rent for a while or try and buy now

J

jmsm

Registered User
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Hi all I would really appreciate some opinions please
We have just sold our house - at 140K lower than the starting asking price Nov 08!!! We were sale agreed but that sale has fallen through because of structural issues which the vendors can't seem to sort out.
We now have to rent and I am very upset about this - very gut emotional reaction but having owned my own house for 8 years i just find it upsetting
We have mortgage approval but I don't believe that we will be approved for the same amount if the bank reviews our situation

So I feel that we are under pressure to buy some house now - because the approval will run out and because i (rightly or wrongly) don't like renting

is this a bad idea - would we be better off just waiting for a while seeing what happens
 
if you buy now at a low price, have you really lost the 140k above? Many peoples houses increased in value and have subsequently decreased but as such have not lost/gained. Why not shop around and offer low price and see how it goes
 
Hi there
Thanks a million for your reply. I knew I wasn't being very clear when I was typing - I am happy enough with the price for selling our house. I don't believe we have lost money at all. I was laughing at the estate Agent when the house was put on for the 310K

Anyway the query again is - should we rent for a while and see what happens or should we try and buy any house we can immediately as we have an approval (which i totally understand may not translate to an actual mortgage)

Believe it or not we are actually finding it difficult to find a house we like - we are in Cork
I don't believe there are that many houses for sale (well not the type I am looking for) and we have made a good few offers - on the low side and have been refused and have walked away but now we are in the position where we have no house of our own.

But I am very upset at the idea of renting - very illogically I know but it just doesn't feel right

Anyway thanks again for the reply
 
My gut feeling would be to wait until you find a house that you like, not much point in buying just because you don't like renting. When you spend your hard earned cash it needs to be on something that you love, if not you will only end up trying to sell again and maybe next time around end up losing money.
 
Renting is not the end of the world. I have been renting for the last 4 years in a place i love and feel very comfortable. Started renting because i could not justify spending in excess of €340k for a three bed semi.

Ok so i have spent approx €30k on rent but when you compare that against a house that i am now interested in which is over €100k under the original asking price it means that i have saved €70k.

I also claim tax back on my rent which equates to about €300 a year.

I agree with the other posters, no point buying a house just for the sake of it and remember that because the government bailed out the banks there are under obligation to lend money to the likes of you and me even if you find a house you love 12 months time.
 
jmsm said:
We have mortgage approval but I don't believe that we will be approved for the same amount if the bank reviews our situation

So I feel that we are under pressure to buy some house now - because the approval will run out
Click to expand...

The problems from the property crash are not to do with the fact prices have collapsed.
It's to do with the fact people borrowed more than they could afford.
You want to take on this huge debt because the banks will give it to you now, but not in the future as they don't think you will be able to afford it.
For once I'd say trust the banks and don't buy a house take on debt you can't afford.
 
If in your shoes...I would hold on and find the house of your dreams. Note budget on way so no idea as to what stamp duty will change or not. Best though to pick the ideal house and move into that rather than having regrets. You should also take into account your work situation. If let go then in the rented position it is easier to move on
 
hi again everyone
thanks again for the replies. started to move to the rented place today so finally getting my head round the whole thing!!

still haven't found a house we think we would like to buy so we will renting for a while anyway
 
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