Those born after 1979 could be stuck being a lifelong renter

MrRee_2

^^ Excellent, always winners and losers^^

Nice to see winners posting to counteract the losers - well done!

ILW

I wonder how many 20 year olds had debt 30 years ago, as opposed to today.

seven-day-weekend

MrRee wrote: »

Being born before or after 1979 is apparently key to whether you're able to afford to own your own home or not.

Older than 33 and you're likely to be already on the ladder, having bought a few years ago and seen values rise in the main.

Younger than 33 and it's a massive struggle to put enough of a deposit together and to earn enough to secure a sufficiently large mortgage to get on the ladder.

Poor Jimmy31, just born too late, and stuck holding onto hope and his Mummies apron strings.

Post deleted

Fella

The Housing "Ladder" is an abused phrase.

It dates from when IRs (& pay increases) were much more like 10%. In those days it was indeed a ladder - you bought a property & within 5 years that inflation had halved your effective debt. It's precisely why so many people have parents who say "when we first bought we struggled but after awhile it got easier" & who ended up paying some noddy amount like £100/month for the last few years of their mortgage.

Currently it's different. Wage rises are non-existent & anyone buying a house for say £250,000 today & finding it a struggle may well be struggling just as much in 10 or 15 years. And the chances are they'll still owe most of that £250,000 capital. Of course there is no way of knowing where house prices will be then, but it's entirely possible they'll be pretty much where they are now (& therefore in real terms quite a bit lower).

At present there is no ladder. I don't think anyone who's not currently a home-owner but is saving for a deposit should feel bad. A net cash position of £5k, £10k, £20k, no property but no debt, is actually an infinitely stronger position than a lot of homeowners are currently in.

CRASH_BANG_WALLOP

MrRee wrote: »

Poor Jimmy31, just born too late, and stuck holding onto hope and his Mummies apron strings.

jmmy31 gets right up your nose :T why not make up a username like JIMMY_MUMMIES _BOY just like you did with Percy?

MrRee_2

CRASH_BANG_WALLOP wrote: »

jmmy31 gets right up your nose :T why not make up a username like JIMMY_MUMMIES _BOY just like you did with Percy?

Hiya Jimmy31 ..... you can post as Jimmy lad if you want!

homelessskilledworker

BobQ wrote: »

A wild generalisation as ever. But if you want to generalise....

The fact is that those born after 1979 are trying to buy a house when the long term house price to earnings is abover the long term average. When it falls to a more realistic level they will be able to buy.

But another factor is that those born in the late 50s mostly approached the problem differently. They saved for their house deposits, bought old cars, accepted second hand furniture and did not expect to take lots of foreign holidays. In short they lived within their means. Those born after 1979 have been encouraged to take on debts and spend what they do not have. This cultural change was progressive, but I suspect those in their 20/30s now who have a house with a mortgage that is less than when they bought it are the ones who have not been taken in by the debt culture.

You are just an idiot!

If this generation have any problems/faults, then they were handed down by my/your generation. Culture is not in the genes, it is learnt.
You have a low opinion of the younger generation that turns my stomach. Out of interest do you think that you would have the strength or knowledge to bring just one of these problem kids back on track?

I doubt it very much

Going4TheDream

What is the source of this 'apparently'?

Both my girls are home owners and have been so for a while now, both born in the 80's.

Graham_Devon

Going4TheDream wrote: »

What is the source of this 'apparently'?

Both my girls are home owners and have been so for a while now, both born in the 80's.

As with everything. When discussing this sort of thing, it doesn't mean no one born after 1979 has bought a house.

Many will.

The article just suggests more are struggling, which I don't actually think anyone would really take issue with?

ruggedtoast

MrRee wrote: »

Being born before or after 1979 is apparently key to whether you're able to afford to own your own home or not.

Older than 33 and you're likely to be already on the ladder, having bought a few years ago and seen values rise in the main.

Younger than 33 and it's a massive struggle to put enough of a deposit together and to earn enough to secure a sufficiently large mortgage to get on the ladder.

Poor Jimmy31, just born too late, and stuck holding onto hope and his Mummies apron strings.

You've gone too far this time Ree.