Ownership amongst the young

Herzlos

GreatApe wrote: »

Having checked the figures its closer to 75% of pensioners own.

How many of those 75% of owning pensioners have dependents to leave money/property to? That might skew your numbers, since you're assuming that all pensioners that have property/assets also have children/grandchildren.

GreatApe

ukcarper wrote: »

I'm not sure where you got figures for grandparents.

What about link I provided I the 2 years preceding 2010 only 3.6% of people inherited more than £1000 and half of them got less than £10,0000. You are as bad as windoffcha for opposite reason and you don't seem to be able to see it. By the way that Is ONS data.

I have already explained this,
If I have a £1 million estate and leave

£500 to my next door neighbor
£500 to my church friend
£500 to each of my 8 cousins
£500 each to my 10 grand nephews
£495,000 each to my two grand children

If you do a survey you will come back and tell me 20 of the 22 people you surveyed got jack !!!! while the reality would be that 75% of grandparents own and the vast majority pass that onto their kids or grandkids (with a few trinkets given to others to confuse surveyors and your good self)

GreatApe

Herzlos wrote: »

How many of those 75% of owning pensioners have dependents to leave money/property to? That might skew your numbers, since you're assuming that all pensioners that have property/assets also have children/grandchildren.

As I have already noted, people can not have fractions of children so using 1.7 children per women is not the best method however overall the points stand. I could of course redo the sums to show 1 women with zero kids, 8 women with 2 kids and 1 women with 1 kid to give the same average of 1.7 kids but the post would be too long and few would bother to read or understand it

Also even the pensioner who never had children, their wealth it not destroyed when they die someone will get it often a member of their extended family like brothers sisters or the children of brothers and sisters

BJV

I sort of understand the points however unless I have missed it I think that we are forgetting that some people genuinely do not want to own their own home.

I have been busting a gut to pay a mortgage since I was 24. But some people my age 40 ish??? don't want to. I had a long in some places heated talk with a friend of mine.

She is the same age, has never owned her own home. Lives in a beautiful house, has lots of holidays. She in her mind thinks that anyone who owns their own home is a raving lunatic. As she said if there is an issue with her boiler, or the windows need replacing or her lifestyle changes and she needs a bigger or smaller house, bigger or smaller garden she has the freedom to be able to move. She does not have to have rainy day OMG my roof is dead money. If styles change she does not have to worry about getting a new kitchen she can simply move. I can not say I agree but the mathematics did seem to almost break even.

GreatApe

George Osborne ✔ @George_Osborne
U-turn coming on social care. There will be a cap. Read today's @EveningStandard for the details

Well that gets rid of the bag of wind argument that all of the money for all of the old will disappear to care home fees.

GreatApe

BJV wrote: »

I sort of understand the points however unless I have missed it I think that we are forgetting that some people genuinely do not want to own their own home.

I have been busting a gut to pay a mortgage since I was 24. But some people my age 40 ish??? don't want to. I had a long in some places heated talk with a friend of mine.

She is the same age, has never owned her own home. Lives in a beautiful house, has lots of holidays. She in her mind thinks that anyone who owns their own home is a raving lunatic. As she said if there is an issue with her boiler, or the windows need replacing or her lifestyle changes and she needs a bigger or smaller house, bigger or smaller garden she has the freedom to be able to move. She does not have to have rainy day OMG my roof is dead money. If styles change she does not have to worry about getting a new kitchen she can simply move. I can not say I agree but the mathematics did seem to almost break even.

It is likely false accounting on their part a type of confirmation bias.

Renting typically costs 5% while a mortgage costs 2% so there is a significant additional cost to renting. Rents also typically go up with inflation while a mortgage can be fixed for 10 years at ~2.5%

ukcarper

GreatApe wrote: »

I have already explained this,
If I have a £1 million estate and leave

£500 to my next door neighbor
£500 to my church friend
£500 to each of my 8 cousins
£500 each to my 10 grand nephews
£495,000 each to my two grand children

If you do a survey you will come back and tell me 20 of the 22 people you surveyed got jack !!!! while the reality would be that 75% of grandparents own and the vast majority pass that onto their kids or grandkids (with a few trinkets given to others to confuse surveyors and your good self)

You are disregarding the ONS figures I posted and you have explained nothing with your biased way of looking at things.

Read paragraph 5 of summary in this link https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/541725/IHTNationalStatisticsCommentary.pdf

GreatApe

ukcarper wrote: »

You are disregarding the ONS figures I posted and you have explained nothing with your biased way of looking at things.

Read paragraph 5 of summary in this link https://www

you mean the following paragraph?

The 267,549 estates issued a grant of representation in 2013-14 account for
approximately 47% of all deaths in that year. Of these estates, 19,277 were liable to
inheritance tax. Approximately 3.4% of all deaths in 2013-14 led to an IHT charge.
This figure is higher than the 3.1% of deaths which led to an IHT charge in 2012-13
or the 2.9% of deaths that led to an IHT charge in 2011-12, although lower than the
percentage of deaths resulting in an IHT charge in the period before 2009-10


I am assuming you are hung up on the 'Approximately 3.4% of al deaths in 2013-2014 lead to an IHT charge'?

You do realise that does not mean 3.4% left an inheritence it means 3.4% left an inheritence big enough to fall into a IHT tax bill. Soon the IHT band will be £1 million for couples so it means 3.4% will leave more than £1 million

Your link, which I have read previously says what I am saying that significant numbers leave significant sums. Its even better if you are uk born from uk born grandparents.

GreatApe

This is for 2013-2014
The figures for 2017 will be better as house prices and the stock and bond market have recovered since 2013

economic

interesting how little is in stocks.