This is bizarre. An interest rate cut is expected soon and houses are not selling...

IveSeenTheLight

baileysbattlebus wrote: »

My sister and her OH saved her wages and lived off his. Initially, they used to use some of her money for holidays and Xmas, but as time went on they didn't need to. It was saved and allowed her, with no pension provision to retire from work at 45.

Wish we had done the same!!!!

Thanks, another nice example of how people can live on one wage if they chose to do so.

dopester

Are you still out in Malaysia ISTL? If I'm reading your posts right, you've also bought a place over there with a mortgage?

I read Malaysians are tightening up on their spending. Sounds like you're going to get a global education.

October 30, 2008 16:53 PM

Malaysians were paying more attention to food prices with a majority acknowledging that they were now more likely to check the price of their food items and make comparisons with other food related products before making a purchase decision.

"Interestingly enough, 33 percent of Malaysians said that they have resorted to storing more food at home in case prices go up," he said.

When it came to salaries and income, close to half (42 percent) of all Malaysians, believed that they were earning the same amount of money while over a quarter (26 percent) said that they were taking home less.

Only 15 percent of Malaysians said that they had earned more money in the last six months.

The survey also asked people which items they had given up and which other items they were prepared to give up over the next six months in view of the current economic situation.

It found that holidays and leisure travel (18 percent), branded items (13 percent) as well as eating out (12 percent) were the first items to be sacrificed while big ticket items (12 percent), such as plasma TVs and electrical appliances were next on the list.

While just over half of Malaysians said that they were worried but could not stop spending immediately, a bigger percentage (58 percent) acknowledged that they had made a life-altering decision such as postponing marriage, having children, moving house, changing jobs as well as pursuing higher education.

"It's evident that the current economic situation has impacted the lives of everyday Malaysians.

http://www.bernama.com.my/bernama/v3/news_business.php?id=368152

lostinrates

hethmar wrote: »

Cor, you are joking, kids only costing you for 20 years?????:)

(I saw a 60 odd year old man in town in the summer, wearing a tee-shirt with the slogan "Money cant buy you happiness, but it does keep the kids in touch)

Even if children did only cost for 20 years, well, my mothr would hav had a depndant for forty years of her life. (sister is approx twenty years older than I). As it happens sister still needs an alowance and I live here:o so while I contribut financially I suppose one could say thy might let the room I was otherwise in.

IveSeenTheLight

dopester wrote: »

Are you still out in Malaysia ISTL? If I'm reading your posts right, you've also bought a place over there with a mortgage?

I read Malaysians are tightening up on their spending. Sounds like you're going to get a global education.

October 30, 2008 16:53 PM



http://www.bernama.com.my/bernama/v3/news_business.php?id=368152

LOL, I'm actually struggling to learn things in my field in Malaysia.
I'm actually employed to pass my knowledge on.

We have bought in Malaysia and to be honest, normally I wouldn't do it with my own personal money, but when it came down to the option of renting on my company or buying within my contract frame, then at least by buying, I will get some extra return I would not get by renting. Singaporians are snapping up property in Malaysia as places to move to when they retire. Malaysia has a programme called MM2H (Malaysia My 2nd Home) in which it is a very tax incentive place to move to in retirement.

The Malaysia economy is quite diverse, minimum wage is wanted to be raised to 900RM (approx £150 pm) and the way locals live, many UK persons could not live that way.

The country is on a massive development stage and in the SE is a very good option to be there. Not as expensive as Singapore or Hong Kong and many immigrants from Phillipines, Thaiand, Vietnam, Indonesia etc, all wanting to relocate to Malaysia for the better lifestyle.

Regarding food, there is a personal taste. I know some food stores are more expensive than the UK, but also I know that local can live very cheaply.

When we sent some locals to the UK for training, they lived on £20 per week food and banked the rest of the money. I couldn't eat like they did, but they survived and saved a lot of their allowance

I hope this has educated you a little bit on Malaysia economy

Austin_Allegro

lostinrates wrote: »

Even if children did only cost for 20 years, well, my mothr would hav had a depndant for forty years of her life. (sister is approx twenty years older than I). As it happens sister still needs an alowance and I live here:o so while I contribut financially I suppose one could say thy might let the room I was otherwise in.

Whilst calculating the cost of children, shouldn't you also factor in the money you'll save in your old age by having your children help you? (Assuming they don't just shove us all in a home, that is!). Eg, my sister and I are always round at our elderly parents helping them out with stuff that would cost a fortune if they paid professionals to do it.

HankMcSpank

Gangstabird wrote: »

Get Lost Mr McSpank. I would like to know exactly where I offered advice.

[clears throat] ahem, you said this in your original post...

Gangstabird wrote: »

this is a good time to buy if you can get the right price if you know what I mean.

Now imagine, I wanted to get repossessed too & sought advice on an internet discussion forum from someone who'd been there- imagine I was wavering....well, a statement like...

"This is a good time to buy"....would probably have me signing up straight away for an overpriced ex public toilet in Hackney.

neas

North_Sea_Bubble wrote: »

Banks have rediscovered RISK

Which we are having to pay for... aint life great?

:P

lostinrates

Austin_Allegro wrote: »

Whilst calculating the cost of children, shouldn't you also factor in the money you'll save in your old age by having your children help you? (Assuming they don't just shove us all in a home, that is!). Eg, my sister and I are always round at our elderly parents helping them out with stuff that would cost a fortune if they paid professionals to do it.

Put like that I am very good value but not all children are DH could help his father with houshold chores. I suppose ...but NYC is a long way to go to change a lightbulb (and probably not cost effective;) )

carolt

IveSeenTheLight wrote: »

I wouldn't say wealth as I am still in mortgage debt and only keep a small emergency savings, puting the rest into that debt.

I bought one of the BTL's in Jan 2007 so have not had "years" of steep HPI.
The second was previously a home I had before I moved abroad. Bought in 2004 and only converted to a BTL 2 years ago.
I moved abroad 2 years ago and my wife gave up her job to join me, reducing our income to one.

I moved abroad, because I was good at my job, achieved better qualifications at the same time and showed an application that I was suited to the role. Certainly achievable by many if they apply themselves in this way.

So in 8 years of buying property only 2 have been utilised as BTL, most of the payment into the mortgages has come from living off one wage and puting the second wage into reducing mortgages, although I do confess that in the last two years, my tenants have helped to reduce the mortgages at an increased rate.
We made the decision to live off one wage knowing it would benefit us in the future by being able to live within the means of one wage and rapidly repaying mortgage debt. It also meant that if / when we went down to one wage, we could manage by on that.

So a typical couple CAN do as we have done and prepare for the future.

The question is if they are prepared to make the same choices and settle down early as we have

You haven't answered my points at all - if everyone put there spare cash into BTL, there would be no-one left to rent - your approach only works if there are enough people priced-out to pay your mortgage costs. (so hardly a surprise you don't welcome falling prices!)

And the amount a couple could save before having children from the 'spare' salary would be highly unlikely to pay for one child let alone more for any length of time - except for those on very high salaries.

Or are you sugesting that only the very well paid should consider having children? :rolleyes:

Scarily, possibly you are..... :eek:

sabretoothtigger

You assume most have spare cash when people usually just pay the bills and spend the rest, the main competition to btl is council schemes, etc