Mortgages

B

Ben

Guest
Ok. So im currently considering moving out and im looking into renting but the idea of paying loads of money for rent with nothing at the end of it does not appeal, so my friend suggested a mortgage but i dont have the first clue about them so please do discuss. How much would a £120,000 k house cost on mortgage / month?? Can anyone get one? Is it reccomended? Also when renting, if you rent a fully furnished place for say £500/month do you still haveto pay gas/electric on top of that? Im so confused...

actually ive just had a quick breeze of some articles and it looks as if rent is the way forward
 
well, neither is an option for me...

i get payed £840 a month "before tax!!"

so about £715 after..... then 200 loan re-payment, £100 fuel, £100 food, £65 insurance..... then odd stuff....bout £200....

so i have £50 a month spare.....and that usualy goes on drink..

so i couldnt afford a mortgage or rent even if i tried...lol

but good luck dude..
 
oh man! can of worms!

I really suggest just going to the bank with mate, all the mortgage advisers i've worked with were really helpful and aren't just after the help for their bonus.
 
For a mortgage u will need at least 10% deposit of the amount u r borrowning, otherwise u will pay back stupid amounts. For a mortgage of 120,000 (which tbh u will b very lucky to get) u will prob pay around 600 - 700 a month. Don't forget on top of that u will need to pay council tax and gas/electric/water rates!!

For renting, u will need (normally) one months rent up front for deposit, plus a month in advance. U will still pay all bill's unless otherwise stated!!!!!

Good luck, it may seen a lot, but as far as i'm concerned, renting is money down the drain. These days paying a mortgage is around the same amount, but.....u need the deposit!!!!
 
Ben you'll only get mortgage for 120K on about 32K a year and that's a 100% mortgage. I know as I've a mate in London who's on that and after a place but has no chance as 120K doesn't go anywhere where he is.
 
my best mate is a mortgage advisor....ill get him to join to post what he thinks

why do you want your own place btw? liveng with little or free rent is awesome.

if i move out it will be in a run down flat in a town centre....cheap and easy
 
Ben, it also depends on where you rent. Most places you'll have to pay for utilities as for an unfurnished or furnished place.

Could look at getting a place in a student house, as the rent won't be too high. But you'll probably only get a reasonable flat for about £450-500 these days unless you want to share some place.
 
See if you can get a lodger wanting to rent whilst you ave the mortgage, makes it loads easier for you and pays your mortgage off
 
Here's a run down on yearly bills on average (this varies across the UK)

Council Tax £1000 per year
Water £150 - £200 per year
Gas £150 - £200 per year
Electricity £200 ish per year
Tv License - £125 per year

Total £1725 / 12 = £143 ish a month

Then you add your costs of either renting or mortgage.

Possibly examples could be

Rent = £500 a month so add your £143 = £643 per month

25 year Mortgage = £700 (£100,000 - £120,000) add £143 = £843 per month

Then of course you have to add on things like petrol, food, car insurance, any loans and credit card bills extra.

Trust me it soon adds up, really depends on how much you want your own space and freedom and if you have someone to share the bills with. Sam and I have moved in together for nearly a year now and things are tight but I never want to go back home after tasting what life is like in your own place.

Kev
 
Em's is right you need to be earning at least 30K a year to get a mortgage for 120K.

Me and my GF have been thinking of buying a house and we've found one for 122K. So i did a quote at work and it was gonna work out about £500 a month. Thats also with a 40K deposit though. So we are needing to borrow about 82K over 25years.

also ontop of the mortgage you have your one off costs as well which are about £1450-2000..stuff like Val fees, app fees etc etc so you need some cash for that to.
 
Ben said:
Ok. So im currently considering moving out and im looking into renting but the idea of paying loads of money for rent with nothing at the end of it does not appeal, so my friend suggested a mortgage but i dont have the first clue about them so please do discuss. How much would a £120,000 k house cost on mortgage / month?? Can anyone get one? Is it reccomended? Also when renting, if you rent a fully furnished place for say £500/month do you still haveto pay gas/electric on top of that? Im so confused...

actually ive just had a quick breeze of some articles and it looks as if rent is the way forward
Click to expand...

You wont get given a mortgage, especially being a student. Try if you want, but i doubt it.
 
Kev said:
Here's a run down on yearly bills on average (this varies across the UK)

Council Tax £1000 per year
Water £150 - £200 per year
Gas £150 - £200 per year
Electricity £200 ish per year
Tv License - £125 per year

Total £1725 / 12 = £143 ish a month

Then you add your costs of either renting or mortgage.

Possibly examples could be

Rent = £500 a month so add your £143 = £643 per month

25 year Mortgage = £700 (£100,000 - £120,000) add £143 = £843 per month

Then of course you have to add on things like petrol, food, car insurance, any loans and credit card bills extra.

Trust me it soon adds up, really depends on how much you want your own space and freedom and if you have someone to share the bills with. Sam and I have moved in together for nearly a year now and things are tight but I never want to go back home after tasting what life is like in your own place.

Kev
Click to expand...


all that for some of you own space...pfft. im glad i get on with my family :D
 
RIK said:
all that for some of you own space...pfft. im glad i get on with my family :D
Click to expand...

Yeah but it's not about that, it's getting ur own freedom!!!

I share a 3 bedroom flat with 2 others, we each pay £200 a month each n that covers rent, food, bills, well.....everything!!

And best of all I have 7 pubs, 1 nightclub, a kebab shop, 2 chinese's, an idian, pizza shop (n probably more) to choose from within a 2 minute walk!!!

Ahhh life is bliss!!! Plus free entertainment on friday nights, the occassional small fight out in the high street!!!

What more could u want?
 
ollie240585 said:
Freedom to do whatever u want, do what u want, when u want!!

Also the independence is great, doing stuff for yourself!!
Click to expand...

i do what i want when i want now.....lol its not like i sit in all day anyway,im allways out doing somthing

doing cleaning and d.i.y isnt my thing tbh....moving out is ghey,im staying here untill i get thrown out :D:D
 
RIK said:
i do what i want when i want now.....lol its not like i sit in all day anyway,im allways out doing somthing

doing cleaning and d.i.y isnt my thing tbh....moving out is ghey,im staying here untill i get thrown out :D:D
Click to expand...

Obviously some familys are different. You might have a perfect family home, where you can do what you want etc. Yet other people dont! I'm currrently living with my 2 sisters after both my parents moved out. but I plan to move out into a mates house sometime over the next couple months. It'll cost me about £300-£350 which will cover everything except for food.
 
Do you have a friend that you really trust that you could get a mortgage on a place with? Might be a way to get on the property ladder if you don't have enough income to do so on your own. Then, when you want to move on in a few years you should hopefully have a bit of equity to be able to afford somewhere on your own.

I can't believe you guys "oop North" can buy a house for £120k!! Down here you'd be lucky to get a 1 bedroom flat for that sort of money!
 
if you are serious about getting your own place its a much better idea to rent until you have a decent job with a decent wage coming in.
 
Layla said:
if you are serious about getting your own place its a much better idea to rent until you have a decent job with a decent wage coming in.
Click to expand...

I agree, also it gives u a taster of what you're in for,

IE, Incomings and outgoings, looking after yourself and all the other crappy stuff that cums with it!!
 
im living away from home when im at uni, and its rough stuff! i suppose it would be easier if you live either alone or with a partner, i was living with people i hadnt met before who i didnt really like.

atleast this year im with friends and next year ive graduated and can bum away at home again!
 
£120k would buy you a nice 3 bedroom house in the North. :s Not in a bad area either... but why would you need a 3 bedroom house for that price for your first house?? To me it sounds like you are just throwing money away. You are better off starting small and working your way up and if you wana share with a mate you can get a decent 2-3 bedroom house for about £70-£80k if you look in the right area, and even cheaper if you don't mind doing some work to it to make a profit. I think unless you have to move somewhere, then renting is a waste of money, and thats why I am living at home til I can afford a mortgage lol. :)
 

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