Ian Worthington Posted January 4, 2006 Share Posted January 4, 2006 I sold my flat in N15 about 10 years ago as I starting working abroad, and renting the place out had become a nightmare. Now, having returned to the UK, I find myself in a quandary of what to do. Having lost about GBP 35k in the US stock market crash after continually buying as the market soared, I don't want to, and can't afford to, make the same mistake again: this money after all was meant to be my pension. But neither do I want to be permanently excluded from owning property if I'm wrong. I've managed to salvage about GBP 80k from my US "investments" so I probably could buy a small place with a minimal mortgage instead of paying rent: if the market were to drop just a bit, this would probably make sense, and at least I'd have some insurance should it actually rise. Just to add to the joy, I work in IT, and in part of IT (airline & financial systems) that was one of the first to start being outsourced to India. Owing to continual quality issues we're seeing some of those jobs come back, but the salaries being offered are not as good as they were. As I've been unable to identify anything else that I would enjoy doing (yes, that's important!), that pays reasonably well, and isn't too in imminent risk of being outsourced to India, China, or elsewhere, I think I'm stuck with IT for the moment. So I'll be renting for the moment (500/mo), from some old friends who have just bought a place specifically to let as they're out of the country now too but want to keep money in UK housing stock (long term), and trying to sort out a better paying job in the UK, hoping that by then they'll be some indication of what's really going on. Can anyone think of a better plan? Ian ... Quote Link to comment Share on other sites More sharing options...
libitina Posted January 4, 2006 Share Posted January 4, 2006 Whats the rush? Won't the interest on your £80k savings be paying your rent? Quote Link to comment Share on other sites More sharing options...
AteMoose Posted January 4, 2006 Share Posted January 4, 2006 (edited) you considered other ways to reduce your rent? How much do you earn? Why are you back in the uk? You seem to be very bad timing things recently,especially selling your flat at the bottom of a trough Edited January 4, 2006 by moosetea Quote Link to comment Share on other sites More sharing options...
Justice Posted January 4, 2006 Share Posted January 4, 2006 if you wana get on with your live then get yourself over to europe. Yes 'IT' has had it's day but what can you do but jump when the train slows down below a certain point. Blair cares more about india then he does the UK and thats becuse they give him large brown envolopes Quote Link to comment Share on other sites More sharing options...
IMupNorth Posted January 4, 2006 Share Posted January 4, 2006 I sold my flat in N15 about 10 years ago as I starting working abroad, and renting the place out had become a nightmare. Now, having returned to the UK, I find myself in a quandary of what to do. Having lost about GBP 35k in the US stock market crash after continually buying as the market soared, I don't want to, and can't afford to, make the same mistake again: this money after all was meant to be my pension. But neither do I want to be permanently excluded from owning property if I'm wrong. I've managed to salvage about GBP 80k from my US "investments" so I probably could buy a small place with a minimal mortgage instead of paying rent: if the market were to drop just a bit, this would probably make sense, and at least I'd have some insurance should it actually rise. Just to add to the joy, I work in IT, and in part of IT (airline & financial systems) that was one of the first to start being outsourced to India. Owing to continual quality issues we're seeing some of those jobs come back, but the salaries being offered are not as good as they were. As I've been unable to identify anything else that I would enjoy doing (yes, that's important!), that pays reasonably well, and isn't too in imminent risk of being outsourced to India, China, or elsewhere, I think I'm stuck with IT for the moment. So I'll be renting for the moment (500/mo), from some old friends who have just bought a place specifically to let as they're out of the country now too but want to keep money in UK housing stock (long term), and trying to sort out a better paying job in the UK, hoping that by then they'll be some indication of what's really going on. Can anyone think of a better plan? Ian ... Move to India - £80k should buy a pretty decent place over there - and they've got plenty of IT jobs that need doing. Quote Link to comment Share on other sites More sharing options...
whiterabbit Posted January 4, 2006 Share Posted January 4, 2006 I sold my flat in N15 about 10 years ago as I starting working abroad, and renting the place out had become a nightmare. Now, having returned to the UK, I find myself in a quandary of what to do. Having lost about GBP 35k in the US stock market crash after continually buying as the market soared, I don't want to, and can't afford to, make the same mistake again: this money after all was meant to be my pension. But neither do I want to be permanently excluded from owning property if I'm wrong. I've managed to salvage about GBP 80k from my US "investments" so I probably could buy a small place with a minimal mortgage instead of paying rent: if the market were to drop just a bit, this would probably make sense, and at least I'd have some insurance should it actually rise. Just to add to the joy, I work in IT, and in part of IT (airline & financial systems) that was one of the first to start being outsourced to India. Owing to continual quality issues we're seeing some of those jobs come back, but the salaries being offered are not as good as they were. As I've been unable to identify anything else that I would enjoy doing (yes, that's important!), that pays reasonably well, and isn't too in imminent risk of being outsourced to India, China, or elsewhere, I think I'm stuck with IT for the moment. So I'll be renting for the moment (500/mo), from some old friends who have just bought a place specifically to let as they're out of the country now too but want to keep money in UK housing stock (long term), and trying to sort out a better paying job in the UK, hoping that by then they'll be some indication of what's really going on. Can anyone think of a better plan? Ian ... I aaume you have been working in the US? Can't you get some US based contract work that you can do remotely Quote Link to comment Share on other sites More sharing options...
Pete Mitchell Posted January 4, 2006 Share Posted January 4, 2006 Ian, your story sounds only too familiar...I worked as an expat in Asia from '96 until '03, built up a decent enough nest egg and invested it in 2000 (just in time to see the Nasdaq, Jasdaq and every other market head south). The real question you need to ask is are you going to be spending the rest of your days in the UK. Personally I took the decision to stay here having had enough of living out of a suitcase etc. etc. but I'm not going to even contemplate paying the mickey-mouse prices currently being asked for property in this country. My plan is to cash in the balance of my investments some time at the tail-end of this year...irony is this is set to be a good year for the global equities markets...and keep renting in the interim, pending reduced prices by y/end. Don't be pushed into buying, even if prices don't "crash" they sure as hell aren't going to be going up anytime soon. Good luck! Pete. Quote Link to comment Share on other sites More sharing options...
Mr Blek Posted January 5, 2006 Share Posted January 5, 2006 Its not all doom and gloom. Rent and save up. You're in IT and you should be paid fairly well. If not, change jobs. There's still a demand if you have the right skills. Plenty of the IT work is coming back from India. The amount of f'ups they do is truly amazing. If it compiles, it works is their mentality. Save, save, save and then buy low and keep it as your HOME, not some speculative commodity. Quote Link to comment Share on other sites More sharing options...
right_freds_dead Posted January 5, 2006 Share Posted January 5, 2006 my advice is keep renting at 500pcm. thats not bad. save your cash. work as much as you can. await correction. buy an astra van and stay out of stock market. oh, and change you avatar name. Quote Link to comment Share on other sites More sharing options...
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