Friday, Jan 25, 2008

review reveals renting currently cheaper than buying

Mortgagestrategy: First-time buyers face soaring mortgage costs

Average mortgage costs to income for first-time buyers are now higher than levels at the 1990s housing boom peak, says the Building Socieites Association. First-time buyers were devoting nearly 35% of their income to mortgage costs by the third quarter of 2007, compared with the previous high of nearly 34% in 1990, the UK Housing Review indicates.

Posted by jack c @ 02:06 PM (705 views) Add Comment

9 Comments

1. confused76 said...

35% of their income to mortgage costs by the third quarter of 2007, compared with the previous high of nearly 34% in 1990


how can it not crash?

Friday, January 25, 2008 03:00PM Report Comment
 

2. jack c said...

Yep, add in Council Tax, Water, Gas, Elec, food and petrol (all escalating) and you generally have one hell of an overstretched budget

Friday, January 25, 2008 03:10PM Report Comment
 

3. techieman said...

Not until their credit cards are all maxed "a house of cards" in more ways than one!

Friday, January 25, 2008 03:32PM Report Comment
 

4. Utterlee said...

I'm just surprised it's not a higher amount than 35%. My one room in a three-bedroom houseshare in North London suckers up that much of my wages just in rent. By the time bills come out it's nearly 50%.

Friday, January 25, 2008 05:02PM Report Comment
 

5. paul said...

Who cares? No sensible FTB is buying anything anyway.

Friday, January 25, 2008 05:34PM Report Comment
 

6. inbreda said...

IR rates still well below long term average, that figure could very very easily leap from 35% to 70%

Friday, January 25, 2008 05:55PM Report Comment
 

7. it_is_going_with_a_bang said...

I've got a good 'mortgage strategy'.....

Far from being one "foot on the ladder" it would be like 'jumping into sinking ship'.

Don't take one out.

Friday, January 25, 2008 07:21PM Report Comment
 

8. Collywolly said...

"Average mortgage costs to income for first-time buyers are now higher than levels at the 1990s housing boom peak, says the Building Socieites Association."

Six moths ago, we were told how affordability was so much better this time round.......

Friday, January 25, 2008 07:55PM Report Comment
 

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