BREXIT - Good news for all those youngsters!

studentguy

Cakeguts wrote: »

Why aren't they any good at saving?

It's quite hard to save when you're paying high rent at the same time. I'm fed up of this feeling around here that FTBs are crap at saving - you think it's easy to save 15-20k?

studentguy

Cakeguts wrote: »

The problem is that if you can't save the deposit by as you say living frugally you also can't afford to own a house. There appear to be a lot of 1st time buyers who haven't done any research at all into what owning a property means. If you don't keep your house in good repair it will lose value relative to the ones in the same area that are in good repair. In order to make repairs you have to be able to save. In a way saving for a deposit is good practice for what you are going to have to continue to do all the time you own a house. I think many 1st time buyers think that buying is like renting only cheaper. It only becomes cheaper than renting when you are at the end of the mortgage.

Stop being so patronising.

indianabones

Cakeguts wrote: »

Difficult but not impossible.

I'll be a FTB with potentially 30-45% deposit depending on the property I want and the value at the time of purchase (stupid to buy right now if not necessary). Do you know how I managed to save this much? By living with my family, we currently live spread over two homes that my dad owns. Currently in these 2 normal sized semis we have 16 people!!!

That's how people are managing to save, they're having to stay longer and longer with their parents. Did you or anyone from your generation have to do that?

With tuition fees as high as they are, with house prices as ridiculous as they are, it means you don't just have to save, you have to save big and even then it might not be enough.

So please cut out the sh*t about the youth these days not saving hard enough.

cloo

I find it hard to imagine how London career starters can save if they can't live with parents. Average rooms to rent in London I think are over £700 per month now. My first salary 16 years ago left me £800 pm after tax and there are plenty of young people, yes, including graduates (who have their debts) earning no more than I was then. What are they supposed to do? And commuting from Zone 3 (about the closest to town any non super-rich person can hope to live to central London, where the jobs are) will cost over £150 a month.

indianabones

Cakeguts wrote: »

Why aren't they any good at saving?

Average salary in the UK is 27k at the moment. After tax that is £21.5. The average house price in the UK right now is £282k.

In order to put down a 10% deposit of £28.2k, how long do you think the average person would need to save. Please factor in living expensense when you do the maths.

If you can find a way that a person can save that amount within 2/3 years without living with their parents, I'd be impressesed.

Missus_Hyde

Cakeguts wrote: »

If thanks to the "oldies" house prices in London go down again then more young people will be able to afford to buy somewhere. I cannot see why people are not celebrating this it is what they say they have wanted for years.

Prior to Brexit, these forums were full of FTB bemoaning the fact that house prices were so high they couldn't afford to buy.

Now apparently house prices have fallen (although I haven't seen any evidence of it where I live) and they're still complaining, this time about possible negative equity. At the present time mortgage rates are at an all time low; we were paying up to 18% at one time and also went through periods whereby the houses dropped in value and then recovered again.

discat11

bigfreddiel wrote: »

Yes of the country, not no

100% of the country voted in one way or another.

REMAIN. LEAVE. NOT BOTHERED

cheers fj

However, the only issue here was 'do you want to change things?'

Anyone who didn't (in this case 64% of the electorate) could be construed as wishing to maintain the current status quo.

martinsurrey

indianabones wrote: »

Average salary in the UK is 27k at the moment. After tax that is £21.5. The average house price in the UK right now is £282k.

In order to put down a 10% deposit of £28.2k, how long do you think the average person would need to save. Please factor in living expensense when you do the maths.

If you can find a way that a person can save that amount within 2/3 years without living with their parents, I'd be impressesed.

and when you do that don't forget to factor in 9% student loan repayments over £21k gross salary, so you're down to £21k net.

and thats on an average salary for all age groups. Average in the 22-29 age group is £22,490, which is £18,460 per year net.

gov link

cashbackproblems

Some good points, FTB's cant save as they spend all their money on rent/living/student loan especially in London, where unless you are a couple its impossible to buy full stop.

Pre-Stamp duty as a FTB I was getting outbid by BTL, post-stamp duty the market in the south east e.g. Kent became very slow and depressed. Brexit has just put the final nail in the coffin and already I have seen price reductions of 10%. But of course its very early days prices will slowly keep falling as the uncertainty builds in the coming months

The best thing a FTB can do is to have a secure job, save as much as possible and keep looking and offering.

Its predicted by many a 20% correction, I feel this could be quite conservative.