64% of FTB's have parental help

ukcarper

Graham_Devon wrote: »

No, it's not so much surprising.

I don't know why people assume it has to be a "surprise".

It's stating someone about the market. You could either say it's because people need higher deposits, or you could say it's because house prices are high leading to needing bigger deposits. That bit is pure chicken and egg.

One thing it does state is that more and more people are having trouble buying their first house....and arguing over the reason and what came first doesn't deride from that.

You may not want to hear it, which may be a reason for the responses such as "ftbs have always had help" and "is this a shock"? Simply avoids the point about the pace of increase in FTBs needing support.

Prices were higher in 2006 and 2007 which tells me it is the deposit that is the main problem.

I'm not saying we should go back to 100% mortgages but if you now need a large deposit you have to accept that it will be harder to buy.

Graham_Devon

ukcarper wrote: »

Prices were higher in 2006 and 2007 which tells me it is the deposit that is the main problem.

I'm not saying we should go back to 100% mortgages but if you now need a large deposit you have to accept that it will be harder to buy.

Uh ho. Merry go round

The only reasons deposits are higher now is due to the crash, which was thanks to prices being so high and therefore dodgy products being sold in order to make such prices "affordable".... (Or just nasty Americans, dependant on your viewpoint!)

As I say, chicken and egg.

Idiophreak

Graham_Devon wrote: »

One thing it does state is that more and more people are having trouble buying their first house....

It doesn't state that - that's just how you're interpreting it.

Maybe, their houses having risen so much in value over the last 20 years, more parents are in a position to help their children out.

Maybe youngsters these days are less shy about asking for help.

Maybe more youngsters going to university and returning home at 21 means more parents are willing to help with a deposit to get rid of them.

...all kinds of possible interpretations of the statistics...you shouldn't really claim they "state" things that they don't.

Graham_Devon

Idiophreak wrote: »

It doesn't state that - that's just how you're interpreting it.

Maybe, their houses having risen so much in value over the last 20 years, more parents are in a position to help their children out.

Maybe youngsters these days are less shy about asking for help.

Maybe more youngsters going to university and returning home at 21 means more parents are willing to help with a deposit to get rid of them.

...all kinds of possible interpretations of the statistics...you shouldn't really claim they "state" things that they don't.

The article doesn't state it no. The figures do though.

All those maybes are a little far fetched if you ask me. Shy about asking for help? Come on now!

Are we really going to suggest house prices themselves are not the reason for record numbers of first time buyers having to rely on parents....but atually, we are just less embarrased?

It all leads back to house prices being high...even if you want to suggest "parents just want rid of them".....suggesting they can't do it on their own two feet.

Idiophreak

Graham_Devon wrote: »

Are we really going to suggest house prices themselves are not the reason for record numbers of first time buyers having to rely on parents....

Again...you're inferring things that aren't there in the statistics.

These people have had help from their parents...this simply isn't the same thing as them "relying" or "needing" help from their parents.

Of course, in practice - a lot of people *do* need help...but you can't just assume that all of them need help for the same reasons, nor that they're *all* given help because they need it.

Figures don't state anything.

ukcarper

Graham_Devon wrote: »

Uh ho. Merry go round

The only reasons deposits are higher now is due to the crash, which was thanks to prices being so high and therefore dodgy products being sold in order to make such prices "affordable".... (Or just nasty Americans, dependant on your viewpoint!)

As I say, chicken and egg.

You won't be surprised to find I don't agree that the crash was caused by dodgy products in the UK although they didn't help.

The problem as I see it was that for the previous 20 years you needed no or a small deposit so people got out of the habit of saving for that deposit and when they suddenly did they found themselves in a position where they couldn't.

PasturesNew

I didn't get any financial help when I bought a house.

Lokolo

Idiophreak wrote: »

Again...you're inferring things that aren't there in the statistics.

These people have had help from their parents...this simply isn't the same thing as them "relying" or "needing" help from their parents.

Of course, in practice - a lot of people *do* need help...but you can't just assume that all of them need help for the same reasons, nor that they're *all* given help because they need it.

Figures don't state anything.

I got "help" for a deposit, bought 9 months ago.

I had enough deposit by myself, but the extra helped me go to a lower LTV. So even though I had the help, it wasn't needed for me to buy.

But I am pretty lucky, I earn a lot for my age compared to my peers. I know a lot of them would need some help, or wait until they are mid 30s.

wotsthat

Graham_Devon wrote: »

Are we really going to suggest house prices themselves are not the reason for record numbers of first time buyers having to rely on parents....but atually, we are just less embarrased?

The article says nothing at all about record numbers of FTB's having to rely on parents.

From the article....

218000 FTB's in 2012 - 64% had help = 139,520
359900 FTB's in 2007 - 30/ 40% had help = 109970/ 143960

i.e. more or less the same number got help in 2007 as today.

The proportion's gone up because, obviously, deposit requirements are less of a problem for those getting help so they're still buying.

Sometimes important to look not only what is being said but what it means.

dotdash79

When a lot of people are leaving uni with debts of £20000 plus, and needing another 10 - 30 k to get on the housing ladder it's no wonder they need help.