Who doesn’t own a house and isn’t bothered?

[Horcrux]

We are trying to sell our house and we have very little intention of buying another. We have 2 children and jobs and plan to rent as it’s cheaper in our area. But it will also give us more freedom to travel.
Is this totally stupid?

[wheniwonder]

don't own and never owned. There will possibly be a time when there is property inherited but have never been in he financial position to own so why would I lose sleep over it?

[Orangeblossom78]

It feels quite tough knowing your parents are having everything paid for and no assets, while we are struggling to pay our own mortgage and have DC. I don't want the option my parents chose.

[adaline]

all paid for by the state in retirement

With the state of the economy the way it is, I wouldn't want to rely on the state to pay for me in my old age. The pension age is increasing for a reason - so they don't have to pay out as much money.

I'm 31 and I imagine by the time I retire the pension age will be around 75 or so. I don't want to be paying hundreds in rent at that age - our plan is to have the mortgage paid off as early as possible so we can save as much as possible towards retirement - before hopefully going part-time at 50 or so.

It's easy to say "oh, the government will pay for me" but the government is cutting services to the bone. I certainly don't bank on them being there for me in my old age!

[adaline]

If they are on a low income the rent gets paid though, and it is low n sheltered housing.

It's similar to being employed though - the lowest earners get help but I bet there are plenty whose pensions pay out just enough that they don't get anything, yet they still have to pay full rent.

[UnrulyPig]

It's nothing short of emotional abuse.

Oh, what absolute tosh. Would you say that about parents who emigrated 1000s of miles with their children for a 'stable' job opportunity?

OP, I say go for it. It's not as if you and your dh are couch potatoes who've watched too many episodes of that Ben Fogel thing - it sounds as if you have the skills, knowledge and experience to make a go of this new lifestyle. You can't stand still because of 'what ifs', and very few decisions are completely irreversible if it turns out that it's not what you all hoped for.

Having said that, I would use some of the equity to buy a flat and rent it out, just to keep a foothold. No harm in having a fallback

[Orangeblossom78]

If they are on a low income the rent gets paid though, and it is low n sheltered housing.

[nicknamehelp]

Somebody once told me they feel sorry for retired people who rent as that is a big chunk of their income gone each month. If you bought you hit retirement and mortgage paid. Even if you are still paying it off at 70 assuming you are still paying same as now I bet by then that would be a fraction of the cost of rent at that time.

[Orangeblossom78]

Also the PP saying no social available, there seems to be plenty of sheltered housing, mine keep being offered other ones..via their housing trust. maybe it depends where you live.

[Orangeblossom78]

Yes you do get substantial benefits in sheltered accommodation at over 65, for example council tax paid, pension credit, warm home payments and the like, care at home paid for due to reduced income / circs, and also things like attendance allowance if health conditions. their council sheltered accommodation also has guest rooms for visitors, a social area and support on site (warden)

[Orangeblossom78]

I guess it depends where your priorities lie

[Orangeblossom78]

What I mean is the OP sou,d probably be fine, get council tax paid, pension credit and the like and social housing if needed like my (separated) parents, all paid for by the state in retirement, and no assets to pass on to the DC...but if you are fine with that go for it.

[Orangeblossom78]

I think with no kids it could be OK, my parents are retired and living in council sheltered housing. for over 55s. If you have DC it is different.

[sunshinesupermum]

In 2019, basic pension for a single person was £168.60. That's only £674.40 a month. In some areas, that wouldn't even cover your rent, let alone council tax, bills, food, clothes, medication and everything else you may need.

Not for everyone - mine is £540 but I supplement it with a small private pension I paid into otherwise I would be on skids row. Meanwhile although I'm now 71 and mortgage free I have a thirty something daughter with mental health issues that shares my 2 bed flat with me and if I can't leave her anything when I pop my clogs due to care home costs she won't have a home to call her own.

I don't mind paying something towards care fees but do mind everything I have so hard for being used for it, especially as a home is now so expensive it is out of reach for many people of my daughter's age and younger. I also don't believe in renting and paying someone else's mortgage at the sake of owning one's own home by retirement age.

[Verily1]

You are bonkers.

It’s cruel to drag a 6 and 10 year old away from everything and everyone they have ever known so you can lead some fantasy life.

It’s nothing short of emotional abuse.

[Elbeagle]

We have rented in Valencia, Madrid, Paris and Milan. All pretty damn expensive!

[2monstermash]

@Frothybothie not in my experience in Spain. Barcelona and London are fairly equivalent nowadays.

[2monstermash]

@userxx well.. if you can get a 5% deposit mortgage in the UK, I'd say, no it isn't really that tough.

[Frothybothie]

Are rents not quite lower in other european countries where renting is higher proportionally than here?

[userxx]

@2monstermash. I didnt know that. It's tough everywhere isnt it

[2monstermash]

It’s not true that people in other countries don’t care about owning their own homes.

You are right, in Spain people would love to own their own house, but credit is still terrible here after the crash and you need around 30% deposit for a mortgage plus a payment of 10% value of the property sale price in tax. So a regular family looking to buy a house/flat worth €150k would need €65k... not very realistic for most, when the average income is around €20k

[2beautifulbabs]

I would rather own my own home and know the money your paying off each month is for your own benefit and your children's.
What happens if one of you fall ill and need care around the clock and your family can't afford to pick up the care bills that's needed like living in a care home would you make your children suffer by having to give up their own lives to then become a full time carer for you or your DH? Would it not be better to have some financial backing like a home that they could sell to cover such costs it's all hunky dory in saying you and your DH will live on a boat and I really do hope that you both enjoy that but sadly life is full of the unknown
I would really consider the long term impacts and not just the day dreaming of it all good luck op in what ever you decide

[Iggypoppie]

There are lots of places you could by a place for £90k that wouldn't be a shithole.

[GETTINGLIKEMYMOTHER]

Oops, wrong thread above, Mods please move.

[GETTINGLIKEMYMOTHER]

As regards the OU, OP, you might find that your existing qualifications would count to some extent, at least at the level one stage.

[GETTINGLIKEMYMOTHER]

It’s not true that people in other countries don’t care about owning their own homes. I once repeated this oft-repeated mantra to a French woman (in France) and she said, ‘But they do! They do!’

A Swedish friend who recently moved back to Stockholm has noticed how people are considerably keener on buying than they used to be - she certainly wasn’t interested in renting, and her son, who’s always lived there, is in his 3rd (owned) home - he has bought, done up, and moved on twice. And a niece who married a Swede is living in the flat he bought several years ago.

It’s true that the law in many countries is considerably more tenant-friendly than here, though, and it’s high time that changed. But many people all over do like to own - if they can. Which may be a very big ‘if’.