Putney Posted May 11, 2006 Report Share Posted May 11, 2006 I bought a flat 5 years ago and have been doing it up very slowly. It's been hard work paying the mortgage. On a number of occasions I have thought off getting rid of it due to many a month limping through till pay day. Especially now as the Wife is at University and not bringing in any real income. I have got some new neighbours who have bought the flat next door to me. They are gutting it and doing it up. They paid £100k more than me for theirs. My flat is identical in layout and size and just needs the kitchen finishing off. I know its money I won’t really see but it makes me feel better about all the hard work and times. Quote Link to comment Share on other sites More sharing options...
one litre wonder ;) Posted May 11, 2006 Report Share Posted May 11, 2006 nice one , and then the fact that yours is nearly done as well means you will be more cause its just been done up Quote Link to comment Share on other sites More sharing options...
Putney Posted May 11, 2006 Author Report Share Posted May 11, 2006 But I think you get roasted by an estate agent for selling and also stamp duty on the next place canes you as well!On reading back this post it sounds a little smug, that wasn't my point. My point was to anyone else struggling along and missing out on things due to your financial commitments. It all seems worth it in the end. Quote Link to comment Share on other sites More sharing options...
DJ Posted May 12, 2006 Report Share Posted May 12, 2006 Property boom at the moment though, mostly on lower priced flats too as that appears to be the current thing, my mates sister bought a flat up here a couple of years back for £40k, she just sold it for £85k after only giving it a lick of paint inside. Quote Link to comment Share on other sites More sharing options...
IDGM Posted May 12, 2006 Report Share Posted May 12, 2006 Unless you downsize your property or location or move to Romania, you won't see the money made. Your next property will have gone up in price by a similar proportion. The profit means you can put in a bigger deposit so that affording a mortgage on that £300k house is do-able, income rarely increases at the same rate. Quote Link to comment Share on other sites More sharing options...
Jon Posted May 12, 2006 Report Share Posted May 12, 2006 I've just about finished a house I bought 3 months ago, and I've had it re-valued at £38,500 more than I paid for it. This property lark is easy..! Quote Link to comment Share on other sites More sharing options...
BigMon Posted May 12, 2006 Report Share Posted May 12, 2006 Unless you downsize your property or location or move to Romania, you won't see the money made. Your next property will have gone up in price by a similar proportion. The profit means you can put in a bigger deposit so that affording a mortgage on that £300k house is do-able, income rarely increases at the same rate.Exactamundo. Paper house prices are all well and good, but that's all they are.Doesn't seem to have stopped numpties thinking "Hey, my house is worth another £50K, I'll extend the mortgage and buy that Porsche I've always wanted". Quote Link to comment Share on other sites More sharing options...
Putney Posted May 12, 2006 Author Report Share Posted May 12, 2006 I know its money I won’t really see but it makes me feel better about all the hard work and times.it should come in handy when i sell up and move to Australia though. Quote Link to comment Share on other sites More sharing options...
Mr ColinG Posted May 12, 2006 Report Share Posted May 12, 2006 Rule of thumb is house prices double every ten years roughly.I know there can be leaps like DJ says but over an extended period it balances out.But lately its been a bit mad, house across from us sold for nearly double what we paid five years ago.Remember ' The value of your investment can go down as well as up'Wasnt that long ago people were handing the keys back to the building society because of negative equity.saying that we got ours on the cheap cause it was a bit of a slum but I know what you mean Putney its a hard struggle to pay for everything and a lot of work to do it up.I really feel for people trying to get on the property ladder now. Quote Link to comment Share on other sites More sharing options...
GTi T Posted May 12, 2006 Report Share Posted May 12, 2006 But I think you get roasted by an estate agent for selling and also stamp duty on the next place canes you as well!On reading back this post it sounds a little smug, that wasn't my point. My point was to anyone else struggling along and missing out on things due to your financial commitments. It all seems worth it in the end.Fair play to you mate, doesnt sound smug at all.Sounds like you made yourself a nice amount of money already Like you say, will come in handy when you move to Australia style="vertical-align:middle" emoid=":)" border="0" alt="smile.gif" /> Lets put another shrimp on the barby! style="vertical-align:middle" emoid=":D" border="0" alt="biggrin.gif" /> Quote Link to comment Share on other sites More sharing options...
nfbr Posted May 13, 2006 Report Share Posted May 13, 2006 What kind of advice could you give to a person like me, who will NEVER get onto the property ladder due to the ridiculous rise in housing costs, and the fact that i'm never going to delve into shared ownership?? Is it worth bothering or should i just stick with mum n dad till the houses gets handed down to me in 40 years time? lol Quote Link to comment Share on other sites More sharing options...
Mr ColinG Posted May 13, 2006 Report Share Posted May 13, 2006 What kind of advice could you give to a person like me, who will NEVER get onto the property ladder due to the ridiculous rise in housing costs, and the fact that i'm never going to delve into shared ownership?? Is it worth bothering or should i just stick with mum n dad till the houses gets handed down to me in 40 years time? lolA mate of mine is buying a flat with his daughter, shared ownership sort of but he will never live in it and she would get all when he eventually pops his clogs, I suppose she is getting part of her inheritance early. but it is the only way she could afford to get a place. Quote Link to comment Share on other sites More sharing options...
MattyB Posted May 13, 2006 Report Share Posted May 13, 2006 I've got my name down on a couple of apartment/house new-builds...its still going to cost me £100k on my own, but thats just the way it is.My *main* concern is that if I stretch myself, and the market goes tits up, I'm right in the shit, big style - as will many others, I guess.And if I do have a 90k mortgage, I'll be paying £600-£700 a month, and part of me thinks "That F355 loan payment money" style="vertical-align:middle" emoid=":P" border="0" alt="tongue.gif" />F355 and stay at home, or a flat and not being able to afford goin out....hmmm style="vertical-align:middle" emoid=":lol:" border="0" alt="laugh.gif" /> Quote Link to comment Share on other sites More sharing options...
nfbr Posted May 13, 2006 Report Share Posted May 13, 2006 A mate of mine is buying a flat with his daughter, shared ownership sort of but he will never live in it and she would get all when he eventually pops his clogs, I suppose she is getting part of her inheritance early. but it is the only way she could afford to get a place.Thats a wise trick. However theirs about 40 years til my mum n dad will be due for any clogg popping...So by which time wud be payed off.. Quote Link to comment Share on other sites More sharing options...
Putney Posted May 13, 2006 Author Report Share Posted May 13, 2006 yeah but a 355 looks old and dated mattyb Quote Link to comment Share on other sites More sharing options...
nfbr Posted May 13, 2006 Report Share Posted May 13, 2006 It may not be the fastest or most expensive ferarri, but for some reason the 355 is always the one my mind throws at me when someone mentions Ferarri ... Quote Link to comment Share on other sites More sharing options...
montythemole Posted May 15, 2006 Report Share Posted May 15, 2006 I've got my name down on a couple of apartment/house new-builds...its still going to cost me £100k on my own, but thats just the way it is.My *main* concern is that if I stretch myself, and the market goes tits up, I'm right in the crap, big style - as will many others, I guess.And if I do have a 90k mortgage, I'll be paying £600-£700 a month, and part of me thinks "That F355 loan payment money" style="vertical-align:middle" emoid=":P" border="0" alt="tongue.gif" />F355 and stay at home, or a flat and not being able to afford goin out....hmmm style="vertical-align:middle" emoid=":lol:" border="0" alt="laugh.gif" />The market going tits up is only going to be a problem if you can't keep up repayments. As long as you can afford the mortgage, even if the house halves it will eventually get back to the price you paid for it so you might just be stuck there for a while. And if the you get a job someplace else just rent out yours and rent someplace near work for the same cash and be no worse off. And I don't see any big drops anytime soon, maybe in places that are really over valued like Wales where there's no jobs but as long as you buy somewhere on the up you're laughing. Agree with earlier comments about estate agents and stamp duty though. We just moved and paid the estate agent 2k for 3 weeks advertising (had 7 viewings and four offers so maximum of 30 hours work all in) and 8k to the government to do naff all. Think we blew 12k all in by the time you add solicitors and removals etc. Try checking our ourproperty.co.uk to see what houses really go for as well as the price they go up is way above what they often go for so somewhere that looks a big stretch might be a bit more obtainable, and first time buyers are in a good position to haggle. Quote Link to comment Share on other sites More sharing options...
Snoopy Posted May 15, 2006 Report Share Posted May 15, 2006 I think the problem is that interest rates rise so that suddenly that £700 per month mortgage you have turns magically into a £1200 per month mortgage, and you can't even sell the house because it's now worth less than the remaining mortgage value. Quote Link to comment Share on other sites More sharing options...
Swoxy Posted May 15, 2006 Report Share Posted May 15, 2006 What kind of advice could you give to a person like me, who will NEVER get onto the property ladder due to the ridiculous rise in housing costs, and the fact that i'm never going to delve into shared ownership?? Is it worth bothering or should i just stick with mum n dad till the houses gets handed down to me in 40 years time? lolMate, generally speaking you need 10/15% deposit to get yourself a mortgage. On a £80k property that's only £8k, probably near enough what you've spent on your car by now. If you concentrate on saving hard for a few years, you might be able to do it. Quote Link to comment Share on other sites More sharing options...
BigMon Posted May 15, 2006 Report Share Posted May 15, 2006 I can't see how house prices can double in the next ten years as surely there's going to be a point where first time buyers simply can't afford to enter the market? If wage inflation is low, and house price inflation is roughly double wage inflation it won't go on forever.But renting sucks big time. Paying off someone else's mortgage for them is not good.Why not buy a house with some mates and get on the housing ladder that way? Quote Link to comment Share on other sites More sharing options...
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