Going to view a house in an hour...

Soldato
Joined
7 Jun 2003
Posts
16,189
Location
Gloucestershire
At the moment im getting very annoyed at the sheer lack of space i have in my current home, a small terraced 2 bed. This house is rented.

The house we're looking at will be rented as well and is a 3 bed detached.

The three bed would push my financial state to the limit, this is the situation:

I own a flat, this is rented out. If i didn't have anyone living there and i went for this 3 bed house after bills and food id be on absolute zero £ with no spending money what so ever.

The past 2 occasions we've had our tennant move out we've found a replacement within 7 days of them handing in there notice so it's unlikely we'll have problems with money in that respect.

The other side of the coin is that my partner will be going back to work (maternity leave at the moment) in march which means the "living on zero" mark will no longer be an issue, though it won't be much extra.

What would you do? It's two choices:
Live in a MUCH better house but with the possibility of living on peanuts or possibly pop into the overdraft occasionally.
Live in a crap house which is too small for our current needs but have a lot more spending money each month.

It's very rare a house like this one comes up, and there is also a possibility of my wages increasingly significantly in september when my manager leaves so long as i get his job (this has a high chance of being the case).
 
Things always turn out to be more expensive than you first plan for. I'd stay in the crap house.

Maybe you should sell your flat?
 
That's the plan in about two years time, its on a fixed rate mortgage at the moment and the early buy out fees are ridiculous. Going to get it valued soon though.

Then can i suggest the following -

Wait 2 years then sell your flat then use the flat money to put a big deposit down on a nice house and get a mortgage to cover the rest. Depending on the price of the house, the mortgage should be fairly low.

Advantage of this, is that you actually own your house.
 
Remember that tax band might change for you and also bigger houses (especially detatched) cost more to heat etc.
If you have factored those in and are ok for the risk then go for it :)
 
wait until you can get the flat sorted out, extra money you have while in the current place split between having a bit of enjoyment and saving for the new place.
 
I feel your pain living in a place that is too small really is annoying.

There are to many what's, if's and but's in your financial planning for it to add up in my mind. Personally I'd wait and see what happens with your managers job before making a decision, I struggle to believe this house is that special that you must have it. If you don't get the job then consider a half way type upgrade get the third bedroom but stay terraced, should be a reasonable wedge cheaper than the detached one so within your means.

You have a family so it is always best to plan for the worst case scenario and take anything else as a bonus!
 
Then can i suggest the following -

Wait 2 years then sell your flat then use the flat money to put a big deposit down on a nice house and get a mortgage to cover the rest. Depending on the price of the house, the mortgage should be fairly low.

Advantage of this, is that you actually own your house.

Actually I think this is the best bit of advice here.


Do this. :cool:
 
As long as you can afford the worst case scenario and are sensible enough to live with in your means if that happens then it sounds like a good move if you are struggling with the space you currently have.
 
Then can i suggest the following -

Wait 2 years then sell your flat then use the flat money to put a big deposit down on a nice house and get a mortgage to cover the rest. Depending on the price of the house, the mortgage should be fairly low.

Advantage of this, is that you actually own your house.

Good idea in theory but that won't work, our mortgage is crap (didn't really know what to look for at the time) and was bought just before the recession when you could still get 95%+ mortgages so the deposit was relatively small in the first place, meaning the money remaining when sold in 2 years won't be enough for a deposit on a nicer place.

I've essentially given up on owning a house for at least 5-10 years.

Went to view the house, it was lovely, i want it and now im sat here doing all sorts of calculations and bill rejigging to make it ok for us to be able to live happily in there. Going to abandon various luxuries like sky+hd etc i think as first port of call.
 
Back
Top Bottom