Is this a really bad time to be buying a bigger house?

[Dancerinthedark01]

We've been dithering for years and have now reached a point where we need more space - pretty desperately - although we've got so used to managing small space that we could carry on for longer ...

We've got a buyer and found a house to buy. The whole process has started. But I can't help feeling that this is a really really bad time to be doing this.

The UK and world is on the edge of recession surely. Interest rates are about to go up. Inflation etc

I'm worried that we're forking out an extra £200,000 on top of the price of our house and a few months after we've done that everything will tumble down.

I’d go for the move with a fixed rate mortgage.

I think OP should move simply because she seems to really need the space and i think that outweighs any risks of interest rate rises...

But on another topic, is it easier to move to a bigger place when prices are falling or when prices are rising. Older members of my family (who have lived through the 1990s as adults) tell me that its always better to buy with falling prices (unless you are already in a big house). I have been faithfully trying to overpay my mortgage by 1k every month despite being extremely faraway from my next move in terms of finances cos I think prices might fall and that would shrink the difference even if I have to sell at a loss. That happened to my MIL (and my dad in a different country but he went through the Asian Financial Crisis which had a gigantic impact on house prices) but she is still living in the house she bought in the 1990s (and so is my father). Am i being silly or naive?

Older members of my family (who have lived through the 1990s as adults)

That made me lol

A family needs a family house - there will never be a good time financially, but if you wait too long your children will be leaving home to go to college/uni and will have missed out on space and garden when they needed it. I have known so many people do this - you need the space when you need the space, not at the optimal financial time.

It will be an investment, both financially and in your family's happiness.

I remember the first house we bought and the first mortgage we took out - we were shitting bricks at the cost of the mortgage. But we sold it for twice the price a few years down the line. We never regretted taking that plunge.

@Classica lol i was typing 'my family members who have lived through the 1990s' but that didn't seem right as I was born in 1992! Had no idea about house prices at age 5 though! But I remember walking through the huge house crawling with cockroaches that my dad bought in 1997 and tore down (bought it from an Indonesian businessman who was facing bankruptcy). And after we moved in, I wondered why our old house stood empty for an entire year cos it couldn't be sold. As for my DH in London at that time (who was 7 years old), he was overjoyed at not having to share a 1 bed flat with his 2 sisters and parents and he thought he moved into an actual palace!

2 bedrooms, B and G teenagers and you and your DH having to share with same sex DC; sounds like you definitely need to move, not maybe.

It appears that you may be panicking a bit over the increase in mortgage, but try and rationalise it by thinking about the benefits that you will get from doing so.

Also it sounds like you intend to be in the next house for at least 10 years, so you'll have increased your equity in the property substantially by then.

If you have a buyer and you've found a house you like, I'd say a bird in hand is worth two in the bush and I'd go for it if I were you. Just make sure to fix for as long as you can, ideally at least 5 years.

You can't second guess the market. All the so called experts said the property market would be in the serious doldrums when Brexit happened, then Covid and lockdown hit, then when stamp duty holiday ended, the furlough scheme - it may have slowed down a bit in some areas (as one would expect leading up to the holidays) but no one could say the market has stalled in the last 18 months!
If you need to move, move. The price you get for your house will be reflected on what you have to pay for the next one.

Honestly just move. Poor kids having to share bedrooms with their parents - what about their privacy?

I should move. A friend once said to me "it's never the right time to do anything" which really struck a chord...you just can't put your life on hold.

Thank you - all of you.

I'm such a worrier and never get anything done because I over think everything.

You've all helped me put my worries away on this one.

It's all going ahead anyway, but I was getting cold feet. They've warmed up now.

Glad to hear that OP - I am very sure you will not regret the move.

Unless your husband is a massive snorer

Waiting is a fools game OP. People who wait, generally regret it. House prices are going up, now down because supply cannot keep up with demand. Just yesterday, the largest house builders announced that will be build 150k fewer homes due to having fix cladding on blocks of flats. Less supply equals higher prices.

Unless your husband is a massive snorer grin

He is actually. I’ve really enjoyed the excuse to sleep separately and so sleep well for all these years. DS seems not to be bothered by it 🤣

Look up the 18 year property cycle OP. Apparently we are at the beginning of a boom phase which could play out for another 3 or 4 years. After which there is usually a crash. Though with how the last couple of years have played out....who knows!

You definitely need to move! Hope it all goes well OP.