Are we crazy to double our mortgage!

[onthefence23]

We need to move, schools are bad in our catchment and we live next to a couple experiencing DV.
The emotional strain of hearing shouting and banging as a DV survivor is terrible.

We have enough equity and savings to upsize to somewhere we would never have to move again but it is still a bigger mortgage!

One DD and can't have any more kids.

Both in secure jobs, after tax/pension/student loan etc I bring home 2300 and DH approx 4500

New mortgage would be 1020

Nursery is 680 (with tax free childcare)
Utilities 400
Cars 400
Fun (gym/tv etc) 120
Charity dd 50
Shopping (food and toiletries etc) 450

On paper it looks fine but I'm having a wobble as current mortgage is 400 on our small starter home

Ratio of deposit/mortgage is 40/60

I appreciate we're lucky to be considering upsizing at all but feeling a bit nervous at the state of the world

Sounds doable to me. We've just doubled our mortgage and it does feel daunting at first, but we're 4 months in now, still saving a fair bit each month, and it's been comfortably affordable so far. Mortgage is about £1350 a month and we are on a little less than you in terms of household income and similar ages.

I'd go for it if I were you and was confident about future job security etc. We moved away from our small starter home, which we had outgrown and which had similar neighbour issues. I am so, so happy in our new home, it's wonderful and so worth the extra money. We won't be going on any big, extravagant holidays any time soon, but now I'm finally living somewhere that I'm really happy I couldn't care less about going away - I have everything I need here.

@onthefence23 yeah, abuse/trauma/general shit in childhood will really affect you for life. It's crap, but also can have some positive aspects, like being careful with money & having a buffer.

You DO deserve it, you've worked hard to get where you're at now.

🌷

Firstly, are those numbers right?

Your partner’s pre tax income is around £90k pa based on what you’ve said. They could easily afford a £1k mortgage on their own so I’m surprised you’re concerned about affordability (assuming the figures you’ve given are right).

A reasonable test here is to try an avoid paying more than 1/3 of post tax income on the mortgage. Clearly you’re well below that so I wouldn’t worry.

A bigger question really is what you’re doing with your spare income - paying off mortgage quicker, pensions etc. If you aren’t already then I’d be considering clearing any remaining student loans just for simplicity (again, hard to see how this hasn’t happened already if your numbers are right).

Out of interest, your childcare seems remarkably cheap. Is that full time nursery?