Young people and sensible boring saloons

[NickCQ]

Devil2575 said:

True, but a far more effective way of achieving the same thing would be to set a cap of the multiple of salary that lenders can offer.

Whilst I agree that this would be effective in bringing prices down, I'm not sure it would be fair - it would tip the market in favour of cash purchasers and BTL types (i.e. affordability based on rental CF not borrower earnings).

Some form of annual tax based on property purchase price should discourage too much excess capital from flowing into the asset class as well as encourage people to live in an appropriately-sized house (i.e. pensioners downsizing to free up stock).

[supercommuter]

C70R said:

supercommuter said:

I'm a young person, or I was when i bought my house (25). Made lots of sacrifices, sold my expensive car, stopped going out to expensive engagements etc - but still spent time with mates.

I did the Government help to buy scheme (20 percent equity loan) as have a very good salary for my age but only a £10k deposit at the time I found the property. I will remortgage and absorb the shared 20 percent which has only cost me the value gained on the house. The extra money from the government means i put down 25 percent deposit in the eyes of the mortgage company.

This meant cheaper mortgage rate and means I have overpaid enough in the 4 year period to absorb the cost of the shared ownership with minimal impact on my mortgage cost per month.

I live in an OK area. Not the centre of the city, because I cannot afford to live there comfortably, despite the fact I would like tho.

Hopefully have it all paid off in 10 or 12 years

But how did you survive without a car to start a thread about on PH? Did you not feel deprived by not being able to go to the cinema or buy computer games?

In all seriousness, yours is a textbook example of someone who got off their backside and made it work - rather than creating barriers.

Short term pain. Long term gain. I will enjoy the day when I don't have a huge mortgage hanging around my neck and I still have 10/20 years left of working and spending money on fun things

[Digby]

supercommuter said:

C70R said:

supercommuter said:

I'm a young person, or I was when i bought my house (25). Made lots of sacrifices, sold my expensive car, stopped going out to expensive engagements etc - but still spent time with mates.

I did the Government help to buy scheme (20 percent equity loan) as have a very good salary for my age but only a £10k deposit at the time I found the property. I will remortgage and absorb the shared 20 percent which has only cost me the value gained on the house. The extra money from the government means i put down 25 percent deposit in the eyes of the mortgage company.

This meant cheaper mortgage rate and means I have overpaid enough in the 4 year period to absorb the cost of the shared ownership with minimal impact on my mortgage cost per month.

I live in an OK area. Not the centre of the city, because I cannot afford to live there comfortably, despite the fact I would like tho.

Hopefully have it all paid off in 10 or 12 years

But how did you survive without a car to start a thread about on PH? Did you not feel deprived by not being able to go to the cinema or buy computer games?

In all seriousness, yours is a textbook example of someone who got off their backside and made it work - rather than creating barriers.

Short term pain. Long term gain. I will enjoy the day when I don't have a huge mortgage hanging around my neck and I still have 10/20 years left of working and spending money on fun things

How things have changed, though!

Our first house in the 90's was purchased with a deposit from my other halfs 'recession' redundancy. I had just turned 20, she was 23. She had only been in her new job a matter of weeks when we decided to buy rather than rent.

We walked in with about a grand, were offered around 80k, decided to borrow less, offered 52k on a three bed house which was up for 59k and which had recently dropped from around 89k due to the recession and off we went.

We didn't need to stop going out or having takeaways etc back then. I even financed myself up on a 13k car not long after we moved in.

Within eight years, the price of the house had risen 100k.

We sold it for 152k iirc.

[Digby]

supercommuter said:

In many ways yes. But in fairness I was offered about £300k at 25 if I had the 5 percent deposit to accommodate. Which I didn't - but it shows the banks weren't stingy.

I had to cut back very short term to get a deposit together as i spent what cash hit my bank. Now I'm fine, but there is no way I'm buying a £30/40k car until my mortgage is paid off.

Each to their own I guess.

Indeed. I was commenting more on how utterly simple it was back then. You walked in to the bank or mortgage advisors office within the estate agents, were offered plenty with minimal or no deposit and walked out to go house hunting.

In fact, many people used to find a house, offer on it and only then go looking for a mortgage offer as you were pretty much guaranteed to have it all sorted in no time.

[supercommuter]

Digby said:

Indeed. I was commenting more on how utterly simple it was back then. You walked in to the bank or mortgage advisors office within the estate agents, were offered plenty with minimal or no deposit and walked out to go house hunting.

In fact, many people used to find a house, offer on it and only then go looking for a mortgage offer as you were pretty much guaranteed to have it all sorted in no time.

Sorry I had deleted my post before you replied as it came across as a bit of willy waving. But yes I agree! It's not quite that simple anymore!!

[Alan_I_W]

In 1998 I was renting a 3 bedroom 2 bathroom house, 10 years later I was leasing a Q7 for more than double that. I remember in the late 80s when the 40K M6 was much more than the average house. My parents paid about 60-70K for my childhood house in 82' these days it's much more that 450K, they sold it for much much less D: Amazing how prices change (13K Focus ST170)

[chrismoose91]

I'll throw my hands up and admit I'm 25, drive a boring e46 320d tourer, but love it. Suits my needs and is quick enough.
It's done me well through uni and now I've got ny first job in my career, I'm looking for something a bit more fruity....
I'm an engineer on cruise ships so only need to pay bills for half the year, sort of. No commute. Only a few airport runs via taxi on expenses.
I'm bored of diesel and miss the sound of a good revving petrol.

My dad had a DC2 integra, I'm tempted by a DC5 or a 370z.

Boring saloon? No thanks!!