Million middle-class can't afford to buy a house

[Firemouth]

So without this scheme how do you suppose i buy my first house? with a combined income under 26k and a child of under 2 years old? Im desperate to buy as renting is dead money? What would i do if this scheme wasnt available?

the answer to that is simple, we just need to build more houses.
but this government wont do that because, if they do, they will not be able to inflate house prices, causing more of the greedy to vote for them.

they are trying to create a housing bubble, to try and divert us from the fact they have done nothing to improve the countries economic state. and there is a election on the horizon.

 

[oneman]

Although numbers on paper seem to suggest buying is better than renting it won't take much of an interest rise to reverse that. Renting is flexible, buying gives you an asset but an asset is only as good as the price you can secure when you want to sell it (or have to).

You can be forced to sell your house now over a debt as little as £1000 which may not be so bad if the market happens to be on an up and you are quids in but if it isn't?

IMHO, we have been 'manipulated' into believing that home-ownership is something to aspire to - I'm not convinced it is. Valuable to some perhaps but not to all.

Years ago it was a bit of a no-brainer as they always went up in value, but today?

While I agree that renting has many benefits such as flexibility, no tie up of assets and reduced maintenance costs (don't underestimate this, I've just had to spend over £2k having my heating fixed), buying does at least bring a certain level of stability.

I have a family member who is being forced to move because their landlord is selling up. if they can't find a suitable property in the area that will mean kids have to move school, potentially change job, never mind the cost and at least its somewhere where you can make the changes you want to.

 

[friendzi]

While I agree that renting has many benefits such as flexibility, no tie up of assets and reduced maintenance costs (don't underestimate this, I've just had to spend over £2k having my heating fixed), buying does at least bring a certain level of stability.

I have a family member who is being forced to move because their landlord is selling up. if they can't find a suitable property in the area that will mean kids have to move school, potentially change job, never mind the cost and at least its somewhere where you can make the changes you want to.

This is exactly what i have had enough of, the constant worry of being evicted or the house just not being your own, Luckily we only have a 2 year old who has not started school yet. So from me, Thank heavens this scheme popped up when i did because if it had not i would probably be still renting in 5 years time.

 

[MH]

They are not middle class then

(MH gets his coat)


(TT)

 

[edogg]

that is the problem with this country people who are really working class I.E. they actually work for a living, think because they now earn £40,000 a year they are middle class whereas actually the middle class is now defunct there is only a ruling class ; The bankers, and the stock market dealers then the rest of us struggling to earn enough to pay the taxes to keep the aforementioned in the life style they think they deserve

 

[D 8 RCS]

but how to manage rent costs unless you introduce rent caps and you know that is not going to happen.

If it was made much harder to "buy to rent" then there would not be anywhere near as many private landlords and so the need for a rent cap would not be needed. It would then also make falsely high house prices reduce and that would also make it easier for individuals to buy to live in or perhaps for councils and or housing associations buy properties for social housing.
Also as you say in another post in this thread "I have a family member who is being forced to move because their landlord is selling up. if they can't find a suitable property in the area that will mean kids have to move school, potentially change job, never mind the cost and at least its somewhere where you can make the changes you want to."
It is this type of situation that would be stopped by making "buy to rent" a difficult option. With the fagility of the jobs market many people now feel renting is a "safer" option because of the consequences that can be involved should they be unable to pay a mortgage and have the house repossesed and the financial and credit repercussions that would involve and of course trying to rehome after that, which will have been made more difficult because of those consequences.

 

[oneman]

If it was made much harder to "buy to rent" then there would not be anywhere near as many private landlords and so the need for a rent cap would not be needed. It would then also make falsely high house prices reduce and that would also make it easier for individuals to buy to live in or perhaps for councils and or housing associations buy properties for social housing.

How are you proposing to reduce buy to rent ?

 

[D 8 RCS]

How are you proposing to reduce buy to rent ?

A mortgage is needed, so make the options for "buy to rent" unattractive, after all the rent that will be charged will be quite a bit higher than the mortgage payments, so why not make the mortgage more accessible for those who want to live in the property, or even give the right to buy option to private renters................but then that would be unpopular with those voters who are profiteering from this situation and quite probably some of those are MPs !

 

[oneman]

A mortgage is needed, so make the options for "buy to rent" unattractive, after all the rent that will be charged will be quite a bit higher than the mortgage payments, so why not make the mortgage more accessible for those who want to live in the property, or even give the right to buy option to private renters................but then that would be unpopular with those voters who are profiteering from this situation and quite probably some of those are MPs !

Been proven many times in the past that government trying to influence market forces just ends in disaster just like this current scheme is going to end up.

 

[Spectre]

I'm still wondering; is the "Help to Buy" scheme extending to old houses as well as new build?

 

[oneman]

I'm still wondering; is the "Help to Buy" scheme extending to old houses as well as new build?

Yes, ANY house under £600k will qualify from Jan next year.

 

[dont do it it"ll hurt]

works on resell as well just been looking as am interested myself

 

[Donnie Darko]

Interesting thread,its never been a given right to buy your own property.

Many nowadays have high expectations and want straight off what their parents have taken years to achieve.

I started in a 2 bed terrace,i've got colleagues in work who scoff at the idea,of buying such,instead they're looking to jump 2 rungs of the ladder and have issue with the prices of these types of property.

Ultimately the North is a lot cheaper,the South has always been expensive regardless.

 

[oneman]

Interesting thread,its never been a given right to buy your own property.

Many nowadays have high expectations and want straight off what their parents have taken years to achieve.

I started in a 2 bed terrace,i've got colleagues in work who scoff at the idea,of buying such,instead they're looking to jump 2 rungs of the ladder and have issue with the prices of these types of property.

Ultimately the North is a lot cheaper,the South has always been expensive regardless.

right to buy applies if you are renting off the council.

 

[Donnie Darko]

True,thats a different kettle of fish,you could argue if we hadn't sold off council housing we may not be in the mess we are now.

 

[nara]

...you could argue if we hadn't sold off council housing we may not be in the mess we are now.

No need to argue. It's yet another of the poisonous legacies of Thatcherism. : grim :


Nice to see you posting again Donnie. It's been a while. :Wave:

 

[Donnie Darko]

Cheers Nara,its been a while, water under the bridge and things change etc.

 

[Him Her]

No need to argue. It's yet another of the poisonous legacies of Thatcherism. : grim :

Can't argue with that criticism of Thatcher - if you get people to aspire to something then you can sell them something, mortgages, insurance, pensions...

...end result? Financiers get richer and others get shafted. Same old, same old, if you don't understand what you're buying then you shouldn't be buying it.

 

[oneman]

True,thats a different kettle of fish,you could argue if we hadn't sold off council housing we may not be in the mess we are now.

the whole point of selling off council housing was to get people off housing benefits as it was people offered to people who had been in housing for a long time. The real problem was that council was not allowed to re-invest that money back into housing.

 

[Him Her]

the whole point of selling off council housing was to get people off housing benefits as it was people offered to people who had been in housing for a long time. The real problem was that council was not allowed to re-invest that money back into housing.

I had been thinking of suggesting a new forum area for a while...forum rules prohibit my suggested title.

Sorry M8, council house sales date way back before housing benefit.