Toepoke Posted December 17, 2015 Share Posted December 17, 2015 Thoroughly depressing story this... http://www.bbc.co.uk/news/business-35102130 Nearly half a million for an average sized hoose! My kids will be starting out on their careers around then. I fear for their generation's disposable income if it's going to cost so much to put a roof over their heads... Quote Link to comment Share on other sites More sharing options...
Orraloon Posted December 17, 2015 Share Posted December 17, 2015 Thoroughly depressing story this... http://www.bbc.co.uk/news/business-35102130 Nearly half a million for an average sized hoose! My kids will be starting out on their careers around then. I fear for their generation's disposable income if it's going to cost so much to put a roof over their heads... 50% increase in 10 years? That's less than 5% a year. And, when did folk start believing estate agents? Quote Link to comment Share on other sites More sharing options...
Toepoke Posted December 17, 2015 Author Share Posted December 17, 2015 That's all very well if household incomes are rising at similar levels but they are nowhere near that. Agree about estate agents though. The article does have an air about it of "buy now or you'll never be able to"... Quote Link to comment Share on other sites More sharing options...
Orraloon Posted December 17, 2015 Share Posted December 17, 2015 That's all very well if household incomes are rising at similar levels but they are nowhere near that. Agree about estate agents though. The article does have an air about it of "buy now or you'll never be able to"... Why are you worrying about whether your kids will be able to buy a house? Did your parents buy a house for you when you left home? I have never understood this obsession with being able to buy a house. They will struggle to pay off their student loan never mind buy a house. But that's their problem not yours. If you concentrate on bringing your kids up, they will be perfectly capable of looking after themselves when the time comes. Quote Link to comment Share on other sites More sharing options...
DonnyTJS Posted December 17, 2015 Share Posted December 17, 2015 Why are you worrying about whether your kids will be able to buy a house? Did your parents buy a house for you when you left home? I have never understood this obsession with being able to buy a house. They will struggle to pay off their student loan never mind buy a house. But that's their problem not yours. If you concentrate on bringing your kids up, they will be perfectly capable of looking after themselves when the time comes. But it's the disparity between house prices and income that Toepoke's on about. I was able to afford a house within a couple of years of starting work - at no great wage. I'd hate to be starting out now. Quote Link to comment Share on other sites More sharing options...
they've_been_suckered Posted December 17, 2015 Share Posted December 17, 2015 A more pressing concern is that there are a generation of homeowners who have never known interest rates to rise. Some of these individuals will be stretching things at the moment already. Quote Link to comment Share on other sites More sharing options...
Orraloon Posted December 17, 2015 Share Posted December 17, 2015 But it's the disparity between house prices and income that Toepoke's on about. I was able to afford a house within a couple of years of starting work - at no great wage. I'd hate to be starting out now. Maybe they should be demanding higher wages then? Young folk just aren't prepared to go on strike these days to fight for their rights. Maybe they have had all the fight knocked out of them? Quote Link to comment Share on other sites More sharing options...
Brummie Hibs Posted December 17, 2015 Share Posted December 17, 2015 Just bought a house in Hertford, (due to move in the start of Feb), so this is good news for us. It cost us a pretty penny, but if this article is true, it'll be touching £1million in 10 years, maybe more if we do renovations. We also took out a 5 year fixed interest mortgage, which also looks prudent, based on the US Interest Rate rise, and inevitably the UK replicating them in 2016. Quote Link to comment Share on other sites More sharing options...
Auld_Reekie Posted December 17, 2015 Share Posted December 17, 2015 A more pressing concern is that there are a generation of homeowners who have never known interest rates to rise. Some of these individuals will be stretching things at the moment already. Which is why there's no way the trend in that article will come true. When interest rates start moving, the market is surely going to stall? There will surely be a lot of people out there in for a massive shock if and when rates start rising. House prices cannot continue to out-pace income. Quote Link to comment Share on other sites More sharing options...
thewelk Posted December 17, 2015 Share Posted December 17, 2015 Just bought a house in Hertford, (due to move in the start of Feb), so this is good news for us. It cost us a pretty penny, but if this article is true, it'll be touching £1million in 10 years, maybe more if we do renovations. We also took out a 5 year fixed interest mortgage, which also looks prudent, based on the US Interest Rate rise, and inevitably the UK replicating them in 2016. What is the rate in the uk these days? Quote Link to comment Share on other sites More sharing options...
Brummie Hibs Posted December 17, 2015 Share Posted December 17, 2015 What is the rate in the uk these days? 0.5% Quote Link to comment Share on other sites More sharing options...
thewelk Posted December 17, 2015 Share Posted December 17, 2015 0.5% What about a good mortgage rate? Quote Link to comment Share on other sites More sharing options...
euan2020 Posted December 17, 2015 Share Posted December 17, 2015 Just bought a house in Hertford, (due to move in the start of Feb), so this is good news for us. It cost us a pretty penny, but if this article is true, it'll be touching £1million in 10 years, maybe more if we do renovations. We also took out a 5 year fixed interest mortgage, which also looks prudent, based on the US Interest Rate rise, and inevitably the UK replicating them in 2016. what difference does increase in value of your house make if you are living in it ? only folk who benefit from price increases are people downsizing or folk relocating to a cheaper area Quote Link to comment Share on other sites More sharing options...
Stapes Posted December 17, 2015 Share Posted December 17, 2015 Just bought a house in Hertford, (due to move in the start of Feb), so this is good news for us. It cost us a pretty penny, but if this article is true, it'll be touching £1million in 10 years, maybe more if we do renovations. We also took out a 5 year fixed interest mortgage, which also looks prudent, based on the US Interest Rate rise, and inevitably the UK replicating them in 2016. We took out a 10 year fixed to pay off our mortgage. Slightly higher rate, but rates are never going any lower than they are now. Quote Link to comment Share on other sites More sharing options...
iainmac1 Posted December 17, 2015 Share Posted December 17, 2015 Maybe they should be demanding higher wages then? Don't know why I never thought of that before! I'll be onto the council in the morning, cheers. Quote Link to comment Share on other sites More sharing options...
Lamia Posted December 17, 2015 Share Posted December 17, 2015 Don't know why I never thought of that before! I'll be onto the council in the morning, cheers. I will be right behind you - do you know who I should get in touch with? Quote Link to comment Share on other sites More sharing options...
Toepoke Posted December 17, 2015 Author Share Posted December 17, 2015 Why are you worrying about whether your kids will be able to buy a house? Did your parents buy a house for you when you left home? I have never understood this obsession with being able to buy a house. They will struggle to pay off their student loan never mind buy a house. But that's their problem not yours. If you concentrate on bringing your kids up, they will be perfectly capable of looking after themselves when the time comes. But it's the disparity between house prices and income that Toepoke's on about. I was able to afford a house within a couple of years of starting work - at no great wage. I'd hate to be starting out now. Exactly Donny, in answer to Orraloon my folks did help me buy my first house, but it was only a few hundred quid towards a deposit. A deposit now is getting up towards what my mortgage was! Quote Link to comment Share on other sites More sharing options...
stocky Posted December 17, 2015 Share Posted December 17, 2015 my first flat in West end of Glasgow was 15.500, a renovated tenement flat in nice area, 1987, my salary was 11,500. around average , so the gap between my salary and the price of a house was very close. now an average salary is around 20,000 and a cheap house can be 80,000 , that's 4 times an average salary.. Quote Link to comment Share on other sites More sharing options...
Toepoke Posted December 17, 2015 Author Share Posted December 17, 2015 I imagine that flat in the West End would go for more than 80 grand now. Or did you totally trash it? Quote Link to comment Share on other sites More sharing options...
Orraloon Posted December 17, 2015 Share Posted December 17, 2015 Don't know why I never thought of that before! I'll be onto the council in the morning, cheers. Why do folk almost never go on strike any more? I think part of the reason is this obsession with owning a house. Once they get lumbered with a mortgage they think they can't afford to go on strike to attempt to improve their conditions. It's a Catch 22 situation. Quote Link to comment Share on other sites More sharing options...
stocky Posted December 17, 2015 Share Posted December 17, 2015 I imagine that flat in the West End would go for more than 80 grand now. Or did you totally trash it? i was only in it for 2 years before it was comp purchased for a housing association (got 19500) for it. and a rented flat for cheap as chips. Was good at the time but if i had bought again, and again, i would have been in at the beginning of the boom, and as such would probably not still be paying a mortgage just now..... cheaper west end flats partick/thornwood etc can be around 80-100 000 , just now. but i was backing up your point as to how far away first time flat prices are from the average wages today compared to when i bought my flat. Quote Link to comment Share on other sites More sharing options...
stocky Posted December 17, 2015 Share Posted December 17, 2015 (edited) Why do folk almost never go on strike any more? I think part of the reason is this obsession with owning a house. Once they get lumbered with a mortgage they think they can't afford to go on strike to attempt to improve their conditions. It's a Catch 22 situation. that was part of the reason Thatcher sold council houses, in the past councils would not demand rent from strikers as they were scared they wouldnt be voted in. own your house and the banks dont give a phukk, dont pay them you are oot... so Strike and you lose your house.... it was a political decision it changed the way Britain was run...... Edited December 17, 2015 by stocky Quote Link to comment Share on other sites More sharing options...
Toepoke Posted December 17, 2015 Author Share Posted December 17, 2015 but i was backing up your point as to how far away first time flat prices are from the average wages today compared to when i bought my flat. Too true, in the 10 years between me buying and selling my flat in Shawlands it had more than trebled in value. My salary certainly hadn't! Quote Link to comment Share on other sites More sharing options...
Orraloon Posted December 17, 2015 Share Posted December 17, 2015 Too true, in the 10 years between me buying and selling my flat in Shawlands it had more than trebled in value. My salary certainly hadn't! Should've bought two. Quote Link to comment Share on other sites More sharing options...
thewelk Posted December 18, 2015 Share Posted December 18, 2015 Should've bought two. A lot of old c**ts did and plenty more after that. They're part of the reason the system is f*cked for younger generations. Quote Link to comment Share on other sites More sharing options...
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