We're house hunting and market as like everywhere else is crackers. Currently considering borrowing more and really stretching ourselves. House we're looking at is in ok condition but would need work and our budget would be tight. We have three children with the eldest being 14 so university costs would arise in the next 5 years. At the moment our mortgage is just 18% of our household income. New potential house would be 25%. Council tax is an extra £100 a month. It would cost more to heat etc. At the moment we overpay our mortgage, save a lot, pay additional into our pension. In the new house we wouldn't be able to afford that. Not sure if we're being a bit mad considering it.