FTB: Buy now or wait?

[FirstTim3Buyer]

Looking for some advice from you lovelies

DW and I are turning 30 soon, so expect to have our first child in the next couple of years. Been viewing properties since March, when the market was crazy and people were offering 10-30k over asking. At that time, as interest rates were lower, we were looking in the 280-300k price range.

Now, we saved up a deposit of 45k (18% LTV), and had an offer of 250k accepted (haggled to get 5k below asking) on a 3-bed semi.
Rates on a 5-year fix are 5.84% (but could rise again next week!) so our monthly payments would be £1200-1300 (for 30 or 25 years), which is affordable but a bit more than we’d like.

Our current rent is £875 monthly on a 1-bed flat, and would rise from January.
If we don’t buy and wait, we’re likely to move to a bigger flat, which could be £1000+ for rent

If we buy, I’m worried prices fall (though it’s a fairly popular area) and a house we like more comes on in the next few months. Also, if interest rates drop we would feel like we bought at the worst time.

If we don’t buy, and interest rates stay the same or rise next year, and supply drops (as less sellers are willing to sell at lower prices) I would wonder if we missed a chance.

DW is not completely sold on the house - she liked it on the first viewing, now thinks it’s “above average” i.e. good enough to live in, but didn’t have a particularly special feeling that it’s “the one”. The area is nice although a little far from the city centre (25min tram). It’s spacious enough inside, although instead of a back garden, there’s a paved patio area at 2 levels with steps down. I'm probably 70-80% happy with this house, if we go ahead I'd think we'd stay at least 5 years to ride out any price drops, but not looking to stay there very long-term.

We bought our first house at younger than you and were perfectly fit and healthy. Two years later when my husband was diagnosed with with a serious life long illness we were very grateful for the critical illness cover. Insurance is always a waste of money until you need it- but if you wait till you need it it's too late. I'm an exceptionally risk averse person anyway but more so as a result of my experiences.

I really like the house and i think you have to make the decision on what is right for you and your family, not what the markets might or might not do, you could wait a year and prices might be lower, but you have spent another year paying rent and possibly even had to move in that time. If you buy a house that will last you for a good few years you should be able to ride out some bumps in the road.

If you can afford the critical illness insurance, do it. As PP said you just never know what’s around the corner. I never dreamed I would by diagnosed with Multiple Sclerosis, came totally out of the blue. Policy paid out very quickly.