RichR
Premium Member
Registered: 17th Oct 01
Location: Waterhouses, Staffordshire
User status: Offline
|
I own a house with the missus which we're slowly renovating; however, we "live" between there, her Mum's, My Parents and the hotel she runs.
On a related topic, Mortgages are just shit; we paid over £8500 in the last 12 months and only paid of £2000 of capital! Fixing at the wrong time was a big mistake; come off fixed in 3/4 months though so will look for a better deal
|
Paul_J
Member
Registered: 6th Jun 02
Location: London
User status: Offline
|
quote:
Originally posted by Ojc
quote:
Originally posted by Paul_J
P.S. most people I know down south who are my age and have houses, have all had inheritance from dead relatives...
That's how every single one of them have got their deposit and on the ladder.
I think it's extremely hard in todays age to save up and move into a house, even more difficult if you choose to move out and rent until you can.
Northerners I'm not talking about you with your 70k houses 
Paul, this is exactly what me and Rach were talking about at the weekend. We sat down working out how much we will save this year and were questioning how everyone else had managed to move out well before us then it clicked, most of them had inheritence or parents that had chipped in as they had recieved inheritence. It's a shit excuse sometimes as we do spend a fair bit but then if you are given a headstart it doesn't half make a difference to saving.
There is a new mortgage avaliable now though for those that have parents willing to help, Natwest & Lloyds are doing a scheme where by your parents chip in with 10% of the deposit so lets use 175k as an example, so parents put in 10% which is put aside into an account with the lender and earns interest, you the buyer then put in another 5% which is much more realistic target to save to.
It's a win win situation as parents can shift their savings around to help the kids, and they can take the 15% once the house has gained enough equity to do that and have earned some money out of it at the end.
Obviously it's good for the lenders as well as if you default on your mortgage repayments the lender has some capital to take it from.
That's the thing though mate... it puzzled me for a while too - how all these young people around me were moving into houses (and generally had nice cars as well) yet I know I was earning more than them.
- Fact is, most people don't like to brag about the fact they got inheritence / given money from parents. They like to pretend that because they're now paying the mortgage repayments (albeit lower, due to higher deposit) - that they've got there on their own. Plus most people don't see inheritence as a 'positive' as it meant a close family member has died (which truely saddens them).
That said though, when I quizzed people I knew and got to the bottom line of it - they all admitted to have either got inheritence or a deposit / lump sum from their parents.
Now I won't lie, my parents have been telling me and my sister that they're gonna help us. They live in a fairly large / expensive house and plan to move somewhere smaller, giving them a few hundred £k. They keep saying when they do, they'll give me and my sister a small chunk for deposits on a house. However, I personally don't want them to give me their money. That money along with their savings is what they have to live on for the rest of their lives.
Either way, at this current point in time, there's no way I'm able to get on the ladder.
|
Jambo
Member
Registered: 8th Sep 01
Location: Maidenhead, Drives: VXR Arctic
User status: Offline
|
friend of mines nan died and she got £100k 
jealous!
|
Ojc
Member
Registered: 14th Nov 00
Location: Reading: Drives : Clio 197
User status: Offline
|
Rachels nan recently died, it was her mums mum who had a flat worth £150k and that again in savings.
Rachels nan had 3 daughters, one being Rachels mum.
Her nan left all the savings and the flat to one daughter.
|
mwg
Member
Registered: 19th Feb 04
Location: South Lakes
User status: Offline
|
One of my Grandpa's friends has no relations and put me, my brother and my 2 cousins in her Will. Would mean we get her apartment in Bowness on Windermere plus anything else she has so would set me up very nicely for a deposit 
She hasn't died yet though and I think she has a new fella so she has probably had changed it now 
|
JadeM
Premium Member
Registered: 9th Feb 06
User status: Offline
|
I'm a joint homeowner with Colin 
I'd never have been able to do it on my own if Colin hadn't had his flat to sell which gave us a good whack towards the deposit! I'm skint most of the time now, but like others have said I'd probably be skint anyway except I'd be blowing my dosh on clothes/clubbing and stuff. I'd rather be skint and have something to show for it
|
Paul_J
Member
Registered: 6th Jun 02
Location: London
User status: Offline
|
quote:
Originally posted by Jambo
friend of mines nan died and she got £100k
jealous!
Thing is, I always find this kinda hard... When I hear people getting left that sorta money I'm jealous... but then I forget they have lost a loved one. It's like my mate who was left about 80-90k, gran parents died, he went out got a nice car and put a huge lump down on a house, pays less mortgage for a 3 bedroom house than I do to rent a single room in a 2 bed flat.
Unfortunately since 3 of my grand parents were dead before I was born and the final one died when I was still young (left me a chocolate bar) - I never felt much pain for their loss... and would've happily taken 100k
[Edited on 01-02-2010 by Paul_J]
|
Toby
Premium Member
Registered: 29th Nov 05
User status: Offline
|
I'm a homeowner and have been for the last 20 months technically, although only lived in my own home for the last 7 months. I would be the first to admit that i wouldnt have been able to get on the property ladder at 18 without a helping hand. If my Grandad hadnt given my a lot of shares which have matured nicely then i wouldn't be in the position i am.
|
a_j_mair
Member
Registered: 23rd Jan 04
Location: Scotland
User status: Offline
|
Im on the ladder, its all about sacrifices and working hard
i do come into bracket of helpfull parents though 
|
J da Silva
Member
Registered: 10th Apr 03
Location: The FACTory
User status: Offline
|
quote:
Originally posted by Paul_J
quote:
Originally posted by J da Silva
quote:
Originally posted by Paul_J
quote:
Originally posted by J da Silva
Well in my case I did everything in life earlier than most people expect you to, I bought at 18 as I have a big family and although my parents have a nice spacey pad, I had no peace and quiet.
I've had a few homes since I left home 9 years ago, some I've kept and rented out, but I'm happy in my current place and don't intend to move anymore as I have my own little family now and the business is thriving.
How did you afford to buy a place at 18?
I couldn't even afford to insure my corsa when I was 18
I had the right advice at a young age, even when I was 13 on my milk round I valued my money.
I suppose the big part of it was seeing my parents have the high life if you want to call it that and I wanted it, so I set about going down a career path where I could afford things and be secure in my life.
My first car was a corsa and I still buy second, third hand cars now.
Didn't really answer the question there, unless you're either saying that you bought your house at 18 with milk round money, or that you're 'high life' parents gave you some money?
This is in no way intended to be aimed at you / cosmo, but I do think generally in life, it's easier to make money when you have money.
What I mean by this is, if you have money to fall back on you can take more risks in life, to get more places. If you have money behind you (e.g. parents) they can maybe seed you money for a new business idea, rather than you have to work your way onto having enough money / taking a crippling loan to try it out (and once again, risk if it fails).
I decided to try to pick a career path that paid well, and have achieved it. Software Development is a fairly good trade, wages generally range from 25-35k starting, 35-60k normal and 60-90k for top senior positions in london, plus the chance to develop your own product / company off of the trade.
The problem is, this path meant having to be in education solidly, GCSE's, A-Levels, Degree... I have achieved the best at every level and am now on the career path. However, I don't see myself earning and renting, being able to afford a house any time soon. Also I'd love to try some business ideas / start my own company at some point (probably bootstrap it while I work), but I can't afford the basic minimal costs for start up / risk of it all going tits up in the current financial situation. Therefore, I'll have to wait on both accounts.
I too have only ever bought things 2nd hand, cars / mods / laptops etc... but it doesn't mean that I was able to afford a house at 18.
At 18 I had a bit saved up as at 16 years of age I went straight into work, but I went into a specialist trade (fireprotection) there isn't many people good at it and the ones who undercut don't really get very far, certainly not far enough to affect my workload anyway, so at 18 years old I had a fair bit behind me in order to move out and in 2001 it wasn't that hard getting on the ladder anyway, housing was booming, so was the building trade etc... plus the prices were a lot lower than 2010 prices.
My first house was a 2 bedroomed semi, in a fairly nice area with lots of land, it was only 56k back then and I still own it (renting it out to my brothers ex) before I extended the place to a 4 bedroomed house with converted loft room it was valued at 115k so prices had doubled in 2008, and now it's been made into a 4 bedroom/loftspace conversion I wouldn't be able to put a value on it.
My parents were quite strict on what they gave us in terms of finance and gifts, because they didn't want us not knowing the value of money and basically I made my own destiny, without their aid, the only aid they gave me really was advice, which looking back now was worth more than money itself.
My mortgage payments per month on my first home were only something like £190 and I was earning stupid money from travelling to other countries doing my job, which their own natives didn't specialise in.
I was single, had no commitments and I couldn't drink that much on a night out so rarely blew my money on booze etc... I was able to just haud my money pay big chunks of the mortgage off (which is why I took the lowest payments possible).
I think it's way too hard nowadays to do it my way, I admit that if I'd tried to do the same in recent times I'd probably struggle, but back then it was a piece of piss to get started.
I hope that answers it for you Paul.
|
Ojc
Member
Registered: 14th Nov 00
Location: Reading: Drives : Clio 197
User status: Offline
|
I see a trend here, everyone so far apart from a couple have had help financially to get onto the ladder. Tony I know saved loads, Colin did you have any help when you bought your first flat?
I don't say that's a bad thing, just very lucky indeed.
|
Neil
Member
Registered: 2nd Nov 03
Location: Newcastle Drives: E46 MSport Coupe
User status: Offline
|
quote:
Originally posted by Ojc
I see a trend here, everyone so far apart from a couple have had help financially to get onto the ladder. Tony I know saved loads, Colin did you have any help when you bought your first flat?
I don't say that's a bad thing, just very lucky indeed.
I didn't have any help getting onto the ladder OJC.
|
a_j_mair
Member
Registered: 23rd Jan 04
Location: Scotland
User status: Offline
|
quote:
Originally posted by J da Silva
My parents were quite strict on what they gave us in terms of finance and gifts, because they didn't want us not knowing the value of money and basically I made my own destiny, without their aid, the only aid they gave me really was advice, which looking back now was worth more than money itself.
My parents never gave us lots of handouts, we worked on the farm doing chores to earn some pocket money, things like feeding cattle every night when most people were home playing the computer we were out in the rain working. Didnt give us handouts of money at all, we got some money on birthdays etc from relatives but if we wanted something we had to save for it etc.
When we were little we got hand me down clothes etc
Nowadays my parents are in a position through hard work to help their children get a good start in life i dont see a problem with it.
My parents gave me a deposit for my house, we would possibily have been able to struggle by if we had moved into property i already owned and rented out but wanted to keep as an investment
I work extremely hard to earn money and work hard to improve our house make it as nice as possible.
Just because some peoples parents are in the position to help their children doesnt mean they dont work as hard or have it easy
|
Ojc
Member
Registered: 14th Nov 00
Location: Reading: Drives : Clio 197
User status: Offline
|
quote:
Originally posted by NeilM
quote:
Originally posted by Ojc
I see a trend here, everyone so far apart from a couple have had help financially to get onto the ladder. Tony I know saved loads, Colin did you have any help when you bought your first flat?
I don't say that's a bad thing, just very lucky indeed.
I didn't have any help getting onto the ladder OJC.
I didn't mean everyone, but the vast majority of people you speak to who moved out in their early 20's had help somewhere along the line. Helps even more if you live up north where you can buy an entire street for the price of a 2 bed terraced down south.
|
Tiger
Member
Registered: 12th Jun 01
Location: Leicestershire Drives:Astra VXR
User status: Offline
|
quote:
Originally posted by Jambo
Live with mum and dad still.
If i had enough cash for a deposit i would move in tommorow
Fucking ditto!
|
mwg
Member
Registered: 19th Feb 04
Location: South Lakes
User status: Offline
|
quote:
Originally posted by Ojc
Helps even more if you live up north where you can buy an entire street for the price of a 2 bed terraced down south.
If only that were true. Search for some decent houses in Kendal and Windermere, see what price they are...
|
Daimo B
Member
Registered: 20th Mar 00
User status: Offline
|
I live down south.
I had no inheritence. Neither parent helped us.
I had nothing, but we were lucky enough to get a nice 3 bed with double garage.
So it can be done. Just got to be sensible, look about, and haggle over the price.
|
Paul_J
Member
Registered: 6th Jun 02
Location: London
User status: Offline
|
quote:
Originally posted by J da Silva
quote:
Originally posted by Paul_J
quote:
Originally posted by J da Silva
quote:
Originally posted by Paul_J
quote:
Originally posted by J da Silva
Well in my case I did everything in life earlier than most people expect you to, I bought at 18 as I have a big family and although my parents have a nice spacey pad, I had no peace and quiet.
I've had a few homes since I left home 9 years ago, some I've kept and rented out, but I'm happy in my current place and don't intend to move anymore as I have my own little family now and the business is thriving.
How did you afford to buy a place at 18?
I couldn't even afford to insure my corsa when I was 18
I had the right advice at a young age, even when I was 13 on my milk round I valued my money.
I suppose the big part of it was seeing my parents have the high life if you want to call it that and I wanted it, so I set about going down a career path where I could afford things and be secure in my life.
My first car was a corsa and I still buy second, third hand cars now.
Didn't really answer the question there, unless you're either saying that you bought your house at 18 with milk round money, or that you're 'high life' parents gave you some money?
This is in no way intended to be aimed at you / cosmo, but I do think generally in life, it's easier to make money when you have money.
What I mean by this is, if you have money to fall back on you can take more risks in life, to get more places. If you have money behind you (e.g. parents) they can maybe seed you money for a new business idea, rather than you have to work your way onto having enough money / taking a crippling loan to try it out (and once again, risk if it fails).
I decided to try to pick a career path that paid well, and have achieved it. Software Development is a fairly good trade, wages generally range from 25-35k starting, 35-60k normal and 60-90k for top senior positions in london, plus the chance to develop your own product / company off of the trade.
The problem is, this path meant having to be in education solidly, GCSE's, A-Levels, Degree... I have achieved the best at every level and am now on the career path. However, I don't see myself earning and renting, being able to afford a house any time soon. Also I'd love to try some business ideas / start my own company at some point (probably bootstrap it while I work), but I can't afford the basic minimal costs for start up / risk of it all going tits up in the current financial situation. Therefore, I'll have to wait on both accounts.
I too have only ever bought things 2nd hand, cars / mods / laptops etc... but it doesn't mean that I was able to afford a house at 18.
At 18 I had a bit saved up as at 16 years of age I went straight into work, but I went into a specialist trade (fireprotection) there isn't many people good at it and the ones who undercut don't really get very far, certainly not far enough to affect my workload anyway, so at 18 years old I had a fair bit behind me in order to move out and in 2001 it wasn't that hard getting on the ladder anyway, housing was booming, so was the building trade etc... plus the prices were a lot lower than 2010 prices.
My first house was a 2 bedroomed semi, in a fairly nice area with lots of land, it was only 56k back then and I still own it (renting it out to my brothers ex) before I extended the place to a 4 bedroomed house with converted loft room it was valued at 115k so prices had doubled in 2008, and now it's been made into a 4 bedroom/loftspace conversion I wouldn't be able to put a value on it.
My parents were quite strict on what they gave us in terms of finance and gifts, because they didn't want us not knowing the value of money and basically I made my own destiny, without their aid, the only aid they gave me really was advice, which looking back now was worth more than money itself.
My mortgage payments per month on my first home were only something like £190 and I was earning stupid money from travelling to other countries doing my job, which their own natives didn't specialise in.
I was single, had no commitments and I couldn't drink that much on a night out so rarely blew my money on booze etc... I was able to just haud my money pay big chunks of the mortgage off (which is why I took the lowest payments possible).
I think it's way too hard nowadays to do it my way, I admit that if I'd tried to do the same in recent times I'd probably struggle, but back then it was a piece of piss to get started.
I hope that answers it for you Paul.
Excellent story, really interesting read. Never thought about the fact that the cost of the house would've been signifcantly cheaper when you were 18 too! Even thinking minimum like 10% deposit, 56k would be easy to get 5.6k for (I know you'd probably saved a lot more). Reality is, down south to get a decent mortgage these days you've gotta have 40-50k + deposit.
Well done mate, you've done well and by the sounds of it, got there all by yourself (no silver spoons in mouth). I must admit, I do wish I hadn't bothered with education. It's a joke imo, I've always just wanted to go into running my own business, however, I tried to keep my feet on the ground knowing that without a education / potential career, if I was to fail on my own - I'd not be able to get a good job in my field without a degree.
Thanks for the answer, I was interested and now I know
|
Ojc
Member
Registered: 14th Nov 00
Location: Reading: Drives : Clio 197
User status: Offline
|
quote:
Originally posted by VXR
I live down south.
I had no inheritence. Neither parent helped us.
I had nothing, but we were lucky enough to get a nice 3 bed with double garage.
So it can be done. Just got to be sensible, look about, and haggle over the price.
Is that strictly true Daimo? You also bought a house when 120% mortgages were avaliable.
|
J da Silva
Member
Registered: 10th Apr 03
Location: The FACTory
User status: Offline
|
quote:
Originally posted by a_j_mair
quote:
Originally posted by J da Silva
My parents were quite strict on what they gave us in terms of finance and gifts, because they didn't want us not knowing the value of money and basically I made my own destiny, without their aid, the only aid they gave me really was advice, which looking back now was worth more than money itself.
My parents never gave us lots of handouts, we worked on the farm doing chores to earn some pocket money, things like feeding cattle every night when most people were home playing the computer we were out in the rain working. Didnt give us handouts of money at all, we got some money on birthdays etc from relatives but if we wanted something we had to save for it etc.
When we were little we got hand me down clothes etc
Nowadays my parents are in a position through hard work to help their children get a good start in life i dont see a problem with it.
My parents gave me a deposit for my house, we would possibily have been able to struggle by if we had moved into property i already owned and rented out but wanted to keep as an investment
I work extremely hard to earn money and work hard to improve our house make it as nice as possible.
Just because some peoples parents are in the position to help their children doesnt mean they dont work as hard or have it easy
You've took what I wrote the wrong way I think, all I'm saying is in my case, I was given nothing, I would have taken anything that was offered at the time let me assure you, I don't see a problem with helping your kids, I'm a parent myself and I'll offer everything and anything in order to see them right if for any reason they are going to need it, if they refuse it, I'll still hold it back incase they change their mind at a later point.
|
J da Silva
Member
Registered: 10th Apr 03
Location: The FACTory
User status: Offline
|
quote:
Originally posted by Paul_J
quote:
Originally posted by J da Silva
quote:
Originally posted by Paul_J
quote:
Originally posted by J da Silva
quote:
Originally posted by Paul_J
quote:
Originally posted by J da Silva
Well in my case I did everything in life earlier than most people expect you to, I bought at 18 as I have a big family and although my parents have a nice spacey pad, I had no peace and quiet.
I've had a few homes since I left home 9 years ago, some I've kept and rented out, but I'm happy in my current place and don't intend to move anymore as I have my own little family now and the business is thriving.
How did you afford to buy a place at 18?
I couldn't even afford to insure my corsa when I was 18
I had the right advice at a young age, even when I was 13 on my milk round I valued my money.
I suppose the big part of it was seeing my parents have the high life if you want to call it that and I wanted it, so I set about going down a career path where I could afford things and be secure in my life.
My first car was a corsa and I still buy second, third hand cars now.
Didn't really answer the question there, unless you're either saying that you bought your house at 18 with milk round money, or that you're 'high life' parents gave you some money?
This is in no way intended to be aimed at you / cosmo, but I do think generally in life, it's easier to make money when you have money.
What I mean by this is, if you have money to fall back on you can take more risks in life, to get more places. If you have money behind you (e.g. parents) they can maybe seed you money for a new business idea, rather than you have to work your way onto having enough money / taking a crippling loan to try it out (and once again, risk if it fails).
I decided to try to pick a career path that paid well, and have achieved it. Software Development is a fairly good trade, wages generally range from 25-35k starting, 35-60k normal and 60-90k for top senior positions in london, plus the chance to develop your own product / company off of the trade.
The problem is, this path meant having to be in education solidly, GCSE's, A-Levels, Degree... I have achieved the best at every level and am now on the career path. However, I don't see myself earning and renting, being able to afford a house any time soon. Also I'd love to try some business ideas / start my own company at some point (probably bootstrap it while I work), but I can't afford the basic minimal costs for start up / risk of it all going tits up in the current financial situation. Therefore, I'll have to wait on both accounts.
I too have only ever bought things 2nd hand, cars / mods / laptops etc... but it doesn't mean that I was able to afford a house at 18.
At 18 I had a bit saved up as at 16 years of age I went straight into work, but I went into a specialist trade (fireprotection) there isn't many people good at it and the ones who undercut don't really get very far, certainly not far enough to affect my workload anyway, so at 18 years old I had a fair bit behind me in order to move out and in 2001 it wasn't that hard getting on the ladder anyway, housing was booming, so was the building trade etc... plus the prices were a lot lower than 2010 prices.
My first house was a 2 bedroomed semi, in a fairly nice area with lots of land, it was only 56k back then and I still own it (renting it out to my brothers ex) before I extended the place to a 4 bedroomed house with converted loft room it was valued at 115k so prices had doubled in 2008, and now it's been made into a 4 bedroom/loftspace conversion I wouldn't be able to put a value on it.
My parents were quite strict on what they gave us in terms of finance and gifts, because they didn't want us not knowing the value of money and basically I made my own destiny, without their aid, the only aid they gave me really was advice, which looking back now was worth more than money itself.
My mortgage payments per month on my first home were only something like £190 and I was earning stupid money from travelling to other countries doing my job, which their own natives didn't specialise in.
I was single, had no commitments and I couldn't drink that much on a night out so rarely blew my money on booze etc... I was able to just haud my money pay big chunks of the mortgage off (which is why I took the lowest payments possible).
I think it's way too hard nowadays to do it my way, I admit that if I'd tried to do the same in recent times I'd probably struggle, but back then it was a piece of piss to get started.
I hope that answers it for you Paul.
Excellent story, really interesting read. Never thought about the fact that the cost of the house would've been signifcantly cheaper when you were 18 too! Even thinking minimum like 10% deposit, 56k would be easy to get 5.6k for (I know you'd probably saved a lot more). Reality is, down south to get a decent mortgage these days you've gotta have 40-50k + deposit.
Well done mate, you've done well and by the sounds of it, got there all by yourself (no silver spoons in mouth). I must admit, I do wish I hadn't bothered with education. It's a joke imo, I've always just wanted to go into running my own business, however, I tried to keep my feet on the ground knowing that without a education / potential career, if I was to fail on my own - I'd not be able to get a good job in my field without a degree.
Thanks for the answer, I was interested and now I know
I was academically thick, my GCSE's were an overachieved joke tbh, I had a good memory of what I copied from whoever was sat next to me. But I wouldn't have gone uni, at the time I wasn't brainy enough.
But you're right about taking risks with a bit of cash behind you, you wouldn't risk what little you've got, only to lose it, but with enough security you can afford to take a few risks here and there, my business cost virtually nothing to set up at the start as I was a one-man-band on the CIS4 self employment card, as it evolved I just did what the law stated in terms of transforming myself into a business and taking people on etc...
|
Paul_J
Member
Registered: 6th Jun 02
Location: London
User status: Offline
|
J da Silva, Qualifcations are a joke mate. Means nothing. I didn't get any more intelligent when I got my 1st in the degree, yet people starting acting like I was suddenly 'Brainy'  Reality is, I'd just perfected the ability to swat up for exams and know what gets grades on coursework.
Yeah, taking risks is a interesting one. It winds me up when I read something about some millionaires son, now made his first million. Yes he has achieved that himself... but the risk wasn't there. If he had failed, his dad would've just got him a job at the 'firm'.
And like anything, with money you can make money... e.g. you can buy stock when needed, hire employees, expand when required etc.
If you start with no capital like you did, then you start on your own, earn money, which then has to be risked to expand / etc. You've done well and I'm respectful of the effort and achievements you've made.
|
J da Silva
Member
Registered: 10th Apr 03
Location: The FACTory
User status: Offline
|
Thank you for the compliment, it's appreciated.
|
a_j_mair
Member
Registered: 23rd Jan 04
Location: Scotland
User status: Offline
|
J dasilva
not taking what you said in anyway, fair play for managing to buy a property at 18
I was just making a general statement
As for taking risks, do you not think the more you have the more you risk
as opposed to not taking any risks??
|
J da Silva
Member
Registered: 10th Apr 03
Location: The FACTory
User status: Offline
|
Yes, I suppose you're right there, it's not a big risk if you stand the cost and laugh it off, rather than sprial into debt because it never worked, so yes, I agree with you.
I personally feel buying property can never be a risk at the moment, because you can always get a tennant in if it got to the stage where you can't pay your mortgage, because more people are renting at this time in this climate, because the banks won't/can't lend.
|
|
