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DimPrawn
2nd March 2011, 14:00
Buying a house is cheaper than renting - Yahoo! UK & Ireland Finance (http://uk.finance.yahoo.com/news/Buying-house-cheaper-renting-tele-1246359618.html?x=0)

It was 38pc cheaper to buy a typically first-time buyer home than to rent one in Walsall, while typical rents were 35pc higher than mortgage payments on a two-bedroom home in Birmingham, based on an interest rate of 5pc.


Will he ever learn?

Ignis Fatuus
2nd March 2011, 14:11
Buying a house is cheaper than renting - Yahoo! UK & Ireland Finance (http://uk.finance.yahoo.com/news/Buying-house-cheaper-renting-tele-1246359618.html?x=0)

It was 38pc cheaper to buy a typically first-time buyer home than to rent one in Walsall, while typical rents were 35pc higher than mortgage payments on a two-bedroom home in Birmingham, based on an interest rate of 5pc.


Will he ever learn?"... according to property website Zoopla.co.uk." Unbiased source, then.

Oh, and it compares rentals to interest-only mortgages, without taking into account any other costs of owning vs renting.

Kanye
2nd March 2011, 14:28
"... according to property website Zoopla.co.uk." Unbiased source, then.

Oh, and it compares rentals to interest-only mortgages, without taking into account any other costs of owning vs renting.

In the longest period of unchanged low interest rates since the 1930s....

2BIT
2nd March 2011, 14:50
to me its a no-brainer I rented for years and since buying my flat have had the same outgoings and I'm not on an interest only so it was either pay someone elses mortgage or pay my own. plus the other thing about renting is if you get evicted it is almost impossible to get your deposit back before you're required to put a deposit down for a new place so you need ready capital which can be over a grand

from a purely financial point of view (at least where I live) renting is lunacy (I did it for 8 years!)

Ignis Fatuus
2nd March 2011, 14:57
to me its a no-brainer I rented for years and since buying my flat have had the same outgoings and I'm not on an interest only so it was either pay someone elses mortgage or pay my own. plus the other thing about renting is if you get evicted it is almost impossible to get your deposit back before you're required to put a deposit down for a new place so you need ready capital which can be over a grand

from a purely financial point of view (at least where I live) renting is lunacy (I did it for 8 years!)In your situation it looks like a good deal. In mine it does not.

I own (on a mortgage), but for non-monetary reasons, not because I thought it was a good deal. I paid 20% deposit and then have to pay over twice the equivalent rental amount in mortgage. Admittedly if I could find a lender to give me a good rate on a 100% mortgage lasting until I'm 85 then it would be better!

Ignis Fatuus
2nd March 2011, 15:01
In the longest period of unchanged low interest rates since the 1930s....That is already part of the given calculation, not an additional point as I was making.

Kanye
2nd March 2011, 15:13
That is already part of the given calculation, not an additional point as I was making.

My point was it's not a fair comparison. Buying on interest only might look cheap now, but increase interest rates by 1 or 2 points and the picture is very different.

SueEllen
2nd March 2011, 15:21
"... according to property website Zoopla.co.uk." Unbiased source, then.

Oh, and it compares rentals to interest-only mortgages, without taking into account any other costs of owning vs renting.
Particularly the cost of moving from one end of the country or to a foreign country which does happen.

OwlHoot
2nd March 2011, 15:48
Buying a house is cheaper than renting - Yahoo! UK & Ireland Finance (http://uk.finance.yahoo.com/news/Buying-house-cheaper-renting-tele-1246359618.html?x=0)

It was 38pc cheaper to buy a typically first-time buyer home than to rent one in Walsall, while typical rents were 35pc higher than mortgage payments on a two-bedroom home in Birmingham, based on an interest rate of 5pc.

Will he ever learn?

We have about 800 years' experience of purchasing property in this country. So with say 100 regulars, CUK collectively has about 80,000 years' experience.

And yet AtW, with his paltry 10 years experience, if that, spurns all our sage advice. :eyes

So in short the answer is, no.

Ignis Fatuus
2nd March 2011, 15:48
My point was it's not a fair comparison. Buying on interest only might look cheap now, but increase interest rates by 1 or 2 points and the picture is very different.Ah, yes, sorry didn't get it. Good point.

AtW
2nd March 2011, 15:53
And yet AtW, with his paltry 10 years experience, if that, spurns all our sage advice. :eyes

There is more sage in my roast chicken stuffing than in this thread.

Got advance notice of landlord visit "to check flat for insurance purposes", nicely put - guess buying a house has got some advantage :eyes

I still got no sofa - will just have to say I bought it in DFS last year :mad

DimPrawn
2nd March 2011, 15:55
There is more sage in my roast chicken stuffing than in this thread.

Got advance notice of landlord visit "to check flat for insurance purposes", nicely put - guess buying a house has got some advantage :eyes

I still got no sofa - will just have to say I bought it in DFS last year :mad

Please stand up straight and salute as he enters the flat.

Will he go round with a white glove looking for stains?

Churchill
2nd March 2011, 15:57
Please stand up straight and salute as he enters the flat.

Will he go round with an ultra-violet lamp looking for stains?

FTFY.

AtW
2nd March 2011, 16:07
Please stand up straight and salute as he enters the flat.

Jawohl, Lord Helmet.

2BIT
2nd March 2011, 16:11
There is more sage in my roast chicken stuffing than in this thread.

Got advance notice of landlord visit "to check flat for insurance purposes", nicely put - guess buying a house has got some advantage :eyes

I still got no sofa - will just have to say I bought it in DFS last year :mad

whilst trying not to get embroiled in the dimprawn/atw debate I would say that one advantage of having your own house is not having these landlord visits - it's very inconvenient to have to tidy up once every six months because you have an inspection :D

certainly where I live renting is a mugs game

DimPrawn
2nd March 2011, 16:19
How about this?

10 bedroom house for sale in Somerset Road, Edgbaston, Birmingham, West Midlands, B15 (http://www.rightmove.co.uk/property-for-sale/property-31436471.html)

Plenty of room for a sofa and a box of squirrels there.

AtW
2nd March 2011, 16:24
How about this?

10 bedroom house for sale in Somerset Road, Edgbaston, Birmingham, West Midlands, B15 (http://www.rightmove.co.uk/property-for-sale/property-31436471.html)

Plenty of room for a sofa and a box of squirrels there.

"Grade 2* Listed"

No thanks...

DimPrawn
2nd March 2011, 16:25
"Grade 2* Listed"

No thanks...

Can be a problem when you want to put a helicopter pad on the roof, I know.