could afford a mortgage... I think my sister said she paid something like €1000 per month for her mortgage. D:

 

But then I guess her and her husband's pay is a lot higher than mine to afford that. Wish I had her house though, it looks lovely.

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95% mortgages are back on the market, and although you pay more for them, after a few years you'd have paid off enough equity to switch to a 90% style rate.

But yeah, don't forget to factor in all the fees that come with buying - stamp duty (1% of house cost when house is over 125k) and solicitor stuff. I think when we last sold we ended up paying out about 5k, but that also included estate agent fees and selling solicitor fees too.

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My fiancé and I have enough savings to get a mortgage, but fuck that. Renting is cool.

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Realistically, even 6 figure savings aren't enough to get your own place and still be secure.

 

Really? Having £100,000 in the bank you could get a killer mortgage and be more than secure if you have a steady income. House prices are on the up so now would be the time to buy.

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I believe in order for someone to get a house nowadays [dramatic narrator voice]SOMEONE MUST DIE[/dramatic narrator voice].

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My sister got offered a mortgage not that long ago. They have about 6,000 in savings, double income at about 18,000pa each, and the bank would give them 70,000.

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I actually don't know how people can afford a deposit for a house and all that. It just seems impossible to me to save up that much money. I mean, I had saved up a £1000 for our car, but that took agessss. At that rate I would be saving up for years to even just get a deposit down (and that would be without any extra stuff like a holiday or something).

 

How people like my sister can afford to buy a house, pay for a wedding etc. at the same time is beyond me!

 

I don't know how your sister did it but generally speaking I think it is either circumstances (e.g. live with parents and have full time job...easier to save) or money given to them by relatives. Bit harder when you have neither!

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Grrr, tried to get a mobile phone contract for 3/4g net access but apparently I didn't pass the credit check? Will try again in a day or two, could be because I only changed my address with the bank this morning but it's odd. There is internet in my new place which I can get with a powerline I've bought as a backup plan but it belongs to the guy downstairs who was stoned off his ass when I met him yesterday and I think I'd rather not get involved with him in any capacity if I can possibly help it. It would be annoying at best. At best.

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To get a fantastic place I'd want to live in for the entirety of the mortgage it would cost £300k easily. I could probably afford about 8k worth of rent a year and still save about 4-5k. If there were two of me, we would need to save for about 6-7 years to afford a deposit of 10% for a 15-20 year mortgage. However I could look at living 5 miles away and save probably £50-80k, and even perhaps afford to save up for a deposit in 4 years, and afford to pay for it myself.

 

... Realistically the answer is clearly be patient and do more.

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Grrr, tried to get a mobile phone contract for 3/4g net access but apparently I didn't pass the credit check? Will try again in a day or two, could be because I only changed my address with the bank this morning but it's odd. There is internet in my new place which I can get with a powerline I've bought as a backup plan but it belongs to the guy downstairs who was stoned off his ass when I met him yesterday and I think I'd rather not get involved with him in any capacity if I can possibly help it. It would be annoying at best. At best.

 

Credit checks are an antiquated bitch. They want you to have been in one place for at least three years. How long were you at your last place? If not, try your parents?

 

Although be careful, doing too many works against you.

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Credit checks are an antiquated bitch. They want you to have been in one place for at least three years. How long were you at your last place? If not, try your parents?

 

Although be careful, doing too many works against you.

 

Ah, that could be it. I'm pinging around the city like a ping-pong ball in China right now (onto my 4th address in two years.) That seems like a real bitch if that's what doing it though, I want that service specifically because I'm likely to be mobile long-term. Three years seems unheard of for a lot of folks of my age & generation. Might work around it with parents in that case.

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I don't know how your sister did it but generally speaking I think it is either circumstances (e.g. live with parents and have full time job...easier to save) or money given to them by relatives. Bit harder when you have neither!

 

My sister rented a place with her boyfriend/now husband. Don't think they got any money from my parents, don't think they got anything from his side... though he had been working since a pretty early age so I guess he got to save up a bit.

 

However they will be paying their mortgage for another 24 years... I think my parents only just finished paying off theirs last year or something. Ouch.

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However they will be paying their mortgage for another 24 years... I think my parents only just finished paying off theirs last year or something. Ouch.

 

But remember, a mortgage won't increase, but rent will. In 20 years a mortgage will be a fraction of what rent it.

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If you can provide previous addresses for the last 3-4 years then you should be fine - they can run a credit check on each address.

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^is the (kind of right) kicker. Mortgage repayments still can be adjusted by inflation but typically mortgage repayments are cheaper than rental prices (in the south of the UK, I can confirm this, anyway :P). The other advantage of a mortgage is that you can still move house and refinance the mortgage, as your income improves or as your circumstances change. If the choice is either paying rent forever or eventually owning a property where you don't pay any monthly installments and if you wanted you could sell it for hundreds of thousands of poinds? It's the dream. I would dread being retirement age and renting and worried about all that shit.

 

Renting is the no-ties, free-to-roam ideal. If more people rented then house prices probably wouldn't be as expensive :P I don't know. I mostly just like the idea of paying less money per month and slowly accruing assets.

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Renting is the no-ties, free-to-roam ideal.

 

This is why I will probably be renting forever. I like not being tied down as I have a tendency to drift. I read somewhere (SO ITS TOTALLY TRUE) that a mortgage only regains its value after being in a place five years (i.e. if you move every five years or less, no point) and at the moment I'm moving about every five months :heh:

 

I understand the investment benefit of having your own property and that would be the only reason I do. But this whole "having a place of your own" namby-pamby stuff. Pff.

 

 

 

This should probably be thripped. Mods?

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