What do you predict?

Chris2685

OK I found another possible source...

Funny how there seem to be so few reputable sources around

http://www.denbighshire.gov.uk/EN/EnvDirec.nsf/0fe70aef12d2674a80256763004d8527/ab69c47e8ab4346980256d2000313627/$FILE/Average%20Household Income 2006.pdf
"In 2006, average household income in the UK was £32,342."

So, assuming 2% inflation per year since then, it is now... roughly £34000

mitchaa

Chris2685 wrote: »

But those figures are based on gross, and are based on household incomes (not single income).

Fair enough it is a couple of years old, but I doubt income has risen 8k in 2 years...

Household incomes also cater for all those on benefits and not in work so they sway the figures.

Perhaps it should just be average working household income, that would be more relevant to the mortgage market as its highly unlikely a dole dosser is ever going to get a mortgage.

Chris2685

Try finding that figure somewhere then haha

mitchaa

Chris2685 wrote: »

OK I found another possible source...

Funny how there seem to be so few reputable sources around

http://www.denbighshire.gov.uk/EN/EnvDirec.nsf/0fe70aef12d2674a80256763004d8527/ab69c47e8ab4346980256d2000313627/$FILE/Average Household Income 2006.pdf
"In 2006, average household income in the UK was £32,342."

So, assuming 2% inflation per year since then, it is now... roughly £34000

CPI currently at over 5% this year

Last year i believe pay awards were based on around 2.8%

But yes, it gets you closer to that £38k ish figure.

pickledpink

TDS wrote: »

Those that were predicting 50% drops a while back are no longer looking so crazy. I therefore predict 120% drops.

You're bright!!!!!!!!

:rotfl: :rotfl: :rotfl: :rotfl: :rotfl: :rotfl: :rotfl: :rotfl: :rotfl:

carolt

This is an old argument, as I'm sure you well know.

The reason mortgages have traditionally not been based on 3.5 times dual incomes or household income is because in most cases, couples have families which affect the ability of both partners to earn full wages. Therefore it would be suicidal for banks to lend on full multiples of 2 incomes, as a lot of people, in the medium to long term, would be unable to pay - as we are seeing now.

It was precisely those kinds of lending decisions that caused this mess.

I have a feeling mitchaa doesn't have children yet - if and when he does, the flaw in his logic may become apparent.

adr0ck

carolt wrote: »

This is an old argument, as I'm sure you well know.

The reason mortgages have traditionally not been based on 3.5 times dual incomes or household income is because in most cases, couples have families which affect the ability of both partners to earn full wages. Therefore it would be suicidal for banks to lend on full multiples of 2 incomes, as a lot of people, in the medium to long term, would be unable to pay - as we are seeing now.

It was precisely those kinds of lending decisions that caused this mess.

I have a feeling mitchaa doesn't have children yet - if and when he does, the flaw in his logic may become apparent.

i think thats why the figures are based on one full time and one part time

if you go back far enough then there was only one wage

also don't forget most things are cheaper now

Austin_Allegro

currynchips wrote: »

If the average house price now is circa £170k(Haliwide), where do you think they will be in 2 years time?

note: this is justa query thread, not an essay-answers-only thread. Just numbers. Ok?

I'll start at £155k.

In two years, hmm, I reckon a house will go for:

1. £900,000,000,000,000 (nine hundred thousand trillion pounds). That's due to hyperinflation, not house price inflation, by the way. NB: That's the price on 16 October 2010 in the morning. By the afternoon it will be double that. Oh, and the wheelbarrow will be thrown in free.

or:

2. Ten bars of gold

or:

3 four hundred tins of beans, twelve shotgun cartridges and a wind up radio!

:rolleyes: