Buying or Renting - Help needed.

mrbell1984 said:
Getting a mortgage isn't a short term reason why people go into the housing market. Normally people want to own one for life ensuring their mortgage is payed off as quick as possible.

People who rent it's like putting money into a fire as they get non of it back. Atleast people who mortgage get all of it back and if it does go into negative equity the won't loose out on what the renting will loose out. The mortgaged house still has a resale value.
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It isn't though, you get a service for what you pay. There are no maintenance cost which you would get if you bought. Buying a house in a today's market is a foolish thing IMO. The market is on the verge of a crash so it would be akin to catching a falling knife by buying a depreciating asset. Not to mention the fact that renting gives them the freedom to move to where the jobs/opportunities are without any hassle (Blackpool does not have long term career prospects), getting tied down with a ball and chain at a young age is not a good idea.
 
"in the local area" that mindset will cost you money straight off OP. Always consider looking outside your comfort zone when you do look for a house, it can save you a lot of money and can give you a better house/life style.
 
MBennett said:
It isn't though, you get a service for what you pay. There are no maintenance cost which you would get if you bought. Buying a house in a today's market is a foolish thing IMO. The market is on the verge of a crash so it would be akin to catching a falling knife by buying a depreciating asset. Not to mention the fact that renting gives them the freedom to move to where the jobs/opportunities are without any hassle (Blackpool does not have long term career prospects), getting tied down with a ball and chain at a young age is not a good idea.
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Yep, can see where your coming from but I was on about once it recovers if it ever does. If what people are saying in here is true then is there ever a right time to buy or do most just get lucky with the right decisions in life regards to housing schemes.

Theres too much baffle for people to understand, too much law, bills e.t.c to worry about. People are forced to have this as a way of living these day and with the boom in media it's practically been forced full force with no choice.
 
Congrats on your engagement.

Your best option is to start saving so stay put. Weddings don't come cheap and then kids and mortgage. Finish off your training and then in a year or so review your situation and decide whether to save more for a larger deposit, etc.
 
The housing market in the UK isn't going to crash anytime soon, there's too much demand, even now as there's a short fall of 200,000 new homes a year that isn't being met.

The idea that you don't pay maintenance on rent isn't true, it's all wrapped up in the rent you pay. The people that shouldn't be buying are those that can't get a decent deposit together.
 
OP - You know you're not in a position to buy yet. Before you can buy you need:
A) deposit
B) loan cleared
C) more income (you can't cope with rate changes on current income)

You should get a cheap second-hand car, that would save a few quid.

I think it will take you several years to save a deposit for a house, lets say you plan to have your debt cleared and good amount saved in 3 years time. Three years is a long time for a couple to be living at your dad's place.

I think you have two options:
1) Rent together now
2) Rent together when you've finished your training

Incidentally, it would be wise to make sure you have some savings to hand should you end up with a child. You might want to consider that when building your next rig, as your current rig is a little on the extravagant side :)
 
[TW]Fox;19993434 said:
Whoa is that £1400 of graphics cards alone in his sig :eek:
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And a £300 motherboard, OP you need to seriously look at your spending, pay off your debts and then see about whether to rent/buy property!
 
mrbell1984 said:
Atleast people who mortgage get all of it back
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What do you think the interest portion of a mortgage goes on?

On 25 year £150k mortgage at 4%, you're paying £800 a month. Out of that 800, 500 is going straight on interest on the loan. Only 300 is going in to equity.

In some areas, renting really does make sense compared to buying - and the saving between renting versus buying could easily be put in to a savings fund (e.g. a pension - which you can contribute to tax free), an ISA or elsewhere, depending on how liquid you'd like your savings.

But you're absolutely not throwing money away.
 
daz said:
What do you think the interest portion of a mortgage goes on?
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It amazes me how little people know about some of the biggest financial commitments they will ever make.

The mortgage thing is as easy as multiplying the monthly payment by the term and realising how much more than the value of the house it comes too!
 
It would need to be £500 a month on equity, £300 interest, interest only would be £500 a month interest as you have interest to pay on £150,000 for 25years, on a capital repayment mortgage you don't have £150,000 borrowed for 25years so the interest payment is less.
 
Personally with the economic uncertainty that still clogs the air, something I don't feel is going to get better any time soon, I'd rent. Sure you're paying someone's mortgage but it gives you great flexibility, a lot less maintainence etc. Plus if you actually meet a decent landlord I'm sure he might even let you modify the place slightly. :)
 
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