To be really worried for our future?

[Whereismyfairytale]

My ex recently split with me, we have a young DC together, currently own a home together which is on the market and has lots of interest and a fair few offers.

the plan was to each take out what we initially put into the house then split the rest of the equity. So far so good, decent amount of equity.
obviously I knew that we’d each have to downsize when looking for new homes but one mortgage advisor has quoted payments which equate to almost half my current salary (I am currently on reduced hours for childcare, still working 32 hours a week though so not by much, and will have to increase back up to full time)

i know this is down to the current economic climate but the houses I am looking at are no no means expensive houses, If I lower my budget much more I’m going to be incredibly limited in where I can go and I’d like to be in a decent area for schools etc.
i just don’t see how It’s going to be possible to pay mortgage, bills, things for DC and have anything left at all, I feel like this is going to put me in such a dire financial situation that I’ll never recover.

For what It’s worth I’m good with money and earn a reasonable wage but at this current time in this climate I’m genuinely worried. Does anyone have any advice?

Have you factored in child maintenance?

Have you done a benefits check to see if you're entitled to anything extra? I believe the entitledto.com website offers a check.

How much child maintenance will you get? Could you look at smaller properties or flats? Half your income isn’t ideal but depends what your income is.

You also need to realise that your current standard of living will have to change, now that you're dropping to one income. I actually think this must be the biggest adjustment for people in your situation.

Unfortunately, there will have to be some compromises. I'd write a list of all the things you are unable to give up and then all the things you'd like not to give up, but aren't essential. Then you'll be able to see where cutbacks are possible. You may have to be less choosy with the area you live in, if you find you can't cut back anywhere else.

I'd also recommend posting on the MoneySavingExpert websites forum. If you post on there a full statement of affairs people will help you see what can be cutback if you are struggling.

Unfortunately there will have to be compromises, sadly you can't have it all if you can't afford it. You need to work out what the priority is. You can live a happy and fulfilled life in a small flat, just like you can in a large 4 bedroom detached house. It's not about what's around you.

You have to live within your means, as we all do.

Look for somewhere that needs a good clean & redecoration and is less expensive. Somewhere you can improve with a bit of work. Somewhere smaller. A less popular area.

Look at all your regular expenses and cross out everything except food, utilities, school uniform and insurance. Then work upwards from there.

Thank you all, some really good advice here, which I will take. I just feel a bit down about it all.

Are you married? If so, you could possibly have got more than 50% of equity in divorce in order to house your child. This sadly doesn’t apply if not married.

Have you included child maintenance? Any universal credit?

It really is tough at the moment with wages being so low and housing costs so high.