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Mayalabeille

Well I Might Be Crazy But What Can I Do

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I know that buying might not be the best idea I have had recently but it is really an act of despair and anger

After moving in February into an amazing rental accommodation, signed a 6 month contract that was suppose to be rolling (that is what they had done with the prvious tenants who stayed for 5 years), w just received a letter saying that we have to go by the 31st August. They need the house for family.

We love this place and I am so angry. That is the second time we are expenriencing this kind of things and I have enough to be bullied around by landlords, losing some money in moving, deposit... (sofa that don't fit in th lounge because of the door passage)

We are paying a big rent (we live around Bath) and don't earn nough to save a big deposit. So we have only 5%. We are crossing our fingers, see if we can obtain a principal from one of the only 2 mortgage companies that could lnd us the money and see if we can buy.

Our expectation are quite low: looking at borrowing only 3x our salaries as it would means that the repayment is exactly the same as our current rent.

Of course for this price the property will have nothing to do with the one we are currently renting but it will be ok and I will finally be able to settle.

After my deposit and other taxes we will be left with only a few 100s but heho money will always come back.

Now tell me I am crazy, tell me I should not buy... but I cannot see another solution at the moment as I feel I have been wasting 5 years of hard earnt money.

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I know that buying might not be the best idea I have had recently but it is really an act of despair and anger

After moving in February into an amazing rental accommodation, signed a 6 month contract that was suppose to be rolling (that is what they had done with the prvious tenants who stayed for 5 years), w just received a letter saying that we have to go by the 31st August. They need the house for family.

We love this place and I am so angry. That is the second time we are expenriencing this kind of things and I have enough to be bullied around by landlords, losing some money in moving, deposit... (sofa that don't fit in th lounge because of the door passage)

We are paying a big rent (we live around Bath) and don't earn nough to save a big deposit. So we have only 5%. We are crossing our fingers, see if we can obtain a principal from one of the only 2 mortgage companies that could lnd us the money and see if we can buy.

Our expectation are quite low: looking at borrowing only 3x our salaries as it would means that the repayment is exactly the same as our current rent.

Of course for this price the property will have nothing to do with the one we are currently renting but it will be ok and I will finally be able to settle.

After my deposit and other taxes we will be left with only a few 100s but heho money will always come back.

Now tell me I am crazy, tell me I should not buy... but I cannot see another solution at the moment as I feel I have been wasting 5 years of hard earnt money.

It is a very difficult problem. I can understand your despair. But I cannot think it the right time to buy when the market is clearly going negative. Best to take a one year agreement and find out more about the lanadlord, where they live and circumstances of the rental. Make sure it's a property for permanent rent rather than an absent LL who is just abroad for bit.

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5% deposit? Your mad! What's the rate on that? Fixed for two years at 7.12% reverting to base rate +5% by any chance?

So you are moving to a smaller house and paying the same money. What about in a few years when rates are 4 or 5%? You'll be paying an awful lot more for that smaller house. That's assing you can still afford to pay it!

Why not move to a smaller rental property for another year or two and save a decent deposit? It's your choice but I certainly wouldn't even consider a 95% mortgage.

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Now tell me I am crazy, tell me I should not buy... but I cannot see another solution at the moment as I feel I have been wasting 5 years of hard earnt money.

Realistically, you aren't going to buy a place by the end of August so will need to find somewhere else anyway.

I would just hope that the next rental is a better long term option (and if it's what you want why not sign a 12 month lease?)

tim

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Realistically, you aren't going to buy a place by the end of August so will need to find somewhere else anyway.

I would just hope that the next rental is a better long term option (and if it's what you want why not sign a 12 month lease?)

tim

Well after a lot of number crunching, a couple of viewings and being pre approved for a mortgage for the small amount I feel conformtable borrowing at this point, I have come to 1 conclusion.

I cannot buy right now.

We had managed to put together 10% deposit but of the cheapest things you can find in a 15 miles radius. The houses are not bad but I cannot se myself living in the areas where I can find these houses.

New plan of action: found a great 1 year lease on a property a bit cheaper to rent than wat we have now, closer to where we work (so saving on commuting), and we are going to save like CRAZY! All we have, no holiday in fancy hotel abroad, limiting going out to pubs with friends (well anyway isn't staying in the new trendy thing to do!)...

ONE MORE YEAR. That is all. Hopefully with the money I will have save by then I will be able to put 10/15% deposit on a nice little first time buyer home in a reasonable area. That is if banks don't decide that first time buyers need to have a 75% deposit next year.

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  • 261 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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