State Pension age is 67 or 68 for the vast majority of those currently in work.
Mortgage Rate Rises
- Thread starter glenimp617
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We did a 35 year term to keep the committed monthly payment down, we then over pay this by 50%. The term is really only relevant if you stick to paying the exact monthly amount. We should be able to knock about 15 years off our term if we continue with our overpayments.
It does raise a point though that those born in the 80s/90s are likely to have a state pension age of at least 70. Assuming you started work after college/uni and without any significant gaps in employment, you'll have worked around 50 years. A 35 year term seems rather short in comparison.
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- 30 Sep 2005
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who was that with if you don't mind me asking? The reason I ask is that I was looking last year and couldn't find anything close to 1.27%
I'm missing a trick here
Soldato
I have a private one
Soldato
Depends where you are looking?
i imagine its easier to find a property cheaply outside of London that is also not that close to a station.
Well yeah and that also adds a mega premium. What I'm saying is though, people are a lot more picky and will be happy to pay the premium.
Soldato
Yea i know and tbh when buying a bloody house, you should be PICKY!!!
its the biggest purchase someone will ever make in there lifetime.
I wish we was able to do 2nd viewings but most places gets napped up within 48hours of first viewings…
How the hell are people supposed to make such a large and important purchase off of a single 20-30min viewing?
Back in my parents day, they would do multiple viewings and even bring a surveyor to take a look too before putting down a offer
It is with Barclays and there was also a £1k fee. There were plenty of similar offers around at 60% or better LTV in Dec. I did look myself but ended up going with L&C as I have done with my last 3 mortgages.
Everyone should now have a private pension by law. That's not so much the issue, it's whether people are paying enough into their private pension that they're not reliant on a state pension that may well not exist by 2050/2060.
That's a sign of the times I'm afraid. As the saying goes, you snooze you lose. You can always back out of an offer after doing a bit more research etc.
Like I said, I think it's folk being really picky, and when the right house comes up - bang, throw every bit of cash you have at it. I know dozens of folk who have dumped PCPs on cars (£300-700/mo 'new money'), made profit on selling PCPs (+£10k in some instances), stopped their season ticket rail card (£3k-£9k). Essentially some folk are "same same" but now a grand or two a month better off. May as well spank it into a place to live - if you are certain it is ticking all the boxes.
Caporegime
Back in my day (3.5 years ago) the market was quite hot but you still had time to look around a house probably twice. Some places went quite quickly but it wasn't the madness we see now.
COVID really changed the "must haves" and "would haves" big time though. Like home office space, outdoor space (hence 1 beds in London getting battered), room for an outdoor office etc etc...
My house has only increased a measly £75k since 2019 because the second room is tiny - the place we are buying increased £120k and it is in considerably worse shape...
Caporegime
When we sold our flat (roughly 3.5 years ago) the flat market was already cooling somewhat. If we had sold a few months earlier we probably would have got another 5-7% more than we sold for.
COVID has indeed changed peoples priorities though. It must have been horrible for people in small flats and I am so thankful we had a house when COVID struck. Houses and gardens are now a non-negotiable now for many thus driving prices up even more.
Soldato
That's an absolutely sensible way of doing things. It's definitely not the reason why most people we know set the term to 35 years though!
It also requires a level of financial discipline that not many people have. It's easy to miss that overpayment 1 month if you've got a holiday coming up or an unexpected bill.
In percentage terms those increases are about the same.
For sure, 16%ish - but condition is key. Mines done 16% and it's immaculate; this new house has done 16% and it's derelict.
You don't think "derelict" houses increase in value relative to the market in general?
What?