Buy bigger for school or pay off mortgage

[MuneebSaeed]

We are currently in a three bed semi bought in 2021 where me and my wife can pay off the remaining mortgage in 6 years by reducing term. But we also want to move to a better area with best school in leeds where we’d be able to get a mortgage for 27 years in same payment. Is it better to stay in current house or move now as the other areas prices get higher faster.

To give an idea, my house rose from 230k to 255k in last two years and the house we’re looking at went from 520k to 575k. We’ll have 15% deposit for other house if we move now after expenses and stamp duty.

27 years is a long time... but when the kids leave home, maybe you can downsize? I think I would move....

Do you have children already? When would you need to apply for schools? How old are you?

If you move, will it be a bigger house and therefore higher running costs?

I would probably move, but a lot will depend on the factors above.

My 5 year old is already in reception, will need to apply for second daughter in 2 years

Have you considered the uplift in council tax too?

There are a few good state schools in Leeds and 'the best school' is not necessarily the best for your child

Personally I'd rather keep the disposable income so you can pay for extra curriculars, music lessons, family holidays etc

It's not much fun being a teenager in a lower income bracket to your friends

I'd move for the best school (although I don't know Leeds, so make sure it is really the best and not just based on reputation). Education is so important and the house will be a good investment because prices will go up in a top catchment (especially with more parents opting for state over private).

If you will be applying for entry within the next year, you could consider selling and renting in catchment for a couple of years - long enough to get a place for your dcs, and then move to a cheaper place in the long term (but near enough to still attend the school). You'd have to crunch the numbers to see if it works out for you, but it's a common strategy in London where catchments are tiny and houses a few streets further away can be much cheaper, and stamp duty is significant.

I dont understand the mumsnet obsession with moving house and bankrupting ypureslf to be near " good" schools. You're in a great financial position and if you like where you live I'd stay put. Even the lowest school on a league table have pupils that achieve 8+ gcses incl maths and English

If the payments are the same and all other outgoings considered and affordable I'd definitely move. It's an investment.

That’s a big leap from £255 to £575. Is there nothing in between?

Who said bankrupt? It sounds like the term will increase but still affordable.
That's a very low bar and a lot of people care about their kids and their schooling where funding seems to have gone worse and worse over the year, education is very important for many people.

Depends on the school whether its "worth it". Sone are truly awful.

I would move house to get my kids into the best school possible and have done in the past.

The houses seem a lot more expensive but I look at it this way: you will get the money back when you eventually sell the house. Nice houses in great areas always sell well and good schools are always desirable.