Decision to make quickly

[Sandfairy69]

Sorry super long post. Hubby works overseas, daughter and I returned to UK for a really good school. At time of decision all was good in the world. FF and we have COV19, a reduction in salary, a son who returned home without work and a temporary situation now looks longer term. We are renting a house as we have a property elsewhere and don’t wish to sell. The house we are in is expensive but 1) I love it 2) it is owned by an estate so if something needs fixing I just dial up. 3) it’s close to school and is rural.
Decision to be made is this, do we find somewhere cheaper OR do we buy. We have little deposit left after some investments have gone up sh*t creek BUT I’ve been to see a new build today that we can get Help to Buy. Question is do we use all of our savings to go down that route saddling ourselves with another mortgage in uncertain times , or do we pay for mortgage rather than pay someone else’s?? I am totally conflicted and we’ve always made wrong decisions so really need input, should add we’ve lived away a looooong time so maybe there are issues we haven’t thought about and we are both now in our 50’s so can’t afford another mistake! Anybody have some wisdom to throw my way? Forever grateful!!

To be blunt (sorry) , I'd check first if you can get a big enough mortgage for the sum you need given your age and you've been out of the country for a while first. They won't lend past current retirement age. They've also really tightened lending criteria- so you may not have a choice at all- which removes the dilemma.

I think given the uncertainty at the moment sometimes making no choice in the short term might be more wise, stay where you are and it gives you flexibility to be able to move to a cheaper area/ house if you need to at little cost. Paying 2 mortgages isn't very fun.

New build houses are often VERY poor quality.
I'd sit tight till after the end of transition
and until COVID settles down in the spring.

We're buying a new build (which isn't of VERY poor quality) using help to buy - it has really helped us as we're able to get a smaller mortgage.

You aren’t eligible for Help to Buy if you already own a property and aren’t intending to sell it, so you need to make a decision about whether it’s feasible to retain the other property at the expense of being unable to buy a home to live in.

In terms of buying, if you’re currently paying an expensive rent then you can essentially weigh up the money you “lose” each year paying rent against any likelihood of property values falling; plus if it’s a long term purchase, it will wash its face even if values drop over the next year or so.

Our property is in another country and already have mortgage and HtoB approval however, all things considered I doubt the fallout from COV19 will work in our favour and I think a move to a cheaper house or re negotiation on the rent may be the sanest idea. Thanks all for input, I may sleep tonight after all!

Did you declare your property abroad? I thought property abroad counted as 'alrradyboening a property', as it should.

Help to buy scheme is currently open to existing homeowners and yes of course we declared it.

It’s open to existing homeowners but the assumption - and legal requirement - is that the property you buy using H2B will be the only property you own anywhere in the world upon completion and that you will sell your current property. You’re required to sign a declaration prior to completion stating as much. If you’ve already been approved for H2B and a mortgage then it’s likely you’ve been misunderstood during applications regarding intending to keep the property you own.