Flamin' 'Eck, English House Prices Are Cheap.....

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Brallaqueen wrote: »

I'm really surprised to see employment in Liverpool be so low - last time I was there it had three Universities (University of Liverpool, John Moore, Hope) along with the usual council and bureaucratic underpinnings of a large city.

Thats because scousers are genetically disposed to being lazy.

Graham_Devon

All I will say to this is...

If, indeed house prices are so cheap and affordable, why on earth did we need 100%, 110% and 125% lending?

Secondly, why is it so many who bought their houses 10+ years ago openly admit they would have no chance of doing so now?

You'd have to have a pretty decent job to get £10 an hour here. And it's unlikely that if you did, it would be at 50hrs per week.

Graham_Devon

Really2 wrote: »

I don't but here is a £110K house, they are running a BMW X5, are you really wanting me to believe no one gets paid over £20K in liverpool and that the average house price is still £114k?, £114K could not be supported without wages.
http://www.rightmove.co.uk/property-for-sale/property-17144154.html

Has the X5 had it's offside wheels nicked?

And no one has suggested "no one in liverpool gets over x amount". Just used the averages. Of course there wil be people above that.

puddy

Really2 wrote: »

Up this end, it is around half the mortgage cost (the rent part) so overall about 75% of the cost of buying.

Here is one.

so need a mortgage for 62k, ours is around 60k but we are on a fixed rate which is quite high, which is 560pcm (4.8%), so say £500 or so, then another 143 rent charge, then service charges, plus the usual costs that come with owning your own home, who pays for the building insurance?

compare that to what should be an affordable rent for a 2 bed flat or house? (i dont know the area)

but i dont call 650-700pcm 'cheap' (despite its comparison to buying at the full price) and despite what i know is the rent in expensive areas, such as london and the south east

the discussion here is about affordability, you would need a take home of about 2k for that outgoing to be affordable and i doubt the 'average' wage earner in coventry takes home that amount

ukcarper

puddy wrote: »

so need a mortgage for 62k, ours is around 60k but we are on a fixed rate which is quite high, which is 560pcm (4.8%), so say £500 or so, then another 143 rent charge, then service charges, plus the usual costs that come with owning your own home, who pays for the building insurance?

compare that to what should be an affordable rent for a 2 bed flat or house? (i dont know the area)

but i dont call 650-700pcm 'cheap' (despite its comparison to buying at the full price) and despite what i know is the rent in expensive areas, such as london and the south east

the discussion here is about affordability, you would need a take home of about 2k for that outgoing to be affordable and i doubt the 'average' wage earner in coventry takes home that amount

£560 seems a lot for £60k at 4.8%

puddy

actually i think the original mortgage was 66k and is 556 a month, i think what we owe now is around 60k

Graham_Devon

puddy wrote: »

actually i think the original mortgage was 66k and is 556 a month, i think what we owe now is around 60k

I work it out that you are paying 9% interest.

Unless of course you have the mortgage over a shorter period.

Loughton_Monkey

GillM wrote: »

20 years ago I was a first time buyer needing 100% mortgage so what I earn now is irrelevant as I'd have some equity to contribute. I'm talking about what I might earn now as a first time buyer

Well even so, you're talking of £120,000 mortgage these days. My mortgage rate is 1.5%, but let's assume 4%. That's £4,800 or £400 a month.

Down here, you get £400 a week housing benefit for God's sake.

Really2

puddy wrote: »

so need a mortgage for 62k, ours is around 60k but we are on a fixed rate which is quite high, which is 560pcm (4.8%), so say £500 or so, then another 143 rent charge, then service charges, plus the usual costs that come with owning your own home, who pays for the building insurance?

compare that to what should be an affordable rent for a 2 bed flat or house? (i dont know the area)

but i dont call 650-700pcm 'cheap' (despite its comparison to buying at the full price) and despite what i know is the rent in expensive areas, such as london and the south east

the discussion here is about affordability, you would need a take home of about 2k for that outgoing to be affordable and i doubt the 'average' wage earner in coventry takes home that amount

Its still cheaper than a £125k mortgage at your IR rate?

Cleaver

moggylover wrote: »

Because, rather over-simply put, where the prices are cheaper there is very little work and what work there is is more likely to be two on minimum wage.

Even where qualifications come into the mix the wage rates are pretty deplorable because the employers know that they can wave the "high unemployment" flag and keep salaries way below average.

The reality of life and wages BEYOND London and the South East is something that I think is difficult to conceive of until you have actually lived it, and no: a couple of weeks holiday doesn't suffice for that:)

Blimey, what a backward view (if you don't mind me saying). I'm in Manchester and I can assure you that the North West is full of companies and organisations employing people in jobs that pay far more than the minimum wage. Many companies are starting to base headquarters and office bases outside of London to save the high rental costs.

Your post sounds like it's from the '70s.