In despair!

[MandalaYogaTapestry]

OK I know we are in South East but is it really unreasonable to expect that 700K would get you a 3-bed detached with a decent garden and dining area? Apparently not. Have been looking for a month, houses within the budget are either the same-ish floor area than ours (96 sq m) so not much point in moving. Or require more work and more money.

Only two months ago, if I look at SSTC prices, it was very possible. Have the prices exploded?

We have just missed out on a good house because even our upper limit was not enough and someone offered more. I am looking at a 400K+ mortgage at 41 as it is...

There was an article in the FT about how the idea of the property ladder doesn't really exist nowadays because the entry level on the ladder is so high, FTBs are older & it's much harder to build equity.

You are absolutely right about £400k being a huge mortgage at 41.

I think it's perfectly normal amongst my peers.

We moved out of catchment as soon as youngest was in the school. Ok I have to take them every day or they get a bus but we got a much bigger house for the same money with character Needs work but we are living in it as we do it.

whenwill that sounds nice. 🙂 I love houses with character. There are plenty of those around, so we may well do the same eventually.

urghhh I have no idea how much my peers are paying for their mortgage. I suspect most of them bought younger so paid less and have built up more equity since. Most definitely earn less than me (an assumption based on their jobs).

It depends where you live in the south east.
I lived in Seaford east sussex and had a beautiful house on the south downs with amazing views and lovely walks on the doorstep, it was a semi detached with a 100 foot garden, parking for 2 cars on the drive and unlimited on street, three bedrooms, downstairs loo, big kitchen, separate dining and living rooms and two woodburners and that was sold for £300 k. I downsized cross country last year.

@urghhhh

There was an article in the FT about how the idea of the property ladder doesn't really exist nowadays because the entry level on the ladder is so high, FTBs are older & it's much harder to build equity.

Of course, it s a Ponzi that stops once there aren’t any new entrants to sustain the scheme by taking larger and larger debt (made possible by low interest rate). That’s why the government introduced so many measures to incentivise FTB to jump on the property wagon. The day interest rate comes back up is when the burden of this debt will become impossible to support for the latest joiners.

@MandalaYogaTapestry I know what mortgages my friends have, most of us are late 30s though. Some have taken on ones much bigger eg 600k. Banks will lend 5.5 or 6 times to higher earners/certain professions or at least pre covid.

@Raifa I agree, low mortgage rates & 30 yr mortgages, help to buy etc have inflated things & we are kinda of trapped in it now.

I can see why you might want to move, but equally I think it is a bit of a Surrey/ SE thing where a house is such a status symbol. I would also much prefer to be mortgage free/ low mortgage and it seems a bit odd to buy a new place now when in a couple of years (when you don’t need so much space/ to be close to school) you will have so many more options. Also you say a mortgage will be affordable as well as uni fees, but are you 100% sure your jobs are safe? What if one of you were to need to take time off for illness or suddenly needed/ wanted to change career? I would value the financial security you have now much more. In the nicest way, I think you have lived in Surrey too long!

I sort of even feel resentful that our buyers are getting our lovely house at much lower price when I will be paying 80% more in mortgage payments, for 25 years, for something that's not drastically different

From everything you've said, I think you are out of your minds to consider moving. Getting a new huge mortgage at your age, in the current climate, and all because you want to be able to say you don't live in an ex-council house....I honestly think you have lost it..

If I was you I would spend a bit of money making my current house nicer, live there another 20 years, and then downsize on retirement to some pretty, small, non-ex-council place then.