Slow and Steady

Posts Tagged ‘mortgage

In this post, I spoke about making an announcement about something important. I can now reveal what it is. I had found a way to move back into my flat! To simplify it, I was going to move back in and get assisstance with my mortgage, and could afford to pay the bills.

I had also figured out that even if I started work, I could manage to pay my bills but needed to make sure one of my benefits was renewed. I was waiting to see if it was renewed before I gave my tenant notice.I was going to be using my mortgage holidays, so needed to wait until the end of the month.

I got a letter from work. From the sound of it, they want to get me doing light duties quickly. I decided to hang on until I was back in work so I wouldn’t have to use my mortgage holidays. I want to keep that for the last ditch option.

Then the budget happened.

From October this year, they are going to slash the amount of help they’ll give you by half.  There is no way I can move back in now. Pissed doesn’t even begin to describe how I’m feeling. I’m sure they’ll be a silver lining, but I sure as hell can’t see one now.

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Yes I’m one of those people who took out a 100% mortgage and am stuck in a silly rate for another 3.5 years. Even though I’m back at my mum’s house, I still have to pay a quarter of my mortgage as the rent doesn’t cover it.

Some say I’m silly and irresponsible, but you know something? If I had to do it all again, I would.

I bet you think I’m an even bigger fool now? Well let me explain some of my reasons.

Buying a place was never about profit, or trying to keep up with the crowd. For me it was about having a home.

As I’m sure you can tell when I write about my family life, it’s not very rosy. After I left home I rented in two places. The first place was a wonderful little studio flat that had a separate bathroom and kitchen. I made it home and may even of still been there if the police hadn’t come knocking on my door!

The landlord was wanted for criminal activity that was very serious. I also found out that he didn’t own the flat like he said, and was renting it from the council AND claiming benefits, so his rent was being paid and the money I was giving him was going completely into his pocket.

I then moved into a house share with a friend and someone who has become a very dear friend to me. When she decided to sell the house, I took some time to think about the future.

I didn’t want to keep moving from one rented place to another, and work had me travelling frequently and so I wanted somewhere to call home.

I started looking around at mortgages, and I found that the odd way I get paid, and my lack of deposit would mean a high mortgage. At the time it was fine with me because I could afford it if I tightened my belt a bit. At at the time tightening my belt meant only going on holiday once a year!

As I had had an accident in 2007 I couldn’t get loan protection, but honestly I’m not sure if I would have taken it out anyway.

I had built up an emergency fund of 3 months and felt that was sufficient.

I didn’t expect to be in an accident that meant I’d be off work for well over a year.

However I look at it like this;  if I was renting I would have had  to move back to my mums anyway. I think of having to still pay part of my mortgage as paying into my hope of going back to my home. If I was renting and had to move back to my mums, I would be even more down than I’m feeling. I’d feel hope-less, as there is nothing to look forward to.

So my mortgage has given me something to aim for, because there is no way I’m losing my home without a fight!


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