UK Affordability still very good

Crashy_Time

Windofchange wrote: »

Oh, stop polluting the thread bah wah wah.

Let me guess, the answer is property and you can take us on a 20 page tour of abstract reasoning to prove it?

He bought back in, and needs reassurance that he won`t lose too much (he probably will) Global Stocks are a better bet now IMO. With a bubble like London you need an escape plan for when the PTB lose control of the pump, at least with stocks you have a wider exposure.

Crashy_Time

Joeskeppi wrote: »

Just thought this was a good time to point out that the average person doesnt need to be able to buy the average house to sustain current prices. Little reality check

If the average person ever wants to sell their average little house they do. Sorry to burst your bubble :j

ukcarper

Graham_Devon wrote: »

It doesn't really make much difference.

If you earn less, you can save less.

Saving a deposit for a lower priced house is still the same struggle if you have less income to save, as living costs will be pretty much the same.

It's always been a struggle apart from having to save in my case 50% more there is no difference. If I was earning enough to get the mortgage I needed to buy I would make sure I saved the deposit even if it took more time.

ukcarper

Joeskeppi wrote: »

Did you mean "aren't"?

If so, ok, i don't see why you lot spend so much time arguing about something that just is. What do you want to achieve. If you win the argument with great ape, nothing changes.

Don't expect anything to happen, just having a bit of fun, I doubt he well change his mind anyway.

economic

Crashy_Time wrote: »

He bought back in, and needs reassurance that he won`t lose too much (he probably will) Global Stocks are a better bet now IMO. With a bubble like London you need an escape plan for when the PTB lose control of the pump, at least with stocks you have a wider exposure.

no i am happy with my purchase, its my only property and i love it here. i dont care what happens to prices and at least im not wasting money on rent. i was asking because i have quite a bit of money i am thinking of what to do with.

Crashy_Time

economic wrote: »

no i am happy with my purchase, its my only property and i love it here. i dont care what happens to prices and at least im not wasting money on rent. i was asking because i have quite a bit of money i am thinking of what to do with.

Why don`t you just buy a BTL, you know that deep down you really want to?

economic

Crashy_Time wrote: »

Why don`t you just buy a BTL, you know that deep down you really want to?

no i want to try get the best return on my investment. i feel stocks would offer better but i want others opinions as well.

GreatApe

Most (81%) first time buyers funded the purchase of their first home with
savings; 29% had help from family or friends while 7% used an inheritance.
Many first time buyers used a combination of sources.

So more than a third of FTBs have some help

Around two thirds (64%) of first time buyers paid a deposit of less than 20% of
the purchase price of their property. A small number (37,000 or 6%) bought
their first home outright.

6% of FTBs purchase outright

In 2015-16, there were around 654,000 first time buyers in England. That is,
buyers who had bought for the first time in the last three years, up from about
564,000 in 2014-15. While numbers have fluctuated over last decade, the
number of first time buyers in 2015-16 was roughly the same as the number in
2005-06 (675,000),

seems there was no big crash in FTBs contrary to popular confirmation bias

In 2015-16, the average age of first time buyers was 32 years, up from 31 in
2005-06. First time buyers in London were, on average, older than first time
buyers outside London (33 years compared with 32 years)

Not much of an increase in FTB ages then....

In 2015-16, half (50%) of private renters had lived in the private rented sector
for less than 5 years while 25% had been in the sector for 5-9 years and 24%
for more than 10 years

proving that private renting is a transient tenure until people become owners or social

In the owner occupier sector, 400,000 households moved within the tenure
and 62,000 new households were created. There were 172,000 households
that moved into the tenure from the private rented sector. Around 157,000
households moved out of the sector, with 86% of these (135,000) moving to
the private rented sector.

A problem not seen or considered is the number of owner households that become renter households, probably primarily down to divorce?

The overall number and proportion of under-occupied households in England
increased between 1995-96 and 2015-16 from 31% (6.2 million households)
to 37% (8.5 million households). This was driven mainly by an increase in
under-occupied households in the owner occupied sector, from 39% (5.3
million households) in 1995-96 to 52% (7.4 million households) in 2015-16,

This is part of the 'problem' if you want to call it that.

ukcarper

GreatApe wrote: »

So more than a third of FTBs have some help



6% of FTBs purchase outright



seems there was no big crash in FTBs contrary to popular confirmation bias



Not much of an increase in FTB ages then....



proving that private renting is a transient tenure until people become owners or social




A problem not seen or considered is the number of owner households that become renter households, probably primarily down to divorce?



This is part of the 'problem' if you want to call it that.

On the news today they were saying 25% of FTB had help with deposit, so 1 in 4 of course it doesn't tell us much as we don't know the numbers of people who want to buy but can't because no help is available or they don't earn enough.

Graham_Devon

ukcarper wrote: »

On the news today they were saying 25% of FTB had help with deposit, so 1 in 4 of course it doesn't tell us much as we don't know the numbers of people who want to buy but can't because no help is available or they don't earn enough.

There is though a table showing how much harder it it now compared to 22 years ago.

About a 3rd of the way down the page
http://www.bbc.co.uk/news/business-39778029