thirdeye Posted May 21, 2014 Share Posted May 21, 2014 http://money.aol.co.uk/2014/05/21/2-million-over-55s-plan-to-downsize-a-risky-business/ "A new study has shown that around two in five of all people over the age of 55 plan to downsize their home in order to help fund their retirement. On average they need to free up £85,000 in order to make their retirement plans a reality.However, they are taking some significant risks." Quote Link to comment Share on other sites More sharing options...
The Knimbies who say No Posted May 21, 2014 Share Posted May 21, 2014 The over 55s I know who have moved have upsized. Parents of friends now have 4 bedrooms each, while their children/grandchildren have 1 each. Quote Link to comment Share on other sites More sharing options...
Wurzel Of Highbridge Posted May 21, 2014 Share Posted May 21, 2014 Quite a few families here squeezed into two bedroom detached retirement bungalows as they seem to come up reasonably priced. there aren't going to be many left for the greedy generation. Quote Link to comment Share on other sites More sharing options...
goldbug9999 Posted May 21, 2014 Share Posted May 21, 2014 http://money.aol.co.uk/2014/05/21/2-million-over-55s-plan-to-downsize-a-risky-business/ "A new study has shown that around two in five of all people over the age of 55 plan to downsize their home in order to help fund their retirement. On average they need to free up £85,000 in order to make their retirement plans a reality. That equates to removing £170 billion or so from the market i.e. wholesale implosion of prices. Quote Link to comment Share on other sites More sharing options...
XswampyX Posted May 21, 2014 Share Posted May 21, 2014 Indeed. I don't think BTL'ers are interested in the old housing ladder. Who is going to move from renting to a 4 bedroom house for £400,000? The problems are already baked in, and nobody can see that it's not a pain au chocolat. Quote Link to comment Share on other sites More sharing options...
disenfranchised Posted May 21, 2014 Share Posted May 21, 2014 I've been saying for a while that I think the next crash will come from the middle of the market Quote Link to comment Share on other sites More sharing options...
slacker Posted May 21, 2014 Share Posted May 21, 2014 (edited) Tried to discuss issue with parents recently. Parents: "well they need to build more houses" Me: "but you objected to them building in village and you're pissed about the new road that just got planning" Parents: "well not in this village" Me: "but look at all the kids the village has created in last 20 years, and no new houses, where can they live?" Parents: "hmm" Me: "and all the boomers have 2, 3 or 4 spare bedrooms, I reckon only 30% of beds in village are occupied at night" Parents: "well I agree it's problem, but they can't just go building anywhere, we've worked hard ..." Parents: "struggled ... get on ladder ... interest rates for that month in the 80s ... ipads ..." Edited May 21, 2014 by slacker Quote Link to comment Share on other sites More sharing options...
MartinE Posted May 21, 2014 Share Posted May 21, 2014 Plan to downsize.....but never actually do. Quote Link to comment Share on other sites More sharing options...
Starla Posted May 22, 2014 Share Posted May 22, 2014 Parents: "struggled ... get on ladder ... interest rates for that month in the 80s ... ipads ..." Your parents, my in laws. I love the ipods and ipads argument. I counteract that with explaining how cost effective ipods and music download sites are compared to all the money they wasted on expensive stereos, speaker systems, vinyl lps, petrol getting to the shops etc. So wasteful. Quote Link to comment Share on other sites More sharing options...
Wurzel Of Highbridge Posted May 22, 2014 Share Posted May 22, 2014 Your parents, my in laws. I love the ipods and ipads argument. I counteract that with explaining how cost effective ipods and music download sites are compared to all the money they wasted on expensive stereos, speaker systems, vinyl lps, petrol getting to the shops etc. So wasteful. We don't have ipads or contract phones as they are an expense we can do without. My boomer mother & stepfather have one each. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted May 22, 2014 Share Posted May 22, 2014 Your parents, my in laws. I love the ipods and ipads argument. I counteract that with explaining how cost effective ipods and music download sites are compared to all the money they wasted on expensive stereos, speaker systems, vinyl lps, petrol getting to the shops etc. So wasteful. indeed, your parents loved music and quality. todays generation will listen anything providing its got a great label...which are the gullible fools? Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted May 22, 2014 Share Posted May 22, 2014 Can I ask who the feck is going to be able to afford this housing stock? Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted May 22, 2014 Share Posted May 22, 2014 Can I ask who the feck is going to be able to afford this housing stock? borrowers. Quote Link to comment Share on other sites More sharing options...
Bloo Loo Posted May 22, 2014 Share Posted May 22, 2014 The house will be there for the next generation. The next generation better decide how they want to pay for it...cash...cheaply, sensible lending...not so cheaply..or ponzi lending "at low low interest rates" and intergenerational commitments...it really is up to them Quote Link to comment Share on other sites More sharing options...
rantnrave Posted May 22, 2014 Share Posted May 22, 2014 (edited) or ponzi lending "at low low interest rates" and intergenerational commitments... Careful putting a dotted line after a comment like that. People will think it's where to sign up. Edited May 22, 2014 by rantnrave Quote Link to comment Share on other sites More sharing options...
Greg Bowman Posted May 22, 2014 Share Posted May 22, 2014 Can I ask who the feck is going to be able to afford this housing stock? Our children when it is passed down to them for nothing? if 2 out of 5 need to do it 3 out of 5 don't. Quote Link to comment Share on other sites More sharing options...
Venger Posted May 22, 2014 Share Posted May 22, 2014 Our children when it is passed down to them for nothing? if 2 out of 5 need to do it 3 out of 5 don't. Prices are set at the margins, Greg. 2 of out 5 in need to find buyers, for homes currently bid up to silly highs, selling at lower prices to a diminishing pool of proceedable buyers, brings down the value of your own mansion. Quote Link to comment Share on other sites More sharing options...
Wurzel Of Highbridge Posted May 22, 2014 Share Posted May 22, 2014 By the time the economic fundamentals (wages) have caught up with these downsizers asking prices they will be dead. Quote Link to comment Share on other sites More sharing options...
19 year mortgage 8itch Posted May 22, 2014 Share Posted May 22, 2014 By the time the economic fundamentals (wages) have caught up with these downsizers asking prices they will be dead.And their children Quote Link to comment Share on other sites More sharing options...
Quicken Posted May 22, 2014 Share Posted May 22, 2014 By the time the economic fundamentals (wages) have caught up with these downsizers asking prices they will be dead. In other words, how long can they keep putting their lives on hold? Oversized houses are dead money. Quote Link to comment Share on other sites More sharing options...
rantnrave Posted May 22, 2014 Share Posted May 22, 2014 In other words, how long can they keep putting their lives on hold? Oversized houses are dead money. As they wait, at least the taxpayer will help them heat the larger house they no longer need. Quote Link to comment Share on other sites More sharing options...
fluffy666 Posted May 22, 2014 Share Posted May 22, 2014 Your parents, my in laws. I love the ipods and ipads argument. I counteract that with explaining how cost effective ipods and music download sites are compared to all the money they wasted on expensive stereos, speaker systems, vinyl lps, petrol getting to the shops etc. So wasteful. If I price up every electronic device in the house (apart from the boiler and inverter), then I could replace them from a month's take home pay and have change.. Ironically, the boomers probably spent proportionately more on consumer electronics in the 1970s. Quote Link to comment Share on other sites More sharing options...
Reck B Posted May 22, 2014 Share Posted May 22, 2014 borrowers. Here's one signing a HTB15 loan. Quote Link to comment Share on other sites More sharing options...
arrgee1991 Posted May 22, 2014 Share Posted May 22, 2014 Plan to downsize.....but never actually do. Exactly. Plan to downsize to make money then upon realising how much it will be for all the costs, fees and taxes, decide to stay put. Most likely downsize is a couple of 8' * 2'6" * 6' Quote Link to comment Share on other sites More sharing options...
cybernoid Posted May 22, 2014 Share Posted May 22, 2014 Here's one signing a HTB15 loan. Its how we'll evolve to fit into housing Quote Link to comment Share on other sites More sharing options...
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