How much are your monthly mortgage payments?
16 October 2007, 06:32 PM
#61
£0 per month mortgage,worked hard to get mortgage paid by our mid 30s.House worth about 160k in peak district.
Me and missus bring in £1800 quid a month give or take..
Good position to be in, but it still all seems to get spent at the end of the month!!
Me and missus bring in £1800 quid a month give or take..
Good position to be in, but it still all seems to get spent at the end of the month!!
16 October 2007, 07:24 PM
#63
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I will miss the view from my balcony though.
Last edited by paulg1979; 16 October 2007 at 07:31 PM. Reason: added pic
16 October 2007, 08:07 PM
#65
Our view aint bad either,tho not quite as grand
16 October 2007, 08:12 PM
#66
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I've been paying £1k a month for years now (Minimum payment is currently around £200) and my mortgage is down to around £20k. I'll have it paid before I'm 40 and 10 years earlier than it's completion date.
I also have an old endowment running that I never touched which should be worth around £40k in 8 years time.
Cheers
Lee
I also have an old endowment running that I never touched which should be worth around £40k in 8 years time.
Cheers
Lee
16 October 2007, 08:48 PM
#68
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I'd say you've obviously thought about it and worked out you can easliy afford it so go for it. Life's too short for what ifs!
16 October 2007, 11:11 PM
#69
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We bring home about £5k per month between us after tax, and morgage is about £1k on £1/2m house, mortage is £120k ish left.
Still skint after every month! :-)
Still skint after every month! :-)
Last edited by rb5_336; 16 October 2007 at 11:17 PM.
17 October 2007, 07:36 AM
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17 October 2007, 04:54 PM
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17 October 2007, 04:57 PM
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17 October 2007, 07:04 PM
#78
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You know full well you dont, unless off course theres a savings plan for the end of the term
Maybe, maybe not. The guy might be 18yr old earning a fair wedge (must be for paying that sort of monthly payment) and in 25 yrs time that sort of money will be peanuts IMO compared to todays prices.
Imagine 25 years ago taking a mortgage on a nice hefty house that was interest only for say... well I dont know £50k (must have bought something spectacular then, I cant say for sure cause I was only 3 ). Interest only, 25 years later you owe £50k. But whats the property worth?
Maybe, maybe not. The guy might be 18yr old earning a fair wedge (must be for paying that sort of monthly payment) and in 25 yrs time that sort of money will be peanuts IMO compared to todays prices.
Imagine 25 years ago taking a mortgage on a nice hefty house that was interest only for say... well I dont know £50k (must have bought something spectacular then, I cant say for sure cause I was only 3
). Interest only, 25 years later you owe £50k. But whats the property worth?
17 October 2007, 07:14 PM
#79
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You know full well you dont, unless off course theres a savings plan for the end of the term
Maybe, maybe not. The guy might be 18yr old earning a fair wedge (must be for paying that sort of monthly payment) and in 25 yrs time that sort of money will be peanuts IMO compared to todays prices.
Imagine 25 years ago taking a mortgage on a nice hefty house that was interest only for say... well I dont know £50k (must have bought something spectacular then, I cant say for sure cause I was only 3 ). Interest only, 25 years later you owe £50k. But whats the property worth?
Maybe, maybe not. The guy might be 18yr old earning a fair wedge (must be for paying that sort of monthly payment) and in 25 yrs time that sort of money will be peanuts IMO compared to todays prices.
Imagine 25 years ago taking a mortgage on a nice hefty house that was interest only for say... well I dont know £50k (must have bought something spectacular then, I cant say for sure cause I was only 3
). Interest only, 25 years later you owe £50k. But whats the property worth? It's something I can't get my head around. In that situation I would want to buy a cheaper property that I could pay some of the capital off and reduce the interest.
That's not to say it's wrong, just something I couldn't do.
Cheers
Lee
17 October 2007, 07:18 PM
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I suppose the problem is, finding a 'cheaper property' in todays market. If someone is taking a risk on 25yrs worth of inflation and they are confident they can cover payments then the bigger the profit they will have at the end of it all.
Off course it could go all wrong but I doubt it'll be making a loss in 25 years time.
Off course it could go all wrong but I doubt it'll be making a loss in 25 years time.
18 October 2007, 01:06 PM
#83
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I suppose the problem is, finding a 'cheaper property' in todays market. If someone is taking a risk on 25yrs worth of inflation and they are confident they can cover payments then the bigger the profit they will have at the end of it all.
Off course it could go all wrong but I doubt it'll be making a loss in 25 years time.
Off course it could go all wrong but I doubt it'll be making a loss in 25 years time.
Remember that in 10, 20 years time, £2300 will feel less and less, so paying off the capital will be easier and easier, plus the house will more worth 3 times as much and I'll downgrade to somewhere smaller anyway if I find that I haven't fully paid it off.
also, no one brags about owing over half a mill. But if you want to live somewhere nice in London you got to pay. I could buy a castle in a lot of scotland for the same as my house but no one will pay me the wage i need up there.
Last edited by Ted Maul; 18 October 2007 at 01:10 PM.
18 October 2007, 01:26 PM
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But if you did live up there would you need as much?
I was offered £20k more for a move near the M25 but take off 40% tax, pension, national insurance etc that leaves about £1k a month take home extra. With the increased mortgage and increased cost of living + travelling to see family etc I would have ended up worse off.
Cheers
Lee
I was offered £20k more for a move near the M25 but take off 40% tax, pension, national insurance etc that leaves about £1k a month take home extra. With the increased mortgage and increased cost of living + travelling to see family etc I would have ended up worse off.
Cheers
Lee
18 October 2007, 02:24 PM
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Ted, you do realise you're paying back...
420 x £2300 +£500k = £1.466m
Just as a comparison, a similar property in say Edinburgh on a 25yr repayment mortgage... (Typical 4bed detached, property value £300k)
300 x £1800 = £540k
Used Edinburgh as an example as last night it was voted the best place to live in the UK
You wouldn't need London wage up here You are probably better off earning 50k in edinburgh than you are £75k in London
I would have to at least double my salary in London to have the same quality of life i do now. That simply wouldn't happen, extra £15k max
You really are better off as a northener
420 x £2300 +£500k = £1.466m
Just as a comparison, a similar property in say Edinburgh on a 25yr repayment mortgage... (Typical 4bed detached, property value £300k)
300 x £1800 = £540k
Used Edinburgh as an example as last night it was voted the best place to live in the UK
You wouldn't need London wage up here
You are probably better off earning 50k in edinburgh than you are £75k in LondonI would have to at least double my salary in London to have the same quality of life i do now. That simply wouldn't happen, extra £15k max
You really are better off as a northener
Last edited by Mitchy260; 18 October 2007 at 03:00 PM.
18 October 2007, 02:50 PM
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without going into too much detail there are 2 main reasons why I wouldn't live anywhere else in the UK.
1. All my family and friends are in London and I grew up there.
2. My mortgage is around 25-30% of take home pay so if I was to move north and buy the same sized house but be paying half the mortgage I still would want the same amount of money per month left over after this mortgage payment, and so I would need an appropriate salary and the jobs that pay that even at the reduced level (with my skill set) do not exist in the north I'm afraid.
However the idea of retiring and selling up, then moving up north and maximising the differential is appealing, but point 1 would prevent it to be honest.
1. All my family and friends are in London and I grew up there.
2. My mortgage is around 25-30% of take home pay so if I was to move north and buy the same sized house but be paying half the mortgage I still would want the same amount of money per month left over after this mortgage payment, and so I would need an appropriate salary and the jobs that pay that even at the reduced level (with my skill set) do not exist in the north I'm afraid.
However the idea of retiring and selling up, then moving up north and maximising the differential is appealing, but point 1 would prevent it to be honest.
18 October 2007, 04:13 PM
#87
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Gaz,
£4000 - £1450 = £2550.
Say £550 a month on food and bills leaves us with £2000 - £140 for the fiancees car. £1860 Still left over for sweets. Well thats how its meant to be but i'm sure there will be a few extra costs in there.
I drink but don't smoke or gamble. How do you manage to pay so much each month on bills. My gas and electric is only £50 a month together?
£4000 - £1450 = £2550.
Say £550 a month on food and bills leaves us with £2000 - £140 for the fiancees car. £1860 Still left over for sweets. Well thats how its meant to be but i'm sure there will be a few extra costs in there.
I drink but don't smoke or gamble. How do you manage to pay so much each month on bills. My gas and electric is only £50 a month together?
Our bills are £1000 p/m, but £200 is for a vRS.
We don't have sky or fancy broadband either. £110 p/w food etc etcGet quite a few blackjacks & fruit salads with £1860
19 October 2007, 12:49 PM
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High flier, 150k pa
Still your situation doesn't make the best sense to me....
£2300 is 30% of your take home pay so quick calculation puts your take home at roughly £7650pm. Minus your mortgage payment = £5350 per month left over
May i ask why you have a 35yr interest only mortgage if this is the case
A 25yr repayment mortgage for £500k over 25 yrs is £3k per month (5.29%) compared to your 35 yrs at £2300per month interest only.
Interest only as you are now = £2300 x 420 + £500k = £1.466m
vs
Repayment over 25yrs = £3000 x 300 =£900k
Saving you over £1/2m in the long run Im sure you can afford the additional £700pm seeing your left over balance above
Just doesn't make financial sense to me that's all
Still your situation doesn't make the best sense to me....
£2300 is 30% of your take home pay so quick calculation puts your take home at roughly £7650pm. Minus your mortgage payment = £5350 per month left over
May i ask why you have a 35yr interest only mortgage if this is the case
A 25yr repayment mortgage for £500k over 25 yrs is £3k per month (5.29%) compared to your 35 yrs at £2300per month interest only.
Interest only as you are now = £2300 x 420 + £500k = £1.466m
vs
Repayment over 25yrs = £3000 x 300 =£900k
Saving you over £1/2m in the long run
Im sure you can afford the additional £700pm seeing your left over balance above Just doesn't make financial sense to me that's all
Last edited by Mitchy260; 19 October 2007 at 12:52 PM.
19 October 2007, 03:23 PM
#90
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All this house buying stuff is getting pathetic for us! my mrs and i have found out that basically for us it is pretty much impossible to buy (even a garage)
she earns more than me and also i have to travel to the other side of london every day from essex! (£3.5k per year) doesn't help!
plus we are only able to save a laughable amount so unless we somehow magic higher paying jobs we will always be chasing that magic deposit!
To be honest i think we are both under earners in the grand scheme of things.
she earns more than me and also i have to travel to the other side of london every day from essex! (£3.5k per year) doesn't help!
plus we are only able to save a laughable amount so unless we somehow magic higher paying jobs we will always be chasing that magic deposit!
To be honest i think we are both under earners in the grand scheme of things.
Last edited by petey; 19 October 2007 at 03:26 PM. Reason: just updating