Housing in South West now 11.6x average salary

geneer

HAMISH_MCTAVISH wrote: »

Average age of FTB-s according to DCLG


First time buyers
1990 - 33
1991 - 31
1992 - 32
1993 - 32
1994 - 32
1995 - 31
1996 - 31
1997 - 32
1998 - 32
1999 - 32
2000 - 33
2001 - 34
2002 - 33
2003 - 31
2004 - 33
2005 - 32
2006 - 31
2007 - 31
2008 - 32
2009 - 32
2010 - 32
2011 - 32

.........And?

Graham_Devon

geneer wrote: »

.........And?

Mortgage rationing! They are rationing mortgages, making it terrible for the young people....they very people who preyed for a crash have stopped themselves getting a house due to mortgage rationing.

Oh....hang on.

Idiophreak

Graham_Devon wrote: »

The same BBC link splits the figures. Again, this is an average thats classed as OK, but if you break it down, the average age without the bank of mum and dad is approaching 40.....it's in the very same BBC link.

Like I say, some averages are fine. Average age of FTB = 31....good, use it, don't question is. Average salry = X, good, assume everyone earns that or more. Average house price....no no no, these average people are not average now!!

You just don't get it, do you.

You can find all the "averages" you want, but they're just numbers.

What people are disagreeing with you on is the relationship between the numbers. There's just no meaningful relationship between average wage and average house price.

The average person shouldn't be able to afford the average home.
Why don't you talk about the average wage of FTBs vs the average cost of a FTB home?
Should someone who's been on "average wage" for their whole life be in the same "average property" as a FTB on "average wage"?
What does it matter if the bank of mum and dad helps out some FTBs? that's the beauty of an "average" - it includes all cases.
Should a single person on "average wage" live in the same property as a couple both on "average wage"?

Graham_Devon

Idiophreak wrote: »

The average person shouldn't be able to afford the average home.
Why don't you talk about the average wage of FTBs vs the average cost of a FTB home?
Should someone who's been on "average wage" for their whole life be in the same "average property" as a FTB on "average wage"?
What does it matter if the bank of mum and dad helps out some FTBs? that's the beauty of an "average" - it includes all cases.
Should a single person on "average wage" live in the same property as a couple both on "average wage"?

What's all this "should" about?

Anyway, I do get it, hence why I have talked about the lower value housing average that the report itself looks at. You are simply frothing away.

http://forums.moneysavingexpert.com/showpost.php?p=48190471&postcount=74

Idiophreak

Graham_Devon wrote: »

What's all this "should" about?

I'm just understanding how the mechanics of the housing market would work in your great communist vision.

You obviously think something's wrong with the current system, so I'm just trying to understand how you think it "should" work.

Graham_Devon

I don't see much point in responding to you too be honest - sorry.

System

Idiophreak wrote: »

You just don't get it, do you.

You can find all the "averages" you want, but they're just numbers.

What people are disagreeing with you on is the relationship between the numbers. There's just no meaningful relationship between average wage and average house price.

The average person shouldn't be able to afford the average home.
Why don't you talk about the average wage of FTBs vs the average cost of a FTB home?
Should someone who's been on "average wage" for their whole life be in the same "average property" as a FTB on "average wage"?
What does it matter if the bank of mum and dad helps out some FTBs? that's the beauty of an "average" - it includes all cases.
Should a single person on "average wage" live in the same property as a couple both on "average wage"?

This is essentially the argument we've been having for 3 years.

OptionARMAGEDDON

Graham_Devon wrote: »

Hamish & Co would have you believe that actually, it's never been cheaper to buy a house and actually, house prices are only 4x average wage.

But they are not, not in the South West anyway, where the average house is now 11.6x the average wage for the south west.

90% of 18-30 year olds are now locked out of the market in the South West, not helped by those who are already wealthy coming in and buying up second properties.

The solution? Government homebuy schemes.

Theres also a family and friends advantage scheme been set up. Not by BT, but by Taylor Whimpey. This is an arrangement where you can scrounge of your parents, grandparents, friends....well anyone really, in order to get the go ahead to buy your own house.

Even better are these homes are affordable. A one bedroom apartment ranges from £150-155k. But you can sign up to an easy start scheme, which rips you off, but means you only have to pay 5% deposit. The developers will top up your deposit with an interest free loan (for x years) and then you only need a mortgage for 80%.

What a nonsense. £150k for a one bed flat? And this is the "affordable housing" that's being built? It's still approximately 8-9x average wage. Yet councillors and builders all congratulate themselves on their miraculous wizardry.

For little over double that I got a 4 bedroom detatched house (over 2500 sq ft), with 1 acre of land, a 20 metre pond, running stream, orchard and attached granny annexe, double garage with electric gates and a gravel drive.

You would haveto be absolutely frikking nuts to pay 150K for a flat. It seems to me, the @rse needs to fall out the bottom of the market, whereas the true value at present is represented at the top of the market. Oh, we are in the south west btw for comparisons.

ess0two

Graham_Devon wrote: »

I don't see much point in responding to you too be honest - sorry.

Not like you to throw the towel in so early?

Idiophreak

Graham_Devon wrote: »

I don't see much point in responding to you too be honest - sorry.

No offence taken, I'm sure I'll learn to love again - Afterall, I don't see the point in any of the countless threads you spam the forum with.