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What would you do?
Buy a house in an area you don't like for the sake of getting onto the property ladder. Or...
Rent somewhere a bit nicer until you can afford a bigger mortgage and buy somewhere you would be happy.
I have a 10% deposit saved up at the moment for a mortgage of around £80,000, which in Liverpool will only get you a house somewhere dodgy. I'm worried I'd buy somewhere and end up stuck there.
I'm 21 and graduate from university in the summer. Would it be better waiting for a few years until I can hopefully get a better job which will allow me to afford a bigger mortgage?
Rent somewhere a bit nicer until you can afford a bigger mortgage and buy somewhere you would be happy.
I have a 10% deposit saved up at the moment for a mortgage of around £80,000, which in Liverpool will only get you a house somewhere dodgy. I'm worried I'd buy somewhere and end up stuck there.
I'm 21 and graduate from university in the summer. Would it be better waiting for a few years until I can hopefully get a better job which will allow me to afford a bigger mortgage?
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Can you continue to save each month while renting? If so, I think I'd do that and continue saving towards a deposit on a property I actually liked in a decent area.
I wouldn't want to own/live in a dodgy area just for the sake of getting a foot on the property ladder.
That's just what I'd do though - I'm not any kind of expert, and I'll be interested to hear what other people think.
1. Your job might be at the other end of the country or in another country
2. Once you have a job, you'll be able borrow more money than you currently can, as a student.
Two of my kids have had to move down in area a such to get on the property market.
Thing is, where they have moved to is all getting full of people like them who are doing the same.
That area is now becoming known as an up and coming area, if you get what I mean.
I would not wait personally.
If you are in that positions to go for it this year, go for it I say.
Edit....hang on, what does dodgy mean?
This sounds like a bad economy.... However, had I been renting for 5 years, the same house would have cost me about 24,000 - all of which would have paid someone else's mortgage, rather than my own. It depends, as other posters have said, whether you are likely to need to move away for a job in your field, and how long you would have available if you needed to sell (as in certain areas houses can take months and months).
No I dont have a graduate job offer, but I work part time and have a combined income with my fiance that can afford us an ~£80,000 mortgage. Should have included this in the original post sorry.
Thanks for the posts so far guys.
Lots of anti-social behaviour, drug crime, drug users hanging around the streets, gangs, high streets mainly consisting off payday loan companies, the road i live on now constantly smells of weed... i could go on.
Well ignore me then before.
Do not do it.
It could be years until I have a a decent full time job though. I'm constantly having it drilled into me that its gonna be hard to get a job once i graduate, being told there's hardly any jobs etc. Apparently degrees are waste of time nowadays according to a lot of people. I'm trying not to believe it all until I experience it for myself though, but it is a worry that I wont have a job for a while.
We bought the cheapest flat in an area we could tolerate, with the small mortgage payments, we were able to save up a huge deposit over the years and have now skipped a rung directly to our dream place in the country. The timing was right for us though, we were lucky enough to get a really good deal on the current place due to the recession.
Absolutely no regrets.
Was it a dodgy area like the OP has just described a few post up though?
My kids moved down in areas, but not to anywhere like he has just described.
That's my end goal, a house in the country.
No , she has left UNI , you are right , her degree , sadly was useless .It didn't open one door for her and boy did she try and try .Sorry , but just being honest .She has enough money - just like you ! to buy a very cheap end of the market house with all the associated problems ) crime, theft , drugs ,not feeling safe etc .They looked at a few houses , but they have decided to wait until they can afford a better area .There is no predicting how the market will go and no guarantee that she will land a better job than the one she has got, which isn't great . So, they plan to save all they can and aim higher .
We bought a big house in a bad area of Liverpool when we started out - OMG , lesson learned .We sold it within ten months at a loss , as we just had to get out for our sanity .We bought a much smaller one in a much better area , and we were so much happier .It truly is location, location, location. If you don't want drunks, spliffs, broken glass , neighbours fighting , theft - wait .Owning that kind of home isn't worth the hassle .
Best of luck
B.x
And me!
Thanks for the post. What are did you end up n if you don't mind me asking? The type of area we can afford at the moment is wavertree/old swan/kensington which I'm sure you will know are pretty dire.
So then, we had to beg, borrow and throw ourselves on the mercy of our aging parents .Fortunately for us, but very unfortunately for them , my hubby's dad passed away and left enough money to enable us to move to Ormskirk . The house didn't have 2 loos or 4 bedrooms , but it was safe ,and surrounded by green grass, the schools were good and the crime was non existent .
My daughter lives in a rented flat at the mo in Aigburth .It's not too bad an area to stay and save in , and her rent is quite reasonable . She is like you , dreams of moving out to the country at some point , but she never dreamt the jobs market was going to be so hard to crack. Good luck
My brother bought a house in a bad area nearly seven years ago, and he's still there. The house hasn't improved in value.
I am more optimistic than some about your work position though - if you currently have a job, and have worked through uni, you'll be a more attractive prospect than many graduates.
Spot on, our income is £23k. Also have £9000 saved up. I think this thread has helped me realise now that renting for a bit and saving more money is the best way for now. Thanks for your advice
I'd probably go somewhere in between.
If you are going to be living there then you can't be living somewhere that you're afraid to step outside the door. But on the other hand... happy ? Well most folks don't find that straight away. You need to work up to that, unless you are very very VERY lucky
Sorry I wasn't very clear, by happy I meant just somewhere half-decent that is a bit better than what we could afford now