Millions give up on owning property

jamespmg44

new_home_owner wrote: »

i think if a bank offered a attractive rate to first time buyers with a 5 percent deposit, the market would be flooded with first time buyers.

Until this happens first time buyers wont be back, its like the banks have moved the goalpost's making it more or less impossible for any first time buyers to get onto the housing ladder.

Or maybe if buyers saved up a reasonable deposit for a house they might be able to buy one...

new_home_owner_3

jamespmg44 wrote: »

Or maybe if buyers saved up a reasonable deposit for a house they might be able to buy one...

i think a reasonable deposit is 10 or 5 percnt of a 150,000 pound house, just because banks made mistakes of giving 100 -125 percent mortgages, 5 to 10 percent as been the average deposit for years, the banks lent to people who had nothing, why should people who have a decent deposit be punished>?

new_home_owner_3

jamespmg44 wrote: »

Or maybe if buyers saved up a reasonable deposit for a house they might be able to buy one...

reading some of your earlier post's you say you graduated from university in 2003 and you bought a house in 2004, are you one of the house buyers who had a large deposit from daddy and mommy?

Loanranger

The goalposts have changed a great deal since I bought my first house in 1970.

Almost every stick of furniture was given to us, cast offs that the oldies no longer wanted. They could afford to buy new but we couldn't. The old stuff included a 13 year old cooker, an ancient floral covered three piece suite, curtains, TV, fridge, table, sideboard and some old dining chairs I bought for ten bob. (50p in new money).
We scrimped and saved every last penny to save for the deposit. I even made my own wedding outfit and dyed a handbag to match a worn pair of shoes. No honeymoon. 25 guests to wedding, in a church not an expensive hotel or venue whose aim in life is to make a big profit.

Yep, sounds like the three Yorkshireman sketch but that is exactly how it was.

People's expectations are different today and so are their priorities. If people prefer to spend their money on big wedding, holidays, having kids, latest gadgets, cars, new clothes that's their choice. I chose not to have any of those things because I wanted to save up for a deposit.
Different strokes.

JonnyBravo

Graham_Devon wrote: »

And the reason?

Is it because it's sooooooo much cheaper to rent than buy?

Or is it because of the high standard of rental property I offer?

nicko33

JonnyBravo wrote: »

Is it because it's sooooooo much cheaper to rent than buy?

Should be easy to save for a deposit if it's cheaper to rent

debtistheft

This is wonderful news. Eventually there will be a majority of people renting and so the political will to change the tenancy laws will be there and people who rent will no longer be seen as second class citizens or cash cows for the rich property owning classes.

The advantage to the wider economy is obvious because all of the dead money locked up in homes will instead be invested in industry, providing jobs and income for people.

There is no downside in having house prices out of reach of the common man. The illusion that owning a pile of bricks will somehow make you a success will be destroyed.

I could not be happier at the way our country is going. Throw off the shackles of debt and rent!

ViolaLass

debtistheft wrote: »

The advantage to the wider economy is obvious because all of the dead money locked up in homes will instead be invested in industry, providing jobs and income for people.

But if your money isn't tied up in a house, your landlord's will be instead - the amount of money available for investment won't change.

debtistheft

ViolaLass wrote: »

But if your money isn't tied up in a house, your landlord's will be instead - the amount of money available for investment won't change.

But the property will then be earning its keep. It is a proper investment, making money that is then taxed and put back into the economy rather than it just being dead money held in equity. A large rental sector also helps the wider economy in that it enables us to have a more mobile and fluid workforce.

ViolaLass

debtistheft wrote: »

But the property will then be earning its keep. It is a proper investment, making money that is then taxed and put back into the economy rather than it just being dead money held in equity. A large rental sector also helps the wider economy in that it enables us to have a more mobile and fluid workforce.

If I have a mortgage, the bank will be paying tax on the profit from that.

If I don't have a mortgage then I can invest the money I'm not spending on it.