House buying

[Guest]

I really wouldnt fancy the idea of renting. It's literally pissing a huge wedge of money down the drain whilst paying the very often stingy landlords mortgage.

I genuinely don't see the point if you choose to do so despite having the funds to buy. In my case if we ever split up all myself and the missis would do is put it out for rent and line our own pockets.

 

You clearly have never rented your property out. Your comments are simply naive.

 

My old boss owns and rents one out directly opposite and having worked in it I can say it's a shit hole. He charges 495 a month rent. I pay 450 a month mortgage

 

So even by your own admission the rent in this particular case is not so much more than a mortgage would be today and then you haven't taken into account the added upkeep (tenants DO NOT look after a property like a homeowner), the extra insurance, the tax that has to be paid on earnings, then of course there are the extra costs involved in getting a house up to the specs that are needed for a tenant (fire and safety has nothing to do with how you'd have your own house), there are the fees involved with getting tenants, there are the times between tenants when the house is empty but still costing and there are the many tenants who actually live in rented properties but DON'T pay the rent to the landlord and who evntually flit without paying and leaving the place damaged.

 

Perhaps try "lining your own pockets" before you malign people who have earned money to buy houses and then rent them out to others. The grass may not be as green as you think.

 

Furthermore in today's world, the population is supposed to be mobile because the job market is mobile, buying a house cab give you heavy ties - try selling your own and see how quickly that happens - whereas renting involves a month's notice and no ties.

[leicsmac]

You clearly have never rented your property out. Your comments are simply naive.

 

 

So even by your own admission the rent in this particular case is not so much more than a mortgage would be today and then you haven't taken into account the added upkeep (tenants DO NOT look after a property like a homeowner), the extra insurance, the tax that has to be paid on earnings, then of course there are the extra costs involved in getting a house up to the specs that are needed for a tenant (fire and safety has nothing to do with how you'd have your own house), there are the fees involved with getting tenants, there are the times between tenants when the house is empty but still costing and there are the many tenants who actually live in rented properties but DON'T pay the rent to the landlord and who evntually flit without paying and leaving the place damaged.

 

Perhaps try "lining your own pockets" before you malign people who have earned money to buy houses and then rent them out to others. The grass may not be as green as you think.

 

Furthermore in today's world, the population is supposed to be mobile because the job market is mobile, buying a house cab give you heavy ties - try selling your own and see how quickly that happens - whereas renting involves a month's notice and no ties.

 

You make logical points here (and I certainly agree about the human population needing to be mobile), but there's still something about using a house purely as a commodity that is a little...off, to me. It's more material than education or health (you can have a clear value based on materials and manpower used to build and upkeep it), but even so using something like this purely for financial gain seems not quite 'right'. Especially when doing so restricts the choices of others.

 

I know that's all a bit vague, but I think if you want to invest, there are better options out there.

[ADK]

Have you rented a property out then FIF?

[Guest]

You make logical points here (and I certainly agree about the human population needing to be mobile), but there's still something about using a house purely as a commodity that is a little...off, to me. It's more material than education or health (you can have a clear value based on materials and manpower used to build and upkeep it), but even so using something like this purely for financial gain seems not quite 'right'. Especially when doing so restricts the choices of others.

 

I know that's all a bit vague, but I think if you want to invest, there are better options out there.

 

 

Surely food and clothing must fall under that same umbrella for you.

 

Have you rented a property out then FIF?

 

If I hadn't rented properties to live in, bought properties to live in and bought properties to rent out, I wouldn't feel in a position to talk about all of these situations.

 

Haven't seen your extrmist views I'd have hoped that you had done all three too.

[leicsmac]

Surely food and clothing must fall under that same umbrella for you.

 

 

Lot more freedom of choice in the food or clothing markets than the housing market. And I don't see many Average Steves investing directly in those industries in the same way they would buy a house as an investment/commodity. Could get stocks and shares in food/clothing companies I guess, but that's a whole different kettle of fish.

[Tommy G]

Question - how much could we borrow with a £25k deposit and a joint income of £55-£60k p.a

 

Not looking to move out until spring next year as saving up for all the interior stuff as dont fancy moving in and sitting on a cardboard box watching a borrowed telly.

 

First time buyers aswell, want a heads up before I meet a mortgage advisor in a few months.

Ta

[danny.]

Question - how much could we borrow with a £25k deposit and a joint income of £55-£60k p.a

 

Not looking to move out until spring next year as saving up for all the interior stuff as dont fancy moving in and sitting on a cardboard box watching a borrowed telly.

 

First time buyers aswell, want a heads up before I meet a mortgage advisor in a few months.

Ta

 

About £225 (10% deposit on a £250k house), although you would get a much better rate if you put down say 15% on a 170k place

[Tommy G]

About £225 (10% deposit on a £250k house), although you would get a much better rate if you put down say 15% on a 170k place

 £225 doesn't seem much

 

Jokes

 

Ideally dont want anything above 200k, 180k - 200k ideally. What sort of mortgage would we pay each month? Want to take first mortgage out over 35 years then re mortgage when we move again

 

Ta

[danny.]

 £225 doesn't seem much

 

Jokes

 

Ideally dont want anything above 200k, 180k - 200k ideally. What sort of mortgage would we pay each month? Want to take first mortgage out over 35 years then re mortgage when we move again

 

Ta

 

35 year mortgage on ~£200 with a 15% deposit, will be around £650-700/mo if you can get in the region of 3.2%

[ADK]

Surely food and clothing must fall under that same umbrella for you.

 

 

If I hadn't rented properties to live in, bought properties to live in and bought properties to rent out, I wouldn't feel in a position to talk about all of these situations.

 

Haven't seen your extrmist views I'd have hoped that you had done all three too.

 

I haven't personally done all 3 but know people who have. There's nothing extremist about my views at all (assuming that's what you were trying to say?). I know being a landlord isn't as easy as opening a bank account but it is potentially alot more lucrative and it dosn't really matter because if it was so hard then people wouldn't be renting properties on the side whilst working full time.

[The Year Of The Fox]

You clearly have never rented your property out. Your comments are simply naive.

 

 

So even by your own admission the rent in this particular case is not so much more than a mortgage would be today and then you haven't taken into account the added upkeep (tenants DO NOT look after a property like a homeowner), the extra insurance, the tax that has to be paid on earnings, then of course there are the extra costs involved in getting a house up to the specs that are needed for a tenant (fire and safety has nothing to do with how you'd have your own house), there are the fees involved with getting tenants, there are the times between tenants when the house is empty but still costing and there are the many tenants who actually live in rented properties but DON'T pay the rent to the landlord and who evntually flit without paying and leaving the place damaged.

 

Perhaps try "lining your own pockets" before you malign people who have earned money to buy houses and then rent them out to others. The grass may not be as green as you think.

 

Furthermore in today's world, the population is supposed to be mobile because the job market is mobile, buying a house cab give you heavy ties - try selling your own and see how quickly that happens - whereas renting involves a month's notice and no ties.

Don't confuse your knowledge of the property market with your knowledge about me!

I haven't ever rented my own house out no, though I do know that I would not be required to change to a buy to let mortgage, I think the fee was around £250 to be able to rent it out to a third party. When have I ever said I am maligned by people who have enough money to rent out their own property? My old boss/football going mate rents out about 6. I know for a fact he's earnt every property he has. He's probably the only other male role model I look up to other than my dad. You'd know all this though as you seem to know so much about me.

 

Oh and said mate told me to never rent for the above reasons I state. 

 

And likewise the other way round surely? You could easily be out on your arse if the landlord decides to sell up or whatever. I don't fancy having to ask permission every time I fancy hanging up a new picture on a wall either. Each to their own though. Like I say though, I do not dislike the thought of other people having earnt the right to rent their spare houses out to others. You've got me way wrong.

 

 

I've always said if you're renting for the whole of your life there's not too much of a problem with it. The minute you start growing up, and have kids etc whilst renting, finding the money for a deposit and indeed even being able to secure a mortgage in the first place becomes incredibly hard. I'm struggling like anything with money at the mo, but in a few years time it'll all be worth it. I can't say the same for someone renting.

I've never paid a penny for "searches". I've paid deposits and that's it. Can usually get agents fees down to less than £50 if not £0. Contrast that to the thousands you have to pay to buy. I've also never had to shell out thousands for a new roof or boiler etc. I can also move quickly and temporarily for work. I can move instantly if I've buried my irritating neighbour's dog in my backyard. There are plenty of benefits to renting.

Hmm, I had to pay less than £1k

[The Year Of The Fox]

Question - how much could we borrow with a £25k deposit and a joint income of £55-£60k p.a

 

Not looking to move out until spring next year as saving up for all the interior stuff as dont fancy moving in and sitting on a cardboard box watching a borrowed telly.

 

First time buyers aswell, want a heads up before I meet a mortgage advisor in a few months.

Ta

A lot!

[MPH]

Question - how much could we borrow with a £25k deposit and a joint income of £55-£60k p.a

Not looking to move out until spring next year as saving up for all the interior stuff as dont fancy moving in and sitting on a cardboard box watching a borrowed telly.

First time buyers aswell, want a heads up before I meet a mortgage advisor in a few months.

Ta

I would try borrow as little as possible and put as much as you can into the deposit as you can. Some lenders say 10% deposit required but that's minimum- give more if you can. Paying 5,000 more means that 5k wont have 35 years worth of intrest calculated into the mortgage. Try borrow for a shorter time too. Much less intrest payments added into total amount to pay back

Also it's very tempting to go for something shiny that needs no updating or anything... the best way to move up the ladder is to buy something you can work on and increase your home value to then sell for more than you paid for it. But don't bite off more than you can chew and don't buy anything that is unfixable...

[FoxesAreBlue]

Definately play with the numbers to get the best deal, eg I originally went for a 35 year mortgage but changed to 25 because whilst the mo they repayments are higher, the difference in the interest I would pay back was £14,000.

[Guest]

 

Oh and said mate told me to never rent for the above reasons I state. 

 

And likewise the other way round surely? You could easily be out on your arse if the landlord decides to sell up or whatever. I

 

Seems your mate/mentor is a bit of a hypocrite if he's letting 6 properties but telling you it's a bad idea.

 

And NO, a landlord can never throw you out just because he decides too.

 

You have a lawful contract that protects you from that and there is a ton of law that regulates rent and protects the tenant.

 

And of course you could just stay in the house and never pay a penny of rent - it takes a long time for the courts to actually evict a tenant.

[MooseBreath]

Yes fif, you are conveying your vested interest in people renting, we get it

[ADK]

Landlords break the rules too so that arguement works both ways.

[Guest]

True but a Landlord has a fixed address where he can be prosecuted, a tenant doing a flit doesn't.

 

by the way it's "argument".

[The Year Of The Fox]

Seems your mate/mentor is a bit of a hypocrite if he's letting 6 properties but telling you it's a bad idea.

 

And NO, a landlord can never throw you out just because he decides too.

 

You have a lawful contract that protects you from that and there is a ton of law that regulates rent and protects the tenant.

 

And of course you could just stay in the house and never pay a penny of rent - it takes a long time for the courts to actually evict a tenant.

He was saying its a bad idea from the tenants perspective