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Dave Beans

Boomer Couple Plead Poverty Whilst Living In Heathrow...

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http://www.dailymail.co.uk/news/article-2943251/Homeless-Heathrow-look-holiday-truth-middle-class-couple-living-airport-losing-500-000-home.html

Even with the bank loan - with what's left (and they sell the furniture) I'm sure they could rent a flat oop north on the remaining... That 1400 quid a month pension is probably going to be 5 times what I'll have to live on, when I'm their age...

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Jesus, they got a £200k windfall from selling their first house and decided to use that as a deposit on a new place (even though they knew their income was uncertain!) rather than just buying a more modest home outright.

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Outgoings include 300pcm furniture storage and 400 odd a month on a20k loan

Sell the furniture?

Also twice a week they stay in a £50 a night B and B, so that's another £440pcm they're spunking away. £440pcm B and B plus £300pcm furniture storage equals enough money to rent somewhere to live. They are choosing to live like this, with their financial resources there are plenty of other options still on the table.

Edited by Dorkins

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Limon.. Just the 2 of them... unless twice divorced Alan had his 2 daughters with him in that house with Katrina... and that sort of luxury family house bought in 2002? Selling for £132,000 more in 2004.... downsizing to a £295K flat (£95K mortgage)?

£1,400 a month coming in?

And here we have it; renting is disastrous and unstable.

‘So we decided to sell our flat before the bank foreclosed and repossessed it. We thought it was prudent to move into a rented property.’

The decision was disastrous: it signalled the end of their stability.

£575pm, inclusive of water rates, for a nice 1 bed retirement pad in Bournemouth, near the beach/pier.

http://www.rightmove.co.uk/property-to-rent/property-47860933.html

255E914200000578-0-image-a-11_1423255954

The couple moved to this three-bedroom detached house in Poole in 2002, lured to the countryside by its promise of a pleasant lifestyle

20kvi9x.jpg

[PDF] [LOL] https://boppa.boroughofpoole.com/online-applications/files/D7FD5A7F2A48CB399F7C7238AC9CE6/pdf/03_16355_007_F-ALAN_LANE___KATRINA_SMITH-824305.pdf (Edit = No worky link - probably temporary random one-time generated link - thus screenie below instead.)

Price Paid: £397,000. Sale Date: 01 Oct 2004
Price Paid: £265,000. Sale Date: 01 Feb 2002

http://www.rightmove.co.uk/house-prices/BH14-9JX.html

She continued to work as a nanny until 1999, when she was made redundant, at which point she and Alan, lured by the pleasant lifestyle, decided to move to the coast. They did so in 2002, buying a three-bedroom detached house in Poole for £265,000, taking out a mortgage of £170,000. Alan set up an office there; they revelled in their new lives. ‘We became part of the community; our pleasures were modest ones — we enjoyed barbecues on the beach and walks along the seafront — and were never extravagant,’ says Katrina.

However the idyll was short-lived. A few months after they moved, Alan lost an ongoing £50,000 contract with a large multi-national company. They couldn’t afford the mortgage repayments of around £700 a month, so opted to downsize. In 2005 they sold the house for £397,000 and bought a flat in Poole for £295,000. The equity from the house sale enabled them to put down a £200,000 deposit, so they had just a £95,000 mortgage.

We make our own decisions... even though many a young professional couple can't even afford/won't stretch to debt, to buy a basic flat (not family home)

[PDF] [LOL] 2 years there, still managed to 'protect the area' / protect the HPI etc.

m9q3if.jpg

Edited by Venger

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But even their new, cramped flat was costing £850 per month — so the savings they made were negligible — and they took out a bank loan for £20,000, a debt they are still paying off, to help meet household bills.

Yes, I don't know how we all put up with this renting nonsense!

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Single plot houses yeah ok, but against flats on number 44. (I reckon the downsize move to a flat; at £295K... £200K down, £95K mortgage, was in the plush area).

Current houses for sale in that same 44 Links Road postcode (yay for mansions).. map their old house to no.44

http://www.rightmove.co.uk/property-for-sale/find.html?searchType=SALE&locationIdentifier=POSTCODE^63839

28rz2mf.jpg

Can't see the house/site from the road... driveway up...

2zxqtxw.jpg

Whole area is primey around no.44 long road.. detached houses (streetview). Some properties describing themselves as Canford Cliffs. The flats (44) would have been near opposite the entrance to the golf club.

Markets move at the margin... despite many HPCers telling me very few people (baby boomers) will have to sell, or another good one (care about HPI/value of it)... could be more of these sorts on the edge in such houses into 2015 (as opposed to their downsize to plush in 2004)... and where are all the buyers going to be, especially when sentiment/trend changes.

Why on earth wouldn't equity rich/outright owners just shrug their shoulders and go "oh" ? It's not like a crash would materially reduce their standard of living in any way.

I think there are a fair proportion of boomers in the professional classes who have have been shielded from the vicissitudes of the world for two generations or more. They are about to find out how the world works.

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"Annual income twenty pounds, annual expenditure nineteen [pounds] nineteen [shillings] and six [pence], result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery."

Charles Dickens, David Copperfield

Hmm.

Selling their story to the DM is a start to get some more income in. Perhaps that is rock bottom, and they won't think about losing face to other people - they don't matter now.

The first step is to minimise outgoings. Hire a Van, Get all the furniture/stuff down the car boot, and flog the lot for cheap http://www.bursledoncarbootsale.co.uk(Every Sunday all year round, and it is nearby). Anything left, goes to the tip. Keep a few set of clothes, so all your belongings are in one or two suitcases each. You can always buy furniture cheap, but at the moment it is a liability, thats costing them money each month. Then they will have capital/ a deposit to work with.

Look at moving up North where renting/buying is cheaper also. You still get the NHS all over Britain. If they must live in the South, then there are still places to rent for peanuts. I used to live in Boscombe for about 4 years. You can still rent a room in a shared house, with the Landlady for probably about £250 a month, all bills paid to get some stability.

Also the loan, they need to talk with Citizens Advice to renegotiate the terms.

Edited by 200p

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They miss out the crucuial part of the story:

In 2006, the possessions from their last move barely unpacked, they sold up — releasing equity of £190,000 — and downsized to a small £900-a-month rented flat. By 2011, with their nest egg gone thanks to ever-increasing living costs, they had downsized again.

So in 5 years, even after rent and storage they were burning through £1967 a month on living expenses in a one bed flat?

For two people struggling to find work does that sound likely?

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If we on HPC get what we want wrt increased interest rates in the future, we can all stand by for many more articles like this one.

In fact such articles will be obscured by far worse.

Just remember this when you next hear the phrase "...but everyone has debts".

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They were yearning for happier times, and they were hoping for another chance to restore themselves to their former glory.

It doesn't work out like Terry & June.

https://www.youtube.com/watch?v=bAbGjX68hYg

^The first episode of this classic. New job, new house. T&G are moving into their new house in 1979. Stupid EA didn't bother to change the For Sale to Sold, causing Terry some trouble. Unheard of today.

Edited by 200p

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Their mistake was that are intentionally homeless...I havent read that far into this bloated Novel of a failed venture.

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"Annual income twenty pounds, annual expenditure nineteen [pounds] nineteen [shillings] and six [pence], result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery."[/size]

Charles Dickens, David Copperfield

Hmm.

Selling their story to the DM is a start to get some more income in. Perhaps that is rock bottom, and they won't think about losing face to other people - they don't matter now.

The first step is to minimise outgoings. Hire a Van, Get all the furniture/stuff down the car boot, and flog the lot for cheap http://www.bursledoncarbootsale.co.uk(Every Sunday all year round, and it is nearby). Anything left, goes to the tip. Keep a few set of clothes, so all your belongings are in one or two suitcases each. You can always buy furniture cheap, but at the moment it is a liability, thats costing them money each month. Then they will have capital/ a deposit to work with.

Look at moving up North where renting/buying is cheaper also. You still get the NHS all over Britain. If they must live in the South, then there are still places to rent for peanuts. I used to live in Boscombe for about 4 years. You can still rent a room in a shared house, with the Landlady for probably about £250 a month, all bills paid to get some stability.

Also the loan, they need to talk with Citizens Advice to renegotiate the terms.

This.....thing is people find it hurts harder when they fall off their pedestal and find all their worldly goods and chattles fall on top and all around them....far easier freely climbing up lightly laden and free.......return to go and collect £200.

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What a load of Rubbish. From Dennis Waterman being a 'mover and shaker' onwards, so many things don't add up.

1. She appears to have decided to retire at 45/46 (!) to a 3 bed seaside mansion after a high flying nanny career?

2. At the point of her 'retiral' they tookout a massive mortgage. On the basis that he - now 56 - would get lots of money somehow and they'd be rich.

3. Panicked when they don't get lots of money and become rich. In 2005 they 'downsized to a 295k flat. WTF. I can't find a one bedroom flat in Poole for anything more than 195k at the mo. What kind of downsizing was this?

4. In 2006 they release 190k equity. Downsize to a small 900pcm flat. She's still 'retired' He's now well into his sixties. Again, 900 is a huge amount of rent in Poole. Where on earth were they staying?

http://www.rightmove.co.uk/property-to-rent/property-48133639.html

5. 2011. He's 66. They have blown 190k in five years. They downsize (!) to a flat at 850pcm. She's still retired.

6. They get a 20k loan to pay household bills. They are renters. ARE THEY GROWING CANNABIS OR SOMETHING???

7. By 2013, Alan is nearly 70. Katrina (who retired at 45) is in her sixties. They have spent 10 years barely working and living in a series of luxury houses and apartments. Their boomer friends go on holidays and live on massive defined benefit boomer pensions. Alan doesn't really have a pension, for some reason.

8. BINGO! 70 year old Alan gets a job and decides to emigrate to Canada. It's the future.

9. 6 months later Alan is made redundant. At this point a crisis sends them both FULL RETARD.

10. 71 year old Alan, who used to work as a high flyer, and his long retired wife decide to spend 740 pcm storing stuff and staying in a B and B.

They could save 100pcm just by renting this

http://www.rightmove.co.uk/property-to-rent/property-36896912.html

11. In a last desperate attempt to get someone to send them a cheque, they sell their incoherent story to the mail.

THE END.

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What a load of Rubbish. From Dennis Waterman being a 'mover and shaker' onwards, so many things don't add up.

1. She appears to have decided to retire at 45/46 (!) to a 3 bed seaside mansion after a high flying nanny career?

2. At the point of her 'retiral' they tookout a massive mortgage. On the basis that he - now 56 - would get lots of money somehow and they'd be rich.

3. Panicked when they don't get lots of money and become rich. In 2005 they 'downsized to a 295k flat. WTF. I can't find a one bedroom flat in Poole for anything more than 195k at the mo. What kind of downsizing was this?

4. In 2006 they release 190k equity. Downsize to a small 900pcm flat. She's still 'retired' He's now well into his sixties. Again, 900 is a huge amount of rent in Poole. Where on earth were they staying?

http://www.rightmove.co.uk/property-to-rent/property-48133639.html

5. 2011. He's 66. They have blown 190k in five years. They downsize (!) to a flat at 850pcm. She's still retired.

6. They get a 20k loan to pay household bills. They are renters. ARE THEY GROWING CANNABIS OR SOMETHING???

7. By 2013, Alan is nearly 70. Katrina (who retired at 45) is in her sixties. They have spent 10 years barely working and living in a series of luxury houses and apartments. Their boomer friends go on holidays and live on massive defined benefit boomer pensions. Alan doesn't really have a pension, for some reason.

8. BINGO! 70 year old Alan gets a job and decides to emigrate to Canada. It's the future.

9. 6 months later Alan is made redundant. At this point a crisis sends them both FULL RETARD.

10. 71 year old Alan, who used to work as a high flyer, and his long retired wife decide to spend 740 pcm storing stuff and staying in a B and B.

They could save 100pcm just by renting this

http://www.rightmove.co.uk/property-to-rent/property-36896912.html

11. In a last desperate attempt to get someone to send them a cheque, they sell their incoherent story to the mail.

THE END.

I love this site ... Why would I go elsewhere for the news... This is likely the story behind the story :-)

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Allan has suffered the curse of the contractor. High earnings but insecure work. Of course you should be putting money aside for a rainy day and in a pension. However, many of them just spunk what they're earning.

Patch of no or poor paying work and the whole lot unravels like this case.

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If they have an income of £1,400 per month that is £16,800 per year. They could quite easily use this to pay for a deposit on a rented flat and then move in and reap all the benefits they are entitled to. But I think they are expecting a free place courtesy of the Daily Mail (they have seen all the recent GoFundMe campaigns that have raised so much) and are hoping that people will feel sorry for them and contribute. Just a strange, strange story.

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Not too much sympathy, if they had cut their cloth the money could have lasted. They have clearly lost the money on high living.

There in no welfare safety net except for benefit lifers. Balance sheet drawdown is just not an option for those with equity.

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Allan has suffered the curse of the contractor. High earnings but insecure work. Of course you should be putting money aside for a rainy day and in a pension. However, many of them just spunk what they're earning.

Patch of no or poor paying work and the whole lot unravels like this case.

Then again perhaps they see that the prudent (who save for a rainy day) get shafted and those that spunk it all get the free social housing and benefits. That is the picture painted a lot of the time in the papers anyway. "Vulnerable" normally means irresponsible (except when it comes to the disabled) so they get first dibs at social housing/benefits etc. Is especially true for those vulnerable families that like to have lots of kids with no means of supporting them.

I do actually feel quite sorry for this couple as although they have obviously made a lot of financial mistakes must be quite embarrassing to have to go to the papers with their story at their age (I know I should feel shadenfreude but there you go).

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Somebody needs to get these two in a room with an audience of 20-35 year olds so they can explain how hard it is having a guaranteed household income of £1400pcm without either of them needing to lift a finger. For extra kicks the audience can be shown their NIMBY letter to the council beforehand.

Anyway the solution to their "problem" is obvious. Sell/bin the furniture, rent a flat in Poole, shop at Lidl, wife claims JSA until she qualifies for a state pension, they both work a bit part time for holiday money and to get out of the house, join social clubs and take up cheap hobbies, until they die enjoy the state pension and NHS provided by younger people who will never have as many economic opportunities in life as these two foolishly wasted.

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My income situation is just as precarious - which is why I haven't led their lifestyle. The government is doing its best to equalise me, however.

Very difficult to run down your balance sheet in the way they have without being aware of the end result.

Should have traded down to a mortgage free property and cut their cloth.

I guess they thought they were worth more than that. But sitting pretty in a nice home and cutting your cloth is far better than sleeping rough at Heathrow.

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Somebody needs to get these two in a room with an audience of 20-35 year olds so they can explain how hard it is having a guaranteed household income of £1400pcm without either of them needing to lift a finger. For extra kicks the audience can be shown their NIMBY letter to the council beforehand.

Anyway the solution to their "problem" is obvious. Sell/bin the furniture, rent a flat in Poole, shop at Lidl, wife claims JSA until she qualifies for a state pension, they both work a bit part time for holiday money and to get out of the house, join social clubs and take up cheap hobbies, until they die enjoy the state pension and NHS provided by younger people who will never have as many economic opportunities in life as these two foolishly wasted.

Im afraid blaming the couple for Successive Government overspending is mute. They have paid into the funds to look after themselves all their lives.

Someone else decided to spend it and a lot more.

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