Average house price now 8.7 times average income

Average house price now 8.7 times average income

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Nomme de Plum

4,612 posts

16 months

Wednesday 27th March
quotequote all
borcy said:
I can remember doing 12 on 12 off 7 days for months on one job, I just dropped one day. I remember feeling dizzy and then I woke up on the floor, probably out for 30 mins no memory of what happened. Another time (same job) I fell asleep stood up. One lad working at height took a header from lack of sleep, A+E, head injury liquid coming out of his ear. Not good.


Edited by borcy on Wednesday 27th March 20:46
If one over works we are bound to fall over at some point. It is not weakness just driving ourselves too hard. I've had a couple of episodes and it feels awful when it happens.



bennno

11,655 posts

269 months

Wednesday 27th March
quotequote all
okgo said:
https://www.rightmove.co.uk/properties/146218649

These are £1.8-1.9m done. Hardly seems worth it does it
It’d cost £100k ish to do that to a high standard, £91k stamp duty, £18k agent, I/o mortgage charges [for a year] based on 50% 30K

So you’d want to see if the vendor could be chipped 100-150k to make that worthwhile, otherwise it’s only £100k-£200k tax free profit.

All depends on the definition of worthwhile.

Nomme de Plum

4,612 posts

16 months

Wednesday 27th March
quotequote all
bennno said:
okgo said:
https://www.rightmove.co.uk/properties/146218649

These are £1.8-1.9m done. Hardly seems worth it does it
It’d cost £100k ish to do that to a high standard, £91k stamp duty, £18k agent, I/o mortgage charges [for a year] based on 50% 30K

So you’d want to see if the vendor could be chipped 100-150k to make that worthwhile, otherwise it’s only £100k-£200k tax free profit.

All depends on the definition of worthwhile.
Is it still 2 years as main residence before exempt from capital gains? If £100K borderline but at the top end £200K tax free will probably exceed many peoples post tax income so well worthwhile.

Which part of Pembrokeshire are you? I lived in Amroth many years ago.






okgo

38,052 posts

198 months

Wednesday 27th March
quotequote all
£100k?

Jesus Christ. Hahahahahaahah.

It would cost over £100k to do the side return before you’d bought a new kitchen. Anyway, we don’t need to argue about that. You haven’t got a clue what you’re talking about. That post has confirmed it.

Nomme de Plum

4,612 posts

16 months

Wednesday 27th March
quotequote all
okgo said:
£100k?

Jesus Christ. Hahahahahaahah.

It would cost over £100k to do the side return before you’d bought a new kitchen. Anyway, we don’t need to argue about that. You haven’t got a clue what you’re talking about. That post has confirmed it.
How many houses have you built as the developer?

I turned this



into



Edited by Nomme de Plum on Wednesday 27th March 21:35

Forester1965

1,467 posts

3 months

Wednesday 27th March
quotequote all
What this mutual hand shandy of a thread proves is that PH isn't representative.

okgo

38,052 posts

198 months

Wednesday 27th March
quotequote all
Nomme de Plum said:
How many houses have you built as the developer?
I’ve literally got the same house and had multiple builders in to quote for work. It would be £2-300k all day long to finish it properly and do the loft. Probably more.

bennno

11,655 posts

269 months

Wednesday 27th March
quotequote all
Nomme de Plum said:
Is it still 2 years as main residence before exempt from capital gains? If £100K borderline but at the top end £200K tax free will probably exceed many peoples post tax income so well worthwhile.

Which part of Pembrokeshire are you? I lived in Amroth many years ago.
A couple of miles from Amroth as it turns out…. Small world.

Nomme de Plum

4,612 posts

16 months

Wednesday 27th March
quotequote all
bennno said:
£100k would cover ch, rewire, replaster, bathrooms, decent kitchen with granite tops, floor coverings, assume window refurb, slight remodel at the back to move toilet / kitchen and add a set of rear bifolds. Assuming you pm it yourself, order bits and do the decorating.

No 2 year limit - we did a similar sized property in 9 months 3 years back.
There is only one person who hasn't got a clue which he has just evidenced by saying he got builders in.






bennno

11,655 posts

269 months

Wednesday 27th March
quotequote all
Nomme de Plum said:
bennno said:
£100k would cover ch, rewire, replaster, bathrooms, decent kitchen with granite tops, floor coverings, assume window refurb, slight remodel at the back to move toilet / kitchen and add a set of rear bifolds. Assuming you pm it yourself, order bits and do the decorating.

No 2 year limit - we did a similar sized property in 9 months 3 years back.
There is only one person who hasn't got a clue which he has just evidenced by saying he got builders in.
To be fair, I trained as an architect, fathers a quantity surveyor, I can do second fix joinery, wife’s a near professional standard painter.

We use individual trades, huge difference from a single builder approach.

Nomme de Plum

4,612 posts

16 months

Wednesday 27th March
quotequote all
bennno said:
Nomme de Plum said:
Is it still 2 years as main residence before exempt from capital gains? If £100K borderline but at the top end £200K tax free will probably exceed many peoples post tax income so well worthwhile.

Which part of Pembrokeshire are you? I lived in Amroth many years ago.
A couple of miles from Amroth as it turns out…. Small world.
There was a night club in Saundersfoot called The Sands where I met my wife. Lifetime ago. I sailed out of there too.

Amroth was strange as it was dry the Carmarthen end and wet our (West) end on a Sunday.

Lovely place to live.



Nomme de Plum

4,612 posts

16 months

Wednesday 27th March
quotequote all
bennno said:
To be fair, I trained as an architect, fathers a quantity surveyor, I can do second fix joinery, wife’s a near professional standard painter.

We use individual trades, huge difference from a single builder approach.
I had a feeling you knew what you were talking about. I did Mech Eng but ended up working as a Building Services QS in the high tech sector. As a company we did the Shard which is an amazing development.

okgo

38,052 posts

198 months

Wednesday 27th March
quotequote all
Nomme de Plum said:
There is only one person who hasn't got a clue which he has just evidenced by saying he got builders in.
Which would and is what I’d guess more than 90% of the population does when structural work is involved. You can’t seriously be suggesting that the youth of today are useless because they’re not capable of literally building their own house?

havoc

30,073 posts

235 months

Wednesday 27th March
quotequote all
okgo said:
Nomme de Plum said:
There is only one person who hasn't got a clue which he has just evidenced by saying he got builders in.
Which would and is what I’d guess more than 90% of the population does when structural work is involved. You can’t seriously be suggesting that the youth of today are useless because they’re not capable of literally building their own house?
No, he's just on here showing off at how 'talented' he is. One of those sad people who feels the need to prove himself to others time and again, or worse that, to make himself feel superior to others.

Let the argument go. There are always outliers. There are always people who won't listen to the other side of an argument (I sometimes think the internet is full of them). Doesn't mean they're wrong, but it certainly doesn't mean their perspective is representative of the majority*.



* Although his side point that a lot of younger generations can't do any serious sort of DIY is probably true, although I do wonder if it's increasingly LESS true with the spread of genuinely good self-help YouTube channels, blogs and websites that are around now.

Mr Penguin

1,177 posts

39 months

Wednesday 27th March
quotequote all
havoc said:
* Although his side point that a lot of younger generations can't do any serious sort of DIY is probably true, although I do wonder if it's increasingly LESS true with the spread of genuinely good self-help YouTube channels, blogs and websites that are around now.
Like a lot of people born in the 90s I have always been told that I and my generation are useless at DIY. This year I found out my parents also brought lots of people in to do work because they didn't know what to do at first either. They still do bring people in for specific jobs but also do DIY and have a good network of people with very specific knowledge and tools who can help.

Hiring ONE builder to organise everything for you is expensive and you can save a lot of money by contacting them individually and doing odd bits of plastering and most of the painting yourself. You'll also get something closer to what you actually want doing it this way.

VanDriver99

Original Poster:

121 posts

39 months

Thursday 28th March
quotequote all
[quote=bennno][quote=okgo]

https://www.rightmove.co.uk/properties/146218649

Monthly repayments:

£8,130


ALL TO LIVE ON THE EDGE OF A TRAFFIC JAM.

Why not move to where Happy Valley was filmed (HEBDEN BRIDGE).

You would own a decent property outright in a year with those repayments

WY86

1,332 posts

27 months

Thursday 28th March
quotequote all
Though all this talk of doing up houses and flipping them for profit is where lies part of the problem. Maybe its the same in other regions of the world but in the UK it feels like houses are investments first and homes second, day time tv filled with shows about flipping houses, the fact we call it a housing ladder like your suppose to keep climbing it. if they want to calm down house prices they need to make them less attractive from an investment point of view.

Nomme de Plum

4,612 posts

16 months

Thursday 28th March
quotequote all
WY86 said:
Though all this talk of doing up houses and flipping them for profit is where lies part of the problem. Maybe its the same in other regions of the world but in the UK it feels like houses are investments first and homes second, day time tv filled with shows about flipping houses, the fact we call it a housing ladder like your suppose to keep climbing it. if they want to calm down house prices they need to make them less attractive from an investment point of view.
I think you misunderstand.

The motivation is a desire to have a home. When one starts on the ladder it could be a tiny 1 bed apartment or maybe a small terrace house in a less fashionable area that needs a fair bit of work. The latter gives much better options when it is time to move on which if one is wanting to move up the career ladder is going to happen in a few years anyway. Then a person can do the same thing again. so eventually one can end up with a 4 bed place which is handy if by then that person/couple have a family and couple of children.

I actually believe it is a great life experience for a growing family as well. They see effort is required to improve one's surroundings. It also teaches that even though DIY or building may not be what their parents do for their respective careers that those parents can manage trades and actually learn to do some of those trade type jobs.

Because spare time is limited in encourages doing stuff like hobbies and sports. It helps engender a can do attitude.

Or a person can just let life happen.



Dynion Araf Uchaf

4,455 posts

223 months

Thursday 28th March
quotequote all
WY86 said:
Though all this talk of doing up houses and flipping them for profit is where lies part of the problem. Maybe its the same in other regions of the world but in the UK it feels like houses are investments first and homes second, day time tv filled with shows about flipping houses, the fact we call it a housing ladder like your suppose to keep climbing it. if they want to calm down house prices they need to make them less attractive from an investment point of view.
it's a problem that is very difficult to solve.

Assuming you had a government that was determined to solve this problem and make houses more affordable with respect to the average wage, what could they actually do?

Increase wages will just cause inflation, so how about, capping the price of property to 2027 values ( within a banding ) (giving enough time for those who have just moved, some equity). And then adding in processes to stop sales of housing being determined by how much of a bung the buyer is prepared to give, on top of the fixed selling price. Every 10 years perhaps the prices are realigned with some form of regulation.


Challenges

Wages might catch up or at least reduce the multiplier required
A lot of people will be pissed off their asset is not growing.
How do you stop people 'bunging' the owner an incentive to sell on top of the fixed asking (jail, use of a solicitor, auditor?)
Owners might be less likely to undertake home improvements, but that could mean more availability of tradesmen
People relocating for work will be reduced, but maybe businesses can support new recruits somehow
Selling a house due to inheritance, if you are 2 years away from a re-evaluation you'd be more likely to wait before you sell.
Reduce or stop house price de-flation
How would you handle new builds and their pricing?
Land values would also be indirectly capped?

plus lots of other things I haven't thought of. I suspect they cold be legislated for, but you've got to have the desire and I can't see the voters wanting to have their main asset capped.


havoc

30,073 posts

235 months

Thursday 28th March
quotequote all
WY86 said:
Though all this talk of doing up houses and flipping them for profit is where lies part of the problem. Maybe its the same in other regions of the world but in the UK it feels like houses are investments first and homes second, day time tv filled with shows about flipping houses, the fact we call it a housing ladder like your suppose to keep climbing it. if they want to calm down house prices they need to make them less attractive from an investment point of view.
clap


On the plus side, at least we don't have US "realty" rates and the effective cartel they suffer over there.