Let’s tax the old to feed the young (1 Viewer)

hill83 said:

Of course. I’ve increased my mortgage for this move but have a deposit way above what I could have afforded three years ago.

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And this is the point that a few of us have tried to make.

It doesn't matter how much you earn. If you don't have the deposit to put down on the house that you want you will struggle to get a mortgage. It is better to start in a house you don't want in an area you don't want instead of renting while you save. Renting is dead money.

The easiest way is buy a property that needs updating. Even just decorating and new carpets adds value. New doors and work surfaces in a kitchen can cost just a few hundred but make a massive difference. Then when you sell you have a much bigger deposit. And you are slowly paying down the mortgage while living there.

Something else I have also done is when the mortgage deal has ended you get put onto the SVR. This is higher than the rate you have been paying. I would keep to this amount approx but on a new deal. It would normally knock a couple of years off your mortgage. Although these days it might not be as easy as before because pay rises are lower.

Yep. We went for an area that wasn’t ideal for what we wanted. Not a chance I’d be doing a house up as I can’t hang shelf.

As much as the housing market is a joke and the house price rises are insane, we seem to have caught it at the right time and it’s worked out for us.

hill83 said:

Yep. We went for an area that wasn’t ideal for what we wanted. Not a chance I’d be doing a house up as I can’t hang shelf.

As much as the housing market is a joke and the house price rises are insane, we seem to have caught it at the right time and it’s worked out for us.

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Whilst the demand is there and the economy is OK there is only one way it will go. Up. It has always been the same.

Most jobs around the house are easier than you would think. Even I can do them :smuggrin: Youtube is a good place to start. See how the tradesmen do it and take your time. The tools are not always cheap but once bought you have them for the next job. Allow yourself twice the time they say and don't rush. The more you do the easier it gets. If you can use a screwdriver, hammer, drill and saw you are nearly there. And buy the best tools you can afford.

You will be amazed at what you can do. And it is so satisfying when you stand back and look at a job you have done that looks good. And you will have saved a lot of money.

Astute said:

Whilst the demand is there and the economy is OK there is only one way it will go. Up. It has always been the same.

Most jobs around the house are easier than you would think. Even I can do them :smuggrin: Youtube is a good place to start. See how the tradesmen do it and take your time. The tools are not always cheap but once bought you have them for the next job. Allow yourself twice the time they say and don't rush. The more you do the easier it gets. If you can use a screwdriver, hammer, drill and saw you are nearly there. And buy the best tools you can afford.

You will be amazed at what you can do. And it is so satisfying when you stand back and look at a job you have done that looks good. And you will have saved a lot of money.

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I taught myself a lot of diy car jobs, saved so much money doing it and as you say it's very satisfying

Grendel said:

No because if interest rates were that high house prices would be less.

My first property was £30,000 and the mortgage was £315 a month. My first wage was £12,000 a year in my main job. I got a deposit by working in a pub after work.

I never went out, I had a car that cost £100 and bought second hand furniture.

Tell me - would today’s society do that?

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Spot on. They moan about not having any money but they won't go without a mobile phone FFS.

Alan Dugdales Moustache said:

Spot on. They moan about not having any money but they won't go without a mobile phone FFS.

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Mobile phones aren't why young people can't afford houses and neither is Avacado toast.

The housing market is broken

hill83 said:

House prices are absolutely mental at the moment. We've made 50k in 3 years on our house in Wyken and if everything goes through will be moving to Eastern Green.
Our first house is nice, but the area is shite.

I racked up about £10k of debt when I was younger, not earning much and on the piss every weekend, and that's not even taking into account my student loan debts.
We lived with the mrs mum and dad for 10 months to save for a deposit, we would have had no chance otherwise, well not within the time frame we accidentally set ourselves by her getting pregnant whilst we lived there.
Long story short, I was a div with money, now I'm sensible. Carling instead of Stella now.

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Easten Green.............does that mean you are not going to be an Earlsdon Bloke!!!

David O'Day said:

Mobile phones aren't why young people can't afford houses and neither is Avacado toast.

The housing market is broken

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You make it sound like it was easy before. It wasn't. But previously people made more sacrifices.

It is all about supply and demand.

And then tightening your belt for a couple of years. And starting off living where you don't want to or in a property you don't want. Is it worth not having a holiday for a couple of years?

If you can't afford to save for a deposit you can't afford to buy a house. Interest rates will go up. Repairs will have to be paid for. It isn't move in and everything is rosy. It is nothing like renting. And interest rates are historically low.

House prices in St Nicolas Park were already mad but they have gone crazy, we bought our four bed detached house last March for 220k and a three bed has just sold over the road for 295k first viewing and sold within a day and a four bed in the next street is on the market at 315k it’s madness.

RedSalmon said:

Easten Green.............does that mean you are not going to be an Earlsdon Bloke!!!

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There’s only one Earlsdon bloke

Alan Dugdales Moustache said:

Spot on. They moan about not having any money but they won't go without a mobile phone FFS.

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Such a lazy argument.