Off Topic Politics Thread

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BobbyD said:
Whilst it's sad that its getting harder and harder for young people to get onto the housing ladder, these deposit requirements etc is because of regulation which was bought about because lenders were far too easily doling out loans like they were going out of fashion in the 2000s.

As with all regulation, it needs to be simple with cut off limits which unfortunately does not deal with complex situations and peoples finances but make it easy to interpret.
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Oh I understand regulations alright..........I understand oh to well......... I just don’t truly understand the need for a 10% deposit to buy your first house. There is also some technical reason why the kids can’t get a help to buy loan as well. I have never been in favour of lenders doling out loans to those that can’t afford it. It’s my understanding though if it is thought the proposers are able to afford a loan......where did the 10% come in to it. In theory they could apply for an ordinary loan up to the purchase price. Although granted they would have to pay it back in a shorter period of time. ( I know they would have had to have an extremely high salary to do that )
In Australia my niece & her husband have just bought their first home (roughly the equivalent £270000) they bought it with the equivalent of £20000 deposit.

Edit .......The point I’m trying to make is some countries were not affected by the recent downturn and have never felt the need to be so hard on young people and their home loans.
My sons in the US seem to think although they were the start of the downturn to their knowledge the ability to pay is more important than a large deposit. Although financial institutions are tougher and more strindant with their checks these days.
 
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Beddytare said:
Oh I understand regulations alright..........I understand oh to well......... I just don’t truly understand the need for a 10% deposit to buy your first house. There is also some technical reason why the kids can’t get a help to buy loan as well. I have never been in favour of lenders doling out loans to those that can’t afford it. It’s my understanding though if it is thought the proposers are able to afford a loan......where did the 10% come in to it. In theory they could apply for an ordinary loan up to the purchase price. Although granted they would have to pay it back in a shorter period of time. ( I know they would have had to have an extremely high salary to do that )
In Australia my niece & her husband have just bought their first home (roughly the equivalent £270000) they bought it with the equivalent of £20000 deposit.

Edit .......The point I’m trying to make is some countries were not affected by the recent downturn and have never felt the need to be so hard on young people and their home loans.
My sons in the US seem to think although they were the start of the downturn to their knowledge the ability to pay is more important than a large deposit. Although financial institutions are tougher and more strindant with their checks these days.
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I think it is more to do with the total mortgage value. £235k is a lot for a house so they want a larger deposit. If it were an £80k house I'm sure most banks would do a mortgage on 5% or less. Probably even do a 100% mortgage.

There are plenty of new builds that will pay the deposit leaving a 95% mortgage needed. Think the government ones are 95% as well. "Help to buy"
 
ImpSaint said:
I think it is more to do with the total mortgage value. £235k is a lot for a house so they want a larger deposit. If it were an £80k house I'm sure most banks would do a mortgage on 5% or less. Probably even do a 100% mortgage.

There are plenty of new builds that will pay the deposit leaving a 95% mortgage needed. Think the government ones are 95% as well. "Help to buy"
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Try finding an £80k house anywhere in the South Imps! I have a 2 bed mid-terrace that cost me £235k 2 years ago.
 
ChilcoSaint said:
Try finding an £80k house anywhere in the South Imps! I have a 2 bed mid-terrace that cost me £235k 2 years ago.
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Even the retirement flat my Granddaughters inlaw wants to buy is up near the £200,000 mark. So there is definitely nowt down here for less than Twice the £80,000 imps is mentioning!!
 
BobbyD said:
yeah london, everything is ridiculous in this area but i'm fortunate enough to be earning enough wonga to afford a place
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London is a special case, house prices are ridiculous there but at least many employers add a London Weighting to wages.

House prices in Bristol have risen twice as fast as in London in the last year, and the average house price is currently around £300k. And, of course, no London Weighting.
 
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Silly question.......but we have all heard of the minimum wage. Do the people living in London get a better rate? (London weighting etc)
 
Beddytare said:
Silly question.......but we have all heard of the minimum wage. Do the people living in London get a better rate? (London weighting etc)
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Nowhere near enough to compensate for the additional cost in housing alone. And would depend on the employer anyway.

When I left Royal Mail in 2012 my London weighting was less than 5% of my salary.

To give you an idea of housing costs, a two bedroom flat in suburban London would cost a minimum of £400,000 to buy, and at least £1000 pcm to rent, probably more like £1200.
 
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I lived in 72 Glen Road, Woolston, in 1978 - there were four of us and it cost £4 each per week. It was a bit of a hovel. It has just been on the market for £235k !
 
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Archers Road said:
Nowhere near enough to compensate for the additional cost in housing alone. And would depend on the employer anyway.

When I left Royal Mail in 2012 my London weighting was less than 5% of my salary.

To give you an idea of housing costs, a two bedroom flat in suburban London would cost a minimum of £400,000 to buy, and at least £1000 pcm to rent, probably more like £1200.
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and it would take you probably around hour to get to work from suburban london too at those prices.
 
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ChilcoSaint said:
Involves Northern Ireland being in the Customs Union, with Customs in the Irish Sea. The DUP, as well as most other parties, will vote that down.
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Yup. The truth is that you can have a hard border in the Irish Sea, or you can have one between the North and South. Those are the only two choices if we leave.
Personally, I shall be having my say in London on the 20th.
 
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Let me get this straight. The DUP don't want a border in the Irish, yes Irish Sea. They don't want a hard border with Eire. And they don 't want to stay in the EU. They don't want much do they? More money from us the tax payers.. Really? Be careful who you get into bed with Mrs May.
 
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