What % of your income do you pay on mortgage?

I'm about to move into my first house and il be paying 30% of my income (post-tax). I'm single with no kids currently. However, the little bit of money I am lending will be of a loan from my dad with very low interest, so the 'mortgage' will be paid of in no time.
 
Im in the fortunate position where I "clear" far more than that, but the wife has gone down to 3 days a week now, and I don't pay tax either, at least, not personal.
 
Near on 25% net. However, we're in the process of sorting out our finances so that we can better manage them as joint which should drop it down to around 20%. However we're also saving for a second home so that we can rent the flat out - which is tough going...

I wonder how badly our mortgage will be affected for a renting our property...

We should probably try to over pay - but I'd rather save for a 2nd home.
 
Either you people have very small mortgages, or are very high earners, or both. Either way, I hate you. :p
 
Last time I went to Liverpool the houses there seemed a lot cheaper than down here in the South! Shame it's too far to be a sensible purchase even on buy-to-let!
 
Django x2 said:
Not really, is it. Friend of mine who lives on the south coast has 7 Liverpool properties.
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Just because he deems it OK doesn't mean others would. I live in Luton and I wouldnt consider a property that far north simply because I do not trust others to look after it well enough and it is too far for me to keep a reasonable eye on it
 
Django x2 said:
Not really, is it. Friend of mine who lives on the south coast has 7 Liverpool properties.
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Good for him!

I don't particularly want to manage properties which are an unmanageable number of miles away.

Of course it is perfectly possible, and whilst I rent out property abroad, it is administered by a management company, so my return on investment is small - but those homes are fully paid off so it's less of an issue.

It would be quite hard to look after/deal with/maintain those properties without a management company, and keep up a day job, and do all the things I want to do. If it was a full time job it would be a different case of course.
 
Woogie said:
Just because he deems it OK doesn't mean others would. I live in Luton and I wouldnt consider a property that far north simply because I do not trust others to look after it well enough and it is too far for me to keep a reasonable eye on it
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The other thing is rental returns are closely linked to house prices. Houses may be way cheaper in the North but you will get less rent. Depending on your capital you might find a second home or London flat will be better financially even if the mortgage rates are much higher.

BTl has the best kinds of return when the mortgage and running costs are only slightly less than the rental returns, because this way you don't pay much tax. After 20 years and the mortgage is paid off then obviously the more expensive property is going to be a much more valuable asset to you
 
Mine works out about net 13.5% of income. I have two properties. One has a very low mortgage and is rented, the other is quite high which I live in. The rented one offsets the high one.
 
30% of my net, 23% of combined net.

Worked out that in a few years time if SWMBO stops working and interest rates go back to pre-crash level it could be 40%. Fortunately I earn a good wage so this would still leave more than enough money to live on.
 
22% of our joint net income, which includes the maximum that we're allowed to overpay on one of the mortgages. On the other mortgage the rate is so low (2.25% IIRC) we don't bother to overpay and instead are ploughing any extra money into our different work share save schemes.

We're getting married next June, and two days after that my wife will be made redundant so it is important for us to get some significant capital behind us to keep our options open.
 
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