To rent or to buy?

to-let-boards

Over the last week or so, I’ve moved again. I’ve lost count of the amount of times I’ve moved. Something was slightly different this time. It was much easier than all the other times. I don’t know why, but it was. I didn’t move far from where I was. Maybe that was why. Perhaps because it was the umpteenth time I’ve moved, that made it easier. I even found an old checklist for the things I need to get sorted in my new house like registering for utilities, council tax, cable tv, phone etc.

So here’s a thought for those of you who cannot afford a mortgage, either because you don’t have a deposit or because you just don’t earn enough, or both.

I’m renting. I’m paying someones mortgage. This you already know. You’ve heard this a thousand times before, right?
So explain this. I deposit a months rent. I get a guarantor. The agent knows where I work and has a reference from them. They credit check me. They are happy to rent me a property on an ongoing basis, intially for 12 months. I could potentially be in this property for the rest of my life. And paying someone elses mortage. Yet I can’t get a mortgage myself!
I am living a life and proving that a mortgage of a simlar amount I pay in rent is affordable to me, yet no bank will give me a mortgage. Why?

This makes no sense to me whatsoever. I mean, I understand the landlord/agent has a potential loss of one months rent but a bank could lose a few thousand pounds. But, both STILL have the house, unless I do something really stupid.

Whomever I pay, I still need a place to live in. Surely it would make sense for banks to use evidence of paying rent on a regular basis as a means to offer a mortgage for someone to get on the property ladder. They’ll have/own the property as surety and I would make payments in the same manner as I pay rent now. Win, win!

Maybe I see things in a far simpler light than others.

Have a great weekend!

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