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Housing Costs As A Percentage Of Income

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A money saving expert poll.

Link!

Currently the majority for both renting and mortgaging seems to be below 30%, though the poll doesn't specify gross or net income.

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A money saving expert poll.

Link!

Currently the majority for both renting and mortgaging seems to be below 30%, though the poll doesn't specify gross or net income.

Yeah, a little weak on demographic data too. Be nice to see more of a break down on age and area.

Also a lot of the data is probably rubbish in any case, do 45 people really pay more than their income on mortgage costs?

Edited by renting til I die

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Yeah, a little weak on demographic data too. Be nice to see more of a break down on age and area.

Also a lot of the data is probably rubbish in any case, do 45 people really pay more than their income on mortgage costs?

Not for very long!

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iirc FTBs in London median loan to income ratio is c 4x and % of income is c 23%

Previous peaks have been 30% or higher and previous lows have been around 18-20% iirc.

In other words mortgage costs for FTBs even in London aren't particularly expensive, which is what you might expect with rates so low.

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iirc FTBs in London median loan to income ratio is c 4x and % of income is c 23%

Previous peaks have been 30% or higher and previous lows have been around 18-20% iirc.

In other words mortgage costs for FTBs even in London aren't particularly expensive, which is what you might expect with rates so low.

- dual vs single income

- selection effect: FTBs today come from a much higher income decile than 10-30 years ago

- dodgy definition of FTB used by CML members (many have previously owned housing)

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iirc FTBs in London median loan to income ratio is c 4x and % of income is c 23%

Previous peaks have been 30% or higher and previous lows have been around 18-20% iirc.

In other words mortgage costs for FTBs even in London aren't particularly expensive, which is what you might expect with rates so low.

It's a massive relief to know that no one will drown whilst the tide is out. Edited by 7 Year Itch

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Previous peaks have been 30% or higher and previous lows have been around 18-20% iirc.

Peaks of what? An average over all, including those who own outright?

30% would look incredibly low for FTBs in the open market, amongst any generation alive today.

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