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Si1

People I Have Met Who Are Buying, Late 20S

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I have had conversations with 2 people recently who are forking out to buy houses, the only 2 mind that i know of, 'getting on the ladder' -

a finance lawyer in Edinburgh, and a banker in London (last one with very significant cash from BoMaD despite haveing a very well paid job, dunno about the former, but also earns very good money)

Prior to the pain in the public sector I knew plenty teachers and council workers doing the same thing up to a few years ago - having spare cash splashing on a house at a hiigh price

anyway, people in similar position in private sector - the last men standing, the highly numerated finance types - are committing similar acts now with their own and family money

(the best argument I ever heard on this forum for this kind of behaviour - people spontaneously buying a house when they don't need to - is boredom and spare cash; the above activity is entirely commensurate with that - just think about the situation with increasing financial regulation over the next 10 years, rebalancing the economy away from finance, and subsiding international speculation in UK property - these 2 people are dimly aware of these from conversation)

Edited by Si1

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To be honest, if they have the money, no longer want to rent, and realise they are going to live in that property (ie they are not expecting it to appreciate in value), then I don't see a problem. At least if we do get the hyper-inflation, they'll still have somewhere to live.

Edited by Trampa501

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it's interesting - the lawyer is making hay owing to the amount of legal wrangling between banks over the credit crunch - apparently a novel way to spend taxpayers' money...

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I have had conversations with 2 people recently who are forking out to buy houses, the only 2 mind that i know of, 'getting on the ladder' -

a finance lawyer in Edinburgh, and a banker in London (last one with very significant cash from BoMaD despite haveing a very well paid job, dunno about the former, but also earns very good money)

Prior to the pain in the public sector I knew plenty teachers and council workers doing the same thing up to a few years ago - having spare cash splashing on a house at a hiigh price

anyway, people in similar position in private sector - the last men standing, the highly numerated finance types - are committing similar acts now with their own and family money]

It's called getting on the 'property snake' now B)

Edited by plummet expert

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To be honest, if they have the money, no longer want to rent, and realise they are going to live in that property (ie they are not expecting it to appreciate in value), then I don't see a problem. At least if we do get the hyper-inflation, they'll still have somewhere to live.

Sure prices are still to high but I agree with 'Trampa501'.

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Sure prices are still to high but I agree with 'Trampa501'.

the problem is that if real terms losses mount up to 6 figures - which is easily possible given the sums of money involved buying nice places in London/Edinburgh, it forces you to question what you mean by 'can you afford it'

I could afford to buy a Porsche but it still doesn't make it a good financial move

Edited by Si1

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the problem is that if real terms losses mount up to 6 figures - which is easily possible given the sums of money involved buying nice places in London/Edinburgh, it forces you to question what you mean by 'can you afford it'

I could afford to buy a Porsche but it still doesn't make it a good financial move

If you have to worry about buying a Porsche being a "good financial move" you probably can't afford a Porsche

However I would guess maybe 1/3 of Porsche drivers can't really afford them...

...its a status thing..

...similar with houses

The FTB who is buying our central london hovel is a banker using his daddy's money, I suspect he is in his early-mid 20s

These are the only people who can afford to be FTB at that age

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The only people I know of that age buying are either earning serious wedges - or gifted money/houses/inheritence from relatives.

Normal people in normal jobs simply do not seem to be buying. For the first time anyway. Those with equity who have managed to sell their first/second place are buying in small numbers.

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The only people I know of that age buying are either earning serious wedges - or gifted money/houses/inheritence from relatives.

replacew the 'or' with 'and' and you get closer to the majority that i know of

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replacew the 'or' with 'and' and you get closer to the majority that i know of

The only person I know of who keeps saying "I really MUST buy somewhere soon" doesn't have a particularly well paid job, but BoMaD are giving her a *hand* to the tune of £200k. We're talking London here so that will go about 70% of the way towards a 2 bed flat in the area's she likes. I keep trying to talk her out of it, but in reality it doesn't affect me remotely so I really shouldn't care. She's incapable of paying her rent, will never manage a mortgage and it will result in bail out after bail out and a dose of negative equity.

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  • 338 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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