When to buy?

[BrieAndChilli]

We are nearly 40 and still rent as for various reasons missed the boat with getting on the property ladder and now have 3 Kids.

MIL has inherited some money so has generously offered us £20k as a gift towards buying a house. We have managed to save £5k and as a family will be also getting £5k from inheritance.

As first time buyers (so don’t have a property to sell/worry about the selling price of) are we better to wait 6-12 months to buy in the hope that prices will drop a little after the stamp duty holiday, or to buy now with no stamp duty but prices are artificially high - I am obsessed with right move and houses are being put on at the moment for loads more than normal - I guess people trying to cash in on the now stamp duty thing.

Prices go up and down and you can never predict with certainty what will happen in the future. The longer you wait, the more money you spend on rent and the shorter mortgage term you can get.

If you’ve got the deposit and jobs so you can get a mortgage, I’d just buy a long term home and enjoy the smaller monthly outgoings.

There are always people who wait and see what happens with the property market who never end up buying. Interest rates are low and there is no stamp duty. You’re also chain free which puts you in a very good position. Go for it.

I wouldn't wait

Whilst you can't predict the market I would wait.

Who is to say prices are artificially high now? It's supply and demand. Personally I wouldn't wait in the hope they would drop, people have been saying that for years.

Absolutely are artificially inflated now due to pent up demand after lockdown, the stamp duty holiday and people looking to change their living arrangements due to Covid. Personally, I would wait even just a few months to see what happens.

If you wait then you're giving money to your landlord. The market is always difficult to predict accurately but you are buying a home(s) not an investment. Look to see what is on the market (well first get a provisional mortgage offer, whatever they're called now) you might find somewhere you love. Where we live now nothing came on the market for years after this place (and oddly it's next door neighbour!).

If you're first time buyers in England you won't pay stamp duty anyway, but if the market stalls after the holiday you could find it difficult to find a house. Overall, I don't see a house as just an investment, heart comes first (head obviously factored in) I would be looking for homes now, but being patient for the right house. I wouldn't play games with it too much, get your finances in order, view houses, and if the right one comes along and you feel secure enough in your position, go for it.

When to buy? When you can. Nobody can predict the future and even if the prices fall, they will rise again a few years later. There are minor bumps and falls but if you look at the prices per decade they only rise...

For example: I bought my city flat (not london though) and it's price fell 15 k a year later. 7 years later I sold it with a 117k profit.

Just buy something that will last a while.

I'm buying in six months, FTB also. Looking on Rightmove I think the frenzied buying is starting to slow down, and more and more properties are being reduced. I don't think there will be a crash but hopefully a slight dip over the next 6 months

30k is tight . Assuming you wait until after SDH , how will you pay that ? Theirs also about 7-10k in fees to consider . With the amount you have . I would buy now and save on the stamp duty .

Who's to say £30,000 is tight without knowing what their overall budget is? If it's £150k for example £30,000 is enough for a 15% deposit and leaves plenty for solicitors fees which should be nearer £2000, not £7000. If they're both first time buyers they wouldn't pay stamp duty anyway.

That is very true . I'd still get in now tho .