Mortgage Rate Rises

dlockers · 26 Jun 2023 at 17:09

Martynt74 said:
I think paying parents rent is fairly normal, however it's usually only a nominal amount. Really it's good to teach them that bills need paying each month. Especially when kids usually don't have any idea of the cost of things, so a general £100 or so a month which covers food/rent/utilities etc i'd say is usual once the kids are working.

I don't think it drives the right behaviour though... maybe it needs overcomplicating and linking to actual consumption

.

Martynt74 · 26 Jun 2023 at 17:10

Hagar said:
No, salaries go with the job, not area usually. Unless you are on min wage. A qualified engineer or trade can command a comparable salary in the private sector in most parts of the country. Public sector wages tend to be national, teachers etc. London weighting MAY be available but that is usually for other additional costs, not mortgages.

Agreed. When my wife was offered the chance to relocate to Winchester following her company being bought out, the salary bump was fairly minimal. When i looked i wasn't going to earn much more than i was in Manchester and yet we'd have been doubling our house value for something probably not as nice as we had up here!

Martynt74 · 26 Jun 2023 at 17:11

dLockers said:
I don't think it drives the right behaviour though... maybe it needs overcomplicating and linking to actual consumption .

100%

My wifes son moved back home last September at 25 and we had a decent idea of what shopping/bills were up to that point so monitored the difference. The fact gas/electric was at ridiculous levels and he eats like a sumo wrestler was a factor though!

413x · 26 Jun 2023 at 17:11

Richie said:
Well, depending on how open your marriage is, I'll back you up

Without asking for pics?

Pics?

413x · 26 Jun 2023 at 17:13

Martynt74 said:
I think paying parents rent is fairly normal, however it's usually only a nominal amount. Really it's good to teach them that bills need paying each month. Especially when kids usually don't have any idea of the cost of things, so a general £100 or so a month which covers food/rent/utilities etc i'd say is usual once the kids are working.

My parents charged me enough and made us do so much gardening duties it just wasn't worth it staying.
It wasn't market rate at all. But it was enough to get me out!

There was a lot of garden!

Jono8 · 26 Jun 2023 at 17:21

I think food/energy bill contribution is reasonable if your kids are in their 20's and have a job.

Actually charging rent (ie profiting from them) is a ***** thing to do. You brought them into a broken capitalistic hellscape. Suck it up.

jaybee · 26 Jun 2023 at 17:34

Interesting about what I've generally heard it referred to as "keep". My parents used to charge me about a ton back in the day. Today that must be about £300 odd. I feel that's high. I think we will start charging once they are earning. I have a daughter still doing an apprenticeship... doesn't quite feel right charging until fully qualified. She is earning, but at a lower rate. I think contribution is right, but not to excess. They are going to need a massive amount of help to truly leave home.

I feel like moving out to rent is just going to get into a cycle of never being able to save for a house... I think if they can live at home until mid 20s and save as much as possible, it would help. It will probably become the norm to live at home until your 30+ for a lot of people. But then you think - quite frankly - between the age of 20-30.... that's like prime time life right there... I find it hard to imagine what it would have been like living at home still in my 20s because I moved out quite young, aged 20.

danlightbulb · 26 Jun 2023 at 18:03

jaybee said:
But then you think - quite frankly - between the age of 20-30.... that's like prime time life right there.

That is exactly the point I was making before. We are condemning people to not have a youth. Go straight from parents to mortgage with kids. No wonder the divorce rate is up.

Arguably my biggest mistake, going straight from home into relationship mortgage. Should have gone to London, or abroad, for several years first. But didn't have the confidence or life tools instilled in me to take a leap like that.

bigmike20vt · 26 Jun 2023 at 18:14

Jono8 said:
I think food/energy bill contribution is reasonable if your kids are in their 20's and have a job.

Actually charging rent (ie profiting from them) is a ***** thing to do. You brought them into a broken capitalistic hellscape. Suck it up.

i am not sure i agree here............ (maybe not to specifically with a goal to profit from them... but as a point of principle)

to be clear our lad (7 now) at birth my parents filled a junior isa for him... my mrs parents put £100 a month into an account for him, and both my wife and i put £100 a month each into an account for him. This is to hopefully mean he can go to uni or get a vocational qualification without worrying about debt - OR alternatively put towards a deposit on a house or something.

my point is........ I dont think we could be accused of being tight on him, but that said, if he is still living with us once he is in his 20s and has a job, i think it is entirely reasonable for him to pay - albeit mate rates - for his upkeep and rent....... more so as a life lesson to get used to the real world. chances are if that does happen the money will ultimately go right back to him - i know my parents helped me hugely over the years............ i still had to pay for my keep however (not that much) when i finished uni and moved back in with them.

413x · 26 Jun 2023 at 18:36

bigmike20vt said:
i am not sure i agree here............ (maybe not to specifically with a goal to profit from them... but as a point of principle)

to be clear our lad (7 now) at birth my parents filled a junior isa for him... my mrs parents put £100 a month into an account for him, and both my wife and i put £100 a month each into an account for him. This is to hopefully mean he can go to uni or get a vocational qualification without worrying about debt - OR alternatively put towards a deposit on a house or something.

my point is........ I dont think we could be accused of being tight on him, but that said, if he is still living with us once he is in his 20s and has a job, i think it is entirely reasonable for him to pay - albeit mate rates - for his upkeep and rent....... more so as a life lesson to get used to the real world. chances are if that does happen the money will ultimately go right back to him - i know my parents helped me hugely over the years............ i still had to pay for my keep however (not that much) when i finished uni and moved back in with them.

How much a month?
Especially from birth.
If I've read that right 100s a month?

He's gonna be set for life with that.
It will be plenty to go from school to owning if that's what is desirable at the time!

Jono8 · 26 Jun 2023 at 18:47

bigmike20vt said:
i am not sure i agree here............ (maybe not to specifically with a goal to profit from them... but as a point of principle)

to be clear our lad (7 now) at birth my parents filled a junior isa for him... my mrs parents put £100 a month into an account for him, and both my wife and i put £100 a month each into an account for him. This is to hopefully mean he can go to uni or get a vocational qualification without worrying about debt - OR alternatively put towards a deposit on a house or something.

my point is........ I dont think we could be accused of being tight on him, but that said, if he is still living with us once he is in his 20s and has a job, i think it is entirely reasonable for him to pay - albeit mate rates - for his upkeep and rent....... more so as a life lesson to get used to the real world. chances are if that does happen the money will ultimately go right back to him - i know my parents helped me hugely over the years............ i still had to pay for my keep however (not that much) when i finished uni and moved back in with them.

Disagree. With housing costs as ridiculous as they are, i think children should be able to save for a deposit rather than give their parents rent.

purplesky · 26 Jun 2023 at 18:48

danlightbulb said:
That is exactly the point I was making before. We are condemning people to not have a youth. Go straight from parents to mortgage with kids. No wonder the divorce rate is up.

Arguably my biggest mistake, going straight from home into relationship mortgage. Should have gone to London, or abroad, for several years first. But didn't have the confidence or life tools instilled in me to take a leap like that.

I think someone like you would struggle no matter what you did or where you went to be honest.

HungryHippos · 26 Jun 2023 at 18:49

Jono8 said:
Disagree. With housing costs as ridiculous as they are, i think children should be able to save for a deposit rather than give their parents rent.

Best strategy here is probably to take some rent and use it as forced savings, and then when said kid buys a house you can give it back.

Young people tend to spend without much thought for things like future.

Jono8 · 26 Jun 2023 at 18:53

HungryHippos said:
Best strategy here is probably to take some rent and use it as forced savings, and then when said kid buys a house you can give it back.

Young people tend to spend without much thought for things like future.

Yes, this would be fair I think. Take the money put it in an account for them to earn interest in and give it back when they need it to buy a house.

flea.rider · 26 Jun 2023 at 18:54

ci_newman said:
So you're throwing stones in glass houses.

Move somewhere cheaper, OR be an overgrown man-child and rely on your parents for financial support into your 30s. Got it.

at what point did i say he was relying on us ?? at £70 a week to help him save ?? while doing collage and progressing thru work ? thats as cheap as it comes ?? we gave no financial support he worked .. and now is on £15 an hr .. yes up north thats not bad .. with 1 more qualification to go which should take him to
£18 ... lol at man child .. do i hear a bit of jealousy in that comment ?

unwashed potato! · 26 Jun 2023 at 18:59

flea.rider said:
did i say he was relying on us ?? at £70 a week to help him save ??

not to disagree with you, but it's not £70 a week. you're saving someone more like £350 a week by not paying their own flat/house rent, bills, food etc.

flea.rider · 26 Jun 2023 at 19:02

unwashed potato! said:
not to disagree with you, but it's not £70 a week. you're saving someone more like £350 a week by not paying their own flat/house rent, bills, food etc.

no .. once they leave the nest it's up to them .. well i might like i did with my daughter buy her food ... and they can never come back ... like i said there choice ..
edit : yeah see your point took time after 3 rums .. sorry .. lol so yeah ok ... day off tom

edit 2: other than food and what ever elecy gas they use i'd be paying that already .. so no hardship ..

413x · 26 Jun 2023 at 19:02

Jono8 said:
Yes, this would be fair I think. Take the money put it in an account for them to earn interest in and give it back when they need it to buy a house.

Its fair to charge rent. Especially if parents are struggling.

But the best thing would be to charge and then give it as a gift for a house deposit.

Not everyone can, but it's very handy at this point!

norm · 26 Jun 2023 at 19:03

If mortgage defaults in America were the precursor to the 2008 financial crash, aren't we in danger of repeating the past if interest rates climb higher, here in the UK at least.

Are governments/banks concerned by this or not?

dlockers · 26 Jun 2023 at 19:05

bigmike20vt said:
more so as a life lesson to get used to the real world.

Life lesson that you can't even trust your own parents to forego capitalism?