You can not afford to buy a house if...

poppysarah

• You have to have a gifted deposit.
• You whinge about not being able to afford stamp duty
• You extend the mortgage term over 25 years.
• You can afford it on the fixed rate but not if it went up.
• you can't save a deposit yourself
• you are looking at interest only mortgages
• you can only afford to be a % of a property

Gwhiz

Careful there poppysarah... the L'Oreal generation will not like this at all

Witlim

surely 99.9% cannot afford to buy a house unless buyers have earned and have spare tens or hundreds of thousands of pounds to purchase a property outright. Thats why there are lenders who bridge most peoples shortfalls and offer a variety of products, namely mortgages.

poppysarah

Witlim wrote: »

surely 99.9% cannot afford to buy a house unless buyers have earned and have spare tens or hundreds of thousands of pounds to purchase a property outright. Thats why there are lenders who bridge most peoples shortfalls and offer a variety of products, namely mortgages.

I didn't include:

* if you need a mortgage.

Of course most people need mortgages. The reason houses are so unaffordable still is too many people got too much money from the banks in a rising market.

The contraction in lending is encouraging even more perverse schemes to con people into paying these insane prices.

and_another_thing...

...if you have to apply for a mortgage in order to do so...?
Very few people can actually AFFORD to buy a house.


and


...if you want to live in the majority of areas in zones 1-4 in London.

HAMISH_MCTAVISH

poppysarah wrote: »

Of course most people need mortgages. The reason houses are so unaffordable still is too many people got too much money from the banks in a rising market.

The contraction in lending is encouraging even more perverse schemes to con people into paying these insane prices.

*sigh*

Prices are where they are because supply failed to keep up with demand. No other reason.

And seeing as how we're now building less houses than at any time since the late 1800's, and are about to see the biggest generation in history reach FTB age, then prices are going to be booming again soon enough.

Now stop this hpc propaganda nonsense. It's bad advice, against the forum rules, and you should know better.

poppysarah

HAMISH_MCTAVISH wrote: »

*sigh*

.

*sigh* back at ya!


There are over 1.1 M empty homes in the UK

There are about 245,384 second homes

HAMISH_MCTAVISH

poppysarah wrote: »

• You have to have a gifted deposit.
• You whinge about not being able to afford stamp duty
• You extend the mortgage term over 25 years.
• You can afford it on the fixed rate but not if it went up.
• you can't save a deposit yourself
• you are looking at interest only mortgages
• you can only afford to be a % of a property

Regurgitated bear memes as regularly spewed all over hpc.

But completely untrue, of course.

Anyone that can access deposit or mortgage funding should do so soon, through whatever means possible, before prices start the inevitable next boom.

Or some will inevitably find themselves renting for life and enriching their landlords as the biggest generation of FTB age people in history crashes into the biggest housing shortage in history.

poppysarah

HAMISH_MCTAVISH wrote: »

Anyone that can access deposit or mortgage funding should do so soon, through whatever means possible, before prices start the inevitable next boom.

Are you a banker?:rotfl:

HAMISH_MCTAVISH

poppysarah wrote: »

There are over 1.1 M empty homes in the UK

False.

That's dropped to around 700,000, and has been falling for years.

And the empty homes agency states half are empty at any given time due to refurbishment or probate, etc. And the other half are almost all derelict or in the wrong place for todays demand.

I know of many abandoned houses in the Highlands..... Which is of no use to a teacher in London.

So this "empty house" argument is a total irrelevancy.

There are about 245,384 second homes

None of which are available for sale or rent. So they may as well not exist.

You should be careful with the bad advice you're giving, it's against forum rules.

andthethreebears

So the only way to afford a property is to be old?!

I disagree about the mortgage term point (amongst others)
We bought our property at 15yrs younger than the 'average' ftb.
So even on a 30yr as opposed to a 25yr mortgage - we're still a minimum of 10yrs ahead!! Makes sense to me...