Rent V Buying Is It Only Here People See Sense

[Jonnybegood]

Down the local last night when a bit about property downturn came on the news, then my mate out of the blue told us he had sold his house.

I for one did not even know it was for sale, anyway it transpires its been on the market for 6 weeks with no flag in the garden, EA had someone lined up for the sale and after 3 separate viewings it went for just under asking price (or so he says).

So I step in and say sold at the right time what you gonna do sit out and rent for a while and see what happens, he then turns round and says he has already bought another property, moving the family in next week.

Renting never entered the equation he said, it would of made financial sense now I said.

He goes on if everything was about financial this and that then I would never have 20 halogen lamps in my kitchen, I would have 2 pendant fittings.

I would have a 1 litre fiesta and not a 2 litre volvo, I would only eat in the house and not at restaurants.

When I go shopping I would buy only non branded food and clothing as they serve the same purpose but financially are better for my pocket.

If i could not afford better or am not able to buy that is different but just because it makes financial sense not to do something is no reason not to do something if its what you want to do.

Is it this type of attitude that keeps the property market moving, those who look at property as more than an investment and as long as they are able to would always opt to buy over renting.

Does spending too much time on here make you look at everything you do in life from a financial point rather than enjoyment, are they right and we wrong.

I know many cannot afford to buy and rent instead, but is STRing taking it a little to far, like he says if everyone did look at things financially we would all be driving smart cars, moving next door to place of work and only having 1 tv per household with a single light fitting in each room.

[Guest DissipatedYouthIsValuable]

Down the local last night when a bit about property downturn came on the news, then my mate out of the blue told us he had sold his house.

I for one did not even know it was for sale, anyway it transpires its been on the market for 6 weeks with no flag in the garden, EA had someone lined up for the sale and after 3 separate viewings it went for just under asking price (or so he says).

So I step in and say sold at the right time what you gonna do sit out and rent for a while and see what happens, he then turns round and says he has already bought another property, moving the family in next week.

Renting never entered the equation he said, it would of made financial sense now I said.

He goes on if everything was about financial this and that then I would never have 20 halogen lamps in my kitchen, I would have 2 pendant fittings.

I would have a 1 litre fiesta and not a 2 litre volvo, I would only eat in the house and not at restaurants.

When I go shopping I would buy only non branded food and clothing as they serve the same purpose but financially are better for my pocket.

If i could not afford better or am not able to buy that is different but just because it makes financial sense not to do something is no reason not to do something if its what you want to do.

Is it this type of attitude that keeps the property market moving, those who look at property as more than an investment and as long as they are able to would always opt to buy over renting.

Does spending too much time on here make you look at everything you do in life from a financial point rather than enjoyment, are they right and we wrong.

I know many cannot afford to buy and rent instead, but is STRing taking it a little to far, like he says if everyone did look at things financially we would all be driving smart cars, moving next door to place of work and only having 1 tv per household with a single light fitting in each room.

What's wrong with a candle for light and walking on verges to reduce the wear on shoe soles?

[waiting_to_exile]

Does spending too much time on here make you look at everything you do in life from a financial point rather than enjoyment, are they right and we wrong.

I know many cannot afford to buy and rent instead, but is STRing taking it a little to far, like he says if everyone did look at things financially we would all be driving smart cars, moving next door to place of work and only having 1 tv per household with a single light fitting in each room.

I don't understand where you or your friend think the line is between looking at things "financially" and what he has done. He has simply decided that the price is worth it to him because of whatever benefit he feels he receives from owning rather than renting. That is a financial decision.

[Swipe]

I gain enjoyment through frugality

[juvenal]

Renting never entered the equation he said, it would of made financial sense now I said.

He goes on if everything was about financial this and that then I would never have 20 halogen lamps in my kitchen, I would have 2 pendant fittings.

I would have a 1 litre fiesta and not a 2 litre volvo, I would only eat in the house and not at restaurants.

Is it this type of attitude that keeps the property market moving, those who look at property as more than an investment and as long as they are able to would always opt to buy over renting.

Does spending too much time on here make you look at everything you do in life from a financial point rather than enjoyment, are they right and we wrong.

There's a lot of bravado here, isn't there? Pulling in justifications from all angles for what is essentially a decision which will undoubtably cost tens of thousands.

I wonder if your friend will still think the same in 12 months time? I doubt it.

But I doubt he'll ever admit it to you!

[caseyloca]

People would rather pay interest to a bank, than rent to a landlord.

Most people have got it in there head that paying rent is a waste of money, they have been brought up that way and in some cases they are right. I know personally, I rather down grade house than to pay rent.

[Now or never]

Down the local last night when a bit about property downturn came on the news, then my mate out of the blue told us he had sold his house.

I for one did not even know it was for sale, anyway it transpires its been on the market for 6 weeks with no flag in the garden, EA had someone lined up for the sale and after 3 separate viewings it went for just under asking price (or so he says).

So I step in and say sold at the right time what you gonna do sit out and rent for a while and see what happens, he then turns round and says he has already bought another property, moving the family in next week.

Renting never entered the equation he said, it would of made financial sense now I said.

He goes on if everything was about financial this and that then I would never have 20 halogen lamps in my kitchen, I would have 2 pendant fittings.

I would have a 1 litre fiesta and not a 2 litre volvo, I would only eat in the house and not at restaurants.

When I go shopping I would buy only non branded food and clothing as they serve the same purpose but financially are better for my pocket.

If i could not afford better or am not able to buy that is different but just because it makes financial sense not to do something is no reason not to do something if its what you want to do.

Is it this type of attitude that keeps the property market moving, those who look at property as more than an investment and as long as they are able to would always opt to buy over renting.

Does spending too much time on here make you look at everything you do in life from a financial point rather than enjoyment, are they right and we wrong.

I know many cannot afford to buy and rent instead, but is STRing taking it a little to far, like he says if everyone did look at things financially we would all be driving smart cars, moving next door to place of work and only having 1 tv per household with a single light fitting in each room.

You never look at things financially, if finance isn't a problem. Everbody is in their own financial position. Personally I think to lose thousansds of pounds no matter how sound my finances are, is just plain stupid! Sounds like your friend must have shit loads of money, either that, or shit for brains.

[DinosaursAreAwesome]

Down the local last night when a bit about property downturn came on the news, then my mate out of the blue told us he had sold his house.

I for one did not even know it was for sale, anyway it transpires its been on the market for 6 weeks with no flag in the garden, EA had someone lined up for the sale and after 3 separate viewings it went for just under asking price (or so he says).

So I step in and say sold at the right time what you gonna do sit out and rent for a while and see what happens, he then turns round and says he has already bought another property, moving the family in next week.

Renting never entered the equation he said, it would of made financial sense now I said.

He goes on if everything was about financial this and that then I would never have 20 halogen lamps in my kitchen, I would have 2 pendant fittings.

I would have a 1 litre fiesta and not a 2 litre volvo, I would only eat in the house and not at restaurants.

When I go shopping I would buy only non branded food and clothing as they serve the same purpose but financially are better for my pocket.

If i could not afford better or am not able to buy that is different but just because it makes financial sense not to do something is no reason not to do something if its what you want to do.

Is it this type of attitude that keeps the property market moving, those who look at property as more than an investment and as long as they are able to would always opt to buy over renting.

Does spending too much time on here make you look at everything you do in life from a financial point rather than enjoyment, are they right and we wrong.

I know many cannot afford to buy and rent instead, but is STRing taking it a little to far, like he says if everyone did look at things financially we would all be driving smart cars, moving next door to place of work and only having 1 tv per household with a single light fitting in each room.

Aah, the 'life is too short' school of financial planning. Well, they do say ignorance is bliss- or in this case 20 halogen lamps in his kitchen, necessary to bask in the glow of smug self stisfaction I suppose.

[Cogs]

If you are letting a website tell you how to live your life you have deeper problems than whether you buy own brand beans or not. Everything in life is a trade-off of some description. How are you going to spend the next hour for example? What will you not be doing? Why? People buy houses right now for the same reason other people buy £2 bottles of water on the motorway on a blazing hot summer's day. If the trade off works for you, you'll do it. So I think rather than discussing buying/not buying/renting as such, we are really just trying to establish through discussion the costs and benefits associated (which aren't clear and are subject to differing views and perspectives) and then line them up against our own needs and wants and so on.

Right now, for me, renting makes more sense. When buying makes more sense, I'll be straight in there without hesitation.

This isn't a question of entrenched ideological positions.

[cs02rm0]

Yes, it's like driving a 1.0l fiesta instead of a 2.0l Volvo. But in 18 months time instead of feeling the squeeze of the repayments on the Volvo I'll be able to afford a 3.0l BMW.

That's not being tight, or missing the point in life at all. It's just small sacrifices for larger gains in the longer term.

[Injin]

Looks like the OP doesn't understand that all economic choices are equal.

[ruggedtoast]

The point is that for a lot of people rent vs buying is a non issue as they couldnt afford to buy anyway. A flat in our building, identical to the one we rent for less than £800pcm, sold for £216k last year. Even an IO mortgage would cost a grand a month, more like £1300 for repayment over a long term. This is a 1 bedroom suitable only for a single person or a childless couple who dont want much elbow room.

Friends whove had kids have been totally shafted as they cant buy anywhere and found that most private landlords would rather rent to people with incontinent pit bulls than couples with a baby. You're only option is to move out of London but then find that as your rail fare can be £400pcm plus so you save next to nothing. I know of peoples parents (including ours) who are utterly bewildered and dismayed as to why their 30 something offspring with university degrees, who were meant to have comfortable white collar lives, are having to eke out livings, childless, in pokey one bedroom flats in grim parts of the capital to make a living.

There is so much anger about this, I really think the last elections were just the trickle of protest before the dam bursts.

[Guest happy?]

The point is that for a lot of people rent vs buying is a non issue as they couldnt afford to buy anyway. A flat in our building, identical to the one we rent for less than £800pcm, sold for £216k last year. Even an IO mortgage would cost a grand a month, more like £1300 for repayment over a long term. This is a 1 bedroom suitable only for a single person or a childless couple who dont want much elbow room.

Friends whove had kids have been totally shafted as they cant buy anywhere and found that most private landlords would rather rent to people with incontinent pit bulls than couples with a baby. You're only option is to move out of London but then find that as your rail fare can be £400pcm plus so you save next to nothing. I know of peoples parents (including ours) who are utterly bewildered and dismayed as to why their 30 something offspring with university degrees, who were meant to have comfortable white collar lives, are having to eke out livings, childless, in pokey one bedroom flats in grim parts of the capital to make a living.

There is so much anger about this, I really think the last elections were just the trickle of protest before the dam bursts.

History repeating itself.

[Guest DissipatedYouthIsValuable]

I gain enjoyment through frugality

I often wear an eyemask my brother stole from an aeroplane. During the day. So as not to overuse light.

[Frank Hovis]

Right now, for me, renting makes more sense. When buying makes more sense, I'll be straight in there without hesitation.

This isn't a question of entrenched ideological positions.

Yup. I bought in about 1995, from my landlady, because a mortgage (?£380) was coming close to half the rent (£625). I didn't want to buy a flat but the monthly cash difference was so much I felt I had to.

I sold up and am renting again. I don't really want to buy until I retire but if those sort of differentials come back I will again be a reluctant homebuyer.

[DblEntry]

I would personally pay a small premium to be an owner-occupier rather than a private tenant. However, at current prices I would have to pay about 30% more per month just for an interest only mortgage.

If that was 5% to 10%, then I do not think it is unreasonable to accept there there is some benefit to having your own property.

Of course, you do have to pay buildings insurance, general maintenance etc on top of that so of course it is expensive.