# House Prices



## Crazyface (Apr 13, 2016)

At random intervals, but fairly regularly, I check on house prices in my area, just to see. OMG !!!! They are seriously on the climb !!!


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## ArnoldArmChewer (Apr 13, 2016)

Crazyface said:



			At random intervals, but fairly regularly, I check on house prices in my area, just to see. OMG !!!! They are seriously on the climb !!! 

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Fine if you want to downsize, if your trading up it only magnifies the next jump up + puts more wedge in the government coffers via stamp duty & VAT.


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## SwingsitlikeHogan (Apr 13, 2016)

House prices and the equity generated gives the lie to 'wealth' being hard-earned, and therefore something that one generation should be able to pass to the next without it being taxed (see also endless debate about the iniquity or otherwise of Inheritance Tax)


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## DRW (Apr 13, 2016)

Personally for the good of the economy(aka as debt levels) I would love to see house prices half.

I feel for the people trying to buy and will have a true lifetime of debt and no chance of paying it off early, as the debt level is just so great (heaven forbid if interest rates went up as well).


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## Lord Tyrion (Apr 13, 2016)

Pockets are good, others are flat. I think they are generally on the rise but at what pace varies, as always to be fair but possibly more exaggerated at the moment.


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## Paperboy (Apr 13, 2016)

I'm just trying to get on the ladder. Think I might just have more then a 10% deposit when I start to look properly. 

But Â£170k doesn't get you much unfortunately, especially as I want 2 bed flat/house with 2 double bedrooms


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## adam6177 (Apr 13, 2016)

I'm nearly 36...... I bought my first flat in Jan 2007 (just as the housing market crashed).  I lost Â£20k in equity and essentially my 4 years of ownership cost me Â£60k

I will now have to wait until I inherit  before I can buy again.

#reality


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## patricks148 (Apr 13, 2016)

They are indeed Crazy.

when my Mother died in 98 by Father sold the family home for 750k, the people that purchased it then sold it a year later and made over 330k without doing anything to it....

luckily prices up here are more modest


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## jp5 (Apr 13, 2016)

Whole lot of debt being built up by a whole lot of people. Got to think it's not sustainable long term for house prices in the south to be going up 10% year on year.


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## MegaSteve (Apr 13, 2016)

According to local news story... Property has gone up by 17%, in these parts, over the last year... Meaning my home has gone up in value more than I got paid, in the same period... Totally ridiculous....

Great for those like myself, mortgage paid, but not good in anyway for those seeking to get on the property ladder...


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## SwingsitlikeHogan (Apr 13, 2016)

Paperboy said:



			I'm just trying to get on the ladder. Think I might just have more then a 10% deposit when I start to look properly. 

But Â£170k doesn't get you much unfortunately, especially as I want 2 bed flat/house with 2 double bedrooms 

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What - no wood burning stove?


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## SwingsitlikeHogan (Apr 13, 2016)

MegaSteve said:



			According to local news story... Property has gone up by 17%, in these parts, over the last year... Meaning my home has gone up in value more than I got paid, in the same period... Totally ridiculous....

Great for those like myself, mortgage paid, but not good in anyway for those seeking to get on the property ladder...
		
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But the value of the house makes no difference to you unless you intend move...and with no mortgage, and hence I assume reasonable disposable income, you may not even need to look to remortgage based on your equity.  So your equity is rather irrelevant?


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## SwingsitlikeHogan (Apr 13, 2016)

MegaSteve said:



			According to local news story... Property has gone up by 17%, in these parts, over the last year... Meaning my home has gone up in value more than I got paid, in the same period... Totally ridiculous....

Great for those like myself, mortgage paid, but not good in anyway for those seeking to get on the property ladder...
		
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..and you are hardly working hard to accumulate that 'wealth' in the equity you are building up - it's just coming your way...


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## Doon frae Troon (Apr 13, 2016)

Paperboy said:



			I'm just trying to get on the ladder. Think I might just have more then a 10% deposit when I start to look properly. 

But Â£170k doesn't get you much unfortunately, especially as I want 2 bed flat/house with 2 double bedrooms 

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Gets you this in Girvan
http://www.zoopla.co.uk/for-sale/de...2fd1dfc0675de93b46e8569475#m1T7uS3Wpi7Zefus.9


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## Paperboy (Apr 13, 2016)

Doon frae Troon said:



			Gets you this in Girvan
http://www.zoopla.co.uk/for-sale/de...2fd1dfc0675de93b46e8569475#m1T7uS3Wpi7Zefus.9

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Cost at least 500k if not more down in the south


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## Paperboy (Apr 13, 2016)

SwingsitlikeHogan said:



			What - no wood burning stove?
		
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I'd love a wood burner think they are very good, quite happily in the winter sit in front of one with a wee dram of malt and a good book!!!


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## User62651 (Apr 13, 2016)

adam6177 said:



			I'm nearly 36...... I bought my first flat in Jan 2007 (just as the housing market crashed).  I lost Â£20k in equity and essentially my 4 years of ownership cost me Â£60k

I will now have to wait until I inherit  before I can buy again.

#reality
		
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Well put, this is how it is for 90% of people under 40. Older people who bought pre 1996 are quids in whilst younger are fooked. I am mortgaged until I'm 70 for a modest hovel, my mortgage takes up approx 40% of my take home pay, nothing left to save or holiday. It's not much fun really.


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## Doon frae Troon (Apr 13, 2016)

Paperboy said:



			Cost at least 500k if not more down in the south 

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Bet they are not as nice as Girvan though.
Home to the worlds biggest distillery, golf course and lovely beach half a mile away.
Frost free area, Turnberry four miles away plus early season Ayrshire tatties.
What's not to like?

PS according to the floor plan you also get TWO dining rooms.


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## jp5 (Apr 13, 2016)

MegaSteve said:



			According to local news story... Property has gone up by 17%, in these parts, over the last year... Meaning my home has gone up in value more than I got paid, in the same period... Totally ridiculous....

Great for those like myself, mortgage paid, but not good in anyway for those seeking to get on the property ladder...
		
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Yep, you know something is awry when you go out to work and at the end of the day your house has earnt more than you!


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## SwingsitlikeHogan (Apr 13, 2016)

Doon frae Troon said:



			Bet they are not as nice as Girvan though.
*Home to the worlds biggest distillery,* golf course and lovely beach half a mile away.
Frost free area, Turnberry four miles away plus early season Ayrshire tatties.
What's not to like?
		
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I'll grant you that...and the lovely sweet Ayrshire tatties - a heavenly delight


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## Doon frae Troon (Apr 13, 2016)

SwingsitlikeHogan said:



			I'll grant you that...and the lovely sweet Ayrshire tatties - a heavenly delight
		
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Hendrick likes it


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## SocketRocket (Apr 13, 2016)

maxfli65 said:



			Well put, this is how it is for 90% of people under 40. Older people who bought pre 1996 are quids in whilst younger are fooked. I am mortgaged until I'm 70 for a modest hovel, my mortgage takes up approx 40% of my take home pay, nothing left to save or holiday. It's not much fun really.

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Yes it was so easy back then.  I bought my first house in 1975, no central heating, no double glazing, no carpets, no fitted kitchen, no dishwasher, no washing machine, damp and woodworm included.  Worked 70 hours a week, drove an old banger that I maintained myself, a weeks holiday a year in a caravan in Weymouth and a wife and kids to look after.   It was hard work and I was knackered but didn't expect any more and didn't bleat on that I was hard done by.   It took another thirty years to get the type of living standards many take for granted these days.   I appreciate it's hard to get on the property ladder but believe me life was not easy for the working man back then.


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## PhilTheFragger (Apr 13, 2016)

SocketRocket said:



			Yes it was so easy back then.  I bought my first house in 1975, no central heating, no double glazing, no carpets, no fitted kitchen, no dishwasher, no washing machine, damp and woodworm included.  Worked 70 hours a week, drove an old banger that I maintained myself, a weeks holiday a year in a caravan in Weymouth and a wife and kids to look after.   It was hard work and I was knackered but didn't expect any more and didn't bleat on that I was hard done by.   It took another thirty years to get the type of living standards many take for granted these days.   I appreciate it's hard to get on the property ladder but believe me life was not easy for the working man back then.
		
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Luxury, we ad to lick t'road clean wi our tongues 

Different world, it's certainly tough for first time buyers, I fear for my 3 girls as they start to approach adult life, I can see whole generations stuck renting


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## chrisd (Apr 13, 2016)

maxfli65 said:



			Well put, this is how it is for 90% of people under 40. Older people who bought pre 1996 are quids in whilst younger are fooked. I am mortgaged until I'm 70 for a modest hovel, my mortgage takes up approx 40% of my take home pay, nothing left to save or holiday. It's not much fun really.

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I bought a brand new 3 bed semi in mid Kent in 1975. It cost Â£9750 and the mortgage was about 70% of my take home pay for a period, the rate going up to about 15% for a period and probably averaging 10% during its lifetime!


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## SocketRocket (Apr 13, 2016)

PhilTheFragger said:



			Luxury, we ad to lick t'road clean wi our tongues 

Different world, it's certainly tough for first time buyers, I fear for my 3 girls as they start to approach adult life, I can see whole generations stuck renting
		
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Phil.  If you look to most EU countries people tend to rent properties.   Renting is not such a bad thing as long as it's regulated to be fair to everyone.


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## PhilTheFragger (Apr 13, 2016)

SocketRocket said:



			Phil.  If you look to most EU countries people tend to rent properties.   Renting is not such a bad thing as long as it's regulated to be fair to everyone.
		
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The problem with renting is that it is fine until you retire and find that your pension won't allow you to live in the same place, in fact around here a 2 bed flat is Â£1000 a month before all other expenses, it's going to be a major problem in the future


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## Old Skier (Apr 13, 2016)

PhilTheFragger said:



			Luxury, we ad to lick t'road clean wi our tongues 

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Lucky man - you had a road.

Its funny how expectations have changed through the years.

My parents couldn't even contemplate owning a house.

I had to wait until I was well into my 30s and thought a 35k mortgage was going to kill me back in the back end of the 80s.

It now seems that today's generations want to buy as soon as they leave home.


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## palindromicbob (Apr 13, 2016)

I hate housing, banks etc. 

In 2014 I had 20K deposit for a 90K house so needed a 70K mortgage.  Dual household income at band 5 in NHS (wife is part time). Only when I was turned down for the mortgage did I discover a default on my credit report.  Was Â£11 for a barclay credit card that I had paid off in full the month prior to the Â£11 charge. 3 missed payments and defaulted at around Â£60 every penny of which was charges. I contacted Barclays to query it as I hadn't received any statements since I paid of the balance so had assumed it was all clear.  They said that I had signed up to ebilling when I made the payment (i hadn't). Email address registered wasn't one I used anymore.  Turned out that I had paid the balance prior to bill date but charges yet to be applied. They wrote of the balance at default.  Since it was 6 months after the final default date I couldn't rectify it and that sitting on my credit report like a massive turd.   Anyway computer said no despite pleading my case and pointing out that I had paid Â£450 rent for past 5 years without missing a single missed payment so Â£340 mortgage shouldn't be an issue at all. 

Worked to bring my credit score up, all credit card now on minimum repayment DD etc and last summer it was good in the high 800's about to creep over to 900. Signed up and checked again in March only to find it had plummeted despite the fact my debts have decreased.  Then I read a thing about how they have changed how they score you now and certain aspects reflect more negatively such as defaults.  Feel like the goal posts have now been moved and I'll never get my own house.


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## Paperboy (Apr 13, 2016)

Well it looks like my best option is to buy some that's run down and still has wallpaper from the 70's on the wall and kitchen and bathroom to match and spend a year or so doing it up.


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## fundy (Apr 13, 2016)

Paperboy said:



			Well it looks like my best option is to buy some that's run down and still has wallpaper from the 70's on the wall and kitchen and bathroom to match and spend a year or so doing it up.
		
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hopefully moving into a place a bit like you describe in a couple of weeks


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## Paperboy (Apr 13, 2016)

http://http://www.rightmove.co.uk/property-for-sale/property-41247480.html

This is one I've seen today. But need to wait til May when I get my dividend before I can even start to look for a mortgage


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## SocketRocket (Apr 13, 2016)

PhilTheFragger said:



			The problem with renting is that it is fine until you retire and find that your pension won't allow you to live in the same place, in fact around here a 2 bed flat is Â£1000 a month before all other expenses, it's going to be a major problem in the future
		
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Old people in Germany dont get thrown out on the streets.   Read the last line of my post again please.


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## Slime (Apr 13, 2016)

Paperboy said:



			I'm just trying to get on the ladder. Think I might just have more then a 10% deposit when I start to look properly. 

But Â£170k doesn't get you much unfortunately, especially as I want 2 bed flat/house with 2 double bedrooms 

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Doon frae Troon said:



			Gets you this in Girvan
http://www.zoopla.co.uk/for-sale/de...2fd1dfc0675de93b46e8569475#m1T7uS3Wpi7Zefus.9

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It gets you most of this Studio Flat in Godalming!
http://www.zoopla.co.uk/for-sale/de...f03d763b1e0a01bd1b533bd36#oo6l3Bc0dQTHfv2O.97


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## Doon frae Troon (Apr 13, 2016)

Slime said:



			It gets you most of this Studio Flat in Godalming!
http://www.zoopla.co.uk/for-sale/de...f03d763b1e0a01bd1b533bd36#oo6l3Bc0dQTHfv2O.97

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Different worlds.
Where would you keep your golf clubs and bike
Forget the pet cat, they won't be able to swing that.


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## PhilTheFragger (Apr 13, 2016)

SocketRocket said:



			Old people in Germany dont get thrown out on the streets.   Read the last line of my post again please.
		
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So how does the German model work and can it be applied over here?


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## Doon frae Troon (Apr 13, 2016)

PhilTheFragger said:



			So how does the German model work and can it be applied over here?
		
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Oh Dear I just had a very very bad thought.


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## MegaSteve (Apr 14, 2016)

Over supply rather than over demand...

But, that ain't gonna happen anytime soon...


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## Doon frae Troon (Apr 14, 2016)

MegaSteve said:



			Over supply rather than over demand...

But, that ain't gonna happen anytime soon...
		
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It seems like the buy to let market is going to implode soon.
No surprise to me, the usual boom and bust housing market in South Britain.
You would think that folk would learn from history.


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## Liverpoolphil (Apr 14, 2016)

Doon frae Troon said:



			It seems like the buy to let market is going to implode soon.
No surprise to me, the usual boom and bust housing market in South Britain.
You would think that folk would learn from history.
		
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Why is it going to implode ?


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## MegaSteve (Apr 14, 2016)

Doon frae Troon said:



			It seems like the buy to let market is going to implode soon.
No surprise to me, the usual boom and bust housing market in South Britain.
You would think that folk would learn from history.
		
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Define "soon"....

Been predicted for a while now but, currently, no immediate signs of it happening...

Too many folk have their pensions riding on investment in property for 'busts' to occur as easily as they have in the past I think...


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## USER1999 (Apr 14, 2016)

Paperboy said:



			Well it looks like my best option is to buy some that's run down and still has wallpaper from the 70's on the wall and kitchen and bathroom to match and spend a year or so doing it up.
		
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Back when I bought my house, the condition of it made no difference, as people liked to put their own stamp on the house. Often, run down was at a premium, as nothing had been bodged.


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## Doon frae Troon (Apr 14, 2016)

Liverpoolphil said:



			Why is it going to implode ?
		
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Percentage rise in SE house prices is not sustainable + higher unemployment in the young.


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## chrisd (Apr 14, 2016)

I understand property prices are starting to fall quickly in London and that will inevitably impact in the rest of the south. There have been many renovations in London where flats are bought off plan with a deposit, and then sold and resold many tines over before they are ready and, my information is these the final owners, mainly living abroad, won't pay the final payment therefore leaving the developers with a hefty bill and no buyers!


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## SwingsitlikeHogan (Apr 14, 2016)

Slime said:



			It gets you most of this Studio Flat in Godalming!
http://www.zoopla.co.uk/for-sale/de...f03d763b1e0a01bd1b533bd36#oo6l3Bc0dQTHfv2O.97

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 I used to work in the almost identical office building right beside that one - they've obviously decided to convert at least that block into flats.  Nice spot to live though - very handy for Godalming town centre (10mins walk max) and close to the River Wey riverside walks and flood plain.


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## AMcC (Apr 14, 2016)

Liverpoolphil said:



			Why is it going to implode ?
		
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One reason may be a change to tax relief.  Not sure of the exact details but I believe that anyone with a portfolio of rental properties  will be getting clobbered shortly due to a change in tax. Someone may no more than me lol


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## PhilTheFragger (Apr 14, 2016)

AMcC said:



			One reason may be a change to tax relief.  Not sure of the exact details but I believe that anyone with a portfolio of rental properties  will be getting clobbered shortly due to a change in tax. Someone may no more than me lol
		
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Previously you could offset 100% of your mortgage interest charges against your rental income

So if the rent was 500pm and the mortgage interest was 200pm then you would have a taxible income of 300PM

they are phasing that out so next year you can claim 80%, 60% the year after so in 5 years it will be nil.

This leads to higher tax bills for landlords and therefore makes buy to let a less attractive proposition.

Also more stamp duty on BTL properties will mean it is harder to start a property portfolio


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## Paperboy (Apr 14, 2016)

murphthemog said:



			Back when I bought my house, the condition of it made no difference, as people liked to put their own stamp on the house. Often, run down was at a premium, as nothing had been bodged.
		
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Murph got no objection to that, but I'm a reluctant DIY'er. I'd need to encourage my little brother to help me, like I helped with his first house.


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## Liverpoolphil (Apr 14, 2016)

Doon frae Troon said:



			Percentage rise in SE house prices is not sustainable + higher unemployment in the young.
		
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So you're just guessing then?


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## User62651 (Apr 14, 2016)

SocketRocket said:



			Yes it was so easy back then.  I bought my first house in 1975, no central heating, no double glazing, no carpets, no fitted kitchen, no dishwasher, no washing machine, damp and woodworm included.  Worked 70 hours a week, drove an old banger that I maintained myself, a weeks holiday a year in a caravan in Weymouth and a wife and kids to look after.   It was hard work and I was knackered but didn't expect any more and didn't bleat on that I was hard done by.   It took another thirty years to get the type of living standards many take for granted these days.   I appreciate it's hard to get on the property ladder but believe me life was not easy for the working man back then.
		
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Ok it wasn't easy any time BUT at least banks would lend enough on a mortgage to be able to get a house back then, something that they won't do now for anyone without a massive deposit, also the value of property was more sensible then compared to now in terms of salaries. For example my folks bought a house in 1971 for 10.5k, my mum sold up in 2008 for Â£610k, if you take that 10.5k and apply the actual inflationary rate to it over that 37 years it should be worth about Â£120k, not Â£610k. That is the difference - affordability - in real terms property is costing 4 or 5+ times more relative to what people earn. It's not bleating its a serious problem that the older generation and the rich don't care about as 'they're alright Jack'. It is what it is but it's way tougher than it should be. People could work their arses off now but never afford any kind of house if they don't inherit. You make Â£80k/yr you might be able to get a house at Â£250k but who makes Â£80k, not many.


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## MegaSteve (Apr 14, 2016)

Doon frae Troon said:



			Percentage rise in SE house prices is not sustainable + higher unemployment in the young.
		
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But, the market in the SE is currently being driven by the demand from high levels of immigration...
Not, "higher unemployment in the young"...


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## SocketRocket (Apr 14, 2016)

maxfli65 said:



			Ok it wasn't easy any time BUT at least banks would lend enough on a mortgage to be able to get a house back then, something that they won't do now for anyone without a massive deposit, also the value of property was more sensible then compared to now in terms of salaries. For example my folks bought a house in 1971 for 10.5k, my mum sold up in 2008 for Â£610k, if you take that 10.5k and apply the actual inflationary rate to it over that 37 years it should be worth about Â£120k, not Â£610k. That is the difference - affordability - in real terms property is costing 4 or 5+ times more relative to what people earn. It's not bleating its a serious problem that the older generation and the rich don't care about as 'they're alright Jack'. It is what it is but it's way tougher than it should be. People could work their arses off now but never afford any kind of house if they don't inherit. You make Â£80k/yr you might be able to get a house at Â£250k but who makes Â£80k, not many.
		
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To get my first mortgage I had to make regular monthly savings with the Building Society for three years before they would even consider talking to me about a mortgage.  I needed to put a 10% deposit and interest rates were much higher.   Believe me it was no easy ride and our standard of living was much lower than now.

I dont know where your parents live but my first house was around Â£10K  and I would guess it would be worth around Â£180K now.   The increase your folks see seems rather large but maybe it's in the South East.


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## SocketRocket (Apr 14, 2016)

Doon frae Troon said:



			Percentage rise in SE house prices is not sustainable + higher unemployment in the young.
		
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You made some rather exaggerated and unsupported claims about youth unemployment recently, why are you doing it again?


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## adam6177 (Apr 14, 2016)

Just for laughs..... my parents bought their house in Tonbridge (Kent) in 1965 for Â£750.00...... their house is now worth around Â£425k

Sweet.


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## Rooter (Apr 14, 2016)

adam6177 said:



			Just for laughs..... my parents bought their house in Tonbridge (Kent) in 1965 for Â£750.00...... their house is now worth around Â£425k

Sweet.
		
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My dad built our family home after my grand parents cut their garden in half, cost about 5 grand all in circa 1975. sold about 2010 for about 350k. house prices are crazy round here, we bought our last place in oct 2006 for 218k, sold it in Jan this year for 318k. so glad i managed to get on the ladder early.


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## Doon frae Troon (Apr 14, 2016)

Liverpoolphil said:



			So you're just guessing then?
		
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Yes, check my earlier post. If I knew for certain I would be mega rich and sipping cocktails on an expensive beach somewhere.
According to many housing experts and some fellow posters on here, I think my 'guess' has a fair bit of value.


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## Doon frae Troon (Apr 14, 2016)

SocketRocket said:



			You made some rather exaggerated and unsupported claims about youth unemployment recently, why are you doing it again?
		
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Just check the recent Job Centre figures, it is quite easy to do, saves me bothering.
5,000 up last quarter.
Bound to go up much quicker for young workers now that the new [not] living wage is in force and companies let their cheap labour go.


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## DRW (Apr 14, 2016)

Prior to about the mid 80s, one person working generally could service the mortgage debt/life. This generally changed in the 80s.

I bought in 1991 IIRC but I would never never compare to now and how hard it was(as an overall whole). 

Wage inflation is what reduces relative debt levels. Globalisation has meant wages inflation is likely to remain low IMHO

IIRC we bought for 65k(3 bed semi in the south, now would be about 260 I think), which was at the height of interest rates and we had saved 10k as a deposit, so borrowed 55k(that was the max we could and we could not offer anymore, so the seller either took it or not). This was based on me/wife both working. At this point the mortgage was one of ours net pay figures(so it was very hard for a shortish period[3 years), interest rates  then dropped).

BUT and it is a massive BUT as interest rates dropped(and as I qualified), that debt level became easy to service and you could pay off the debt early(if it took your fancy).

Now, the deposit required is massive (it isn't a couple of ipad or iphones, that always makes me laugh when 'older' people say the youngest buy this or that), so it can takes years to save(from net pay) and interest rates can not drop anymore(all but). In addition it is hard to see massive wages inflation happening, to help 'relative' debt levels reducing. 

As a result a 25 year mortgage is going 'feel' a lot worse for the whole period than it did in the 70s, 80 or 90s.

The real problem was that with banking reform and the multiplier effect that they work to, debt became very easy to get hold of and this then feed into increased assets prices(as sadly people will pay what they can borrow), which was then made worse, as the government(cough BOE) reduce interest rates to allow bigger levels of debt, like a Ponzi scheme.

I am so sorry for the younger generation and we the older generation(I am 46 btw) have let them down, with regard to one of the fundamentals requirements in life, putting a roof over their heads.

PS Hopefully I have not upset anyone with my personal opinions.


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## SocketRocket (Apr 14, 2016)

Doon frae Troon said:



			Just check the recent Job Centre figures, it is quite easy to do, saves me bothering.
5,000 up last quarter.
Bound to go up much quicker for young workers now that the new [not] living wage is in force and companies let their cheap labour go.
		
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You really like making half truths don't you.   Youth employment is up 113,000 from the previous year, check that out.


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## SocketRocket (Apr 14, 2016)

DarrenWilliams said:



			Prior to about the mid 80s, one person working generally could service the mortgage debt/life. This generally changed in the 80s.

I bought in 1991 IIRC but I would never never compare to now and how hard it was(as an overall whole). 

Wage inflation is what reduces relative debt levels. Globalisation has meant wages inflation is likely to remain low IMHO

IIRC we bought for 65k(3 bed semi in the south, now would be about 260 I think), which was at the height of interest rates and we had saved 10k as a deposit, so borrowed 55k(that was the max we could and we could not offer anymore, so the seller either took it or not). This was based on me/wife both working. At this point the mortgage was one of ours net pay figures(so it was very hard for a shortish period[3 years), interest rates  then dropped).

BUT and it is a massive BUT as interest rates dropped(and as I qualified), that debt level became easy to service and you could pay off the debt early(if it took your fancy).

Now, the deposit required is massive (it isn't a couple of ipad or iphones, that always makes me laugh when 'older' people say the youngest buy this or that), so it can takes years to save(from net pay) and interest rates can not drop anymore(all but). In addition it is hard to see massive wages inflation happening, to help 'relative' debt levels reducing. 

As a result a 25 year mortgage is going 'feel' a lot worse for the whole period than it did in the 70s, 80 or 90s.

The real problem was that with banking reform and the multiplier effect that they work to, debt became very easy to get hold of and this then feed into increased assets prices(as sadly people will pay what they can borrow), which was then made worse, as the government(cough BOE) reduce interest rates to allow bigger levels of debt, like a Ponzi scheme.

I am so sorry for the younger generation and we the older generation(I am 46 btw) have let them down, with regard to one of the fundamentals requirements in life, putting a roof over their heads.

PS Hopefully I have not upset anyone with my personal opinions.

Click to expand...

Well I'm 68 next month and I don't feel like I have let anyone down, all I have done is work my nuts off  for my family.   If anyone wants to look for a reason for housing shortages and high house prices then look to the politicians that allowed unfettered immigration where supply and demand has created this current crises not only in housing but all basic services. 

The only solace I can see for many younger people is that unlike most of my generation many more will inherit the property their parents worked hard for.


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## Doon frae Troon (Apr 14, 2016)

SocketRocket said:



			You really like making half truths don't you.   Youth employment is up 113,000 from the previous year, check that out.
		
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Just keeping you up with the latest news and trends.
No need to apologise.


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## SocketRocket (Apr 14, 2016)

Doon frae Troon said:



			Just keeping you up with the latest news and trends.
No need to apologise.
		
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Ok then.   I apologise for highlighting your silly error


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## williamalex1 (Apr 15, 2016)

adam6177 said:



			Just for laughs..... my parents bought their house in Tonbridge (Kent) in 1965 for Â£750.00...... their house is now worth around Â£425k

Sweet.
		
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The first house I bought was way back in 1967 earning around Â£18 a week 

A 1 bedroom 1 living room and scullery with an outside shared toilet, cost Â£500 cash.


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## jdpjamesp (Apr 18, 2016)

Crazyface said:



			At random intervals, but fairly regularly, I check on house prices in my area, just to see. OMG !!!! They are seriously on the climb !!! 

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Hardly changed in the 5+ years we've been here. Just put ours on the market for Â£15k more than we bought it for, but we've built a decent kitchen extension in that time so that's where the value increase is from.


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## PhilTheFragger (Apr 18, 2016)

jdpjamesp said:



			Hardly changed in the 5+ years we've been here. Just put ours on the market for Â£15k more than we bought it for, but we've built a decent kitchen extension in that time so that's where the value increase is from.
		
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Thats where regional variations come in, 

Uproot your place and replant it within 30 miles of London and you would be amazed

This is the cheapest 3 bed Terrace or semi in the area, it is in the backside of Chesham and its Â£300k http://www.rightmove.co.uk/property-for-sale/property-37838214.html

to afford that If I was a first time buyer I would need a Â£40K deposit , If a joint mortgage I would need to be on 30k and Her on 25K.
If I was on my own, i'd need to be on 60K

its bonkers


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## Crazyface (Apr 18, 2016)

It certainly is...bonkers that is.


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## jdpjamesp (Apr 18, 2016)

PhilTheFragger said:



			Thats where regional variations come in, 

its bonkers
		
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Yep and we're moving 250 miles south. Thankfully to a relatively cheap county/area, but we're still having to find Â£50k to just get a similar property.


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## SwingsitlikeHogan (Apr 18, 2016)

When in 1996 we were looking to move from a nice part of central Bristol to Surrey we sold our lovely Victorian 3-bed mid-terrance house for Â£74k (quite) I thought we'd be good to find somewhere in Farnham for about that.  When looking to buy there was nothing less than Â£100k. In the end I got a pretty dilapidated and very dated 3-bed semi for Â£93.5k - it was the first house under Â£100k that I'd seen.  I saw it in my lunch break and had to offer full asking price (which was accepted) as it would have gone by the evening.  My wife hadn't even seen a picture of it...

Really knackered us financially


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## SocketRocket (Apr 18, 2016)

SwingsitlikeHogan said:



			When in 1996 we were looking to move from a nice part of central Bristol to Surrey we sold our lovely Victorian 3-bed mid-terrance house for Â£74k (quite) I thought we'd be good to find somewhere in Farnham for about that.  When looking to buy there was nothing less than Â£100k. In the end I got a pretty dilapidated and very dated 3-bed semi for Â£93.5k - it was the first house under Â£100k that I'd seen.  I saw it in my lunch break and had to offer full asking price (which was accepted) as it would have gone by the evening.  My wife hadn't even seen a picture of it...

Really knackered us financially 

Click to expand...

What area of Bristol was that?   I'm guessing Redland.


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## SwingsitlikeHogan (Apr 18, 2016)

SocketRocket said:



			What area of Bristol was that?   I'm guessing Redland.
		
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St Andrews - though previously I had a flat in Redland.  That flat is a case in point for this thread.  

I bought my flat (my first home purchase) for Â£35,000 in 1986 - two years into starting my first job.  My salary was about Â£10,800 a year.  I think I put down Â£3,000 deposit and so my loan was Â£32,000 - so 3x my salary.  Checking zoopla it was last sold in July 2014 for Â£217,000 and is now estimated at  Â£240,000.  Even if I could save up Â£15k deposit and assuming 5x salary (are loans on these salary multipliers given these days) I'd have to be earning Â£45k/annum - and that would never happen two years into my job.


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## richart (Apr 18, 2016)

We have lived in our house since 1985. I found it on Zoopla, and it appears it was sold last year, and has gone down in value since. I knew I shouldn't sign documents without reading them first.:mmm:


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## SteveJay (Apr 19, 2016)

The housing market is pretty much all about supply and demand.....yes, the economy and interest rates have a big influence but essentially prices go up as it (housing) is a scare resource, relatively speaking, due to the island we live on, planning restrictions but most fundamentally, generations of constructing fewer homes than is needed for the expanding population. 

That expansion is due in part to immigration, but more due to longer life expectancies and social changes (divorce rates, single parent families etc).

Until house builders build enough new homes, and aren't hamstrung by policy, it won't be solved. The NIMBY groups will continue to object and most will recognise that we don't want to spoil some of the countryside that makes this country so special.


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