should i keep my car, upgrade, or downgrade?
Discussion
Troubleatmill said:
The rules for the normal man.
1. Over the last 100+ years the trend on house prices have gone up. Some up's and down's but the trend is clear.
2. Unless you stumble across a gem, car prices do one way. Down.
3. Blokes tend to think. Hmm.. I'd rather have a nicer car
4. Man up. Get the cheapest reliable shed you can. And get a better house.
5. You will spend about 1-2 hours a day in your car. But about 12-15+ hours a day in your house.
6. You have asked on a car forum. Ask the same question on a house forum and report back.
Think that all depends on what car you choose - my cars have gone up more than my house in the last few years I would say. Pick a modern classic and look after it :0)1. Over the last 100+ years the trend on house prices have gone up. Some up's and down's but the trend is clear.
2. Unless you stumble across a gem, car prices do one way. Down.
3. Blokes tend to think. Hmm.. I'd rather have a nicer car
4. Man up. Get the cheapest reliable shed you can. And get a better house.
5. You will spend about 1-2 hours a day in your car. But about 12-15+ hours a day in your house.
6. You have asked on a car forum. Ask the same question on a house forum and report back.
Ved had your answer straight off the bat.
Nice one, Ved.
How about an Accord Type R? Maybe not that exact one. Anyway, my friend has one and I really like it.
Nice one, Ved.
How about an Accord Type R? Maybe not that exact one. Anyway, my friend has one and I really like it.
sting3r70 said:
Wouldnt consider any of those cars an upgrade personally. The Audi is a faultless car IMO which is why i would go with the s3 by choice. Maybe not as "fun" as some other choices, but the build quality is excellent and i get a surprising amount of comments on it.
Definitley liking the focus ST though. Always liked the look of them. Although already trying to avoid getting drawn into looking for ones with full leather and xenons!
Ah you think 'upgrading' is getting a newer and higher trim VW group car. OKDefinitley liking the focus ST though. Always liked the look of them. Although already trying to avoid getting drawn into looking for ones with full leather and xenons!
I guess you're intending on buying on your own?
If so you really need to look at how much running a house is going to cost you per month and what you're going to have left over for running a car.
Depending on your rate, borrowing £160k, which is even questionable whether you could borrow that much anyway, is going to cost you between circa £850-950 per month. That's going to leave you with a grand or so for everything else, probably £500ish on food and house bills, then mobile, car insurance, petrol, socialising etc and it won't leave you with much for running a nice new expensive car and financing something is almost out of the question.
Sorry to come across all sensible but it doesn't seem like you've considered these things.
If so you really need to look at how much running a house is going to cost you per month and what you're going to have left over for running a car.
Depending on your rate, borrowing £160k, which is even questionable whether you could borrow that much anyway, is going to cost you between circa £850-950 per month. That's going to leave you with a grand or so for everything else, probably £500ish on food and house bills, then mobile, car insurance, petrol, socialising etc and it won't leave you with much for running a nice new expensive car and financing something is almost out of the question.
Sorry to come across all sensible but it doesn't seem like you've considered these things.
Ved said:
Mashedpotatoes said:
I think the OP has a very familiar ring. Any one else know what I'm thinking ?
Well he has asked this question twice already but are you thinking he's formerly tried to rent a Q7/R32/spaceship?Edited by Mashedpotatoes on Tuesday 26th November 08:19
Ved said:
Well he has asked this question twice already but are you thinking he's formerly tried to rent a Q7/R32/spaceship?
Not sure what the joke is but i haven't posted here before and i hate the Q7. I did ask this question once already but it wasnt very well worded and didnt get much of a response compared to this thread.Anyway, despite a lot of people using this thread to have a dig at Audi, i have taken on board the advice and seen sense.
Im looking to borrow around 150k with a 30k deposit which comes out around £700/month. I have seen a mortgage advisor and done a full budget planner / affordability calcualtion, so i have thought things through.
...also i guess going from a 318i to an M3 is also just a "higher trim level"? Not sure of the logic behind those comments.
Edited by sting3r70 on Tuesday 26th November 21:59
The joke refers to this goon which we're all very glad to be rid of.
Really pleased you've taken the advice on board, it's for the best I can assure you. A house will take up far more than you expect, especially in the first two years. The main thing here is the real-world costs of owning a house. A lot of people can buy an old V8 Merc but few can run it.
A two story 2/3 bedroom will have at least the following bills:
£100 per month on gas and electric,
£100 x 10 on council tax (you'll get a discount if it's just you though)
£700 / 12 on water
£250 on home and contents insurance
...and that's even before your mortgage, repairs, decorations, furnishings, monthly food bills, petrol, car tax, consumables etc. It all adds up very quickly so going into that without a big monthly bill on a car is a very good plan. It used to piss me off no end seeing £333.50 go on my R32 and that was while I could comfortably afford the other stuff too. Now that money goes into trips to B&Q to make the house better but don't get me started on the costs of paint, curtains and other such b
ks 
As for the mortgage what value of property are you looking to get? LTV is the key here and I know a couple of very good deals that first-time buyers can have too. Remember you'll have to pay 1% stamp duty upon purchase and you'll have legal fees which should be around £1000 too. I'd also advise you to pick the best valuation and structural assessment on offer by whoever you go with as that'll highlight a lot of issues before you put the offer in. The last thing you want to do is buy somewhere and then find out it has more issues than damp...
Really pleased you've taken the advice on board, it's for the best I can assure you. A house will take up far more than you expect, especially in the first two years. The main thing here is the real-world costs of owning a house. A lot of people can buy an old V8 Merc but few can run it.
A two story 2/3 bedroom will have at least the following bills:
£100 per month on gas and electric,
£100 x 10 on council tax (you'll get a discount if it's just you though)
£700 / 12 on water
£250 on home and contents insurance
...and that's even before your mortgage, repairs, decorations, furnishings, monthly food bills, petrol, car tax, consumables etc. It all adds up very quickly so going into that without a big monthly bill on a car is a very good plan. It used to piss me off no end seeing £333.50 go on my R32 and that was while I could comfortably afford the other stuff too. Now that money goes into trips to B&Q to make the house better but don't get me started on the costs of paint, curtains and other such b
ks As for the mortgage what value of property are you looking to get? LTV is the key here and I know a couple of very good deals that first-time buyers can have too. Remember you'll have to pay 1% stamp duty upon purchase and you'll have legal fees which should be around £1000 too. I'd also advise you to pick the best valuation and structural assessment on offer by whoever you go with as that'll highlight a lot of issues before you put the offer in. The last thing you want to do is buy somewhere and then find out it has more issues than damp...
Edited by Ved on Tuesday 26th November 22:15
Im budgeting on roughly £1000 for mortgage and bills, which adding your figures up is about right. That will leave me at roughly £1100 obviously as you have pointed out home improvements will be the biggest drain on that spare income, but onces i've purchased the building im just going to furnish and decorate a bit at a time, not even in a rush to live in it really, but it will be there if i need to get away or have people stay.
I don't see it being very easy to move up the property ladder nowadays, so i have to find something i will be happy with for a while. It might be more sensible to buy a cheaper place and have plenty of spare cash, but i will have to see what comes up for sale.
I don't see it being very easy to move up the property ladder nowadays, so i have to find something i will be happy with for a while. It might be more sensible to buy a cheaper place and have plenty of spare cash, but i will have to see what comes up for sale.
If you're looking at 180k tops then that'll give you a very good rate from Nationwide which is better than any others I can find.
I'd personally only go for a fixed deal for at least 3 years as that'll give you a pretty low rate and it's generally the first two years when you start filling the house and fixing the minor stuff. After that you can start overpaying but you'll need to check how much you're allowed to do per month when you're in that initial period.
Overpaying is a seriously good idea if you can as that's buying entire bricks back from the mortgage company rather than the 60/40 split it usually is between capital and interest. I've just started a new deal and paid of a small chunk with two years off the term. That's saved me £150 per month and 10k in interest alone, plus if I put that saving back into the mortgage as overpayments it takes another few years off the entire mortgage and I kid you not, when I'm mortgage free I'll be straight out buying a GT3 and a day at a strip club.
If it's just you buying by yourself don't discount getting a two bed rather than a three bed, either. You likely won't be in this house for 10 years so consider it as a temporary home that can make you a bit of money while you're there.
The final thing I'll say on the car vs house debate is that women LOVE a man with their own house. They do not give two hoots about what's on the drive way, unless it's two Subarus like me
I'd personally only go for a fixed deal for at least 3 years as that'll give you a pretty low rate and it's generally the first two years when you start filling the house and fixing the minor stuff. After that you can start overpaying but you'll need to check how much you're allowed to do per month when you're in that initial period.
Overpaying is a seriously good idea if you can as that's buying entire bricks back from the mortgage company rather than the 60/40 split it usually is between capital and interest. I've just started a new deal and paid of a small chunk with two years off the term. That's saved me £150 per month and 10k in interest alone, plus if I put that saving back into the mortgage as overpayments it takes another few years off the entire mortgage and I kid you not, when I'm mortgage free I'll be straight out buying a GT3 and a day at a strip club.
If it's just you buying by yourself don't discount getting a two bed rather than a three bed, either. You likely won't be in this house for 10 years so consider it as a temporary home that can make you a bit of money while you're there.
The final thing I'll say on the car vs house debate is that women LOVE a man with their own house. They do not give two hoots about what's on the drive way, unless it's two Subarus like me
Edited by Ved on Tuesday 26th November 22:45
Just thought i would say thanks for the advice and finding the nationwide rates. Seen a house for 145k, victorian 2 bed semi, needs full modernisation. Nothing special, but it has a driveway all the way to the back of the garden, which is large by todays standards, and a big garage at the end of the garden, just what i wanted. Will go and have a look and go from there, would certainly be a cheaper mortgage than i had been planning.
sting3r70 said:
I dont want to be driving a shed for 2-3 years as cars are part of my enjoyment in life.
What part of 'driving' do you enjoy? Is it just having a shiny car? Because if it's the actual physical driving part then you'd probably enjoy driving an E36 328i, or something more than an A3!Another plus point: at this end of the market you're going to be more or less negating any depreciation.
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