Homeowners more impoverished than renters

Spendless

John_M_Business wrote:

£25k after five years out of University, in 1999, is about average for a Graduate at that time. The fact that there were two of us allowed us to buy a two bedroomed home (a point I was trying to make earlier).

What date were you earning £10,500? and where can you now find ANY property in this country for £25k???

1994 I bought my 2bed MTH. These are bottom end of ladder where I live. Within a year it was in neg equity. When I tried to sell in 2001 my next door neighbour was up for sale at same time -hers was bigger house due to an extension. She got offered £14,000 for it. We rented my place out and bought a bigger place. When the tenants moved out we sold my old place for £40,000 by now it needed money spending on it, new bathroom,new windows, re-decorating. The new people did this and sold it a year later (spring this year) for £62,000

summerday

Many of my friends and I have managed to buy a property jointly with their partners in the past couple of years. My partner and I bought last year, I had been out of uni for 2 years and saved a deposit of £8k and my partner had always been sensible and saved a little of his wage each month since age 16 (never went to uni) so saved up £30k. So we used all this on the deposit, stamp duty, furniture and were lucky enough to be able to buy a 3 bed semi. We are both on reasonable incomes for our ages I guess which helped with mortgage lending multiples.

Another couple bought last year, they hadn't saved much deposit but have good incomes and borrowed a 97% mortgage.

Other friends have bought a 1 bed flat, they have more modest incomes but her mum acted as guarantor so they were able to buy this way.

Another friend and her partner borrowed a deposit of her mum that they are paying back gradually.

So it seems like many people I know ( we are all aged about 24-28) have been able to buy property at least as couples despite the fact that prices have risen sharply. There are different routes into doing it that aren't always the preferred route but could still be considered.

I know a few people at work who moan about never being able to buy a property but aren't prepared to just rent a small flat to enable them to save as much as poss instead insisting they need the space of a 3 bed house when its only 2 of them, they go out all the time and buy lunch at work every day and I think if I had been like that I could never have afforded it either. I'm absolutely not saying that all FTB wanabees are like this but a few seem like they're not prepared to make any sacrifices to their lifestyle to be able to buy... I guess some poeple just see it as their 'right' to be able to buy regardless of their income, spending habits etc. Also many young people want and expect to be able to be able to buy on their own but when my parents were my age almost everyone bought as couples, normally married, and probably few were rich enough to be able to buy on their own then.

I do sympathise with all those who are saving all they can, have avoided debt as much as possible, and are prepared to accept hand me down furniture etc and the best advice I can give is just save save save as much of your income as you can and look at every option of buying even if its not your ideal one.

Sarah.

dccarm

John_M_Business wrote:

What date were you earning £10,500? and where can you now find ANY property in this country for £25k???

Crieff

And it's not the only place!

SammyD_2

saraht wrote:

I know a few people at work who moan about never being able to buy a property but aren't prepared to just rent a small flat to enable them to save as much as poss instead insisting they need the space of a 3 bed house when its only 2 of them, they go out all the time and buy lunch at work every day and I think if I had been like that I could never have afforded it either. I'm absolutely not saying that all FTB wanabees are like this but a few seem like they're not prepared to make any sacrifices to their lifestyle to be able to buy... I guess some poeple just see it as their 'right' to be able to buy regardless of their income, spending habits etc. Also many young people want and expect to be able to be able to buy on their own but when my parents were my age almost everyone bought as couples, normally married, and probably few were rich enough to be able to buy on their own then.

Sarah.

Agree entirely...I know there are plenty of people on low incomes who really struggle to get on the property ladder. I also know lots of people (such as those I work with) who expect to be able to rent in a trendy part of London, eat out most nights and holiday in exotic locations and then also complain that they can't afford a brand new two bed Thames side apartment...

Yes, it is expensive to buy a house, but there do seem to be some people not prepared to make sacrifices to do it...Apologies to all those who are really struggling - this observation is not meant for you. I just know from personal experience that my husband and I opted for an "unfashionable" but perfectly pleasant location and saved hard to get our deposit...no holidays, no eating out and I have had friends on modest incomes who have done the same.

John_M_Business

dccarm wrote:

Crieff

And it's not the only place!

Good Crieff!!!

;-)

GreenB_2

Poverty to me is being homeless and having no food.
If you have food on the table and a roof over your head you are doing much better than large numbers of people in the world.

Not being able top afford a new mobile phone or Sky or a new car is not poverty.

michaels

GreenB wrote:

Poverty to me is being homeless and having no food.
If you have food on the table and a roof over your head you are doing much better than large numbers of people in the world.

Not being able top afford a new mobile phone or Sky or a new car is not poverty.

And yet you and I pay taxes so that those who are in 'poverty' can afford such things