Monday, February 9, 2009

Supply and no Demand!!

Million baby boomerangers move home

More than one million young people (under 24) have moved back in with their parents in a bid to save money towards buying their own home, a survey showed. AND with an estimated 440,000 25- to 34-year-olds returning home. AND a further 471,000 35- to 44-year-olds have also failed to fly the nest and are again living with their parents in a bid to save money. Wow!!

Posted by peter_2008 @ 09:20 AM (816 views)
Please complete the required fields.



4 thoughts on “Supply and no Demand!!

  • mark wadsworth says:

    Sweet! If you look at the UK’s population pyramid and project forward ten or twenty years, there will be more old people dying and hence houses being sold than there will be young people reaching ‘first time buyer’ age.

    This effect will be exaggerated by the fact that older people, by definition, tend to die as widows or widowers, and that young people tend to buy as couples. If you factor that in, there will be only one potential FTB couple for every three houses that executors would like to sell.

    Perhaps this explains why house prices in Japan have been sliding for twenty years – they are simply further ahead than we are in the ageing stakes.

    Right. I have now convinced myself that house prices will never ‘recover’.

    Reply
    Please complete the required fields.



  • stillthinking says:

    Anecdotally, I know somebody who rents out and the family has been doing so for decades. Anyway, recently he had three voids at the cheap end of London, individual rooms in a shared house. Not for long, he got them let in a month but the drop in income was a sufficient scare for him to move out of his own flat, putting that on the market, and heading back with family to his mother’s house. Result, one additional flat.

    I see the restricted size living arrangements as part of the cause of low birthrate in the UK, hence the perverse nature of a solution to a demographics crisis through immigration.

    “older people, by definition, tend to die as widows or widowers” ! What kind of definition is that? I hope you don’t end up working at my care home… I kind of agree but don’t forget that in Japan typically sons stay in their parents house to fulfill their duty of care, and if married their wife will also move in. So you can have three generations in a single house. In the UK we have an idea of children always moving out at around 20, so the number of empty former kids bedrooms must be huge. If there was a social change to living with parents, which I always feel is kind of frowned on in the UK, as though you haven’t grown up properly, then certainly the effective amount of housing stock would increase.
    But, who wants to live with their parents? A problem, not a solution.
    mark, it is an excellent point though, and often forgotten, in the long term the baby boomers will be vacating(!) a huge amount of property around 2030, but of course immigration puts us at 70 million by 2050….

    Reply
    Please complete the required fields.



  • mark wadsworth says:

    ST “older people, by definition, tend to die as widows or widowers” ! What kind of definition is that?

    Unless both partners die simultaneously, surely this is true? I wouldn’t mind so much, but Land Value Tax opponents are always yapping on about little old ladies in the family home not being able to afford LVT, so every now and then I get in a dig. In the absence of the taxpayer funded state pension, many little old ladies would be able to afford to eat, full stop, and it winds me up that not only do they want their freebies, they want house prices to be propped up to get an extra bite of the hand that feeds – older people tend to be even more rabidly NIMBYish that younger people (although NIMBYism is endemic).

    Reply
    Please complete the required fields.



  • stillthinking says:

    sorry, it is fair enough. I just saw it as dying a widower==old. That must be only half of them though, because you need a married death first to get to either widow or widower.

    Reply
    Please complete the required fields.



Add a comment

  • Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
  • Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
  • Please adhere to the Guidelines

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>