Mortgages

The base price of the mortgage doesn't include things like closing costs, insurance, maintenance, and taxes. You also have to worry about interest rate risk and declines in the housing market.

>>1922538
Is there an easy way to estimate those sorts of costs? I just think it seems preferable because when you move away from a rental accommodation you will always get nothing back, whereas when you move away from a place you've been paying a mortgage on you'll get at least some of what you've been putting in, and could even be looking at a large return on your investment, depending on how things play out.

>>1922581
>Is there an easy way to estimate those sorts of costs?
Sure, just look up what they are for your area. For maintenance, usually a newer house will require less than an older house.
>I just think it seems preferable because when you move away from a rental accommodation you will always get nothing back
This is correct.
>whereas when you move away from a place you've been paying a mortgage on you'll get at least some of what you've been putting in
Not necessarily.
>could even be looking at a large return on your investment
You could, but you could also be looking at spending more money than renting would have cost you.

>>1922589
>You could, but you could also be looking at spending more money than renting would have cost you

What series of events would have to transpire for that to happen? This is assuming your mortgage is roughly equal to or not that much more than you'd spend on rent.

>>1922597
The additional costs associated with buying, owning, and selling a house. I can't speak for London, but in the U.S. the (very general) rule of thumb is owning for 5 years for the numbers to start working out.

>>1922603
So if prices stay the same, as long as you live in the house longer than 5 years you'll break even on the cost of selling it? Where I live (Manchester) Lots of people buy since renting is about 20% more expensive a month than a mortgage.

>>1922717
Again, it's just a general rule of thumb. You have to actually run the numbers yourself for your own particular situation.

>>1922532
Banks will be very unlikely to lend you more than 4-4.5x salary. So combined you'd be looking around 300k that you could borrow.

For a 450k place you'd need a 150k deposit. Just fyi.

>>1922815
Since when do Banks need a 30% deposit for a house?

>>1922815
A 20% down payment is usually all you need to avoid mortgage insurance.

>>1922532
london real estate is gonna pop
> believe me

>>1922882
I could see that happening too, but what would that actually mean for buyers? You might not get as good a return as you would have ten years ago, but you'd still get something right?

>>1922882
>s-soon!
>T-trust me, I know these things!
>it cant keep going up! r-right?

Get real. Demand has outstripped supply for like a decade, and it's still getting worse. It's one of the least likely places to pop

>>1922532

As a fellow Londonfag yes it makes sense, however for 450k you can get yourself a house. I have done the same thing except I have moved further away from central london to buy a house.

Keep in mind, ground rent and service charge can be quite high on flats and keep an eye out for how many years are left on the lease, banks don't give mortgages on leases lower than 90 years

>>1922931
This.

Leasehold flats can fuck you over if the freeholder is a cunt.

https://www.google.co.uk/url?sa=t&rct=j&q=&esrc=s&source=web&cd=1&cad=rja&uact=8&ved=0ahUKEwisoOq9y7jSAhXGBcAKHVWzAT0QFggfMAA&url=https%3A%2F%2Fwww.ft.com%2Fcontent%2F8148fc96-501f-11e6-8172-e39ecd3b86fc&usg=AFQjCNEIo4TMLDMO7eY2mdPoCOh_J37ktw&sig2=XFtycJzH7hIVafCa6OogeQ

>>1922931
Whereabouts did you move out to? Lots of the commuter towns look shit to me. That said, areas such as Tooting, Greenwich and Dulwich look ok.

>>1922959
Can you explain a bit more what a leasehold flat is? Sorry for retardation.