Need to find cheap BidSit

booksurr

toomsie wrote: »

Would you guys say this link reflex the true reality of buying a property. http://www.theguardian.com/business/2015/may/04/first-time-buyers-need-to-earn-77000-a-year-to-live-in-london

no it does not, they quote AVERAGE prices. By definition that means 49% of property is less than the average price of £384k for London. That said you do not have the income to afford to buy, you need to rethink your plans in life rather than returning to your favourite housing conspiracy theories of your earlier posts.

this is the only property available in Sutton on the open market (ie not restricted solely to those aged over 55) http://www.rightmove.co.uk/property-for-sale/property-50647036.html
you cannot afford it

and there is NOTHING below £500 pcm in Sutton in the rental market. Even so that is well over the ideal proportion of your take home pay that you should be spending on accommodation. However the reason I include it is because it is bills included but you will note it is a SHARE
your life will be financially miserable if you try to live on your own in the area you say you want

Innys1

toomsie wrote: »

The low interest rates means folk borrow leveraged money to put into assets such as stock market and property. It explains why the stock market and property have done well relative to the rest of the economy. Housing is being used for investment instead of a place to live. It would not surprise me if big corporation buy houses without living in them in the hope to flip them later when prices go up.

I have seen the speed that property is built. I can only assume that is also very cheap to build thinks to modern technology but all that technology only goes to benefit then wealthy, well connected or older folk who got in early. How will the younger generation be able to feed this bubble.

At 42, you're not young. That being so, you should be benefitting "by having got in early". Why isn't that the case?

toomsie

Innys1 wrote: »

At 42, you're not young. That being so, you should be benefitting "by having got in early". Why isn't that the case?

I only had my 16k job which was a little less then 16k at the time. I did train to be a system developer but that more or less failed. I should have thought more about self employment at the time. My failure to find a wife did not help.

From here I guess that improving my business is my only option. I guess a bolder person would have quit their job to go fully self employed.

ViolaLass

booksurr wrote: »

no it does not, they quote AVERAGE prices. By definition that means 49% of property is less than the average price of £384k for London.

I'm being a little pedantic but that's not necessarily quite the case. It depends whether they're using the median or the mean. If the former, you're right, if the latter, then there could be any number of properties either side of the figure given.

Either way, OP, the way to get to buy is to work towards it, not read articles or discuss conspiracy theories. Talk about 'average' pay and 'average' house prices are only so useful e.g. where I am, three bed houses cost about 3-4 times my sole pay. It's one of the reasons why we chose to live here i.e. we chose what we could afford.

Pixie5740

Using the MSE "How much can I borrow?" mortgage calculator, with your income of £26,000, it estimates that you could potentially borrow between £84,500 and £117,000. Add that to your £7k in savings and that won't buy you much (if anything) in many parts of the UK never mind London and that's before you start factoring in surveys and solicitors fees.

I think the majority of people do buy property to be their home rather than an investment, I know I certainly did. Buying isn't the be all and end all though and in your circumstances renting is probably the most suitable option. Even then as booksurr has pointed out, your budget won't go far in the areas you would like to live in.

As ViolaLass has already mentioned the rest of the country also has car boot sales and thrift shops, these things are not unique to London. Perhaps it's time to cast the net a little wider.

booksurr

ViolaLass wrote: »

I'm being a little pedantic but that's not necessarily quite the case. It depends whether they're using the median or the mean. If the former, you're right, if the latter, then there could be any number of properties either side of the figure given. .

and I'm being a little rude, I read the article before commenting.
The table uses median salaries and "average" house prices. On that basis average means mean not median, otherwise it would have said median prices.

toomsie

booksurr wrote: »

and I'm being a little rude, I read the article before commenting.
The table uses median salaries and "average" house prices. On that basis average means mean not median, otherwise it would have said median prices.

I assume the average house price is going to be higher then the median.

toomsie

Pixie5740 wrote: »

Using the MSE "How much can I borrow?"

I think the majority of people do buy property to be their home rather than an investment, I know I certainly did.

Thanks very much folks for your help and the link to house price calculator.

My landlord today said they prefer to have their money in property as savings account does not make money There is a high percentage of ca$h purchases that would indicate corporation and banks are purchasing homes.

ViolaLass

toomsie wrote: »

Thanks very much folks for your help and the link to house price calculator.

My landlord today said they prefer to have their money in property as savings account does not make money There is a high percentage of ca$h purchases that would indicate corporation and banks are purchasing homes.

Or downsizing. Or made their money elsewhere. Anyway, even LLs often buy with a mortgage. Cash purchases are not the enemy.

booksurr - how helpful of the article to use both mean and median! I'm sure it wasn't chosen in order to help the writer make/exaggerate a point.

toomsie, the 'average' house price isn't relevant to you anyway. What matters is whether there is anything for what you can afford to pay.

toomsie

Would help-to-buy help me if not, what minimum wage would you think I would need to get cheap studio flat.