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1. rent from friends or family.

2. rent from a cooperative.

3. rent from employer, ie employer provides subsidised rent.

4. rent a room in a house of a friendly, fun, owner occupier.

5. good reliable, trustworthy, tenants are worth more than money.

Homes are healthier if lived in......there are homes out there where people are paid to house sit. ;)

The trouble is that London is so densely populated that most/all of these options are well worked out. From my experience from getting on for a decade ago - I suspect things have only got worse.

Friends and family may do you a bit of a favour, but they will likely need market rent to pay the mortgage. When they come up at work, a room is often £500+/month.

Cooperate/social/trust housing. Massive queues for these. No longer cheap either.

How many employers offer accommodation with the job? A tiny fraction.

Rent a room - see above. A friend of mine ending up moving 4 times in a year doing this in London.

House sitting. Yes, it does exist - but people have discovered this thing called AirBnB...

Then there's timing, you may hear of a great opportunity - but you still have 3 months to go on your contract.

My wife and I ended up slumming it in a room in a shared student house in zone 3. We were OK with that because it wouldn't be forever. But it was a serious compromise. An hour away from work. A serious health hazard. Lack of privacy, space and peace and quiet. When the landlord eventually kicked us out - there was nothing available for less than twice the price.

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I found a village in zone 6, catchment area for two Grammar Schools. Easy walk to the station and all the pubs and restaurants you would want.

Cachement areas for grammar schools tend to be extremely large as they academically select their pupils. They want a huge number of pupils to be eligible so that they can pick (what they deem to be) the very best.

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I can understand people wishing to work in London if the job pays well....what I can't understand is why people would waste the benefits of a well paid job living in sub standard, overcrowded, cramped and or expensive housing.......in one hand out the other to another.....defeats the object imo. ;)

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I can understand people wishing to work in London if the job pays well....what I can't understand is why people would waste the benefits of a well paid job living in sub standard, overcrowded, cramped and or expensive housing.......in one hand out the other to another.....defeats the object imo. ;)

In some cases the jobs simply don't exist elsewhere. Also paradoxically some of the less organised people I know have ended up living in London due to a feckless attitude to job hunting. Self same people have been privy to BOMAD money to get into the London ladder, so to speak.

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Agree. Even worse if you commute to London...

Consider 9-5 (8 hours per day) £50k job in London but have to commute for 1.5 hours each way at a cost of £3k per year. So what you actually have is a £47k job at 11 hours per day, or £34k p.a. when expressed as 8-hour equivalent (47 x 8 /11). That's ignoring taxes and the fact that anything in commuting distance to London has a mark up on price anyway.

I can understand people wishing to work in London if the job pays well....what I can't understand is why people would waste the benefits of a well paid job living in sub standard, overcrowded, cramped and or expensive housing.......in one hand out the other to another.....defeats the object imo. ;)

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Agree. Even worse if you commute to London...

Consider 9-5 (8 hours per day) £50k job in London but have to commute for 1.5 hours each way at a cost of £3k per year. So what you actually have is a £47k job at 11 hours per day, or £34k p.a. when expressed as 8-hour equivalent (47 x 8 /11). That's ignoring taxes and the fact that anything in commuting distance to London has a mark up on price anyway.

Spot on. Local mate earns £10k a year more than me. He commutes into London to get that though. This costs him over £6k a year in train fares, from his taxed income, so £9kish pre-tax. With this commute, he is away from home two hours a day more than I am. He works in IT and admits he could do his job from anywhere with an internet connection...
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My only advise would be to new HPCERS is research your BUY trigger otherwise you'll miss the entry point

When investing in the stockmarket (or a pension, or just savings), you can't expect to time an entry point. Good practice is to trickle money in. A regular monthly payment means you buy more when it's cheap and less when it's expensive.

Seems to me like good advice not just in the stockmarket, but for any purchase you can't make at once or with at most (say) a year's hard saving. Hmm, I wonder what else falls into that category?

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The properties do not just disappear, they will be bought by the better off who are currently renting leaving a pool of poorer renters and IMHO a downward pressure on rents. If you can afford a max of say 1000 you will be outbid for a rental by someone who can pay 1200. If LL sell up then the 1200 renter is more likely to buy than the 1000 renter. Sure fewer rental properties but also less competition.

you might be right, but I cant see people being able to stump up the deposit and stamp duty costs at current prices the LL will sell at, at least in the short term. With the demand for rentals, they will simply try and raise the rents to cover the extra cost.

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London's ok if you're a banker or running a company leeching off young people from outside of London plus immigrant labour all living in over priced rotten crummy accommodation - or in the front line of temporary work, benefits and tax credits etc.

The disgraceful thing is that UK policy encourages that situation and makes it even worse year after year.

Edited by billybong
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  • 4 weeks later...

Essentially a whole bunch of teetering foreign currencies have a whole bunch of people desperately looking for a safer place to put their money,

Are house prices safe? no. clearly.. no,

But are they safer than the Chinese Economy?

The worlds economy is due for a second shock very soon.

and wherever you like it or not there was a crash in 2009-2010.. I certainly saw it in the price I paid... Did it fall as far as I wanted? No. But it was the point I had agreed to myself I would be happy to take the plunge. I know I did the right thing for me. I have no regrets.

Work out what is right for you. not some pipe dream. But a realistic one. set that and be ready. Get your ducks in a row now.

as frustrating as this mess is. as much as you hate the unfairness of it all (as you should. it is unfair).. but be ready. When the next dip happens... if you are not ready and you miss it. you will hate yourself.

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Agree. Even worse if you commute to London...

Consider 9-5 (8 hours per day) £50k job in London but have to commute for 1.5 hours each way at a cost of £3k per year. So what you actually have is a £47k job at 11 hours per day, or £34k p.a. when expressed as 8-hour equivalent (47 x 8 /11). That's ignoring taxes and the fact that anything in commuting distance to London has a mark up on price anyway.

No you pay for the commute after tax - that 3k is about 5k of your taxed money.

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  • 433 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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