What would you do - buy or continue renting in London?

[whatwouldyoudo5628]

Need some opinions to help me think!

What would you do:

1: Continue to rent in London for next 2 years in our current 2bed for about £1550 pm now, likely to increase in Dec but likely not higher than £1800 pm, saving aggressively

2: Buy something for around £500K, would be about £2600 pm, using all savings + family help, 90% LTV mortgage, maxed out monthly budget (less saving)

Things to note:

• monthly family income of £6,300, should increase in next few years as early in careers
• both in early 30s, one child and hopefully one more in the next 2 years
• this is London if that matters

Monthly income is take home, hope that helps x

Depends on your savings, life stage and would you be buying in London?

Given house prices right now going down, rents going up if I had a deposit I'd be looking with a few to buying in the winter 2024.

Could you get an interest only mortgage?

Yes, would stay in London. Likely buying in Finchely or Barnet. You mean this winter or a year from now?

I haven't looked into interest only mortgages - are they financially a good idea?