The Great Brighton & Hove property melt down is almost upon us....

[Barrel of Fun]

NOW will someone explain why it's called the housing "LADDER"?

A house should be a place to live in. Not an investment.

True. However, it seems that only a studio flat is 'affordable' to those who are first time buyers and that is certainly not a family home!

Britain is obsessed with property. I think the average age of a first time buyer in Germany is 43 and as you well know, the Italians all live in a family home :crassgeneralisation:

 

[Lord Bracknell]

Maybe when prices correct themselves, "studio flats" will revert to being to what they should be - rented accommodation for young single people, biding their time until it makes sense to buy something bigger, having saved up a few quid for a deposit and seen their earnings rise to a level that makes home ownership a sensible step.

That hasn't been possible for years - because property prices have galloped out of control and no-one has been able sensibly to save or wait.

 

[Beach Hut]

Maybe when prices correct themselves, "studio flats" will revert to being to what they should be - rented accommodation for young single people, biding their time until it makes sense to buy something bigger, having saved up a few quid for a deposit and seen their earnings rise to a level that makes home ownership a sensible step.

That hasn't been possible for years - because property prices have galloped out of control and no-one has been able sensibly to save or wait.

Let's keep the red flag flying high

 

[Barrel of Fun]

Let's keep the red flag flying high

It makes complete sense though. There is a whole generation of people saddled with debt from University and those that did not take the University route that are unable to afford a property. Nothing to do with Socialist leanings etc.

What happens to the country in the long run? The knock on effect on pensions, state dependability etc. etc.

 

[steward 433]

It makes complete sense though. There is a whole generation of people saddled with debt from University and those that did not take the University route that are unable to afford a property. Nothing to do with Socialist leanings etc.

What happens to the country in the long run? The knock on effect on pensions, state dependability etc. etc.

Would like to see a comparison with that and the average wage to put it into perspective :thumbsup

 

[Barrel of Fun]

That is up to 2005 - ignoring the continued boom of the property market.

 

[steward 433]

BE'JESUS that is a really harsh reality

In realistic terms it will be at least 8 times the average salary now and that just means 70% of people will never be able to afford their first home.

The government need to get the Bank Of England to adjust this and quickly or i can see millions of properties being sat empty in a couple of years and thousands more living on the streets

 

[beorhthelm]

Maybe when prices correct themselves, "studio flats" will revert to being to what they should be - rented accommodation for young single people, biding their time until it makes sense to buy something bigger, having saved up a few quid for a deposit and seen their earnings rise to a level that makes home ownership a sensible step.

That hasn't been possible for years - because property prices have galloped out of control and no-one has been able sensibly to save or wait.

this is partly because the cost of renting is significantly more than the cost of a mortgage on a studio/1 bed flat. given the choice between paying £700/mth rent or £600/mth for a 100% mortgage, which would you choose? the cost of rents have driven people to buy prematurely and the lenders welcomed them in.

 

[Lord Bracknell]

this is partly because the cost of renting is significantly more than the cost of a mortgage on a studio/1 bed flat. given the choice between paying £700/mth rent or £600/mth for a 100% mortgage, which would you choose? the cost of rents have driven people to buy prematurely and the lenders welcomed them in.

I think you must have fallen asleep over the past few weeks.

What is this "100% mortgage" of which you speak? Is this a deal that ties you into 40 years of repayments on a flat that you paid £130,000 for, only to find out now that it's worth £110,000?

But don't worry ... the great introductory deal that the bank offered you will only last a few years. And you can then pay them £750 a month for the privilege of watching your property continue to decline in value.

 

[Djmiles]

BE'JESUS that is a really harsh reality

In realistic terms it will be at least 8 times the average salary now and that just means 70% of people will never be able to afford their first home.

The government need to get the Bank Of England to adjust this and quickly or i can see millions of properties being sat empty in a couple of years and thousands more living on the streets

Which is why living with the parents for several years after graduation to get some money together is the only real option for me

 

[terrymendez]

I see Wyatts in Kemp Town has closed this week....

 

[Tom Hark Preston Park]

Which is why living with the parents for several years after graduation to get some money together is the only real option for me

I honestly can't see how anybody currently at college in B&H or in many other parts of the country is going to be able to afford to even get a toe-hold in a place of their own unless it's with huge assistance from their parents (if they are able to do so) or if the government massively overhaul the way you buy a house. Very depressing.

 

[Deleted User X18H]

I saw at least 90 for sale signs around town this morning but only 2 Sold subject to contract signs...............Brighton the repossesion capital of the world.

 

[sod1]

move to a cheaper part of the country ...maybe ?

i sold my 2 bed flat in H/Heath 5 years ago,rented for a while and when i changed jobs i bought a 2 bed house last year with about 140ft of garden up here for just about the same price.

 

[ben andrews' girlfriend]

I saw at least 90 for sale signs around town this morning but only 2 Sold subject to contract signs...............Brighton the repossesion capital of the world.

It's not repossession - just people moving houses while they can still afford to

 

[See-Goals]

Homes aren't seen as homes anymore, people NEED to see an investment opportunity, its ridiculous. When I do fully buy into my own property (just completing on selling a property I bought into - very complicated, can't be arsed to explain) I will apply the following logic:

1) Can i afford the repayments?
2) Is it suitable for my needs now and in the future (family etc)

Not "is it going to go up in value" even though I have no desire to sell but it makes me feel big to tell people my house has gone up xxx thousands of pounds since I bought it ignoring the fact that I'm never actually going to see the money!

 

[Hunting 784561]

Houses are a commodity that can be traded, as well as somewhere to live and call a home.

The current level of houses prices is too high, but this reflects the strength of the UK economy over the last 10 years, just as their low level in 1992 was a refelection of the recession in the UK economy then.

Well dont worry folks, the UK economy is heading up shit creek as we speak - the party is officially over - so give it another couple of years and house prices *should* become more affordable again

- so long of course that you keep your job in the downturn.