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Nabby81

Under 35's Face Becoming Perm Renters

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http://www.theguardian.com/society/2016/feb/13/under-35s-in-the-uk-face-becoming-permanent-renters-warns-thinktank?CMP=share_btn_tw

Nine out of 10 Britons on modest incomes under the age of 35 will be frozen out of home ownership within a decade, according to a study from a leading thinktank that lays bare the impact of surging property prices on the young.

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Homeowners risk having to bury their houses with dead body.

Markets need buyers as well as sellers.

Things only have worth when they are sold.

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Younger people have time on their side. That is, several times over: time to pay off a mortgage, time to have a spell of higher income, time to see investments grow. It's older folks who either already own or are increasingly locked out as time to pay a mortgage diminishes.

The scandal affecting the young is the level of debt they're pushed to take on.

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HA. I'm 36.

Problem with the young today is they'd rather have ipads and fancy trainers than save for a deposit.

It took me 18 months to save up the £10k I needed for a deposit, and I only went to Canada twice on holiday and bought a new car. I only had a normal phone, not one of those fancy i-thingys they walk around with nowadays.

When I moved into my £130k 3 bedroom house in one of the most expensive cities in the country I had to go without new carpets and windows for 3 months whilst I saved up. They want it all on a plate nowadays these under 35 year olds.

Edit - Oh I forgot we were paying 5.5% on our mortgage! Almost twice what youngsters are paying and they have the cheek to moan!

Edited by Timak

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HA. I'm 36.

Problem with the young today is they'd rather have ipads and fancy trainers than save for a deposit.

It took me 18 months to save up the £10k I needed for a deposit, and I only went to Canada twice on holiday and bought a new car. I only had a normal phone, not one of those fancy i-thingys they walk around with nowadays.

When I moved into my £130k 3 bedroom house in one of the most expensive cities in the country I had to go without new carpets and windows for 3 months whilst I saved up. They want it all on a plate nowadays these under 35 year olds.

Edit - Oh I forgot we were paying 5.5% on our mortgage! Almost twice what youngsters are paying and they have the cheek to moan!

Would you be able to save the deposit up and get the mortgage amount now for the exactly the same house if you were doing the same job as you were back then, now?

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My father was saying it's not that bad for young people these days.

I asked him to look up the price of his actual first house and see if he could afford it on a starting wage in his field.

That seemed to make it all a bit more real and personal.

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I do hope that's tongue in cheek Timak.

If not, what an utterly stupid post

Of course it is tongue in cheek. I'm paraphrasing boomer speak when the likes of my parents say they had it hard too when they were in a 4 bedroom detached house by 30 and had 20% wage inflation!

Edited by Timak

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Would you be able to save the deposit up and get the mortgage amount now for the exactly the same house if you were doing the same job as you were back then, now?

Nowhere near.

Starting salary £18k - same job probably pays £22k now.

House £135k, would be £325k now.

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The Guardian article is riddled with spin from the BTL crowd moaning about the removal of housing benefit and the increase in stamp duty - trying to convince us once again that houses evaporate without landlords to keep them anchored in reality.

But the headline stat is very true. The hope of home ownership is dead in this country.

Why concentrate on people earning 10-50% of the national average household income, though? What's the stat for people who earn the average? Or for those like me who earn above average, and yet are still priced out?

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It took me 18 months to save up the £10k I needed for a deposit, ...When I moved into my £130k 3 bedroom house in one of the most expensive cities in the country

Anyone thinking that post was serious, these two lines were the giveaway... a 10k deposit, and 130k 3 bedroom house in an expensive city? Clear pastiche of idiots who have no idea what market is like :)

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The Guardian article is riddled with spin from the BTL crowd

"the average modest income household having to spend 22 years to raise the money needed for a typical first time buyer deposit – up from just three years in the mid-1990s"

It's true that they had some silly quotes from people who didn't seem to understand they get no income if they demand above what people can pay. But before that was the key quote above - which does get to the nub of the issue, where current bubble prices are simply insanely out of whack with earnings.

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HA. I'm 36.

Problem with the young today is they'd rather have ipads and fancy trainers than save for a deposit.

It took me 18 months to save up the £10k I needed for a deposit, and I only went to Canada twice on holiday and bought a new car. I only had a normal phone, not one of those fancy i-thingys they walk around with nowadays.

When I moved into my £130k 3 bedroom house in one of the most expensive cities in the country I had to go without new carpets and windows for 3 months whilst I saved up. They want it all on a plate nowadays these under 35 year olds.

Edit - Oh I forgot we were paying 5.5% on our mortgage! Almost twice what youngsters are paying and they have the cheek to moan!

:lol::lol::lol: ROFL, no-one could have taken this serious from the 2 holidays to Canada. Although the best part was going without windows for 3 months! But hey, you could have pulled this from the comments section! :P

Edited by renting til I die

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I'd start with free perms, so no one needs to rent them, and the abolition of slavery.

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wonder how many people at any age are frozen out of renting.....no-one seems to talk about that.

The pie is only so big, and getting smaller....not just under 'xx' age

Tbh this crash couldn't come at a better time in the socio-economic history of the UK....somethings were just meant to be.

Less smugness all-round will be very welcome

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:lol::lol::lol: ROFL, no-one could have taken this serious from the 2 holidays to Canada. Although the best part was going without windows for 3 months! But hey, you could have pulled this from the comments section! :P

Problem is that is all actually true!

I moved in with my girlfriend, both got jobs paying roughly £20k. Saved for 18 months and put a deposit of £15k down. Mortgage for 3x joint salary.

Went to Toronto one year and Vancouver the next - went in Sept/Oct time and stayed in backpackers so it wasn't that expensive.

Got a new car for about £200 a month too.

The very early 2000's were a golden time compared to now for young people. Didn't seem like it at the time.

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Well renters don't tend to vote Tory so they better get their thinking caps on with some good quality, tenant friendly policies.

Yep, the well-housed pre-Boomer/Boomer cohort are being buried/cremated at a rate of 3 million or so per Parliament, along with their poll cards.

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