To think we CAN live on the mortgage

[JaneEyre40]

Advice please -

Couple - Earn £10,500 a month
Mortgage - 3,700 a month
Nursery - 1,000 a month

Considering all other possible outgoings, do you think we can afford this and not feel pressured each month. What am I not considering? We've done the spreadsheet but I'm still unsure.

We will have about £65,000 in savings at the beginning of this venture.

Thanks in advance. House of a lifetime.

Can't, we have to be commutable for London, I would have for sure.

And you are entitled to your opinion ✌🏼

If, as you say, you're in senior management in education (that could be in a school or in local government) you will have had plenty of exposure to families who are less fortunate. That is why there are some harsh posts.

The answer to your thread/ question is a proper discussion with your husband/partner and a spread sheet.

It is hard to understand why anyone starts these threads.

As someone who has a similar income and outgoings, yes you’ll be perfectly fine.

HOWEVER do not underestimate the stress that a large mortgage can cause. If one of you were made redundant for example, how easily could you find a role paying a similar amount. I worry about that all the time. Also, depending on the property you are buying, think of the upkeep. A big house = a big roof for example.

I read that as £10,000 as a yearly salary! I was like nooo definitely not! Yikes £10k a month is flippin loads. It’s a third of what I earn in a year! But even so, a mortgage of £3,700 does tie you to having to stay earning highly… I’d personally play on the safe side and have lots of nice holidays but you got to do what’s right for you.

@NewMoonToday so because some people are worse off than her… she can’t ask about her own financial situation? Where does one draw the line in that.

Why shouldn’t people with a decent income and education ask others in their situation for advice?

On Reddit there is a whole forum of people posting questions exactly like this every day, with far higher incomes. I’m yet to see a poster there be told to ‘read the room’ or similar, it’s just seen as normal you’d look to your peers to understand what they are doing.

Particularly given we are a society that doesn’t like to discuss money openly, so raising the topic with friends might be difficult.

Totally, I'm researching different types of insurance right now. What kind of income/unemployment insurance do you have if you don't mind me asking? I never bothered with it pre baby/more manageable mortgage.

I will add that I was a lot less stressed about money when we earned half as much and our mortgage was half. There’s a constant worry over job loss.

This site, which purports to be advice driven, is just a vehicle for bitchiness. Sad really.

“Not sure you’re reading the room.

I don't care.”

There we have it. Tone deaf to the CoL crisis some others face, and doesn’t give a fuck, either.

I really dislike repeating myself....

. I looked into it and there are limits as to how much they will pay out post job loss - equiv to about £60k a year salary which either of us could walk into so there wasn’t much point. We do have solid life insurance and critical illness cover though.

Hi OP I posted earlier before reading all your messages. Now I have and a couple of things give me pause.. Your ages and the lenght of mortgage term you are looking at. It means you are potentially looking at paying this till age 70 & 75. Will earning potential remain the same?/energy levels, Interest rates? Illness/health, not sure for potential inheritance. We have 19 yrs left and are 41 and 42. Wouldn't want to be servicing a hefty London mortgage age 70.

This is it exactly...one thought I had was selling up and downsizing as we age (60s possibly).

Yet you're a senior manager who doesn't have life/critical cover?

I reccommend MSE website, read up on your rights to the house, marriage, life insurance, critical illness insurance, pensions, get yourself a will, make sure you know what will happen to your child and nominate any death in service appropriately. Check the legalities on joint tenants and tenants in common too.

That's what I'm seeing, caps of 2.5k a month and you're right I could get that in the next job. Do you mind if I ask about your critical illness cover, monthly payment?

Reddit is a load of nonsense and most of the stuff there is fake.

I suggested she talks to her husband and not strangers .

Only they know their finances.

OP are you sure your council tax is only £230 a month ?
Only your home is obviously worth over £300,000 because that's the lump sum you put down on it . Any house worth over £300,000 would be in the council tax band of F or above . Properties in band F are usually over 3k a year all over the UK . So if that were the case you would be paying £300 a month in you paid over 12 months. Something isn't adding up .

I know 🤦🏼‍♀️. I lived like a teenager thinking everything would be fine. Pension/ joint tenants all good. I don't have a will. Looking at insurance currently.

Doesn't matter how much you earn, you should still budget and with your income I'd be budgeting 10% savings/month and 10% contingency for repairs

When budgeting, be realistic with outgoings so you don't struggle later on. It's all very well not going on holiday whilst your child is young, but you may want to when they are a bit older.

As other people have said, be prepared for mortgage rates to vary.

Make sure you have loss of income insurance (health and employment) because you wouldn't manage that mortgage on a single income.

Also depends on your age, because I'd hate to have such a high mortgage at my age.

It's not the OP's fault that other people aren't as financially comfortable or well-off as her. The envy on this thread is palpable.

Is this right? My house is worth £500k, council tax £2997 a year. Band E.

Hmm...it's significantly over £300,000. I'm checking the CT again.

So she should only seek advice from her husband and not attempt to understand what others are doing… that’s not a brilliant way of trying to rationalise your decision making, or understand what other people in the same situation might be doing.

… and everything on Reddit must be made up because…? I’d be surprised if there were literally thousands of people on there creating fake posts about their mortgages / childcare costs / pensions etc - just… why? It would be the most boring trolling on earth.

You’ll deffo need to include costs to Ireland in your budget! I go home regularly and I’d be in Portugal for what I’d spend in Centra in a week 😂