Young people CAN afford to get on the housing ladder if they give up the easyJet, coffee, gym, Netflix lifestyle

[Frank Hovis]

1 minute ago, King Penda said:

My mates there he went to see dame Edna last night it’s all happening in Telford ps it’s a shit hole edit it was jasper carrot Edna’s in a few weeks

 

I wasn't knocking Telford, I don't know it all, but it seemed ridiculous that in 1988 someone on a central London salary was looking to buy there as being the nearest affordable town given that it's the other side of Birmingham.

[King Penda]

34 minutes ago, spunko said:

There was the "avocado index" website a few years ago - now sadly no longer online. It calculated how many avocados you would have to buy to put down a deposit on a house in various areas of the country, and how many you would have to eat every day. Brilliant stuff, shame it's gone.

Problem with people like Krustie is that she's completely atypical yet doesn't realise it. In my own situation I am acutely aware that I'm in a minority of young people who have been able to buy a house in the SE (simply because my business has been a success). I listen to the plight of my friends trying to buy a house (who work hard and don't waste money) and it pisses me off. Imagine if I told them just to stop buying avocadoes...  I hope I never become as self-absorbed as Krustie.

 

I agree they are fucked in the south east so they have 3 choices build millions more ,move or suck it up .waiting for a crash that big is just not going to happen .let’s remember most of the new arrivals want to stay in the south east 

[King Penda]

2 minutes ago, Frank Hovis said:

 

I wasn't knocking Telford, I don't know it all, but it seemed ridiculous that in 1988 someone on a central London salary was looking to buy there as being the nearest affordable town given that it's the other side of Birmingham.

My mate lives in his loft in Telford . He was thinking of moveing to stoke to cut his commute down to jcb at rocester . He decided on something radical he leaves jcb this Thursday and is going back into carework

[HousePriceMania]

Kwisty is causing a bit of outrage amongst young people

 

[HousePriceMania]

1 hour ago, UmBongo said:

I think most people don't do any of the shit in the thread title and still cannot afford to buy a house! 

I don't do any of that and I'm struggling to get back onto the property ladder. Or snake. 

That graph @HousePriceMania posted a few days ago house prices vs average salaries over the past 50 years paints an interesting picture. 

This is even more interesting.

2 hours ago, spygirl said:

Yes. I have a vivid memories of looking round Bath in 92ish (with a log gone ex) and looking at flats around ~20k.

 

Yes, I could have bought one for 0.33333% of my salary in 1997.

 

[HousePriceMania]

2 hours ago, JoeDavola said:

 unless there is a sharp rise in interest rates

They doubled last week 

[JoeDavola]

5 minutes ago, HousePriceMania said:

They doubled last week 

From fuck all to fuck all times 2?

I mean a rise to historic norms - 5%+. A rise from 0.25 to 0.5 means nothing really.

[Hancock]

26 minutes ago, HousePriceMania said:

Kwisty is causing a bit of outrage amongst young people

 

I remember "call me Dave" offered her a role as some sort of housing tsar.

Britain has been a success in spite of these cunts who run the show, complete fucken wankers the lot of them.

Be great if Russia invades, as it could become fair game to put the heads of this clique on fucken sticks.

https://www.mirror.co.uk/3am/celebrity-news/tv-property-expert-kirstie-allsopp-425217

[leonardratso]

well latest article on DM says young people agree with her, thats 3 random young people on twitter to bait the headline, i had a shufty and most are agreeing sarcastically, i wonder  if the dm missed that, wouldnt surprise me with how fucking thick they are sometimes, oh, and ;

[HousePriceMania]

2 hours ago, JoeDavola said:

From fuck all to fuck all times 2?

I mean a rise to historic norms - 5%+. A rise from 0.25 to 0.5 means nothing really.

Depends how much you've borrowed as to what impact it has.

A debt of 100,000 that you can just service with IRs at 6% is the same as a 500,000 debt you can just service with IRs at 0.25%

[Froggy2000]

8 hours ago, JoeDavola said:

Yeah my folks make sweeping statements like this "the young expect too much nowadays" ect...

I remember at one point they were driving along in their car with it's custom number plates and Dad was having a go at a young family who were out playing with one of those electric scooter toys as an example of how the young have "far too much money". From behind the wheel of his custom number plated car.

I was in the student area with Mum last week and we passed some eatery and she said something along the lines of "students have so much money these days back in my days we didn't have these big loans so we didn't eat out all the time ect...". She was framing it as if the stuents were so lucky to being given these loans - I reminded her that she got a grant and no student fees so didn't leave uni in 5 figures of debt, or any debt for that matter but it just doesn't register with them.

People don't like thinking that any amount of their 'success' and wealth is due to luck.

Cunts

[mh9000]

1 hour ago, HousePriceMania said:

Depends how much you've borrowed as to what impact it has.

A debt of 100,000 that you can just service with IRs at 6% is the same as a 500,000 debt you can just service with IRs at 0.25%

Saw this on a George Gammon video someone posted, in dollars but obviously still applies.

Doesn't even go as low as 1% !

Question is will rates ever increase that much? If so will Govt prop it up somehow yet again, and will prices actually drop to reflect the limited mortgages depending on how many actually use them?

[HousePriceMania]

4 minutes ago, mh9000 said:

Saw this on a George Gammon video someone posted, in dollars but obviously still applies.

Doesn't even go as low as 1% !

Question is will rates ever increase that much? If so will Govt prop it up somehow yet again, and will prices actually drop to reflect the limited mortgages depending on how many actually use them?

Mortgage or Central bank rates ?

UK Interest Rates were 0.5 with saving rates of 3-6% and mortgage rates to match from 2008 to 2021...it was TermFunding from that evil **** Carney that artificially suppressed mortgage/savings rates and gave the bailed out banks the money to lend.

If they have to borrow money from savers/open markets, mortgage rates can go very high indeed.  If the BoE bring back Term Funding, and I am not saying they wont, they can suppress the rates again but inflation will shoot up again and a lot of people will get very f**king angry now. 

[spunko]

6 hours ago, leonardratso said:

well latest article on DM says young people agree with her, thats 3 random young people on twitter to bait the headline, i had a shufty and most are agreeing sarcastically, i wonder  if the dm missed that, wouldnt surprise me with how fucking thick they are sometimes, oh, and ;

Krustie was right about women leaving it too late to conceive, it's only when it comes to the economy that she is a bit thick. 

[UmBongo]

17 hours ago, HousePriceMania said:

Does she not think the young londoners moving to Norwich would then price out the young there ?

Funny you should say that... 

(not that young anymore)

Probably more retirees moving to Norfolk and landlords snapping up houses.

[Boglet]

8 hours ago, spunko said:

Krustie was right about women leaving it too late to conceive, it's only when it comes to the economy that she is a bit thick. 

She was also bang on about it being weird and stupid that UK houses typically have the washing machine in the kitchen. I fucking hate that.

[HousePriceMania]

9 hours ago, spunko said:

Krustie was right about women leaving it too late to conceive, it's only when it comes to the economy that she is a bit thick. 

My wife and I left it a bit late and maybe in school they should teach both boys and girls the inherent risk of having children late.

For example. the down syndrome risk increases exponentially with age

 

Then a woman's ability to conceive also falls

Then  there is a huge factor that most young people will not factor....people die when they get older.  We've already lost 1 parent among the people we know to cancer and 1 to suicide !!!

The good side of having children older is you are more worldly wise, have more money behind you (hopefully), can have a lot of fun/travel during your healthy years and less inclined to throw your knob up anything that most so less likely to get divorced.

This post should be part of the national curriculum.

 

[spygirl]

13 hours ago, HousePriceMania said:

Mortgage or Central bank rates ?

UK Interest Rates were 0.5 with saving rates of 3-6% and mortgage rates to match from 2008 to 2021...it was TermFunding from that evil **** Carney that artificially suppressed mortgage/savings rates and gave the bailed out banks the money to lend.

If they have to borrow money from savers/open markets, mortgage rates can go very high indeed.  If the BoE bring back Term Funding, and I am not saying they wont, they can suppress the rates again but inflation will shoot up again and a lot of people will get very f**king angry now. 

Inded.

Up til 2008 bans were hollding all off ~2k per 100k of capital against miortgages.

Mental.

Now BoE makes banks hold a lot more capital against loans. And it expects the banks to have a lot more equity.

This adds to hefty spread of BoE base rates.

It doesnt take a genius to work out the BoE wants to hold a little as poss of mortgage debt.

Typical UK mortgages these days is -

20% deposit.

Fixed for 5/10 years (thats a large chunk of bond effectively put into the loan).

And the bank to hold ~20% of capital.

The amount od debt drawn down from the BoE is sub ~30k per 100k of house, rather than 98k per 100k in 2008.

In short - expect BoE base rate / SVR spread of 3%-4%.

BoE raises to to ~3%-4%, which likely then SVR of 6%-8%

 

 

 

 

[HousePriceMania]

6 minutes ago, spygirl said:

Inded.

Up til 2008 bans were hollding all off ~2k per 100k of capital against miortgages.

Mental.

Now BoE makes banks hold a lot more capital against loans. And it expects the banks to have a lot more equity.

This adds to hefty spread of BoE base rates.

It doesnt take a genius to work out the BoE wants to hold a little as poss of mortgage debt.

Typical UK mortgages these days is -

20% deposit.

Fixed for 5/10 years (thats a large chunk of bond effectively put into the loan).

And the bank to hold ~20% of capital.

The amount od debt drawn down from the BoE is sub ~30k per 100k of house, rather than 98k per 100k in 2008.

In short - expect BoE base rate / SVR spread of 3%-4%.

BoE raises to to ~3%-4%, which likely then SVR of 6%-8%

 

 

 

 

They could probably do this and get rates back down by the time a lot of FTBs 5 year fixed come up for renewal.

The fact they are suppressing rates screams out to me that something is seriously wrong.

[spygirl]

42 minutes ago, HousePriceMania said:

My wife and I left it a bit late and maybe in school they should teach both boys and girls the inherent risk of having children late.

For example. the down syndrome risk increases exponentially with age

 

Then a woman's ability to conceive also falls

Then  there is a huge factor that most young people will not factor....people die when they get older.  We've already lost 1 parent among the people we know to cancer and 1 to suicide !!!

The good side of having children older is you are more worldly wise, have more money behind you (hopefully), can have a lot of fun/travel during your healthy years and less inclined to throw your knob up anything that most so less likely to get divorced.

This post should be part of the national curriculum.

 

A quick rule of thumb for aged based mortality -  in 10 years tie 50% of people aged 65 and older will die.

65-75 - ~40% risk of dying in 10 years.

75-85 - 80% risk of dying

85-96 - ~99.999^ chance of dying.

My parents cohort hit their mid 70s 5-10 years ago.

Dropping like flies.

 

 

 

[spunko]

1 hour ago, Boglet said:

She was also bang on about it being weird and stupid that UK houses typically have the washing machine in the kitchen. I fucking hate that.

I suppose so, never really thought about it. I had a German landlord who said the same, she stored hers in the airing cupboard.

[spygirl]

Proving Kirstie Allsopp right! Trainee nurse on £12,000-a-year buys her first home at just 19 - after saving a £17,000 deposit over three years by ditching nights out, eating packed lunches and working THREE jobs

https://www.dailymail.co.uk/femail/article-10488685/Is-Kirsty-Allsopp-right-Cash-savvy-nurse-buys-home-just-19-107-000.html

Rolled this one out. Again.

One, Are we meant to believed she saved ~~6k/year, whilst Uni, paying for accommodation?

Bullshit.

And, yes, I know she 'refereed netball matches, will give all of ~£20 a match.

Even if you put all that bollocks aside, she *cannot* get a mortgage whilst shes not employed.

And at 12k/y the max mortgages shed get - assuming the bank would even consider her for ~3 years after leaving Uni, would be ~35k.

 

[spygirl]

Anyone climbing onto the ladder in that area of Ciumbria in ~2004 - 

https://www.home.co.uk/guides/house_prices_report.htm?location=ca15&all=1

will still have a house worth pretty much what they paid for it, ~18 years ago,~30% less in real terms.

Hopefully theyd paid off the mortgage.

[HousePriceMania]

1 hour ago, spygirl said:

A quick rule of thumb for aged based mortality -  in 10 years tie 50% of people aged 65 and older will die.

65-75 - ~40% risk of dying in 10 years.

75-85 - 80% risk of dying

85-96 - ~99.999^ chance of dying.

My parents cohort hit their mid 70s 5-10 years ago.

Dropping like flies.

 

 

 

The problem isn't kids at 40, then you die.

The problem is, Kids are 18 and you're 60, then you die.

I've had one parent die when I was younger and one when I was older, the younger one is the hard one to today.

I've thought of another difficulty in having children younger, grand parents, who for many are a great support, die when the kids are young and a) It's a massive upset for the kids and b) you've lost a lot of support and c) The other greandparent who's left can become a burden.

 

[Bobthebuilder]

https://www.thedailymash.co.uk/news/celebrity/kirstie-allsopps-property-diary-building-a-dream-home-up-my-own-arse-20220208217183?utm_source=The+Daily+Mash+Headlines&utm_campaign=21db7c8936-EMAIL_CAMPAIGN_2022_02_08_01_07&utm_medium=email&utm_term=0_6c9c2fcf0b-21db7c8936-244231621