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Debate House Prices


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House Prices Flying

24

Comments

  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Percy1983 wrote: »
    My day job has gone up 1% in 4 years.

    Mine would only have gone up 20% had I stayed in the role I was in....

    But I was also promoted, so it was a fair bit more.:)
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”
    -- President John F. Kennedy”
  • Carl31
    Carl31 Posts: 2,616 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper Combo Breaker
    HAMISH_MCTAVISH wrote: »
    You don't expect to earn more in 5 years than you do today?

    I've never gone 5 years without significant pay rises.

    I was looking at mortgages on the halifax website today

    To buy a house in my town, which average at around 250k for a 3 bed semi according to the website, halifax required a 20% deposit and 4k a month take home pay between 2 people

    Thats some pay rise hes going to need
  • Sibley
    Sibley Posts: 1,557 Forumite
    Ninth Anniversary Combo Breaker
    Carl31 wrote: »
    I was looking at mortgages on the halifax website today

    To buy a house in my town, which average at around 250k for a 3 bed semi according to the website, halifax required a 20% deposit and 4k a month take home pay between 2 people

    Thats some pay rise hes going to need


    Yes but that's not a 1st time buy.

    A studio or 1 bed flat is what FTB should be aiming at.
    In their budget
    We love Sarah O Grady
  • gazzabboi
    gazzabboi Posts: 210 Forumite
    Ninth Anniversary 100 Posts Combo Breaker
    Percy1983 wrote: »
    My day job has gone up 1% in 4 years, I have but other things in place so my income has gone up but I can says it possible many won't be earning more in 5 years, and many more won't be earning more in real terms.

    Pay rise of 1% when inflation is 3% is actually a loss. Wage inflation doesn't rise like houses, that's why people are getting left behind.
  • chucknorris
    chucknorris Posts: 10,795 Forumite
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    edited 23 May 2013 at 7:41AM
    gazzabboi wrote: »
    Pay rise of 1% when inflation is 3% is actually a loss. Wage inflation doesn't rise like houses, that's why people are getting left behind.

    That is exactly the point that Percy is making, he is supporting your line of arguement by highlighting a mere 1% rise. Furthermore the 1% pay rise was over 4 years, inflation has been a lot more than 3% over the last 4 years.

    EDIT: Despite pointing out the above I am actually in favour of house prices 'taking off' although I don't actually think they are. But in London I have enjoyed reasonable gains after the initial falls and I am somewhere near the 2007 peak prices. Although in real terms that probably equates to about a 20% drop for me.
    Chuck Norris can kill two stones with one birdThe only time Chuck Norris was wrong was when he thought he had made a mistakeChuck Norris puts the "laughter" in "manslaughter".I've started running again, after several injuries had forced me to stop
  • Carl31
    Carl31 Posts: 2,616 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper Combo Breaker
    Sibley wrote: »
    Yes but that's not a 1st time buy.

    A studio or 1 bed flat is what FTB should be aiming at.
    In their budget

    The poster has mentioned in another thread that he has a family, im not sure that a 1 bed flat will do, which is what i was getting at
  • the_flying_pig
    the_flying_pig Posts: 2,349 Forumite
    Sibley wrote: »
    Yes but that's not a 1st time buy.

    A studio or 1 bed flat is what FTB should be aiming at.
    In their budget

    I'll resist the temptation to play the man rather than the ball but, well, just have a think about that suggestion, carefully, for 20 seconds... Can you see any flaws in it?
    FACT.
  • Idiophreak
    Idiophreak Posts: 12,024 Forumite
    10,000 Posts Combo Breaker
    gazzabboi wrote: »
    Once the 5 years interest free runs out on the loan and mortgage rates increase (which I guess they will in 5 years time), people will be in a mess

    ...unless they repay the loan within those 5 years, of course...
  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    the_flying_pig wrote: »
    I'll resist the temptation to play the man rather than the ball but, well, just have a think about that suggestion, carefully, for 20 seconds... Can you see any flaws in it?

    What, other than the obvious, that it was a bit daft to start a family without first buying a starter place and building up some equity?

    (bet you won't resist that temptation now....) :)
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”
    -- President John F. Kennedy”
  • Mr._Pricklepants
    Mr._Pricklepants Posts: 1,311 Forumite
    Carl31 wrote: »
    The poster has mentioned in another thread that he has a family, im not sure that a 1 bed flat will do, which is what i was getting at

    If you earn only 25K (1.5K per month net?), with 2 kids and wife at home, jumping into a 250K 3-bed semi will be a bit of an issue yes.
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