London Housing

[rhino49]

The problem of house prices is spreading far outside London now - families in rural communities cannot afford to live there if they outgrow their home or want to marry and stay nearby. My children will never be able to afford to buy a home near where we live now. I'm fortunate that I bought my house in 1979 and although I struggled for years to pay the mortgage I now have a house worth 25 times it's original price and that should help the kids out one day. Even a medium size terrace near us is going for £200,000 at the moment (between Manchester and Altrincham) and that is fairly representative of the entry level housing for this area.

[dvbuk55]

Oooh controversial there, DVB.

Not really tman, even the Tories are looking at the benefits system as it stands and I would hope they do something about it. Is it any wonder they flock to this country when our benefits system is so generous and lenient.

[baldrick]

The high rents and as a result high property prices are also due to the Thatcher Government abolishing rent controls and raising social rent costs to 80% of local 'market' levels, and selling off council housing stock while stopping councils from replacing it. The benefits payments go to the landlords, not to the tenants. I doubt that the Tories will do anything to curb rent levels. They support the landlords.

[redheadedwoman]

Born in London,grew up in London,worked in London had to move out to get on the property ladder as prices were to high,lucky for us we now work in an office close to home ,do not know how my sisters kids will ever be able to afford there own places.

[dvbuk55]

Born in London,grew up in London,worked in London had to move out to get on the property ladder as prices were to high,lucky for us we now work in an office close to home ,do not know how my sisters kids will ever be able to afford there own places.

IMHO it's tantamount to out and out robbery, there should be a cap put on house prices and rents and a set number of houses built every year. The problem is there is such a lot of money at stake I can't see any government stopping it. I wonder how many empty houses there are just gathering dust which speculators are sitting on, something else that needs a stop putting to it.

[Lounge Lizard]

I don't know how younger/newer RM employees can afford to live in London. The older ones might have bought their homes 30 years ago when the price for an ordinary 3 bed terraced house in a rougher area like Hackney was around £30k, or 3 times an annual wage.
Now that house will cost more like £700k+. I bought my small flat 16 years ago, but I wouldn't be able to afford to buy it now.
Some of my colleagues moved out to places like Southend and Milton Keynes. But they were spending a lot of their wages on fares.
I guess those who can get council or housing association properties can get help with their rent through working credits, though these might get squeezed out by the cap on housing benefits.
Some of the single men lived in rented single rooms.
The housing situation is getting more and more difficult, although the politicians talk about it nothing much gets done in reality.

Yes, the older ones might have bought their homes 30 years ago when the price for an ordinary 3 bed terraced house in a rougher area like Hackney was around £30k, or 3 times an annual wage.
Even luckier was Joan Bakewell who bought her Leverton Street NW5 house in the 1970s for £12,000 except that she will soon have to pay the 'mansion tax'.

[krussel]

I don't get it,in my area,3 bed houses are going for over 400k,how do these people do it?

If your older then you had time to build up and move up the ladder. I started in a 2 bed flat when I was 25 which had no heating installed and was very run down. A lot of diy and a few moves over the years and you have a big house and hopefully no or little mortgage.

However for my kids starting out and prices in my area at £190k for a 1 bed flat they have no chance so are forced to rent or live about 40 miles away from where they work. Building up can still be achieved but as you have seen with programs like "Homes under the Hammer" far to many landlords have moved into that area pushing the prices up and up and forcing genuine buyers out. Its tough out there.

[krussel]

Born in London,grew up in London,worked in London had to move out to get on the property ladder as prices were to high,lucky for us we now work in an office close to home ,do not know how my sisters kids will ever be able to afford there own places.

IMHO it's tantamount to out and out robbery, there should be a cap put on house prices and rents and a set number of houses built every year. The problem is there is such a lot of money at stake I can't see any government stopping it. I wonder how many empty houses there are just gathering dust which speculators are sitting on, something else that needs a stop putting to it.

In my delivery area there are rows upon rows of houses which have been given to migrants for cheap rents. If your single, born in this country, work and not may times pregnant then your bottom of the list.

[dvbuk55]

Born in London,grew up in London,worked in London had to move out to get on the property ladder as prices were to high,lucky for us we now work in an office close to home ,do not know how my sisters kids will ever be able to afford there own places.

IMHO it's tantamount to out and out robbery, there should be a cap put on house prices and rents and a set number of houses built every year. The problem is there is such a lot of money at stake I can't see any government stopping it. I wonder how many empty houses there are just gathering dust which speculators are sitting on, something else that needs a stop putting to it.

In my delivery area there are rows upon rows of houses which have been given to migrants for cheap rents. If your single, born in this country, work and not may times pregnant then your bottom of the list.

Well there's not much chance of us getting pregnant kruss but if any young lady would like to avail herself of my services I would be happy to oblige.

[krussel]

Born in London,grew up in London,worked in London had to move out to get on the property ladder as prices were to high,lucky for us we now work in an office close to home ,do not know how my sisters kids will ever be able to afford there own places.

IMHO it's tantamount to out and out robbery, there should be a cap put on house prices and rents and a set number of houses built every year. The problem is there is such a lot of money at stake I can't see any government stopping it. I wonder how many empty houses there are just gathering dust which speculators are sitting on, something else that needs a stop putting to it.

In my delivery area there are rows upon rows of houses which have been given to migrants for cheap rents. If your single, born in this country, work and not may times pregnant then your bottom of the list.

Well there's not much chance of us getting pregnant kruss but if any young lady would like to avail herself of my services I would be happy to oblige.

I seem to recall you got a nasty little rash last time and it costing you £120.

[dvbuk55]

I seem to recall you got a nasty little rash last time and it costing you £120.

[baldrick]

I seem to recall you got a nasty little rash last time and it costing you £120.

£120? Seems everything is cheaper outside London!

[flaminmoses]

The uk is screwed.
Property prices all round europe went down after sub prime.

London's didn't stop rising.....as someone said the knock on effect is hitting the surrounding areas.

the long term effect will be catastrophic.

Housing benefits will be needed for people earning 30k a year soon

not funny really but when you think about it thats simply nuts.

no wonder why the nations debt will only keep going up and up.....we are seriously doomed imo

[jetblack]

Housing benefits will be needed for people earning 30k a year soon

What effect has buy to let had on all this ?

Seems to me there will be a slow and gradual shift away from home ownership as being the number one aspiration. Its not in Japan or Germany, where more people rent (and, culturally, are "happy" to do so).

Either that, or the credit hasn't done "crunching" just yet, and prices are still being inflated artificially on the back of it. I dunno.

What I do know is that the ordinary Jo doesn't benefit from this property inflation - even if it does feel nice for some to be sat on property that has risen in value 10% in the last 6 months. Much more likely that the banks and the landlords are benefitting from it.

The haves and have nots - same old story.