Planning for a house....

ashrobbo

ashrobbo

ashrobbo

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Joined
3 May 2009
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805
Right GD,

God help some of the responses but I thought i would ask regardless. :D

Me and the Mrs are going to start properly saving for a deposit on a property, so no saturday nights out etc for us for a while!

At the minute we have around 7k between us, this pot should hopefully grow about 7-8k this year then hopefully a bit more next year when shes settled into work.

House prices around the area we want to live for a 2 bed house in a decent area is around 115-120k There are also several flats priced at about 85-90k again in decent areas, 2 bedroom in most cases.

So is it worth using our deposit against a lower priced flat so we actually get on the property ladder quicker and our mortgage would be less and trade up in a few years time or is it worth saving a bit longer and trying for the house, hopefully prices stay low until that point.

were aiming for about 20% deposit so 16k for the flat or 23k for the house.

Over to you GD!

Ash
 
Not a helpful input:

Eurgh. So jealous of all these poeple that live in area's like your self. Any decent place in Edinburgh is around £160k, and that's going for the new builds (even second hand new builds) in dodgey areas.
 
ash_scotland88 said:
Not a helpful input:

Eurgh. So jealous of all these poeple that live in area's like your self. Any decent place in Edinburgh is around £160k, and that's going for the new builds (even second hand new builds) in dodgey areas.
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I do count myself lucky :) not a sellers market but certainly a buyers one!
 
I would wait and get a house if that's what you ultimately want. It's the cheapest and easiest route in the long term. Don't forget it costs a lot to move from one property to another.

Should be easier to get a mortgage on a house. A lot of lenders are still uneasy with lending on flats.

Just save as much as you possibly can. Everything always costs more than you expect.
 
I'm in a similar position but a bit further down the line. First set of viewings this weekend :)

We'll be buying but only using a 10% deposit as we would rather move out sooner! You will get a better interest rate at 20% though.
 
I've been in a similar situation for the last few years, in the end we went for a 3 bedroom house in a nice area and waited an extra 2 or so years compared to buying a 2 bedroom flat / house aimed at the first time buyer market.

Although it took longer to save for the initial deposit I'm glad we did it in the end, we now have no need to move or up-size within the foreseeable future.

One thing to remember when saving is the actual costs involved with buying the property outside of just the deposit. Make sure you factor in and save for solicitor fees, mortgage fees, surveyors, possibly taking out wills etc.
 
divaboy said:
So where do you live out of interest ?
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Place called Redditch :S

BrightonBelle said:
^^^this

Less complicated.

Do you live together at the moment?

BB x
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We don't 'live' together as such we both still live at home but we stay over every night. Just need our own space.

Jay794 said:
I'm just about to put down 60k deposit on a house thats 101k, should get me a fairly decent mortgage
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Sigh, thanks

I do think ultimately the house is the best bet. Even if it will take more saving. I just wondered if there was any benefit to trading up later. But I suppose we can't rely on house prices to rise again soon.
 
Alas. As not a particularly bright person, I worry about getting myself in to a position where I can own my own property.

All I can suggest is that you read as much as you can on the subject :)
 
I would personally save more for the house as other people have said, I got my flat 3 years ago. Going to live here afew more years while saving up more deposit for a house. I think looking back I would have saved up a lot more money and gone for a house first ( at least I'm on the ladder I spose). I just begrudge renting :)
Oh and 120k for a 2 bed house wish house prices were like that round my way, I paid that much for my flat
 
ashrobbo said:
Place called Redditch :S
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I'm gonna hijack your thread I'm afraid, but seriously, screw that place.

I was up like £30 on one of those trivia machines you get in pub, with a choice on the question between Redditch and some other English place I hadn't heard of either.

Obviously I was like Redditch? Lol, no way that can be a real place. Turns out it was, and it was the answer to the question. :(

Also, yeah those house prices are cheap, like someone else in this thread I was looking at new builds in Slateford (not a particularly bad area of Edinburgh) and those were £160k for 2 bedroom. :(
 
 
some of the advise on here is quite vaild. Save as much as you can and get as much money as you can to put down on the deposit. This will obviously mean you will pay back less money in the long run becuase you simply borrow less. We were lucky becuase we had some help from the family to give us out deposit so we could buy a house although we didnt actually have any cash becuase the house we live in was owned by the familty we got it at a large discount and so the difference became our deposit kinda wierd to explain but anyway. Anything over 15% desposit should get you a better interest rate which might help your monthly payments. Remember you might also need some money to buy new stuff for your house ( we got a new sofa and some items for the house)
 
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