mortgages - how

bastic

bastic

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How young people can afford all new flats those days ?
lets take 2bed flat that is around 400k or more... if we assume that banks wont give you more than 5 times your wages, then it is hardly possible to make it on your own - assuming you do not earn £100k a year ;D
people earning 30-40k won't be able to afford mortgage... there are government plans like shared ownerships, new build etc but those wont cover all flats/houses

am I missing some information on how to obtain bigger mortgage ? are there any other options ???

I see a lot of new flats being built around where I live are getting filled one by one... how....I ask how...I haven't seen any being released on shared ownership basis...

I wish to be able to get a mortgage for a nice house but can't see that happening ;(

maybe someone on here is more informed than I am ;D
 
Where do you live?
 
London. ...it may well mean leaving the area you like to get the type of property you want in your price bracket.
 
crofter said:
Simple, don't live in London.
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due to nature of my partners job, it has to be London

viv1969 said:
London. ...it may well mean leaving the area you like to get the type of property you want in your price bracket.
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even if we leave, bank wont give me enough to buy property outside london either...

I dont think I am not well paid, but looking at markets, I am unable to afford anything...

if I would get £200k, I would be lucky. that wont give you much...
 
bastic said:
due to nature of my partners job, it has to be London



even if we leave, bank wont give me enough to buy property outside london either...

I dont think I am not well paid, but looking at markets, I am unable to afford anything...

if I would get £200k, I would be lucky. that wont give you much...
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You're knackered then.
 
Been thinking the same. I think a lot of people are lucky with being left money in wills from parents and grandparents. Other than that I can't see how you can afford.
 
You clearly didn't look very hard ;)

http://www.rightmove.co.uk/property...ryDisplayPropertyType=&newHome=&auction=false

700+ properties under £150k and within 10 miles of woolwich.

160 within 3 miles http://www.rightmove.co.uk/property...0000&radius=3.0&googleAnalyticsChannel=buying

Your first place will be somewhere you don't like. I had to live in a house I hated until I could afford to move somewhere else. That's life. Buy somewhere that needs work. Do it up. Put the profit into a better place and move up again.
 
Come live in Scotland, you get a lot more property for your money up here
 
Our house was 20-30 miles from where we worked but that's how far we had to go before we could afford a place. I've always said that I'd never live inside the M25 because house prices were stupid.

PS. I worked on the flats at the royal arsenal and above Woolwich tescos and couldn't believe how much they were going to ask for them !
 
cambsno said:
Been thinking the same. I think a lot of people are lucky with being left money in wills from parents and grandparents. Other than that I can't see how you can afford.
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must be hell a lot of people like that around hwere I live ;)

srichards said:
You clearly didn't look very hard ;)

http://www.rightmove.co.uk/property...ryDisplayPropertyType=&newHome=&auction=false

700+ properties under £150k and within 10 miles of woolwich.

160 within 3 miles http://www.rightmove.co.uk/property...0000&radius=3.0&googleAnalyticsChannel=buying

Your first place will be somewhere you don't like. I had to live in a house I hated until I could afford to move somewhere else. That's life. Buy somewhere that needs work. Do it up. Put the profit into a better place and move up again.
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Im not saying there are not places that can be afforded.

if it comes to that, I will get place outside london, but then will need to take in to consideration much bigger bill for travel..

question was if there are ways to get more than what 'uninformed ' people know - I only know that you can get 4,5- 5times your earnings
how the heck, young people can afford places that sell for over £450-500k ...

maybe Im missing something :)

not long ago one of the housing associations had new 3bed apartments for sale for £230k I think, which 'is reasonable ' for london
we missed on those..
 
mrgubby said:
Our house was 20-30 miles from where we worked but that's how far we had to go before we could afford a place. I've always said that I'd never live inside the M25 because house prices were stupid.

PS. I worked on the flats at the royal arsenal and above Woolwich tescos and couldn't believe how much they were going to ask for them !
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them flats are cheaper than ones that are being built now next to my place now... LOL
not to mention service charges...
 
Aren't there schemes where you `share` your mortgage? (part ownership)
Do lenders still offer `Interest only` mortgages?
 
OldCarlos said:
Aren't there schemes where you `share` your mortgage? (part ownership)
Do lenders still offer `Interest only` mortgages?
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That's shared ownership yes.
 
Unfortunately we've just lived through about the only time in British history where affordable housing and home ownership were considered 'normal'. It's left a hangover where many believe they 'should' be able to afford to buy a place, economics says that's unreasonable.

The way house price inflation works does mean that if you can get on the housing ladder, you might make your way up.

But it's also completely twisted, if you're on an averageish income in the South East, your property will 'make more money' than you do this year. That IMO is a completely f***ed up economy. And I know where I'd lay the blame too, but that is the road to another angry thread.
 
May I ask the nature of a job that rules out a short commute?
 
viv1969 said:
May I ask the nature of a job that rules out a short commute?
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Musician/ Teacher(schools and private)gigs, late finished, travel around whole London between schools.
Living in London would be beneficial as she spends air of time on public transport as it is
 
When we bought our first house back in the late 70's (I'm still living here)
It cost approx 2.5 x my annual salary, I was was on fairly good money at the time.
Today I couldn't afford to by it, I'm still on "reasonable money" but it now worth circa 10x my annual salary.
And I live 40 odd miles North of London.
So no, I don't understand how people afford properties these day's, especially the yung'uns!
 
bastic said:
Always wanted to live up north :D
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You could do worse;). Jobs situation ain't that great in the Aberdeen area right now tho, what with the down turn in the Oil Industry because of the low price.
 
Cobra said:
Better get that wall back up again a bit smartish then :D
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It was you lot that built it in the first place to keep us out (under the direction of the Romans). Build it again any time you like.:)
 
Cobra said:
When we bought our first house back in the late 70's (I'm still living here)
It cost approx 2.5 x my annual salary, I was was on fairly good money at the time.
Today I couldn't afford to by it, I'm still on "reasonable money" but it now worth circa 10x my annual salary.
And I live 40 odd miles North of London.
So no, I don't understand how people afford properties these day's, especially the yung'uns!
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When we bought this house, it cost about 3.5 times my salary, 15 years and 2 promotions later and it's worth about 7x my current salary. And I live in the commuter belt as Doncaster to Kings Cross is an hour and a half.
 
BRASH said:
You could do worse;). Jobs situation ain't that great in the Aberdeen area right now tho, what with the down turn in the Oil Industry because of the low price.
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And the fuel prices are creeping up again, "down here" anyway.
a good 5p / litre up over the recent "low" prices
BRASH said:
It was you lot that built it in the first place to keep us out (under the direction of the Romans). Build it again any time you like.:)
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So the Romans did "do" something for us after all :D
Phil V said:
When we bought this house, it cost about 3.5 times my salary, 15 years and 2 promotions later and it's worth about 7x my current salary. And I live in the commuter belt as Doncaster to Kings Cross is an hour and a half.
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Bloody crazy isn't it?
 
bastic said:
How young people can afford all new flats those days ?
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These days? I thought the same thing thirty years ago and my parents were of the same opinion before me.

It's simple really. Modern society is designed to take just about everything you earn. If wages go up, house prices go up.
If interest rates drop, you can afford more - so house prices go up... etc.

bastic said:
not long ago one of the housing associations had new 3bed apartments for sale for £230k I think, which 'is reasonable ' for london
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Wow. More than twice what I would pay down here!


Steve.
 
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Steve Smith said:
These days? I thought the same thing thirty years ago and my parents were of the same opinion before me..
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Well yes would agree with that in the most part, however house prices have escalated way above the increase in salaries,
as per my post #19.
My house, the price all but doubled, within 18 months us moving in, by the early '80's the prices were upwardly spiralling , almost out of control.
 
I remember my parents telling me that in 1970, £200 was the difference between the three bed terrace they bought and the 5 bed detached they wanted, and they couldn't raise the difference.
 
It's probably easier nowadays with the interest rate having been so consistently low over recent years.
 
Make some sacrifices, i'm 45 and mortgage free but the Mrs and me have worked hard and paid in well over our mortgage each month.
The only other option is churn out loads of kids and live off the social, 4 kids would get you a nice pad :rolleyes:
 
Neil B said:
Make some sacrifices, i'm 45 and mortgage free but the Mrs and me have worked hard and paid in well over our mortgage each month.
The only other option is churn out loads of kids and live off the social, 4 kids would get you a nice pad :rolleyes:
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whats that little brown box behind a sky satellite dish called

a council house :exit::exit:

the other option is to move to wales ,free prescriptions ,no shortage of work in the north eastern part ,cheap housing ,no hospital parking fees ,free roaming sheep and people best move i ever made east end of london slums to the mountains of wales
 
Cobra said:
Well yes would agree with that in the most part, however house prices have escalated way above the increase in salaries,
as per my post #19.
My house, the price all but doubled, within 18 months us moving in, by the early '80's the prices were upwardly spiralling , almost out of control.
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Yes... However, in the 80s people were saying the same thing. Then, you needed two average wage earners to get a house.

My parents bought their first house in 1965 on just one salary (my father's) which was the equivalent of just above minimum wage now. I wouldn't be able to buy that same house today if starting from scratch and my salary is about national average.

(I do own that same house now but it's my fourth house).


Steve.
 
Simple. Take the blinkers off.

Live in Doncaster or similar and buy an Oyster Card and cheap rail tickets/season ticket.

Loads do it, just look at the trains between 6-9am.

It is quicker than getting in from some parts of Kent/Surrey.
 
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Where I live there seems to be a lot of problems with NIMBYism which must drive up prices. Smug people with mortgage free houses who are "furious" that there will be houses built near their properties when there are a lot of people who cannot afford houses at all. They need to make sure that any new development has a good proportion of affordable units rather than just loads of those awful "executive style" houses which seem to be all the rage with developers.
 
Steve Smith said:
Yes... However, in the 80s people were saying the same thing. Then, you needed two average wage earners to get a house.

My parents bought their first house in 1965 on just one salary (my father's) which was the equivalent of just above minimum wage now. I wouldn't be able to buy that same house today if starting from scratch and my salary is about national average.

(I do own that same house now but it's my fourth house).


Steve.
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I think we are saying the same thing here :thumbs:
 
As long as Estate Agents (spit) get away with charging a percentage of the sale they'll keep pushing prices up. If it was a fixed fee "maybe" house prices wouldn't be driven so high, after all things should only sell for what the market can support... ;)
 
Cobra said:
I think we are saying the same thing here (y)
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Yes, we are. But the implication from some was that this was a new thing. It isn't. House prices have been rising exponentially compared with wages for many years now.


Steve.
 
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