Are home owners happy that prices rise and price out young

seven-day-weekend

zagfles wrote: »

Even those at the top of the chain like me (I'm never going to move upmarket) don't benefit unless they intend to move downmarket (inc abroad to somewhere with cheaper prices).

The other people who benefit are BTL'ers, and those already with property who stand to inherit a property.

But as you say a lot of people lose, even if they are too stupid to realise it.

One thing people can do to redress the balance in the property market is to reconsider fairness in inheritance. For instance I was talking to a neighbour in his 80's about his will. His wife had died recently, he has 3 daughters two of whom have 2 kids each, the other is childless. All 3 daughters have properties, bought in the 90's when prices were sensible. The grandchildren don't own property (at college/uni). We had a chat about the fair way to split his estate.

I suggested leaving his house direct to his grandkids in equal shares, and the rest of the money split between his daughters. But he thought that would terribly unfair to his childless daughter. So I asked him why he thought his childless daughter should gain from house price inflation when his grandkids will lose from it. He didn't have an answer, hopefully I gave him something to think about....

So do I. The ones with children get the money AND (indirectly) part of the house. The childless one gets less.

I would leave everything split three ways between his three children and then they can do what they like with it, which may include giving their children the deposit for a house. Then it is their choice whether to help their children or not.

seven-day-weekend

ABetterLife wrote: »

Surely it would have been more possible then than now, though?

Limited to no help available now, but doing okay as I work alongside studying. After she's born there's CB and CTC to help alongside my maternity bursary.

Things are okay, but I feel trapped. Feels like everyone's fighting to get to the top and I'm near the bottom of the pile so I have to fight twice as hard.

Nothing's impossible, though. All possible with hard work :-)

You are very, very lucky to have a Council place with a secure tenancy, even if it is not in the best of areas.

And you are only twenty. Even in my day, 20-year-old single parents could not afford to buy a house.

Try feeling sorry for yourself in ten years' time if you are still in the same position.

CLAPTON

BillJones wrote: »

No, we don't. Please do stop implying that I believe things that I don't, or that I've written things that I haven't. It is the debating style of a five year-old, barely above "I know you are but what am I".

why not say what you do mean rather than what you don't mean?

princeofpounds

Enough on the social contract.

It's a silly name, because it is not a contract, rather a shifting set of reciprocal expectations between an institution and its citizens.

But it is a perfectly valid concept.

Forerunning versions of the idea go back to Plato, Jesus etc. so as far back as you like really. And there are parallel concepts in evolutionary biology too.

But basically all it means is that like anything else, the interaction between a government and the governed should be a fair deal on the whole.

http://en.wikipedia.org/wiki/Reciprocity_(social_and_political_philosophy)

CLAPTON

princeofpounds wrote: »

Enough on the social contract.

It's a silly name, because it is not a contract, rather a shifting set of reciprocal expectations between an institution and its citizens.

But it is a perfectly valid concept.

Forerunning versions of the idea go back to Plato, Jesus etc. so as far back as you like really. And there are parallel concepts in evolutionary biology too.

But basically all it means is that like anything else, the interaction between a government and the governed should be a fair deal on the whole.

http://en.wikipedia.org/wiki/Reciprocity_(social_and_political_philosophy)

bizarre........................

Jason74

princeofpounds wrote: »

Enough on the social contract.

It's a silly name, because it is not a contract, rather a shifting set of reciprocal expectations between an institution and its citizens.

But it is a perfectly valid concept.

Forerunning versions of the idea go back to Plato, Jesus etc. so as far back as you like really. And there are parallel concepts in evolutionary biology too.

But basically all it means is that like anything else, the interaction between a government and the governed should be a fair deal on the whole.

http://en.wikipedia.org/wiki/Reciprocity_(social_and_political_philosophy)

Fair enough, and hard to argue with the comment on the name etc. As you say though, the concept is simple enough, and hardly new. It's something that anyone should be able to understand, and agree with as a principle , (albeit people will inevitably have different opinions about what constitutes "a fair deal").

In terms of the topic at hand, imho it's pretty clear that many people (and many younger people in particular) don't get a "fair deal" when it comes to housing. What we do about that, is of course another matter.

ABetterLife

seven-day-weekend wrote: »

You are very, very lucky to have a Council place with a secure tenancy, even if it is not in the best of areas.

And you are only twenty. Even in my day, 20-year-old single parents could not afford to buy a house.

Try feeling sorry for yourself in ten years' time if you are still in the same position.

And it's easy for you to sit there, probably feeling safe and comfortable in your home, and patronisingly imply that I don't have a right to feel depressed about the situation I'm in.

I shouldn't be in this situation in 10 year's time, but it doesn't mean that it doesn't affect me now. This is real life, my life, and I am the one who has to live it every day.

Edit: And, again, I never expected to be able to buy a house at 20. Most 20 year olds without children wouldn't be able to. My point is the deposits are so high and mortgages are hard to get. If people well into their 30s/40s with good jobs are struggling, what chance do I have?

wotsthat

seven-day-weekend wrote: »

I would leave everything split three ways between his three children and then they can do what they like with it, which may include giving their children the deposit for a house. Then it is their choice whether to help their children or not.

That's what I'd do.

I trust my children to do the right things by their kids. Apart from some money to be spent on a good time my grandchildren aren't getting a penny.

sammyjammy

ABetterLife wrote: »

And it's easy for you to sit there, probably feeling safe and comfortable in your home, and patronisingly imply that I don't have a right to feel depressed about the situation I'm in.

I shouldn't be in this situation in 10 year's time, but it doesn't mean that it doesn't affect me now. This is real life, my life, and I am the one who has to live it every day.

Edit: And, again, I never expected to be able to buy a house at 20. Most 20 year olds without children wouldn't be able to. My point is the deposits are so high and mortgages are hard to get. If people well into their 30s/40s with good jobs are struggling, what chance do I have?

I just looked at your sig, you say working for our future. Perhaps you should concentrate on the future of yourself and your child. You're a student nurse which is great, I applaud you for not sitting back in your council flat claiming your benefits for the next 18 years but you live in one of the most expensive cities in the world. The best thing you could do for your future and that of your child is find yourself a job somewhere else in the UK once you've finished your training (or even before). Pick the right place and after a few more years hard work and saving you'll maybe have that deposit for a two bed flat or house.

Without wanting to pick on you personally there is too much I can't do this because............ it drives me mad, we can all do anything we want or at least work towards it. A can't do attitude is sure to result in a life full of failure and disappointment. Your life is in your hands.

stardoman

ABetterLife wrote: »

And it's easy for you to sit there, probably feeling safe and comfortable in your home, and patronisingly imply that I don't have a right to feel depressed about the situation I'm in.

I shouldn't be in this situation in 10 year's time, but it doesn't mean that it doesn't affect me now. This is real life, my life, and I am the one who has to live it every day.

Edit: And, again, I never expected to be able to buy a house at 20. Most 20 year olds without children wouldn't be able to. My point is the deposits are so high and mortgages are hard to get. If people well into their 30s/40s with good jobs are struggling, what chance do I have?

House prices here in the north east haven't moved much in the last 10 years. We were lucky and bought at the bottom of the market in 1994. However, many friends who bought in the 1980s ended up with their houses repossessed as interest rates were so high - they were in double figures at one point.

So don't think it has always been easy. We saved for a deposit, for a couple of years. And that was two of us with good jobs.

My dad, so going back another generation, initially lived in a bedsit with a shared bathroom and toilet. From what he says that was quite normal for his generation.

Although house prices are higher, interest rates are much, much lower. So with regards to monthly payments the difference is not as big as you would expect, as the main part you pay back in the early years is interest. To give you an idea, when we bought in 1994 our interest rate was 8.75%.

So it has never been easy to buy a house, its something to work towards.