Are earnings too low / living costs getting too high??

MonkeyMan said:
I'd rather have a company own a portfolio of properties than the current situation of people with overstretched finances having a go at being a landlord and failing in their responsibilities to the tenants. Easier to to regulate companies as well and that is something that is missing from the rental market, proper regulation. At least they have started to tackle the scandal that is letting agency fees. :mad:

For renting to work it either needs to be affordable so people can save money to purchase a property or stable enough to provide long term housing, at the minute its neither.
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houses aren't affordable so how you think rent being cheap is going to work?

they both go hand in hand. high house prices = high mortgages = high rent.

also not every BTL landlord is overstretching or failing in their responsibilities only the ones that make the media / tv / newspapers are. much like those on benefits you only see the bad examples.
 
Uther said:
Why do people need more than one home? If houses were seen as homes and not investment opportunities a lot of the problems with the housing market would disappear.
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they don't need it but sometimes it is inevitable.

what if your parents died? you then have 2 homes. you could have to re-locate due to work. i know a couple who are married one works in ireland the other in glasgow, 2 different countries within the UK. So I take it in that situation one would be forced to rent over buying under your rules?

Like I say 5 covers all the bases. Also some might want to invest in property for their kids. I know a couple at uni and the girls parents bought her a flat for her to inherit. When she went to the local uni the flat was given to her fo rher to either live or rent out. She rented it out for 2 years then moved into it herself.

Basically 1 home for all doesn't suit all individual circumstances.
 
5 is also a fairly arbitrary figure though and many would probably try to get around it using family members, etc.
 
My household jointly earns more than double the average household income. Despite that the amount of cloth cutting we have to do from what we had to do 6 years ago is staggering. We try to live debt free (bar mortgage) but doing that we have to sacrifice family holidays and the "new" tech and bits and prices when I know people in households earning half what we do but free wheeling off credit cards etc and it does irritate me.

Our incomes have remained pretty static but prices for everything are just sky rocketing.

We are lucky and live a good comfortable life and are a pretty stable financial condition but at times I just feel like doing what (it seems like) everyone else does and just living outside my means and consequences be damned.

There had to be a tipping point at which prices stop increasing or wages start going up again but I cannot see when this would occur.
 
No1newts said:
My household jointly earns more than double the average household income. Despite that the amount of cloth cutting we have to do from what we had to do 6 years ago is staggering. We try to live debt free (bar mortgage) but doing that we have to sacrifice family holidays and the "new" tech and bits and prices when I know people in households earning half what we do but free wheeling off credit cards etc and it does irritate me.
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Not sure why it iritates you, it's not like it's free cash, they do need to repay it.
 
2007: MW was £5.35/hr. Tax allowance roughly £5,030. Monthly pay £742 after tax
2017: MW was £7.20/hr. Tax allowance roughly £11,000. Monthly pay £1060 after tax

A couple on MW are taking home £630/mo more than 10 years ago, if people can afford it the prices go up. With another NMW rise due soon expect prices to go up again.
 
Steeps said:
2007: MW was £5.35/hr. Tax allowance roughly £5,030. Monthly pay £742 after tax
2017: MW was £7.20/hr. Tax allowance roughly £11,000. Monthly pay £1060 after tax

A couple on MW are taking home £630/mo more than 10 years ago, if people can afford it the prices go up. With another NMW rise due soon expect prices to go up again.
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MW has gone up but the salaries of those just above that - especially those in the 16-20K or so area haven't really in a lot of cases - someone on £16K where I live 10 years ago is probably on £16.5-£17K today.
 
Bassmansam said:
Do you make wishes at night?
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Sorry, no idea what you mean!

Just comparing my situation with the guy I quoted, I guess we have 50%-ish more than average household income (not sure what that is - was it mentioned in the thread?) and we live in an average semi-detached in Derbyshire, I'd say we're doing pretty well. I don't buy cars brand new but we have a couple of holidays a year and got my sights on a 1080 and new monitor in April when my bonus comes in. And no debt apart from the mortgage.

Maybe the difference is just expectations. I'm probably doing better than I thought I would overall, but had my expectations been higher in the same situation I'd probably be disapointed. It's all relative.
 
nightwish said:
Sorry, no idea what you mean!

Just comparing my situation with the guy I quoted, I guess we have 50%-ish more than average household income (not sure what that is - was it mentioned in the thread?) and we live in an average semi-detached in Derbyshire, I'd say we're doing pretty well. I don't buy cars brand new but we have a couple of holidays a year and got my sights on a 1080 and new monitor in April when my bonus comes in. And no debt apart from the mortgage.

Maybe the difference is just expectations. I'm probably doing better than I thought I would overall, but had my expectations been higher in the same situation I'd probably be disapointed. It's all relative.
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Haha no it was in reference to your user name.
 
nightwish said:
Something wrong here, surely? More than double the average household income, live in the North-East and having to sacrifice holidays and new tech? Where's the money going then? Do you have kids?
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Huge house/mortgage perhaps? Otherwise, yes, it sounds a bit strange.
 
Different people have different priorities for this kind of stuff. I work with someone who pulls in 35k per year, her mortgage is paid and her car is paid. Her husband lost his job and she said that she would never be able to manage now without his wage.

On the other hand she talks about going on holiday every year at least twice, once to Mexico amongst other expensive hobbies.

If I was on 35k a year (I live in Scotland and that pay is very decent for this area) I would be very happy and have loads of spare cash, that includes paying my rent with it.
 
Terminal_Boy said:
Totally agree. Many private sector workers hadn't received a pay rise in years.
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lol

public sector workers haven't received a pay rise in over 12 years. unless your a policeman or NHS employee. they also have had their wages frozen for the next 4 years too in the last budget so the next time they might receive one is in 2020 but i doubt it.
 
Rroff said:
5 is also a fairly arbitrary figure though and many would probably try to get around it using family members, etc.
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it is but I also think it's a fair figure to stop the housing bubble especially with those that own say 1000 properties like that guy who inherited 11 billion was it?

5 is enough to make a comfortable living as a BTL landlord. it's also not so HUGE that you can become a billionaire out of it.


Sargatanas2511 said:
Different people have different priorities for this kind of stuff. I work with someone who pulls in 35k per year, her mortgage is paid and her car is paid. Her husband lost his job and she said that she would never be able to manage now without his wage.

On the other hand she talks about going on holiday every year at least twice, once to Mexico amongst other expensive hobbies.

If I was on 35k a year (I live in Scotland and that pay is very decent for this area) I would be very happy and have loads of spare cash, that includes paying my rent with it.
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people with more money tend to spend more. women also tend to spend it on crap like £50 haircuts every week, £1000 handbags and £300 shoes. then complain they are skint.
 
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