Average Mondeo man(young family) in London 2018

ukcarper

margaretx9 wrote: »

My parents lived in London in the 1960s on the wages of a nurse and postal worker in Highgate (paying market rent) - my mother gave up her job and they bought a 3 bed house in outer London on a mortgage equivalent to 1.5 times his salary.

Today they would struggle to afford the rent of a one bed flat in outer London - and no way could they afford Highgate.

So no it wasn't easy then - but its impossible now for a young family on average wages doing ordinary jobs!

I couldn't afford to buy a flat in London in 70s ,and had to move 30 miles outside to buy and I need a mortgage of over 5x my salary which was higher than a postal worker.

Thrugelmir

margaretx9 wrote: »

Can anyone survive with a family on £26k a year in London anymore - without housing benefit, tax credits etc etc assuming they won't have got a council house as they have all been sold off!

People no longer live in two up two downs with no bathroom and an outdoor toilet. That was my fathers parents abode in upmarket Wandsworth. As a qualified engineer my grandfather was at least able to buy his home however humble.

margaretx9

ukcarper wrote: »

I couldn't afford to buy a flat in London in 70s ,and had to move 30 miles outside to buy and I need a mortgage of over 5x my salary which was higher than a postal worker.

When you say London what to do mean - Chelsea or Croydon, Richmond or Romford? Yes - but there was quite a lot of inflation in the early 1970s which drove up prices.

You should have bought in the late 60s - or perhaps you just have expensive tastes.

Of course back then parts of the Home counties were more expensive/desirable than inner London as no one wanted to live in places like Hackney or Islington or Southwark. London's population actually fell from 8.2 million in 1951 to only 6.6 million in 1981 losing 600,000 people in the 1960s alone.

ukcarper

margaretx9 wrote: »

When you say London what to do mean - Chelsea or Croydon, Richmond or Romford? Yes - but there was quite a lot of inflation in the early 1970s which drove up prices.

You should have bought in the late 60s - or perhaps you just have expensive tastes.

Of course back then parts of the Home counties were more expensive/desirable than inner London as no one wanted to live in places like Hackney or Islington or Southwark. London's population actually fell from 8.2 million in 1951 to only 6.6 million in 1981 losing 600,000 people in the 1960s alone.

I didn't have expensive tastes I wasn't looking in Chelsea's, yes the were areas of London that people didn't want to live in and nor did I of course many of those areas are completely different now. I concentrated most of my looking in Home Counties but not the expensive parts I was born in one of the most expensive areas outside London and didn't even consider it. In 1966 the national average house price was just over £3500 pounds and £1000k a year was a good wage much higher than the average postal worker, so if he bought a property in London for 1.5x his salary he was very Lucky.

AG47

toomsie wrote: »

It's hard to believe but I failed to find any data on how an average Londoner young family live today. Many that I already know are from an older generation and are married which children in a semi-detached house.

I am thinking what is the life of a young married man 25-35 who owns a Ford Mondeo and live in outer London Borough such as Merton, Sutton or Croydon. Who earns around £26,000 a year and has two children. Someone who is center Left Labour supporter but also a Brexit man.

Well 3x £26k is not enough to get a mortgage

This just shows how much of a correction in property values is needed to bring back to true value

ukcarper

AG47 wrote: »

Well 3x £26k is not enough to get a mortgage

This just shows how much of a correction in property values is needed to bring back to true value

How do you come to that conclusion?

AG47

AG47 wrote: »

Well 3.5x £26k is not enough to get a mortgage

This just shows how much of a correction in property values is needed to bring back to true value

ukcarper wrote: »

How do you come to that conclusion?

If he saved up a 5% deposit and the bank would lend him 3.5x his income, he still would not be able to buy a bedsit, no matter a family house.

This shows what correction is needed to bring back to true value.

ukcarper

AG47 wrote: »

If he saved up a 5% deposit and the bank would lend him 3.5x his income, he still would not be able to buy a bedsit, no matter a family house.

This shows what correction is needed to bring back to true value.

Why choose 3.5x and the average salary of everybody, just because prices are to high for many people does not mean a correction is required. In many areas £80k would buy you a property, I agree in some places prices are to high but it's not a national problem and in places where they are apart from a few years they have always been unaffordable to people on national Average earnings.