[andykn]

Originally Posted by Raring_to_go

In the context of that there is a school of thought that homeownership increases unemployment.

http://www.slate.com/articles/news_a...mployment.html

I would regard that as an attempt to keep the peasants down.

An interesting theory, but with a pool of at least 3 million people in the UK who could work given a suitable opportunity I don't think a few house moves will help.

To clarify my position, I don't think high home ownership is a big problem, the UK's problem is that everything is concentrated in one small corner of the UK.

In France, the capital, Paris is less then 3 times the size of the second city, Marseilles, which is 500 miles away at the other end of the country. In the UK London is 8 times the size of Birmingham, little more than 100 miles up the road.

It's employers that need to move, not employees.

[andykn]

Double post

[andykn]

Originally Posted by MARTYM8

Did I say there were no 90% mortgages available - no. But given the current credit crunch they will only go to those with good credit scores.

And how does one get a bad credit score? Buying stuff you don't need with money you don't have. And then you expect to be able to buy a house?

"Please note that opening a Save to Buy savings account does not guarantee acceptance for a Save to Buy mortgage.

Our mortgages are subject to underwriting and criteria."

PS Ilford is in Essex - not east London - as the addresses tell you! A common mistake - but who am I to argue with the Royal Mail

"Ilford is a large cosmopolitan town in East London, England and the administrative headquarters of the London Borough of Redbridge. It is located 9.1 miles (14.6 km) northeast of Charing Cross and is one of the major metropolitan centres identified in the London Plan."

http://en.wikipedia.org/wiki/Ilford

It's in Travelcard Zone 4.

[andykn]

Originally Posted by Blairdennon

I agree. The whole point was however that it is not a straightforward comparison that if you cannot save for a deposit then you cannot afford a mortgage. Living expenses, as opposed to enjoying yourself expenses, still have to be met when you are trying to save. So the money you should be saving is the difference between renting and a mortgage which in many instances may take years to accumulate a reasonable deposit. Of course sometimes house prices were going up faster than people could save and some saw there target property becoming ever more unaffordable even while saving hard. I sympathise with some of them that is all.

So do I. I couldn't have afforded my flat when I sold it. But somebody could.

[biggle2000]

Originally Posted by johnnybgoode83

What is the point in buying a property if you can't get the one you want?

Well I'd like a 6 bedroomed 4 bathroomed house with a triple garage and a swimming pool in a nice leafy suburb. Oh I can't afford it

[YoungAtHeart]

Although some of you have obviously benefited from the housing situation in the UK not everyone does.

I know two people who had a mortgage. But when they divorced, neither could afford to buy the other one out. So they had to sell it and in the end, neither made any financial return from it.

Now neither can afford to get back onto the property ladder because high rental prices + low interest rates means they can't save up the high deposits which are now required to buy another property.

One of them is considering going to Asia to teach English instead because he feels that work in the UK isn't secure anyway as he is in his 40s and feels his attractiveness to employers will be starting to diminish. Therefore, he doesn't want to risk getting another mortgage.

I think some people on this thread already have properties so want people to continue buying properties to keep the prices high. It's in their self interest to do so.

But there is a side effect of high property prices. Our housing benefit ends up being huge which effects everyone via our taxes regardless of whether you are a home owner or not. Plus it makes the UK less competitive economically when we are competing with countries where putting a roof over your head is much, much cheaper than in the UK.