Will the next generation be able to buy their own house?

chucknorris

spadoosh wrote: »

What are you on about entitlement? Im not complaining. Im highlighting that what others are highlighting as sacrifices

I'm saying that they are not sacrifices, as I said I don't think that I will ever buy a new car, apart from the financial aspect, my dog can turn a new car into a far less pristine one in about a month. I never said that you were complaining, but others do. I'm not talking about you, your post that I replied to already stated that you had bought a house.

MobileSaver

spadoosh wrote: »

Could you save your way out of that?

Many people do. Month in, month out, 100,000 homes are bought and sold and figures show that in 2018 the majority of those purchases were FTBs.

spadoosh wrote: »

But i dont know what you want someone who cant afford a house to do.

Look for a cheaper house in a cheaper area? Improve their prospects with a view to improving their income? Cut down on unnecessary spending?

Again your words seem to suggest that everyone is entitled to buy a home; it normally takes effort and sacrifice, always has done and always will but many of the younger generation seem to want everything handed to them on a plate.

Yes, lending criteria used to be more lax and deposits not so onerous but look at the mess that got us all into...

spadoosh wrote: »

Copious amounts of experts in the industry suggest there is an issue with the housing market as opposed to peoples spending habits

Copious amounts of "experts" in the industry suggest it's never been so good for FTBs and the figures from last year would seem to support that.

AG47

There is no doubt that there has been a huge disconnect between property prices and everything else.

Either wages, food and fuel go up to meet property prices, of property prices come down to match wages and cost of living.

Either one of these happens or the next generation will never be able to afford to buy their own home, and there will need to be more government payouts like housing benefit

spadoosh

MobileSaver wrote: »

Many people do. Month in, month out, 100,000 homes are bought and sold and figures show that in 2018 the majority of those purchases were FTBs. I suspect bank of mum and dad help out a good portionof those FTB's but yeh of course people buy. Can you not hear the voices of the people who earn good money, save and yet still find themselves in aposition where they cant buy a house.



Look for a cheaper house in a cheaper area? Improve their prospects with a view to improving their income? Cut down on unnecessary spending?

Again your words seem to suggest that everyone is entitled to buy a home; it normally takes effort and sacrifice, always has done and always will but many of the younger generation seem to want everything handed to them on a plate. Not at all. I think a doctor (above average occupation) should be able to buy an average house more or less anywhere in the country. Many cant.

Yes, lending criteria used to be more lax and deposits not so onerous but look at the mess that got us all into... O so you can see there was a problem, which led to many benefitting (and some major losers in that aswell, but predominantly gains if you are to believe the figures.



Copious amounts of "experts" in the industry suggest it's never been so good for FTBs and the figures from last year would seem to support that.

It depends if you restrict yourself to a single metric or take a hollistic approach to the housing situation. If you look at whether mortgages are affordable they most certainly are in that rates are particularly low meaning its not costing a lot to borrow. What that doesn say though is house price inflation is massively disproportionate to wage inflation. Not to mention the increases in deposits.

I like how you started with loads and loads of FTBers do it every year and then slip in there half way through that young people (a large portion of FTBers) want things handing to them. Im assuming these arent the same people?

Im more than willing to accept there are lots and lots of entitled people who are young, i know plenty of them, its my peer group. Thing is though, anecdotally at least, it seems pretty uniform between generations, well till you stat hitting people in their late 60's/70's but even they ill put forward a typical saying "i paid in so i should get out" particularly in regard to pensions and you can more or less always highlight how theyve paid much less in to 'the system' than they will ever take out.

No matter what you say you cant fudge the actual numbers. Home ownership has declined in the last two decades. There is a chronic under supply of housing in the UK and has been for number of decades. This is pushing prices higher. This makes things less affordable everything else being equal. Doesnt matter what age you are although proportionately its more likely to effect younger people.

Im more than happy for us to not build any more houses, itll make me super rich (i have plans to move to cheaper areas). But if you want to solve the problem of people (ftb's) saying they cant afford to buy a house, by far the easiest solution is to build a load of new house in the areas where people say they cant afford to buy a house. As mentioned anyone working can afford a house in preston, you clearly dont need more houses here. Ill be amazed if even half of the working population of london can afford to buy a property within a reasonable commuting distance.

Just a case of having better local planning and house building policies. Nothing to do with giving anyone anything. Theres a disparity. More houses will solve it.

triathlon

chucknorris wrote: »

I've been quite wealthy for a while now (over 25 years). I've never bought a new car, we bought a car a couple of months ago trading in our 11 year old (multi dented) Zafira for a 15 month old Toyota Verso. We just moved house last Summer, so we dumped out 13 year old sofas and bought new ones from DFS.

You make it sound as if new cars and renewing sofas regularly are an entitlement, or that you are having to make do with something undesirable.

I think the housing market is very unfortunate for those priced out, but moaning about it on forums, isn't the going to solve the problem.

EDIT: I don't think that I will ever buy a new car, it is much better value to buy a second hand one. I also didn't get my first credit card until I was in my late 40's.

Yes life can be tough, but that has always been the way, I got just about everything 2nd hand until I was in my late 20's. One thing I am grateful for though is that my adult children have never once in front of me caved in and said how unfair the world is to them, that is why they are 90% prepared to take the world on and have done so.
I just thank God I don't have children that sound like the vast majority of cybabies on HPC.com

Jitter

Ive never had a new car, most expensive i bought this week and it cost £4k.

Thats more than I've ever spent on a car, I spent a good chunk of my spare time when I was starting out keeping a succession of old bangers on the road.

I ask is a house an investment or a home? Because if its an investment you might plan to 'move up the ladder' but if its a home, surely youd be best to buy the most appropriate for your plans

First house was a 2 bed mid terrace in an "undesirable" area, had 2 kids bought the second house a 3 bed semi in a "nicer" area where we still are now over 20 years later. Yes it would have been nice to have bought the second house at the outset - but we had to cut our cloth according to our means!

Im sure in your day you tried your hardest to move up the ladder as quick as possible and that was the correct course of action at the time.

I cant recall ever having any desire to move up the "property ladder", only to afford the best the home we could for our family, in fact I had a distinct aversion to the costs and hassle involved in moving - again I think someone has been watching too much "Location, Location".

spadoosh

Jitter wrote: »

Thats more than I've ever spent on a car, I spent a good chunk of my spare time when I was starting out keeping a succession of old bangers on the road.



First house was a 2 bed mid terrace in an "undesirable" area, had 2 kids bought the second house a 3 bed semi in a "nicer" area where we still are now over 20 years later. Yes it would have been nice to have bought the second house at the outset - but we had to cut our cloth according to our means!



I cant recall ever having any desire to move up the "property ladder", only to afford the best the home we could for our family, in fact I had a distinct aversion to the costs and hassle involved in moving - again I think someone has been watching too much "Location, Location".

Youve quoted from multiple posts there.

So in response to the first one, good for you. I have neither the time nor inclination to learn about keeping a banger on the road anymore. I tried, i wasnt very good at it. Been on the side of a motorway too often with a toddler, i had the money, i bought a car i thought isnt that likely to end up on the side of the motorway too often. What a scumbag.

The second thing you quoted was specifically in response to mobile saver. Again congratulations, i think. as mentioned it was in response to mobile saver who mentioned progression through housing. I appreciate its not for everyone. But by what was said i assumed they meant something along the lines of 1 bed flat to a 2 bed terrace, to a 3 bed semi to a 4 bed detached kind of progression.

Youre talking to someone who bought their own home at 24 (now 32), has no debt apart from mortgage debt and should be mortgage free by 40. All on a joint income presently at ~£40k per year. I really dont know why youre exclaiming cutting your cloth to your means. This is something ive always practised (well after uni, i scared myself a bit after spending £2k in a week trying unsuccessfully to break in to another dimension) It was paid back years ago, fortunately not too expensive of a lesson being an interest free overdraft, there was opportunity costs though.

I suspect my ideal house would cost less than the one im in now or not far away(im a fan of the tiny home movement.... on a huge chunk of land of course). I dont think your assertion of watching too much location location location is relevant with me. I bought this house specifically because i knew it would be perfectly suitable to grow old and die in (Whilst my elders where suggesting what worked for them of moving every few years). I dont know the future, the assumption when i bought it was that id live there forever as there is always a risk of being a mortgage prisoner or other issues arising. Im not sure if youve noticed this yet or not but im particularly prudent and incredibly wary of risk. Whilst this can hold me back in terms of speculate to accumulate it also means im usually quite savvy with money and future planning.


I was a homes under the hammer kind of guy by the way. Location location location always seemed more about decoration and flowers (probably bias against the presenters), im more of a money and DIY kind of person.

AG47

They have expanded the currency supplies so much around the world that the only reason there is not hyperinflation is because they manipulate and fix the price of EVERYTHING.

FREE MARKETS always overwhelm fixed manipulatied market

lisyloo

AG47 wrote: »

They have expanded the currency supplies so much around the world that the only reason there is not hyperinflation is because they manipulate and fix the price of EVERYTHING.

FREE MARKETS always overwhelm fixed manipulatied market

When though?
This is absolutely crucial (to women) because I’ve been waiting since 2001 and I’m now past the point of starting a family.

If you want a relationship and family then you simply can’t wait forever for a cheaper house.

triathlon

AG47 wrote: »

They have expanded the currency supplies so much around the world that the only reason there is not hyperinflation is because they manipulate and fix the price of EVERYTHING.

FREE MARKETS always overwhelm fixed manipulatied market

The old manta from the HPC.com boys where they "understand" the manipulation of the financial markets more than the rest of man kind. It seems to me by knowing that bit of information while most people just live their lives and get on with it has brought about misery and a tragic life in bed sit world.

Well, at least they know :)the "real" truth