How high will inflation go ?

[thetiger2015]

My heart isn't exactly bleeding for "landlords"

Many have tried to leverage BTL as a get rich quick scheme at the expense of the rest of society , they aren't liked because they are too greedy a roof over someones head can't be used as a means of extortion

These landlords cramming people into multiple occupancy's and charging tenants 5-600 for 4 walls is quite frankly disgusting

It's the small landlords that get tainted by the unscrupulous though. There's no profit in being a small, good landlord. There's profit in being a small, awful landlord. There's also profit in being a very large landlord with hundreds of properties.

When we rented out a property it eventually made no financial sense for us. That's because we kept the property maintained to the highest standard, at cost to us. The rental payments didn't cover those excess costs and we couldn't put them on the tenant, it wouldn't have been fair. So we had to sell. Meanwhile, landlords who keep tenants in mouldy basements get away with it, because it costs too much to chase them round trying to get problems fixed.

 

[MBE2017]

Sold House Price Trends in Reading 2025 | Home.co.uk

View sold house price trends for Reading. Historical Land Registry data showing completed transactions.

www.home.co.uk

doesnt go back to 91 but look at this and say you can't see a greater than 25% fall is possible (in fact preferable) first price 95 2nd 22

The increase from 95-22 shows prices increasing 343-526% over the 27 year period, hardly a fall. A house price correction is on the way, no doubt about it, but houses show consistent growth normally. Generally speaking, because we live in strange times, Governments and banks are happy with the 25% safety net.

The only time there was a long period of reduction was the end of the 19th century to 1930’s, which was due to a large house building programme, halving the average size house and consistent wage growth.

The UK already has very small houses, closer to a rabbit hutch than a house very often, and higher insulation will reduce room sizes to the bare minimum, since exterior walls now have to be 9” odd thicker than before.

Wages are very unlikely to increase consistently as we now live in a very small competitive world, which only leaves two potential answers. Building more houses, increasing the cost of borrowing or a combination of both.

No Government, with a nation living on huge mortgages and credit card borrowing is going to commit election suicide by raising rates more than they can get away with, which leaves a house building programme.

I would have just as much sympathy if the Government froze the selling price of courier work, or food shop prices, whilst allowing suppliers to keep putting up the cost of food and fuel. They are simply choosing the easy target, but not the right one.

 

[IanSuth]

It's the small landlords that get tainted by the unscrupulous though. There's no profit in being a small, good landlord. There's profit in being a small, awful landlord. There's also profit in being a very large landlord with hundreds of properties.

When we rented out a property it eventually made no financial sense for us. That's because we kept the property maintained to the highest standard, at cost to us. The rental payments didn't cover those excess costs and we couldn't put them on the tenant, it wouldn't have been fair. So we had to sell. Meanwhile, landlords who keep tenants in mouldy basements get away with it, because it costs too much to chase them round trying to get problems fixed.

And you didnt lose anything overall so - meh

It isnot about any 1 particular landlord it is about the system of property ownership we are support/pushing as a country

Article in the Telegraph yesterday summed it up

>50% of landlords have used BTL properties to contribute to their pensions

Why have we allowed a state to come into being in this country where people feel (and are actively encouraged by policy) to base their income in old age on relying on other people to pay rent at a high enough level to give the returns they need for the retirement they want

It is literally the definition of a ponzi scheme - it can only keep going until people can't pay in at the bottom and then it falls apart with only those who have already got out at the top ending up better off longterm

 

[IanSuth]

The increase from 95-22 shows prices increasing 343-526% over the 27 year period, hardly a fall. A house price correction is on the way, no doubt about it, but houses show consistent growth normally. Generally speaking, because we live in strange times, Governments and banks are happy with the 25% safety net.

The only time there was a long period of reduction was the end of the 19th century to 1930’s, which was due to a large house building programme, halving the average size house and consistent wage growth.

The UK already has very small houses, closer to a rabbit hutch than a house very often, and higher insulation will reduce room sizes to the bare minimum, since exterior walls now have to be 9” odd thicker than before.

Wages are very unlikely to increase consistently as we now live in a very small competitive world, which only leaves two potential answers. Building more houses, increasing the cost of borrowing or a combination of both.

No Government, with a nation living on huge mortgages and credit card borrowing is going to commit election suicide by raising rates more than they can get away with, which leaves a house building programme.

I would have just as much sympathy if the Government froze the selling price of courier work, or food shop prices, whilst allowing suppliers to keep putting up the cost of food and fuel. They are simply choosing the easy target, but not the right one.

Except

1. The gov does not control interest rates - it outsourced that to the BofE and set an inflation target

2. The problem can not be solved by building as the last thing they tried (conversion of office buildings) let to those being bought off plan by investors for BTL (there is one on that link i sent earlier - it was previously called Berkshire house and was serviced offices with an underground car park and a pub under it - now tiny tiny apartments with an industrial vibe "shared space" in what was the car park as no apartment has enough space for washing machines etc so they are down there as a laundry

3. smaller family units - the number of properties needed per head of population is rising as family units are smaller and if they can afford it people expect their children to have at least a bedroom each. How many people retire and go live with their children now (sod all)

 

[MBE2017]

We will have to disagree, there no problem in building 1 million homes, just the land and planning permission required, only 6-7% of land is actually built on in the UK from most estimates, so there is plenty left. As for the money, there is plenty of it.

There only needs to be the will, nothing else. It would take time, but nothing impossible.

 

[The Byre]

houses show consistent growth normally.

The chart shows prices in 1998 pounds. Since 2008 prices everywhere have been falling, though London prices had price growth in real terms from 2012 to 2020, but have been falling since then. England and Scotland have seen prices more or less stable in real terms since 2009, though nominally, they have risen noticeably!

Right Move expects prices to rise by 7% - that is a significant fall when RPI inflation is taken into account.

And that is the problem with inflation - it distorts everything and makes value choices much more difficult.

 

[IanSuth]

We will have to disagree, there no problem in building 1 million homes, just the land and planning permission required, only 6-7% of land is actually built on in the UK from most estimates, so there is plenty left. As for the money, there is plenty of it.

There only needs to be the will, nothing else. It would take time, but nothing impossible.

Where in the country would you build 1m homes which is near where people want the homes ?

I have sat in council meetings (i used to sit on the local councils transport users forum) and seen it claimed that you could build 450 4&5 bedroom executive homes in some fields right by M4 J11 without affecting the traffic on that junction as there were enough jobs on green park within walking/cycling distance that no on needed to drive.

The process was literally to drop an acetate of some rings (walking & cycling) onto the map and unfortunately that is what the planning departments have to deal with. The developers will build but not contribute towards the extra infrastructure needed.

That plan was only scrapped when AWE Burghfield changed the evacuation radius for their plant

 

[NickGrogan]

I lived on a new estate on the edge of Dunfermline, about 200 houses, all 4 and 5 bedrooms.

Applied for a place at primary school which was about 200m down a footpath - no sorry, you're outside the catchment area. It's full.

I asked them if they were building another school, no plans to. Apparently, they were surprised that so many people moving into 4/5 bed houses had children. No idea what they were expecting.

They suggest a 7 mile bus trip for 1st year, a 4 mile bus trip to a different school for 2nd year, a different school on the other side of Dunfermline for the 3rd year (no bus), and then back to the 7-mile journey for the 4th year.

We declined.

They've built at least another 1000 houses there now, mainly 3 - 5 beds, still no school.

 

[IanSuth]

I lived on a new estate on the edge of Dunfermline, about 200 houses, all 4 and 5 bedrooms.

Applied for a place at primary school which was about 200m down a footpath - no sorry, you're outside the catchment area. It's full.

I asked them if they were building another school, no plans to. Apparently, they were surprised that so many people moving into 4/5 bed houses had children. No idea what they were expecting.

They suggest a 7 mile bus trip for 1st year, a 4 mile bus trip to a different school for 2nd year, a different school on the other side of Dunfermline for the 3rd year (no bus), and then back to the 7-mile journey for the 4th year.

We declined.

They've built at least another 1000 houses there now, mainly 3 - 5 beds, still no school.

likely if you drop an acetate over that estate there are enough total school places inside some arbitrary ring so no need for a developer contribution.

No legal requirement and it won't happen.

Although around here, the council were so bad at actually spending s106 on what it was meant to used for a couple of developers successfully took reading to court and got it paid back as the charged for traffic calming was never implemented

 

[UKSBD]

Where in the country would you build 1m homes which is near where people want the homes ?

How about putting some roughly along here - https://www.google.com/maps/d/viewer?mid=156fytKsVsrif3JG6hbXsMaZFKa2ifGk&hl=en&usp=sharing

 

[simon field]

They’ve more or less stopped bothering with the roads round here (mid Norfolk).
Everywhere I go, there’s markings worn off at busy roundabouts, sunken ironworks, botched potholes, broken verges, you name it. Even the hugely over budget stuff they have built is half baked and poorly designed.

What on earth do they do with all the money they take from us?

 

[MBE2017]

How about putting some roughly along here - https://www.google.com/maps/d/viewer?mid=156fytKsVsrif3JG6hbXsMaZFKa2ifGk&hl=en&usp=sharing

My neck of the woods lol.

 

[Justin Smith]

Oh absolutely I agree. But if the current bunch of incompetents can keep it going, then anyone can!

I think the days of people in the uk being obsessively fixated on ‘owning’ a house are numbered personally. Much more normal to rent on the continent.

The only thing which would put most people off buying their own house is if they thought it would just get sold off to pay for their care when they are older and/or infirm ! If they could be sure the state would pick up the tab if they did not have a house to fund their care they'd never bother buying one ! !
I'm joking, but only half joking.
I bought my first house when I was in my early 20s (it was paid off years ago) and it was the best investment decision I ever made, the second best one was to buy my shop (with its two flats), similarly that was paid off about many years ago. So now I have no rent to find and get rents in from my two flats. What's not to like !

 

[UKSBD]

They should be setting up the infrastructure the same time they do HS2

Not just North of Brackley, loads of places along the route they could be building new towns

That hole area between Brackley and Southam, and other side of HS2, West of Northampton

 

[Justin Smith]

Currently have a family member viewing properties for their portfolio and the distinct impression I get is there are more landlords trying to dispose of their properties than those looking to buy which not going to help the supply of available rentals if this is the current trend I would have thought.

I'm not surprised, being a landlord can be a right PITA. I personally don't get any trouble with my tenants, partly because I am very fussy who I get in and partly because they have to walk past the entrance to my shop (with me brooding inside it.....) every time they go up the stairs to get to their flats ! !

But if you get a bad tenant it is an absolute nightmare, the balance of legal power has long since been way in favour of the tenant and its getting worse all the time. You cannot even take a deposit off them now, it has to go into a deposit scheme and getting your hands on it if the tenant does damage is not easy. Furthermore I was told unpaid rent can not be taken from the deposit either !
And as for regulation, give me strength. You have to have an electrical inspection every 5 years at £100 to £150 (that's £20 to £30 a year, that's possibly a quarter of a Billion pounds spent on these every year, despite the fact that electricity is not actually that dangerous...), a gas inspection every year, a property Energy Performance Certificate, etc etc.

What people don't realise is if you make life too difficult for landlords you will get fewer of them and then rents will rise.

 

[Justin Smith]

My heart isn't exactly bleeding for "landlords"
Many have tried to leverage BTL as a get rich quick scheme at the expense of the rest of society , they aren't liked because they are too greedy a roof over someones head can't be used as a means of extortion
These landlords cramming people into multiple occupancy's and charging tenants 5-600 for 4 walls is quite frankly disgusting
No they didn't but they are the ones who the government knows can be penalised without too much grievance from the public

I don't recognise that description.
Most landlords want a long term tenant (so long as they don't give them any trouble) and therefore to keep them happy, plus they want to keep their property in good repair because, err, they own it.

As for cramming people in, I assume the rents are then lower ? It's free market economy, nobody is forced to live in any particular property, if some people want less room for less rent what is wrong with that ? Who are the government, or anyone else, to tell them they must live in a bigger property (and pay more rent) ?

 

[gpietersz]

What people don't realise is if you make life too difficult for landlords you will get fewer of them and then rents will rise.

What then happens to the properties there were renting? Sold to another landlord? Makes to difference to the supply. Sold to someone who wants to live in it? Demand reduces. Left empty? It happens, but is a worse option than renting (and paying an agent to deal with the hassle).

 

[Justin Smith]

Well thats kind of what happened to all of us in lockdown wasn't it

there was little consultation and next to no consideration to the economic damage that was about to be done.....it was just panic stations and print as much money as we can for 2 years ....

It was painstakingly obvious from around june 2020 only over 50's needed to be locked down and with a vast majority of over 60's in retirement anyway the economic cost could have easily been mitigated by sending everyone else to work

Instead we continued the pantomime for a further 18 months ..... and here we are talking about the ramifications now

Spot on, apart from stressing that those at significant risk from Covid should have be advised to limit their social contacts, not forced to. But, as you said, the economy and society would still have been operating to a more normal level than it was and so we would not have the massive inflation we have got and the consequent recession.
On a similar theme, we are often reading that some people "with weakened immune systems" are still shielding. Ignoring the fact they may not actually be at as much risk as they think they are, during Covid many so called experts (not that they had a good record on Covid ! ) were saying "shielding just the vulnerable would not work, we needed to go for generalised suppression" (though generalised suppression did not work either...).
Right, so if shielding doesn't work, why are these "vulnerable" people bothering with it now then ? Why don't these over cautious experts phone them up and say get out and about because you aren't achieving anything !
As usual they want it both ways....

 

[Justin Smith]

What then happens to the properties there were renting? Sold to another landlord? Makes to difference to the supply. Sold to someone who wants to live in it? Demand reduces. Left empty? It happens, but is a worse option than renting (and paying an agent to deal with the hassle).

If they cannot get landlords to buy it then it will get sold to a home buyer, and if enough of that happens house prices will drop. Some people will say that would be a good thing, but you will still get fewer properties for rent so rents will go up and not everyone can buy.

 

[Justin Smith]

It's the small landlords that get tainted by the unscrupulous though. There's no profit in being a small, good landlord. There's profit in being a small, awful landlord. There's also profit in being a very large landlord with hundreds of properties.

When we rented out a property it eventually made no financial sense for us. That's because we kept the property maintained to the highest standard, at cost to us. The rental payments didn't cover those excess costs and we couldn't put them on the tenant, it wouldn't have been fair. So we had to sell. Meanwhile, landlords who keep tenants in mouldy basements get away with it, because it costs too much to chase them round trying to get problems fixed.

I don't understand this post.
As a landlord I want to keep my property in good repair, partly to keep my tenants happy and partly because it's my property ! Only an idiot let's their property degenerate, it will lose value and end up costing more in the long run anyway.
But that is not the same as having it dolled up to the eyeballs with designer kitchens etc.

 

[simon field]

The only thing which would put most people off buying their own house is if they thought it would just get sold off to pay for their care when they are older and/or infirm ! If they could be sure the state would pick up the tab if they did not have a house to fund their care they'd never bother buying one ! !
I'm joking, but only half joking.
I bought my first house when I was in my early 20s (it was paid off years ago) and it was the best investment decision I ever made, the second best one was to buy my shop (with its two flats), similarly that was paid off about many years ago. So now I have no rent to find and get rents in from my two flats. What's not to like !

So, you are one person, with three properties?

Multiply that upwards, and you’ll see that renting - if not the norm now - will become the norm. How can it not?

 

[MBE2017]

Right Move expects prices to rise by 7% - that is a significant fall when RPI inflation is taken into account.

And that is the problem with inflation - it distorts everything and makes value choices much more difficult.

Compare this performance against savings. I hope there is a bigger correction than a 7% increase, I would like to see a 20% reduction, it will allow myself more properties quicker. Either way, I will stick at it, and make money in good and bad times.

There are plenty of ways to profit from property, mainly buying at the right price, adding value and then your exit strategy, if any. Most of the worlds wealthy elite make their money from property, I see no reason why the “average citizen” shouldn’t do the same if possible.

Personally I fix and flip, I am not a landlord, more an investor and developer, but the country needs landlords more than ever, just as it needs more properties, all types of properties. You couldn’t buy the properties I do on a mortgage, you simply wouldn’t get one.

 

[fisicx]

I know this thread is in time out but even so there is so much misinformation and misunderstanding about how an economy functions.

Nothing happens in isolation. Fiddle with one part and another is affected. None of the models will ever get it right, the best you can do it apply the changes and hope. Sometimes it works sometimes it doesn’t.

All we can be sure about is things are going to get tough. Some will survive, some won’t. But that’s no different to how things have been for centuries.

 

[WaveJumper]

I lived on a new estate on the edge of Dunfermline, about 200 houses, all 4 and 5 bedrooms.

Applied for a place at primary school which was about 200m down a footpath - no sorry, you're outside the catchment area. It's full.

I asked them if they were building another school, no plans to. Apparently, they were surprised that so many people moving into 4/5 bed houses had children. No idea what they were expecting.

They suggest a 7 mile bus trip for 1st year, a 4 mile bus trip to a different school for 2nd year, a different school on the other side of Dunfermline for the 3rd year (no bus), and then back to the 7-mile journey for the 4th year.

We declined.

They've built at least another 1000 houses there now, mainly 3 - 5 beds, still no school.

Had the same issue 20 years ago when I moved back to Essex. The actual school backed onto the garden of the new house (part of a massive new development) sorry school full up only option was a village school 3/4 of an hour away by car, we pulled out the purchase.

 

[DontAsk]

They should be setting up the infrastructure the same time they do HS2

Not just North of Brackley, loads of places along the route they could be building new towns

That hole area between Brackley and Southam, and other side of HS2, West of Northampton

What makes you think they're not? Have you seen the number of new houses built recently, and still being built, around Towcester and Southam? Then there are 1600 in Leamington Spa which is quite close to HS2

 

[simon field]

---

I know this thread is in time out but even so there is so much misinformation and misunderstanding about how an economy functions.

Nothing happens in isolation. Fiddle with one part and another is affected. None of the models will ever get it right, the best you can do it apply the changes and hope. Sometimes it works sometimes it doesn’t.

All we can be sure about is things are going to get tough. Some will survive, some won’t. But that’s no different to how things have been for centuries.

There’s also an assumption (more from the middle-aged upwards) that ‘buying’ a house is ‘a good thing’.

It isn’t. A growing number of youngsters are seeing through the illusion that by paying a bank much, much more than a property is worth somehow offers some kind of financial security. It doesn’t! Any hypothetical ‘profit’ you make (using money that you’ve already been taxed on) will be heavily taxed yet again the minute you try to do anything with it. And then, the icing on the cake after having paid into the system for your whole working life will be confiscated to pay for your care in old age!

It’s ridiculous. We are living artificially long lives, prolonged by medication.

 

[Justin Smith]

So, you are one person, with three properties?

Multiply that upwards, and you’ll see that renting - if not the norm now - will become the norm. How can it not?

Because, for most people, rent is money down the drain.
If you buy a house with a 20 year mortgage when its paid off there's no more payments and you own the house. What's more inflation makes the mortgage payments more and more affordable as the years go by.
These may not apply to someone in late middle age, but how many first time buyers are late middle age ?

 

[Justin Smith]

Compare this performance against savings. I hope there is a bigger correction than a 7% increase, I would like to see a 20% reduction, it will allow myself more properties quicker. Either way, I will stick at it, and make money in good and bad times.

There are plenty of ways to profit from property, mainly buying at the right price, adding value and then your exit strategy, if any. Most of the worlds wealthy elite make their money from property, I see no reason why the “average citizen” shouldn’t do the same if possible.

Personally I fix and flip, I am not a landlord, more an investor and developer, but the country needs landlords more than ever, just as it needs more properties, all types of properties. You couldn’t buy the properties I do on a mortgage, you simply wouldn’t get one.

I can remember reading that property development, buying properties doing them up and selling them at a profit, was the quickest way to get rich apart from inheritance !
But you have to know what you are doing and either be a builder yourself, or know reliable builders who will do a good job for a reasonable price.

 

[Justin Smith]

It’s ridiculous. We are living artificially long lives, prolonged by medication.

I agree with this bit 100%.
There is far too much emphasis on length of life over quality of life and that was starkly shown during the pandemic, esp in care homes. My mother in law's care home had Covid through there in April 2020, all of them had it, yet they continued to effectively keep them in prison for another year. My M-in-L did not get to get the opportunity to get out of that home for over a year (she never will again now she'd too far gone, she went right downhill over lockdown), and she did not see her only grand child for about 12 months after all residents had had Covid ! It was disgusting, but it was the perfect example of extending life (even for those with a **** quality of life) above everything.

 

[Jeff FV]

---

There’s also an assumption (more from the middle-aged upwards) that ‘buying’ a house is ‘a good thing’.

It isn’t. A growing number of youngsters are seeing through the illusion that by paying a bank much, much more than a property is worth somehow offers some kind of financial security. It doesn’t! Any hypothetical ‘profit’ you make (using money that you’ve already been taxed on) will be heavily taxed yet again the minute you try to do anything with it. And then, the icing on the cake after having paid into the system for your whole working life will be confiscated to pay for your care in old age!

It’s ridiculous. We are living artificially long lives, prolonged by medication.

When rent payments are higher than mortgage payments would be on the same property, buying a house is a good thing.

(disclaimer- I write as someone knocking on the door of middle age)

 

[IanSuth]

Because, for most people, rent is money down the drain.
If you buy a house with a 20 year mortgage when its paid off there's no more payments and you own the house. What's more inflation makes the mortgage payments more and more affordable as the years go by.
These may not apply to someone in late middle age, but how many first time buyers are late middle age ?

Who is getting 20 yr mortgages now ? My son has been marketed 40 yr ones !!!!

It is not like 1993 when i could get a 25 mortgage on a lowly first serious job salary and pay it off in 7 years by paying double each month plus every bonus payment.

Now it is a 40 year commitment to join the 40 year student loan repayment (as of next sep) and that is just in time for a care home

 

[fisicx]

Because, for most people, rent is money down the drain.

Not any more. Many young people see no point in buying property. Renting gives them far more flexibility.

 

[fisicx]

It is not like 1993 when i could get a 25 mortgage on a lowly first serious job salary and pay it off in 7 years by paying double each month plus every bonus payment.

Can't even do that these days. Over payment is limited and early repayment incurs big penalties.

 

[IanSuth]

Can't even do that these days. Over payment is limited and early repayment incurs big penalties.

was harder then actually , by the time i bought current house in late 99 aussie style flexi mortgages has become de rigour so it was easier to pay this one off, i only got away with the first one through scrutinising the rules and negotiating with the bank mgr

 

[Casually made]

It's almost like the bank wants you in debt for the rest of eternity to ensure they make more and more money

Who would have thought

i certainly feel capitalism has now bled the working man dry there isn't really anything left to inflate we can go no deeper in debt eventually the music is going to stop

30-40 years ago society in general was a lot more complacent and passive towards the stunts governments , banks and elites would pull , partly because there was a lot more money going around and partly because they just didn't know any better

Today we can all see the writing on the wall , the charades are being exposed for exactly what they are because of all the mistakes of the past there is no way to keep everyone happy we have massive issues in almost every area of the British economy

What is our new prime ministers plan ? dun dun dun .......print another 150 billion we dont have and let the future worry about it keep the plebs sedated for another year or two

Anyone with 2 braincells to rub together can see that all this is doing is creating a problem for further down the line prolonging the agony so to speak ...

It honestly is petrifying because there just doesn't seem to be any plan at all

Government is printing money like water and at the same time the bank of England is raising rates at a rollercoaster rate

make it make sense ?‍?

 

[IanSuth]

Too cut a long story short - the first month i had a mortgage somehow a DD and a SO had been set up so double was paid, i went in paranoid i was going to get a 6mth interest penalty as spelled out in the T&C's, the mortgage manager told me that actually all that happened was it was flagged to him/a team and they had discretion so he would ensure no charge.

So I said - "Oh can i do that every month then", he said I could. I did try and go for a high amount but he shot me down. I then saved every bonus I ever got into a high interest low access account until I had enough (helped by a £1500 payout when Birmingham midshires demutualised) to have just enough to pay it all off, which was 6yrs 8 mths from inception.

As soon as paid in full we started looking for a bigger house (the one we still live in) to be a long term family home, knowing having the entire of the old house as a deposit gave us better negotiating power. It also meant our LTV was so small for this house (just under 50%) that the bank manager was able to sign off after a visual inspection as no chance of the bank losing it's cash. That plus selling the old house to a friend who was a cash buyer meant we could offer and complete within 30 days which got our offer accepted over others that were higher

 

[IanSuth]

It's almost like the bank wants you in debt for the rest of eternity to ensure they make more and more money

Who would have thought

i certainly feel capitalism has now bled the working man dry there isn't really anything left to inflate we can go no deeper in debt eventually the music is going to stop

30-40 years ago society in general was a lot more complacent and passive towards the stunts governments , banks and elites would pull , partly because there was a lot more money going around and partly because they just didn't know any better

Today we can all see the writing on the wall , the charades are being exposed for exactly what they are because of all the mistakes of the past there is no way to keep everyone happy we have massive issues in almost every area of the British economy

What is our new prime ministers plan ? dun dun dun .......print another 150 billion we dont have and let the future worry about it keep the plebs sedated for another year or two

Anyone with 2 braincells to rub together can see that all this is doing is creating a problem for further down the line prolonging the agony so to speak ...

It honestly is petrifying because there just doesn't seem to be any plan at all

Government is printing money like water and at the same time the bank of England is raising rates at a rollercoaster rate

make it make sense ?‍?

A lot is because the people at the top are in their late 40's,50's and above and already have family capital - they just have no concept of what it must be like for a younger person trying to get on the ladder with no family money as a deposit and a huge debt from going to uni to try and get a job good enough to get a mortgage big enough to get a house.

As you say it is a game of musical chairs and the dj's hand is hovering over the stop button

 

[MBE2017]

---

Any hypothetical ‘profit’ you make (using money that you’ve already been taxed on) will be heavily taxed yet again the minute you try to do anything with it. And then, the icing on the cake after having paid into the system for your whole working life will be confiscated to pay for your care in old age!

Agreed this relates to the majority of the nations homeowners, but not if you know what you are doing. There are many ways to mitigate the taxes and almost eliminate them completely with good advice.

People need to start remembering it’s not how much you earn more how much you keep that really matters.

 

[MBE2017]

A lot is because the people at the top are in their late 40's,50's and above and already have family capital - they just have no concept of what it must be like for a younger person trying to get on the ladder with no family money as a deposit and a huge debt from going to uni to try and get a job good enough to get a mortgage big enough to get a house.

Complete rubbish, most people you refer too are only you aware, it’s never been different. When I bought my first property I saved with my G/F for three years, I took a day off work to find an off market property, was gazumped five times before finally getting the house.

Deposits are now larger amounts, offset by longer mortgage terms and higher purchase prices. Things have moved on in the last 40 years, but it’s no different.

 

[IanSuth]

Complete rubbish, most people you refer too are only you aware, it’s never been different. When I bought my first property I saved with my G/F for three years, I took a day off work to find an off market property, was gazumped five times before finally getting the house.

Deposits are now larger amounts, offset by longer mortgage terms and higher purchase prices. Things have moved on in the last 40 years, but it’s no different.

Tosh

Go look at the jobs you and your girlfriend had then and look at their salaries now. Look at the rental price of where you lived at the time. Taking into account any student loan you would have if you have a degree (back then we got grants remember and halls of residence were a LOT cheaper) how much could you save in 3 years.

Now looking at the salaries do the multiplier, add on the 3 years of savings and could you buy the house you bought then now (or roughly equivalent as obviously some areas have become gentrified so you can use an equiv)

I would bet the answer is no, never in a milllion years. I know I have sat down with my son who has a far better paid graduate job than I had and he is a lot further from getting a house than I was at his age despite me being able to give him money for a deposit i couldnt get. And if he does get one it will be with a 40 not 25 year mortgage

There is zero comparison at least in the Thames Valley and Leamington (here he is) between salary/house price ratios in 1990's and those today

You are talking £20k/£50k vs £25k/250k like for like at most it might be 18/50 vs 26/225