Housing at its most AFFORDABLE level for more then six years

Phirefly

he looks happy enough

a_rather_tall_man

As I think I've alluded to before in another thread its not affordability or any salary multiples that are holding the potential FTB's I know and myself too from buying right now, its the uncertainty of still being in work in 6months time. I'm not saying I'm going to be waiting for a total cast iron guarantee of long term employment as I know no such thing exists but my work load needs to show at least some recovery to previous levels before I think about committing to any large debts. Whether you can/should buy is far more complex than punching some numbers into an online calculator....well it is if you have a modicum of common sense about you anyway.

davilown

ukcarper wrote: »

A FTB doesn’t normally buy an average house. With a reasonable deposit they’re not far of a two-bed terrace.

No the're not

ukcarper

davilown wrote: »

No the're not

Average terrace 114k 25k x 3.5=87.5k 15k deposit 102.5k
Assume 2-bed terrace 5k less than average 109k 6.5k out about 6% so not far.

mewbie_2

Dan: wrote: »

Assuming you have no dependants and zero debt, Halifax will lend you £168000 on a 35k wage. + a 10% depoist will mean you can look for somewhere around the £185k mark, above the average house price.

That figure is abso!!!!!!!lutely bonkers. 4.8 times salary? So you can earn a reasonable wedge, mortage up to the hilt (and beyond), and have no money left to buy curtains for example.

I thought this kind of garbage lending had been thrown out now? Madness.

Graham_Devon

ukcarper wrote: »

Average terrace 114k 25k x 3.5=87.5k 15k deposit 102.5k
Assume 2-bed terrace 5k less than average 109k 6.5k out about 6% so not far.

Problem is, they aint gonna be getting a 90% mortgage very easily, regardless of what anyone says on here about them being on the market. Means nothing, look at approvals, and where these approvals actually come from.

Mewbie, it has. Dan is simply saying the product is there, no ones actually getting it. Bit like the mortgage relief thing from the government which helped 1 or 3 people.

Browns actually using that mortgage relief thing as a help for families in a party political broadcast which is airing at the moment on TV!

the_ash_and_the_oak

Dan: wrote: »

Assuming you have no dependants and zero debt, Halifax will lend you £168000 on a 35k wage. + a 10% depoist will mean you can look for somewhere around the £185k mark, above the average house price.

Must admit I earn a touch more than this and have prob double that kind of deposit but not really feeling the idea of borrowing that much tbh. not really so into what that gets you here in London imo

bumpoowee

Dan: wrote: »

Assuming you have no dependants and zero debt, Halifax will lend you £168000 on a 35k wage. + a 10% depoist will mean you can look for somewhere around the £185k mark, above the average house price.

Just because you can borrow that much, why would you want to? My household income is 70k ish but when I buy I'd be looking at houses in the 120k bracket, once I have a 30% deposit.

It is quite sad that some people feel that the purpose of life is to work yourself to death to pay over the odds for a pile of bricks, when you could spend your money actually enjoying yourself instead.

spinning_hamster_wheel

Why is the absolute maximum that any bank will offer on a mortgage deal being quoted as what one 'should' be paying? Do people really feel the need to stretch themselves as far as humanly possible just to own a house? With the alternative being to re-train just to attempt to support the current inflated housing market? And re-train for what exactly when unemployment is rising?

dopester

Dan: wrote: »

I said 'maybe' they should as an option. If you want something bigger and better you need to earn the right money, so need to be in the right job, hence need to be appropriately trained.

Buying a house as a FTBer is not going to be easy, and it never has been.

What and where are all these jobs, which will pay more? I can understand it if your talent and skills really outshine that of most other candidates in the marketplace to bring value to a company.

Yet even for many of the highly trained and well qualified candidates, more are finding themselves out of work, having to compete with other highly trained/qual candidates, or even having to accept low-skill, lower-paying jobs.

Even lower-skill jobs are harder to get. Checking the employment opportunities at Manchester Airport last night, there wasn't a single vacancy.

http://www.manchesterairport.co.uk/manweb.nsf/Content/jobvacancies