oh dear (tm): Generation rent: the housing ladder starts to collapse for the under-40

[PurpleGorilla]

Exactly this.

I don't see anyone in this thread being 'entitled'. Just some views that state the obvious; Banks don't lend even though we've had round after round of QE. Deposits are high and the conditions too stringent, runaway house inflation for decades, too few houses, too many people owning too many houses, high rents, no controls and little or no protection for renters esp the most vulnerable. All of those things are in the gift of the government to fix and NL and Tories alike don't give a stuff.

Social housing had to be the norm after the second world war. It's just that no government since then has had a single credible idea of how to wean the population off it's smack. You cannot blame low earners for that but you can blame the rest of the system for making it worse over the last 70 years.

Mate the worst bit is the gov has actively pumped up the market, via QE and ZIRP, then HTB1 HTB2 etc.

To be clear, the housing market is the ONLY thing keeping our economy in positive figures. NO government will pop the bubble. It is in their eyes the golden goose. Honestly a bit of a shock on the market and it will crash to fook. Should have crumpled in 2008, but we propped up the banks and ZIRPed to fook. Another trigger (and I do think a global crash is on the 5 year radar) and the market will have a mega crash and the banks will not be bailed out and interest rates will not be lowered, and all the greedy over extended muppets will be shafted.

[expat]

Brilliant. Well fook off and live in France or Germany then.

I have as it happens (see forum name), but whether I personally have fooked off or not does not alter the fact that raising a family in rented accommodation is not necessarily the Road To Hell. It may be hell in the UK but that is because it is made so. Which was my point.

[shaunbhoy]

I have as it happens (see forum name), but whether I personally have fooked off or not does not alter the fact that raising a family in rented accommodation is not necessarily the Road To Hell. It may be hell in the UK but that is because it is made so. Which was my point.

It is not necessarily hell in the UK, not unless you are someone that lives under the misapprehension that you are somehow entitled to be able to own your own home.
Sadly, we have too many people that believe it is a birthright to do so. It is not and never has been.
The politics of envy are pervading some of the posts on this thread. Time a few people had a reality check and stopped wailing and gnashing their teeth whilst longing for price crashes purely out of narrow self-interest. They freely castigate people for having achieved nothing more than what they would wish for themselves. The worst kind of hypocritical delusion.

[MicrosoftBob]

Your kids can always move to somewhere like Wales where there are lots of jobs.......

Then again you can tell them to stop spending money on smartphones, TVs, laptops, the internet and other expensive things like that....

Sorry I feel when certain people talk they don't know what people do to save their deposit and just presume things. All of the younger people I know have had to get jobs paying well over the national average let alone regional average so they could buy somewhere.

Loads of low paid jobs outside the big cities in the south of wales, but then there are plenty of deprived areas where you could find a property mortgageable on minimum wage

The other side is that house prices don't appreciate so fast so you're stuffed if you want to move back, so it's fine if you're older making a long term commitment but otherwise it would be a big gamble

[shaunbhoy]

Loads of low paid jobs outside the big cities in the south of wales, but then there are plenty of deprived areas where you could find a property mortgageable on minimum wage

Exactly MB. The solution is staring people in the face, just not the solution that they want.
The irony is that the parents that bemoan the fact that their kids cannot afford to buy a house close to them in the Home Counties have actually fuelled the problem by paying over the odds to live there themselves in the first place.
If enough capable youngsters moved to some of these deprived areas then standards there would soon begin to rise, and with much less requirement for geographically static workforces there is no reason why this solution cannot be more widely adopted.

[BrilloPad]

Brilliant. Well fook off and live in France or Germany then.

Exactly MB. The solution is staring people in the face, just not the solution that they want.
The irony is that the parents that bemoan the fact that their kids cannot afford to buy a house close to them in the Home Counties have actually fuelled the problem by paying over the odds to live there themselves in the first place.
If enough capable youngsters moved to some of these deprived areas then standards there would soon begin to rise, and with much less requirement for geographically static workforces there is no reason why this solution cannot be more widely adopted.

I think you got it right first time. Plenty of non deprived areas abroad. And they are up and coming. The UK is going down.

[PurpleGorilla]

Time a few people had a reality check and stopped wailing and gnashing their teeth whilst longing for price crashes purely out of narrow self-interest. .

Its funny how people complain when the cost of petrol or fags goes up, but if the cost of housing going down is seen as a bad thing.

Spending less on housing would give a huge boost to peoples balance sheet, and to the economy. Think about it, if your mortgage was half the amount. Wound be good wouldn't it.

Hi prices have delayed families having kids, and force many women back to work when they would prefer to raise their babies. Call me a traditionalist, but that is essential quality time that we are making harder for mums to undertake.

I dot give a flying f about making money on the market. Houses are homes, not assets.

[vetran]

Its funny how people complain when the cost of petrol or fags goes up, but if the cost of housing going down is seen as a bad thing.

Spending less on housing would give a huge boost to peoples balance sheet, and to the economy. Think about it, if your mortgage was half the amount. Wound be good wouldn't it.

Hi prices have delayed families having kids, and force many women back to work when they would prefer to raise their babies. Call me a traditionalist, but that is essential quality time that we are making harder for mums to undertake.

I dot give a flying f about making money on the market. Houses are homes, not assets.

BUILD MORE HOUSES
LET FEWER PEOPLE IN
SELL FEWER AS INVESTMENTS..

its easy.

[sal]

People that keep screaming that generation rent is asking for entitlement are missing the point. The problem is that house prices and rents rise much faster than the wages making it mathematically IMPOSSIBLE for more and more people to save up for the deposit even if they live on beans on toast and don't have children until 50.

The easiest solution is to set heavy tax on every property beyond the second, this will discourage both BTL landlords with large "portfolios" and investors sitting on empty properties. Also stop giving mortgages for BTL beyond 1 property if they want to pretend being businesses let them source business loans instead and buy outright. Small fish private landlords and people with vacation homes will be largely unaffected. There will be an initial shock until the market regulates itself.

If enough capable youngsters moved to some of these deprived areas then standards there would soon begin to rise, and with much less requirement for geographically static workforces there is no reason why this solution cannot be more widely adopted.

So you promote young hard working people to buy a house and move to a deprived area with no jobs and wait for the jobs to come to them while leeching benefits? I can see how the lenders will be trilled to offer mortgages in this situations.

[PurpleGorilla]

Beans on toast: