House shopping
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Well, Angel basically covered it. Dunno where you are but here, house prices are still inflated so I wouldn't buy an expensive home right now. I'd wait for them to come down.
Not sure if you’re in the UK but stamp duty would be a consideration, we went straight to a bigger house as we would have had to pay stamp duty twice if we bought small and upsized, which would have eaten away any equity we had built.
@Kim do you pay yearly property taxes in the UK or just Stamp Duty when you buy?
@Rachel we pay stamp duty when we buy the property, I live in Scotland so it’s higher than the rest of the uk (10%). Then monthly council tax, mine is around £400 p/m
@Kim in the US, we pay yearly property tax but it sounds a lot like your council tax except that only the owner pays it, not the tenant (I looked it up lol)
On the one hand, if the mortgage on a smaller house would be about the same as what you’re paying in rent, buying now might make sense. You’d start building equity sooner, which is a big plus. But if renting is a lot cheaper, it might be worth staying put and saving up for a place that better fits your family as the kids grow. Space is definitely something to keep in mind too. Kids take up more room as they get older, so a small house could feel tight faster than you'd like. Plus, moving twice in five to seven years could be a hassle, especially with three young kids. Then there’s the question of interest rates and home prices. If rates are good, a smaller “starter home” could be a smart move, but if they’re high, waiting it out might be wiser. If you’re comfortable where you are and can save a good amount, waiting might let you buy a bigger, long term home down the line.