price drops

LillyJ

MrSafeGaz wrote: »

There is alot of discussion in here around specific examples of affordability. There are always going to be exceptions to the rule but there is one thing which is irrefutable, for a person on an average wage buying an average house, affordability is significantly less than it was 5-10 years ago!

On a side note, how on earth did you manage to finish a degree, do a Phd and then get a job at the age of 23? Thats pretty good going

I left school at 17 (I was a year ahead at school so had done my Alevels) did a 3 year degree then 3 year PhD then got a job last summer.

m00m00

I did my a levels at 15, but was a complete slacker as regards my PhD, not finishing it until I was 31. I did the pesky work thing before though, which paid for my 10 years of continuous academia rather more comfortably than relying on loans/grants.

LillyJ

m00m00 wrote: »

I did my a levels at 15, but was a complete slacker as regards my PhD, not finishing it until I was 31. I did the pesky work thing before though, which paid for my 10 years of continuous academia rather more comfortably than relying on loans/grants.

Well that obviously worked for you, but I felt more comfortable doing it all at once, and didn't want to spend more than 3 years on my PhD either. I didn't get grants (too young) but did get loans (only the student loans company ones) , and a funded PhD, plus I have worked the whole way through my education part time.
I have to say though that I have lived with my partner for the past 3 years so even though we pay 50-50 for everything, I always knew I would never be stuck if worst came to the worst money wise.
Sounds stupid but I am not really an academic type person, I just found quite a practical subject that interested me and stuck with it.

I am not sure I would have been mature enough to do Alevels at 15, for example we had to talk about world affairs in french and about globalisation, I wouldn't have know what that was at that age! I was a pretty mature 15 as well. The others I did would have been OK though (3 sciences) I suppose.

neverdespairgirl

LillyJ wrote: »

Well I am 23 so you cannot accuse me of being able to take advantage of cheap houses 10 years ago.

Tut tut. When I was 13, I'd been on the property ladder for 8 years. A wonderful house - detached, kitchen, 3 reception rooms, 3 beds, an attic room, and a bathroom. Beautifully cared for and furnished as well.

OK, so the whole house was only 2 feet wide, but you have to start somewhere....

LillyJ

neverdespairgirl wrote: »

Tut tut. When I was 13, I'd been on the property ladder for 8 years. A wonderful house - detached, kitchen, 3 reception rooms, 3 beds, an attic room, and a bathroom. Beautifully cared for and furnished as well.

OK, so the whole house was only 2 feet wide, but you have to start somewhere....

:rotfl:
...............

boinging_2

LillyJ wrote: »

Erm I am not on the ladder.

Also where I live I BELIEVE they are affordable. Maybe they are not in your area, but with a couple on average wage being able to afford a very nice 3-4 bed semi with parking, garden, near nice schools, in lovely area at 2.5x joint income, that, in my eyes, is affordable. Rents here are similar to mortgages, and no one shouts about rents being unafforadable.

So if houses are affordable why are mortgage approvals down 46% YoY and estate agents sat with 1000s of properties?

Average wage = £23,750 (x2) x 2.5 = £118,820 + 10% deposit = £130,000

Lovely areas of west mids (Solihull, Sutton Coldfield, Edgbaston) on rightmove shows probably less than 30 properties within this price range with less than 5 being 3 - 4 bed with parking, none being near nice schools and none being in the nice parts of these.

If you think houses are affordable I'm sorry but I don't agree.

LillyJ

boinging wrote: »

So if houses are affordable why are mortgage approvals down 46% YoY and estate agents sat with 1000s of properties?

Average wage = £23,750 (x2) x 2.5 = £118,820 + 10% deposit = £130,000

Lovely areas of west mids (Solihull, Sutton Coldfield, Edgbaston) on rightmove shows probably less than 30 properties within this price range with less than 5 being 3 - 4 bed with parking, none being near nice schools and none being in the nice parts of these.

If you think houses are affordable I'm sorry but I don't agree.

I wasn't actually thinking as nice as sutton and solihull! On average wage you cannot expect to be able to buy 4 bed in sutton! It is obvious that people on that sort of wage would buy accordingly. There are plenty of nice areas that aren't that expensive. I am in the process of buying a 2 bed semi in a nice area for £135k with parking a garden in a nice road near a nice school! In Birmingham. (and a fairly posh part at that).

Since when have average wage people been able to afford really really posh expensive affluent areas? They haven't. They are affluent and desirable for a reason, and therefore the costs are higher. I personally wouldn't go and try to buy a house in Sutton (could buy a flat) as that is too much for me. That doesn't mean property is not affordable, just that I can't buy in sutton!

boinging_2

LillyJ wrote: »

I wasn't actually thinking as nice as sutton and solihull! On average wage you cannot expect to be able to buy 4 bed in sutton! It is obvious that people on that sort of wage would buy accordingly. There are plenty of nice areas that aren't that expensive. I am in the process of buying a 2 bed semi in a nice area for £135k with parking a garden in a nice road near a nice school! In Birmingham. (and a fairly posh part at that).

Since when have average wage people been able to afford really really posh expensive affluent areas? They haven't. They are affluent and desirable for a reason, and therefore the costs are higher. I personally wouldn't go and try to buy a house in Sutton (could buy a flat) as that is too much for me. That doesn't mean property is not affordable, just that I can't buy in sutton!

Err you said "lovely area". So maybe I'm confused by your definition of lovely. So you are buying a 2 bed for more than the average person could afford? I thought you said the 3 -4 bed was affordable?

Maybe I'm getting the wrong end of your point.

All I will say is the house you are buying will be worth less in Dec 2008.

LillyJ

Oooo thanks for the warning! Not actually bothered thanks, for many reasons which I will not go in to now.

I said lovely area (which mine is) not MOST affluent part of region and I chose a 2 bed rather than 3 bed as the particular house was right for us (we looked at far more 3 bed than 2 bed).

I have no idea why average wage people should be able to afford the most affluent areas at all. It just doesn't work that way. There are more expensive areas and the people who earn more can afford them. That's life.

So I have got a 2 bed (but could easily have got a 3 bed) semi with garden in a lovely area, parking, near a good school, nice quiet road, in posh area, for what the average person can afford. In my eyes that is not such a bad deal.

People down south where I am from originally have not got affordability. In my eyes up here we have.

boinging_2

LillyJ wrote: »

Oooo thanks for the warning! Not actually bothered thanks, for many reasons which I will not go in to now.

I said lovely area (which mine is) not MOST affluent part of region and I chose a 2 bed rather than 3 bed as the particular house was right for us (we looked at far more 3 bed than 2 bed).

I have no idea why average wage people should be able to afford the most affluent areas at all. It just doesn't work that way. There are more expensive areas and the people who earn more can afford them. That's life.

So I have got a 2 bed (but could easily have got a 3 bed) semi with garden in a lovely area, parking, near a good school, nice quiet road, in posh area, for that the average person can afford. In my eyes that is not such a bad deal.

People down south where I am from originally have not got affordability. In my eyes up here we have.

Okay, losing money is something your happy to do... I would be interested to know which "lovely" "posh" areas of Birmingham have 3 bed houses for 130K, as there are only 22 properties on sale in the whole of Birmingham on Rightmove for this price with 3 or more bedrooms.