Buying a small apartment with DC, are we nuts?

[Somethingsgotthagive]

First Time Buyers in outer London with a DC. Finally in a position to have a down payment for a mortgage after years of saving and childcare fees almost behind us. We are currently tied to London and both commute frequently for work which means we need to stay put in current area due to easy commute and lots of amenities for DC.
We have a maximum budget of £530K (which would only get you a nice flat or maisonette here) but given the current high interest rates and job market uncertainty, I am now wondering if it’d be more wise to keep the cost lower and aim for a less expensive property, around the £480K mark - this would mean a smaller 2 bed flat, most likely 600 sq feet or so. Are we mad to consider that?

Please refrain from saying things like “I could buy a castle where I live in Wales with that budget”. I am in the London suburbs and have ZERO interest in moving to different parts of the country so need to work with what I have available to me.

I agree but in the previous threads it was pointed out that lenders have tightened their criteria on a lot of things regarding flats - they don’t like share of freehold in a period conversion with no management company in place, they don’t like a certain percentage of the block already mortgaged, they don’t like lending above certain floors or within a block that has a certain number of floors. The list goes on. And then the subject of ex-LA properties was pointed out that those unexpected costs can run into significant sums over which there is no control by the freeholder. Money and cost control seemed to be important to the OP so they had plenty of advice about all of these points. Obviously it is easier to control costs and noise in a house. This was also pointed out.

I’ve lived in flats with noise issues, I’ve lived in flats with damp issues. All when I was single. Would it be for me personally again with kids in tow? No, but then I’m not the OP.

@Somethingsgotthagive

https://www.mylondon.news/news/property/zoopla-reveals-london-flat-prices-28657472

My opinion was based on what’s happened the last few years & London property in general hasn’t performed well vs rest of the country since Brexit.

You absolutely should buy based on current needs but as I said this a money matters board.