[globular-toast]

Where is 100k for a house deposit coming from?! Don't most people start with a way smaller deposit? Like 5% is common these days. Yes you'll pay an enormous amount of interest. You pay rent to the owning class one way or another.

[rob_c]

Probably to demonstrate that to ever actually be financially secure you should be paying off a significant part of your mortgage and not wage slave until retirement to only own 80% of the property due to inflation and rising costs.

If you're buying into the 5% you're probably so fiscally irresponsible that nothing good will come off it. The new builds aren't all magically appreciating in value by 20% every year. And if they did the better house you'd want to move into has almost certainly gone up by 30% or more.

[subsistence234]

> Don't most people start with a way smaller deposit? Like 5% is common these days.

5% down is insane. predatory lending IMHO.

[globular-toast]

Not really. It's secured against the house so worst case is the lender repossesses. Either way, unless you have money you will be paying rent to the people who do, either via rent or interest payments. Yeah, I don't like it either, but that's the game.

The OP makes it seem like renting and saving huge piles of cash is the only way. It's not. You can buy and save into your house instead. As long as interest plus maintenance etc is the same as what you would have paid in rent, you'll probably end up better off if house ownership is your goal.

[subsistence234]

With only 5% down there is no safety buffer. Lenders and insurers will take advantage of your precarious situation.