Really dont know what to do! My 172 vs. House!

[Jackson172]

Basically im 21

I would like a house, 2 bed so i can spend on things like fridges/plasma tvs etc

I have had a 172 for 7months, its OK. If someone said "here have £6200" i would take it as I can use my van.

I have savings for a house, but going nowhere fast. Insurance is a pain, £145 a month! I got it when I was 20 you see...and only 6months into policy.

Local renault dealer isnt fussed on buying it, altho its low miles, immaculate & perfect

They said £5500 today cash.

I paid £8295 6months ago what do I do...take the cash and run, save insurance bill each month

Or just work an extra 3months harder and keep the car

 

[_Kenny_]

You have to decide what you want most mate and what you feel is more important imo.

I went for the house option and am stuck with the 1.4 for the next year

 

[Englebert]

21 is too young to buy a house. I'm also 21 and as much as i would like to move out i'm hoping for a house market crash first!

 

[steven.m]

As they said... if I had a choice of a car or a flat/house I'd take the car as I dont have a van or anything and I spend a lot of time travelling to mountain bike races at weekend, and you wont have to pay as many bills either, so let your parents do the hard work and let yourself have fun with a motor.

 

[SOHROB]

HOUSE HOUSE HOUSE,the car comes later im 23 and got my house at 21,i paid £115k for it and its now worth £140k.If you can afford to buy do so imo

 

[Jackson172]

Kinda hoping people would say "take the £5500" but that really is rock bottom lowest possible its worth I reckon

2002 52, 30k, 1 prev. owner, 6months tax/mot, mint like new.

Defo not going the private sell route, hate the thought! Guess that goes to show just how badly im 'not' really pushed into buying the house right now

 

[Kirsten]

My dad bought his first house at 21, at if i had the money I would have done exactly the same, he has done really well out of the housing market.(things were a bit different for him tho, just a tad cheeper in the 70's lol and he ran a mexico)

If ya can afford it get on the ladder, im 23 and unless some hunky rich gorgoeus guy comes along , im never going to be able to afford to buy.

House over car definatly!

 

[Ads_172]

The dealer would be bending you over for £5500 mate. If you're set on getting a house then sell your car private for the best possible money, but only you can make that decision.

As for buying a house and watching it's value go up, this is only good if there's a price crash which there shows no sign of being. So any increased value you gain, you will only have to pay the same extra if you wished to upgrade. Getting on the ladder early is a wise move, but only if you can afford it.

 

[paul_h172]

house wins every time.

 

[Keydogg]

im nearly 21 now and ive just bought a house with my gf. its the best thing ive ever done in my life, i cant describe how good it is to go home from work to your own place and just do whatever u want whenever you want.

i think 20/21 is too early to settle down, but no way too early to move in with someone or buy ur own house. u can still go out on weekends, still buy things etc, u just have to plan it out and really think about what you are gonna do a few months beforehand.

heres my place!! its a 2 bed semi

 

[Keydogg]

oh and btw in regards to ur car and what its worth, my gf just bought a 2002 02 reg with 26k, mint condition for £6300 private. hope this helps

 

[Jackson172]

How much of a deposit did you have Keydogg? 2 bed semi down here are about £140k. Im gonna need at very least 2 spaces (or pray for a garage!)

£5500 would be nice to add to my deposit, but then...dont think long term its going to make a huge difference as my only interest is cars and later on £5500 cant get much at all!!

I wont be buying 'with' my gf, she is still at uni (no money!)

Think i'll just wait a short while,

 

[Fletcher]

I'd go for the house, me and my girlfriend got a mortgage for a 150K with a 30k deposit on a brand new apartment this time last year. And after about six months when we could afford to traded in the fiesta for our 172.

Remember you can't always get another 172 latter on, but you might not have a chance to purchase the house you want in the future, with house prices rising and so on.

 

[Day]

6k that will pay for a sofa and other crap.

Keep the car.

 

[Neil G]

Insurance £145 a month

F**k that...chop it in and go for the house...that a silly amount of money.

 

[brisa4984]

house dude. house over car anyday..

a house will always go up in value .. a car will only lose it.

 

[mark22]

Same here - House!!!
Houses go up in value, cars go dooooooowwwwwn!

 

[Zebrs]

This isn't going to appeal to everyone here but can't sit back when I see 'house prices will always go up' posted. They won't, and don't kid yourself they will.

Have a look on www.housepricecrash.co.uk , admitedly a bearish site but main idea are increased interest rates, and they're going up (Fed moved 0.25% today, 4% in 18 months, and we'll follow shortly along with the rest of the world), and affordability stretched to the max (will people start clubbing together in 3s or 4s to buy houses?!).

Sorry to say it, but it's people who believe that things can only go higher that exacerbate the problem and buy into the spin churned out by the housing market vested interests.

 

[pecan]

You'd be mental to give your 172 away for 5k~. I'm 21 and still live at home, I'm currently training to start my career in January (providing the government sorts the NHS Trusts out round here) and I'm happy. I think you need to be in a financially stable position first to even think about buying a house in today's market, or perhaps a lot more than just stable.

I'm not trying to say you're not financially stable, of course I don't know you. But from my point of view I'd be reluctant to dive in and buy a house so early even though I would love my own place... but I also love my Cup.

 

[Dafydd]

21s not too young, bought my first 2 bed mid terraced and sold it after 18months for 140K have to make sacrifices to start with so sold the 16valve and drove around in a corsa gsi, but you soon realise things arnt as tight as you think they would be so bought a gti-6 , now 23 and have moved up to a 3 bed semi with double garage nearer 200k mark and new van, it is douable to have both,just have to budget a bit. i agree house prices are never continually going to go up but i dont believe they will ever come down in a hurry, if anything they will level off, this obviously is dependant on what area you live in

 

[The Big Yin]

You are never too young to buy a house My mate bought his first one when he was 19 it did stop him doing some things but he has the last laugh no because his house is worth 4 times what he has spent on it, As for the car dont give it away for that price you should be able to sell it privatley and get 6.5k for it
Im gonna probs get shot down in flames now but if it was me id buy the house get a runabout build up the no claims and once your used to budgeting for a house you will be in a stronger position to be able to run a 172 House prices cannot keep going up and i am old enough to remember in the 80's when interest rates went up to 12%ish now I dont ever think that will happen again but i cant see the prices dropping drastically either you shouldnt loose money on a house - Ive had mine for 5 years and its doubled in price again i dont think this will be a common occurence in the near future either

 

[Iain C]

i think youll loose too much cash if you sell up now.
I was lucky cos i manages to keep my cup and buy a house. Tho that was wot i worked hard to get.
Try for the doubble. Nothing like a challange.

That said Big yin has a good point

 

[MarkCup]

Every economic report from my business bankers (RBS) that I get to see, shows the MPC's fiscal policy and base (or repo) rate forecast, as being stable for the next 12-18 months... i.e. no change in interest rates.

I'd say house over car, all day long.

Look how much you've lost on the car already...keep it, and you'll lose that much again over the next 12 months.

Cash it in, invest in bricks and mortar, and even if there was a countrywide house price drop, it's not going to devalue anywhere near as much as the depeciation you'll suffer on the car.

But then I would say that, I'm an old(ish by comparison to most of you lot) accountant

 

[Jackson172]

hmm the first lot of replies made me think blow it! 5.5k is 5.5k extra for me

but now everyone is turning against sellin it!

a spanner thrown in the works is im going on a cheap 2 week holiday...so ill be leavin my car sat doin nothing whilst payin half a month to insure for nothin, i.e £72!

not only that, i have had the car 6 months, done 2700 miles! short trips etc

 

[Jackson172]

seen a few 2002 on autotrader, private for 6995...

have been on there for weeks. Think nearer 6k is more ideal

http://www.pistonheads.com/sales/77005.htm

 

[a4ndy]

im 21 and am having the same thoughts but i really love my car and may just struggle on to have both.
if you have time and are not planning to buy a house today keep the car and sell it privately the chances are you if the cars in the condition you say its then you'll get more than the dealers offer.
then once the cars sold buy the house and spend the extra money on an electrical appliance such as an electrical can opener everone needs on of these.

 

[Mark5290]

This isn't going to appeal to everyone here but can't sit back when I see 'house prices will always go up' posted. They won't, and don't kid yourself they will.

Have a look on www.housepricecrash.co.uk , admitedly a bearish site but main idea are increased interest rates, and they're going up (Fed moved 0.25% today, 4% in 18 months, and we'll follow shortly along with the rest of the world), and affordability stretched to the max (will people start clubbing together in 3s or 4s to buy houses?!).

Sorry to say it, but it's people who believe that things can only go higher that exacerbate the problem and buy into the spin churned out by the housing market vested interests.

Well said, i have been on that forum since it first started up in 2003, i currently rent a house a lot cheaper than i could buy it waiting for the house price correction.

 

[Ed_182]

a house will always be a more sound investment then a car.

 

[Nat8701]

i bought my first house at 18 im 22 next month and jst purchased another property( i have bought and sold 3 so far), most of my mates still live at home and personnally i think they will regret it, although they may say the same about me. best thing i ever did was get my own place, do you need to sell your car for a house though??
i have a nice house, a lcd tv and im gonna be getting a 182 in the next week or so (when i find one). so can till have nice things and a house if you work hard.
its up to you at the end of the day but please dont live beyond your means and want everything ,cars,gadgets and houses if you cant afford the payments.

oh and the house prices wont crash anytime soon. get on the ladder while you can.

 

[GazCB]

You've got to think iof it like this. That £5.5k you could put into the house will mean your mortgage is that much less. "And? big deal" you're thinking. But when you realise that you're otherwise gonna be paying interest on that £5.5k for the next 25 years or whatever, it becomes a bit more obvious. For about every grand you borrow for a mortgage, at the end of 25 years you'll have paid about £1800 back. So if you pay that £5.5k now, you're effectively knocking about £10k off your total repayments.

 

[Mark5290]

oh and the house prices wont crash anytime soon. get on the ladder while you can.

That's funny they said that in 1989 aswell and look what happened a few years later when real house prices crashed 30 - 50%, but then again you are too young to remember what it was like when thousands lost their jobs and their homes.

 

[MAXIBOY]

also depends on your diy skills. buy a bit of a wreck do some work this time next year move on and make some money. dont think house prices will crash just level off. car this time next year will be worth less house could be worth 20 grand more.

 

[Dafydd]

yes but if you decide to rent, its wasted money imo. your paying off somebody elses mortgage and are not able to be putting it into your own property, if people carry on thinking of a 1 off like 1989 when the house prices dropped you will never buy. thats 17 years ago and look how much house prices have risen

 

[Zebrs]

Dafydd, doesn't what you're saying ring alarm bells somewhere? 'Look how much they've risen in 17 years.' If there ever was a house price bubble, we're in it now. All bubbles burst, dot com anyone?! The Governor of the Bank of England himself has today warned of impending rate rises. It is now when, not if.

Renting isn't dead money imo either. Fine, it's not yours, but who do you think owns the property you take a mortgage out on. You? The bank does. And along with the rewards of 'ownership' you are at the mercy of changes in the interest rate.

Buying today won't see capital growth the likes of what we've seen in the last 5 years. You'll just have this massive debt uneroded by inflation which would cost you more than renting, as most landlords can acheive reasonable yields for less since they bought ages ago.

Nice to meet a fellow disbeliever, Mark5290!

 

[jongsr4]

In the long run house prices will only ever go up, they may temporarily drop or 'crash' but in the long run, there is no better investment than property, I would get on that property ladder as soon as possible if i were you, I would myself but where i live, it is just impossible for someone (on my wages) to get on the ladder, even a small flat round here costs about 150k...hence im keeping my car for now and as soon as my GF earns enough, get our own place then

 

[Dafydd]

All im saying is that i couldnt have made 30grand renting a house.and in my opinion it was the best thing ive done,not saying everyone should do it just MY own opinion

 

[fizzy_drink]

House House House

H O U S E

:d

 

[Serg]

hi 21, 22 in july and i aim to move out at 24 when my g/f finishes uni and her training as i see it i dont NEED to move out atm. Personnaly i would say are you in a possition to move out soon money wise?? because if you not you could go sell you car for £5500 and end up spending that so it would be pointless. If your guna move soonish then i would sell the car yes but if its just guna be sitting in you bank where you can get to it then i wouldnt bother personnaly.

If you do decide to buy a house then please please please sell your car privatly its worth much more than £5500. Good luck either way.

brad

 

[jonnyboy]

flog the car m8 FFS! House and getting your foot on the ladder is 10 times more important. At 21 you've still plenty of time left to enjoy cars. Get yourself settled in the house and when your finances settle down and you can afford it then go out and buy one again. I had no car for 6 months before I moved to save up etc, after about a year once we were all set up I got a 172 brand new and never looked back. Sometime you just have to make the sacrifice but its always worth it in the end. Nothing beats your first house!

 

[Floodie]

Hmm House Vs 172??... erm.. id say the clio would have it in the twisties



WOOP!