We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
Debate House Prices
In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Home Ownership is £200,000 cheaper than a lifetime of renting
Comments
-
See that "life "thing" - how long exactly is life? surly the longer that life- the more beneficial owning is.
AND - when one of these fictitional people retires - and owns his home, how is the "other" fictitional persopn going to afford the rent when they retire?0 -
Graham_Devon wrote: »Say for example interest rates went to 10%. We'd have a large property price fall.
I dont buy that. There was a boom in the 80s with interest at those levels didnt we?
Interest rates do dont bear any resemblance to house prices - even hiostorically.0 -
paulmapp8306 wrote: »AND - when one of these fictitional people retires - and owns his home, how is the "other" fictitional persopn going to afford the rent when they retire?
Housing benefit.
And if you take that into consideration, the math can work out that the renter pays a lot less.0 -
Graham_Devon wrote: »Housing benefit.
And if you take that into consideration, the math can work out that the renter pays a lot less.
That doesn't sound very aspirational.
By the same measure if you take into account someone who spends a lifetime on benefits they'd pay nothing in rent.0 -
Graham_Devon wrote: »Housing benefit.
And if you take that into consideration, the math can work out that the renter pays a lot less.
Interesting point. Also considering that your 'home' may be sold to fund your care requirements.0 -
They also don't seem to factor in Housing Benefit which is only available if you rent. It costs about £22billion per year and there are around 3.4 million households in rented accommodation - so I make that an average of about £6k a year which is £300k over 50 years (not 100% sure of these figures - it sounds an awful lot). I guess it depends what we are trying to calculate, but it looks to me like that would lower the average cost of renting below the average cost of owning a house.0
-
Graham_Devon wrote: »Housing benefit.
And if you take that into consideration, the math can work out that the renter pays a lot less.
Oh, snap! Just what I was thinking!0 -
Housing benefit will be a thing of the past very soon.
As I understand it - universal credit will assess the level of benefits from your income/savings then make a single payment. Whether that payment is used for food, clothes, accomodation (rented OR mortgaged), beer, cigaretts or anything else is completely up to the individual.0 -
Oh - and HB is means tested - so if you have more than £16k in savings you dont get HB even if you have no income. So for the whole "buy or rent" POV its not a consideration - as anyone with enough savings for a deposit on a home wouldnt get HB anyway.0
-
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.3K Banking & Borrowing
- 253.7K Reduce Debt & Boost Income
- 454.4K Spending & Discounts
- 245.4K Work, Benefits & Business
- 601.1K Mortgages, Homes & Bills
- 177.6K Life & Family
- 259.2K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards