Reply to: Is buying residential property now unwise?

[WTFH]

You forgot the sex den

I was only talking about the bedrooms...

[MrMarkyMark]

One for Contractor+partner, one for a child and one to be converted to an office for WFH.

You forgot the sex den

[WTFH]

What would a young contractor need 3 bedrooms..

One for Contractor+partner, one for a child and one to be converted to an office for WFH.


Contractor will most likely want somewhere with car parking (not all contracts are commutable by public transport)

[northernladuk]

Sweet.

Anyways mate ignore much about rate and house prices. My main point was to not assume you be contractor for life hehe.

I could myself get a half a million quid yard with what I earn on my own but I rather not blow it all on it!

I only earn around 10k
But my income is massive

[MrMarkyMark]

I totally agree with you, with regards to, not overstretching yourself, which was the point you were trying to make.

[jonneymendoza]

Sometimes

Sweet.

Anyways mate ignore much about rate and house prices. My main point was to not assume you be contractor for life hehe.

I could myself get a half a million quid yard with what I earn on my own but I rather not blow it all on it!

[MrMarkyMark]

LOL are you a software developer?

Sometimes

[jonneymendoza]

Quite a few from your search, in any decent area, are shared ownership.

So a load of carp basically.



Not on shared ownership he won't.



Wouldn't get out of bed for it, that was my rate 15 years ago, now

LOL are you a software developer?

[jonneymendoza]

Quite a few from your search, in any decent area, are shared ownership.

So a load of carp basically.



Not on shared ownership he won't.

Filter it out and you will see there's a few. That's just one part of London. Not even checked south or west.

[MrMarkyMark]

yea man nowhere:

Quite a few from your search, in any decent area, are shared ownership.

So a load of carp basically.

sell up for a profit and let him go buy that half a million 3 bedroom yard.

Not on shared ownership he won't.

You also can't assume that you will be earning 400pd for the next 10 years.

Wouldn't get out of bed for it, that was my rate 15 years ago, now

[MrWebDev]

I looked at what you queried. Changed it to 3 bedroom house. Several options were boats. Even more were "Over 60s lifetime lease", so not exactly an option for a young contractor.


Property for sale in Untitled (Drawn Area) - Flats & Houses for sale in Untitled (Drawn Area)

I second that. Once you take off the shared equity and non-retirement properties, I think I counted 8 flats and 3 houses.

[jonneymendoza]

Half a million doesn't buy much of a 3 bed house in the south east these days, so in 5-7 years time, it's unlikely that it will buy a big house.


(this is why interest only mortgages are a waste - you might be saving on the repayments, but when you come to sell the house in 25 years time, the equity on it will only be enough to buy a considerably smaller house than the one you are currently in. Short term savings <> long term benefits.

You also can't assume that you will be earning 400pd for the next 10 years. Contracting is a risky business and you shouldn't plan your finances and way of living thinking you be earning that amount for the rest of your life. That's my point.

[jonneymendoza]

I looked at what you queried. Changed it to 3 bedroom house. Several options were boats. Even more were "Over 60s lifetime lease", so not exactly an option for a young contractor.


Property for sale in Untitled (Drawn Area) - Flats & Houses for sale in Untitled (Drawn Area)

What would a young contractor need 3 bedrooms..

[WTFH]

yea man nowhere:

Property for sale in Untitled (Drawn Area) - Flats & Houses for sale in Untitled (Drawn Area)

Took me to seconds to find a large list of properties in just north/east london.

I looked at what you queried. Changed it to 3 bedroom house. Several options were boats. Even more were "Over 60s lifetime lease", so not exactly an option for a young contractor.


Property for sale in Untitled (Drawn Area) - Flats & Houses for sale in Untitled (Drawn Area)

[WTFH]

I recommend the OP gets a 200/250k max flat, pay that off in 5-7 years(assuming his still in the contract game and sell up for a profit and let him go buy that half a million 3 bedroom yard.

Half a million doesn't buy much of a 3 bed house in the south east these days, so in 5-7 years time, it's unlikely that it will buy a big house.


(this is why interest only mortgages are a waste - you might be saving on the repayments, but when you come to sell the house in 25 years time, the equity on it will only be enough to buy a considerably smaller house than the one you are currently in. Short term savings <> long term benefits.