Flat in London or house in Colchester or elswhere like Kent?

[Poppie2023]

Hi all,

So my preference is to stay in London or outskirts but I can't afford to buy a house only a flat. And when I say London, more so Greater London. But often the saying is, that once you leave you can't afford to come back.

I'm thinking whether buying a flat in London (or outskirts) will give me more of a chance in the future to purchase a house close to, or whether I would just be in the same position. If not I am thinking of buying a house in Colchester, or certain parts of Kent (some would say not the nicer parts) due to affordability.

My preference for a house is really being the freeholder and having outside space for sole use (although I know some flats also have sole use of a garden).

My concern about flats is being a leaseholder as appose to a freeholder, the service charges, ground rent and some say is becoming more and more difficult to sell etc. But if I stand a better chance of later purchasing a house closer to London where my family and work is, then it might be worth it.

Has anyone done this? or have any advise to share please? I know we do not have a crystal ball so can't predict what's to come but just your thoughts and experiences.

I don't really think the ladder exists anymore. I know lots of people who had flats in London but have had to move out to get a house as house prices have leaped ahead. What is your budget and age?

No advice, but I was in a similar position at one point. I chose a house about an hour's commute from London. This was in the aftermath of the slump in prices in the early 1990's. Within a few years it became clear that moving back to London without downsizing again would have been difficult, if not impossible.

And yet...

I understand the concerns about a leasehold flat, and all else equal I would say go for a house if you can. Your quality of life may be better, with sole access to outside space, and usually fewer problems with noise. There's also the chance that you will be happy to remain outside of London as you get older. Personally I wouldn't want to go back now.

Do you have family, friends, work in London, Colchester or Kent? Age? Single? Family? If your work is in London, have you looked at the commuting costs from each location?
Do you have a car and can drive? I lived in a flat between zone 1-2 for 20yrs. Since moving out (1.5hrs away) I have never used public transport and rely solely on the car! I now WFH, but if I didn't, the commute would kill me!

Don't forget that each sale involved stamp duty, moving costs etc so not always economical or as east to leap frog up the ladder as it used to be.

What's your budget? Where do you need to work? Have you any connections to the area? Are you single/what age/goals in life?

I know that's a lot but I don't think anyone can advise without knowing the basics. We all know you get more square footage in cheaper areas, but how many other compromises you have to make for the extra space is the issue.

If you want to stay in London, I'd do that. You can always buy somewhere with a share of the freehold and low charges.

Decent flats aren't hard to sell.

Living in London is very different to Kent/Colchester. It's a hugely different lifestyle. What's most important to you - living in London or having a house?

If you share your budget and required number of bedrooms, you might get more help - it's possible there's somewhere in outer London that might work for you.

Living in London is very different to Kent/Colchester. It's a hugely different lifestyle. What's most important to you - living in London or having a house?

It really depends where you live in London

You could look at share of freehold flats to avoid leasehold, ground rent, service charge. But as pp have said budget matters. Ex council can often me much cheaper and bigger but need to check whether they'll have major works that you as leaseholder would be responsible for.

Depends on your life stage. If moving with family then I'd prefer a house. If it's just you then I would stay in London. The suburbs or smaller towns don't have as much going on if you live alone. I also think anywhere in London with good public transport holds its price and often appreciates more than a house outside. Location Location Location after all.

I would think you would be able to get somewhere closer to London than Colchester for the same price as a London flat, although of course that does depend on your budget. You could definitely buy a terraced two/ three bed somewhere like Brentwood or Chingford for the same price as a flat on the tube.

you need to decide your priority. if your family and work are in London, I don't see why you'd move to somewhere seemingly random like Colchester? Not all leasehold flats are bad, we had a council leasehold which was fine, reasonable charges. I don't think anyone will make much money on any property these days, unless they do significant renovations in which case you've had to spend money.

If you like London then I'd stay put.
Future career developments may help you increase to a house later albeit possibly less central but if you know you want to be there ultimately you will regret it.

We bought a flat in London as our first property, then moved to a house in London 11 years later. The leasehold was not too problematic, it was an extra bill to pay but then they kept the building and communal areas in good condition and in many ways it was nice not to have the extra responsibility which we now have as freeholders. We were in a building with a lift and for us that was certainly worth the maintenance cost (we had our 2 dcs while living in the flat and were on the 3rd floor). We didn't have a garden but we are the type of parents who'll take their dcs out to a Royal Park to play for hours so we were never at home to use a garden much.

We were 6 mins walk from the tube so selling was not too difficult, although in hindsight it didn't rise as much in price as a house would have. We moved up the ladder because we had other assets which increased in value, not so much because of the equity in our flat. We love living in London and are out in town every weekend, and have an easy walking commute to work which makes a huge difference to quality of life.

What's your budget. I've seen houses advertised in zone 5/4 for £375k nr train stations -25 mins to LB.