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Debate House Prices
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A question for the regulars planning to buy houses
Comments
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Graham_Devon wrote: »Theres a huge difference between "not getting morgated up" and being responsible.
Theres also a huge different between "not getting mortgaged up" and simply not being able to afford to get mortgaged up on the run of the mill property.
People just cannot get a mortgage because prices of the homes far outweigh wages.
I for example don't mind getting a mortgage, but there is no way in hell I am going to get a mortgage in which any normal life event, such as illness, redundancy etc, has the house taken off me within a 3 month window. I want peace of mind, and I want to be able to stand on my own feet, even in the event of an uncontrollable life event.
Indebting yourself to a point where you have literally 1-2 months to sort any potential issues out should something happen is absolute lunacy in my view. And thats what I take from your "getting mortgaged up".
good for you0 -
the_ash_and_the_oak wrote: »I don't think houses themselves have always been expensive, I think there have been times when houses have been cheap but that the money to buy them with has been expensive (which has a similar but not identical effect imo)
My OH bought our flat 11 years ago for £55k. The interest rate on the mortgage was 6% something, which would be about the same if he was a first-time buyer at the moment. But the flat itself would cost almost 3x as much.
The average 3-bed house in our area then cost around £100k, now they're on the market at £300k.
So the mortgage interest (so far as a FTB is concerned) is roughly as expensive as it was then, but the properties are a lot more expensive.0 -
It's not just the FTB who needs more money though.My OH bought our flat 11 years ago for £55k. The interest rate on the mortgage was 6% something, which would be about the same if he was a first-time buyer at the moment. But the flat itself would cost almost 3x as much.
The average 3-bed house in our area then cost around £100k, now they're on the market at £300k.
So the mortgage interest (so far as a FTB is concerned) is roughly as expensive as it was then, but the properties are a lot more expensive.
Your OH's flat is now worth £115K or so (3x more as you say). To trade up to a 3-bed house cost's £300K-£115K = £185K
11 years ago it would have cost £100K-£55K = £45K
£185K is over 4 times more than £45K
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mr_fishbulb wrote: »
Mewbie provides the light relief needed.
I've nothing against Mewbie, in fact he has a few times made me have a good think about his posts.
The problem is that it is getting harder and harder to find these nuggets in amongst the jokes and it's getting easier to skip by.
Maybe I'm afraid of missing out on something worth reading and it's my fault but it is much easier to just skip by and move on to the next post.:wall:
What we've got here is....... failure to communicate.
Some men you just can't reach.
:wall:0 -
IveSeenTheLight wrote: »Maybe I'm afraid of missing out on something worth reading and it's my fault but it is much easier to just skip by and move on to the next post.
Do that then and let the rest of us enjoy his nuggets.0 -
My OH bought our flat 11 years ago for £55k. The interest rate on the mortgage was 6% something, which would be about the same if he was a first-time buyer at the moment. But the flat itself would cost almost 3x as much.
The average 3-bed house in our area then cost around £100k, now they're on the market at £300k.
So the mortgage interest (so far as a FTB is concerned) is roughly as expensive as it was then, but the properties are a lot more expensive.
demand and supply in the housing market0 -
Prices low, interest high.
Prices high, interest low.
It's always better to have a low price and higher interest ... because at least that way you can chip away at the capital easier. It's far easier to find/pay off £50k over 20 years than £150k. Or £30k instead of £300k.
I'd rather take £30k at 20% than £300k at 1%.0 -
mr_fishbulb wrote: »It's not just the FTB who needs more money though.
Your OH's flat is now worth £115K or so (3x more as you say). To trade up to a 3-bed house cost's £300K-£115K = £185K
11 years ago it would have cost £100K-£55K = £45K
£185K is over 4 times more than £45K
The OH property would be £165k (3 * £55k):wall:
What we've got here is....... failure to communicate.
Some men you just can't reach.
:wall:0 -
Graham_Devon wrote: »Do that then and let the rest of us enjoy his nuggets.
It's okay Graham, I've no issue in worrying about missing any of your nuggets
:wall:
What we've got here is....... failure to communicate.
Some men you just can't reach.
:wall:0 -
IveSeenTheLight wrote: »It's okay Graham, I've no issue in worrying about missing any of your nuggets
I do wonder how you get from talking about mewbies nuggets, to talking about my nuggets.0
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