Saving for a house deposit, how does anyone do this now...

[Hooley13]

Watch narcos then go from there…

 

[AndrewP]

If they have that money to earn, maybe.

Bit if they have that money- *they have that money*. See my point before. Used to be that if you had a full time job you could expect to be able to comfortably afford somewhere to live where your friends and family were. That was the whole point of work- earn your keep, and where you're kept.

Now 1/4 of people most at risk of homelessness are in full time employment, and if you live somewhere that isn't economically deprived, unless you're wealthy, you basically have to move somewhere away from your life and away from your best chances of ongoing prosperity just to live somewhere affordable. And the country is far wealthier than it was. Its absurd.

Every single working person I know lives in a house near their friends and family (if they want to).

None of them seem worried about being homeless. I don't live down south, maybe that's the difference.

 

[RestlessNatives]

Every single working person I know lives in a house near their friends and family (if they want to).

None of them seem worried about being homeless. I don't live down south, maybe that's the difference.

It depends on expectations and what 'close' means. Just because your parents live in Seaburn doesn't mean you should expect to have your first house there. You could easily get one a couple of miles away in Southwick though.
Agree about friends though because unless all your mates are significantly better off, which is rare, surely they'll all have the same issues and will look to live in the same areas.

 

[AndrewP]

It depends on expectations and what 'close' means. Just because your parents live in Seaburn doesn't mean you should expect to have your first house there. You could easily get one a couple of miles away in Southwick though.
Agree about friends though because unless all your mates are significantly better off, which is rare, surely they'll all have the same issues and will look to live in the same areas.

Aye, I thought he meant miles and miles away.

 

[FishburnMackem]

What else do you suggest then Martin?
Hes asking for advice to save. There's no easy answer, that's for sure. But he could be running around in a 400 a month car, 80 a month phone, out every Friday or Saturday, 100 a night. Some people have no grasp on what's luxuries and what's necessary. I'm not for a minute saying that's the case with him mind.

You're bang on there like. My average monthly spend on drink / nights out and shite food is around £600. Mental figures and should really sort it out tbh.

 

[sonson]

Every single working person I know lives in a house near their friends and family (if they want to).

None of them seem worried about being homeless. I don't live down south, maybe that's the difference.

In the North East? Aye because as one of the most economically deprived areas in the UK getting on the housing ladder is much easier, everything is cheaper by a stretch to be within the reach of people who are less financially secure. If you're fortunate enough to have a decent Job and security in a historically economically deprived area, you can usually usually live it up, because you benefit from that lower cost of living and areas that would otherwise be out of reach elsewhere are an option for you . That's true all over the world.

But the UK isn't the NE. Most of the population, most of the jobs, in the UK, aren't there. And if everyone suddenly *did* move to the North East then the North East would cease to be affordable because precisely the things that curently make it that way wouldn't be in place anymore. Houses would be desirable to people with more money, and therefore more expensive.

If Sunderland was like a lot of places south of Birningham, a lot of your friends and possibly yourself would have had to move away from a place and people you know and love not because you wanted to but just because you had to. That or live in some shitty estate where you didn't feel safe half the time.

I just happen to believe that people should be able to choose to live near where they grow up if they want, it's not a particularly radical belief I don't think. Its nice for the folk in parts of the country who can but its not the case for an awful lot of people through no fault of their own, and I think that's sad.

 

[Darlo1973]

It's a mindset thing. If two people blow £1k a year on phones between them, they're never going to save.

Exactly. Young lass behind the bar at my local was saying that she and her boyfriend were struggling to find a place together but at the same time she was showing off her new iPhone which cost "only £40 month" and they live on takeaways.

You can still do it in the North East. Minimum wage is circa £18-£19k. Might not be the right time, but it's certainly possible, otherwise nobody would be buying.

The NE has to be one of the best areas in the country to be a FTB. With a 10% deposit the mortgage on a £80,000 terraced house would be about £350 a month. That's affordable for a single person, for a working couple it's a steal. If you have a lodger in for your first few years to help you get settled then you can effectively live free.

 

[Vincemac]

Which could end in negative equity?

Yeah that’s a small possibility

But my first purchase wasn’t an average house, it did me for a couple of years while I saved up further. You can’t expect your first house to be average.

I’m talking about the north east because the majority of this board will be from the north east.

Correct

 

[AndrewP]

In the North East? Aye because as one of the most economically deprived areas in the UK getting on the housing ladder is much easier

Sounds rather economically privileged to me.

If Sunderland was like a lot of places south of Birningham, a lot of your friends and possibly yourself would have had to move away from a place and people you know and love not because you wanted to but just because you had to. That or live in some shitty estate where you didn't feel safe half the time.

In that case it doesn't sound like we're all that deprived after all.

 

[sonson]

Sounds rather economically privileged to me.

In that case it doesn't sound like we're all that deprived after all.

It's not a moral judgement mate. It's an economic term/ and reality.

As I said, if you're fortunate to have decent money in an area where lots of people don't, it works out nicr for you. It is indeed a privelege for people in that situation.

 

[safcforever]

to be fair mate I’m 29 and bought my first house only in March of this year, the no luxury and stopping in thing was my strategy as well, you can piss and moan about prices and wages and you’d probably be right but if you want a house you need to just knuckle down and make it happen cause if you live in Sunderland it really is achievable

we lived in a shit hole rented place which was like shameless to save up, we were absolutely miserable to be honest and if it went on much longer we would have given up, all in I reckon it took us about 2 year of proper saving to save up our deposit, 4 year of talking/thinking about it in total and being non committal, like I said in a previous post once you get a few grand there that you can see it gets much easier to stay motivated when you can work out how many months (even if it’s 30 months or something) it’ll be before you will be at your target

And we still don’t have sky now, the only subscription I pay for is Amazon prime, no gym membership, my phone is sim only, I haven’t got a season ticket.

we did BORROW £3k off my dad to get us over the line for the house we wanted but I’m paying him back £250 a month on top of our mortgage now

you need to cut the takeaways out like as well mate, doesn’t matter if you’re coming in late just have egg on toast or something or stick a microwave meal in even, plan your shopping and do an online order so you at least mitigate your costs, have you actually printed a bank statement and done the maths on how much you spend on food? That’s what you need to do, you said it yourself if you cut out those luxuries for a year it would be half way to a starter house, how long do you think it takes like? Have a look on money saving expert forums there’s people on there down south get themselves out the hole after divorces etc and save up for 10 years to get a scabby flat an hour bus ride from where they work. We live in Sunderland man it’s easy mode realistically the market round here. If you’re not prepared to do that sort of thing then good luck to you

there’s no magic solution for us normal people mate, if you haven’t got rich parents the answer is the same - save up and stop in for a bit

I’m not taking anything away from you about what you achieved. How much longer would it have taken to save that extra 3k? A lot of people don’t have that option

 

[AndrewP]

It's not a moral judgement mate. It's an economic term/ and reality.

As I said, if you're fortunate to have decent money in an area where lots of people don't, it works out nicr for you. It is indeed a privelege for people in that situation.

I don't think the majority have good money around here, but most people seem to do ok.

 

[safcforever]

Whilst that's great, it always seems like a bit of a false economy unless your house is too big for you. I mean, I got a cheap place, just wanted to be on the property ladder, cost me £77000. Now, 5 years on, it's valued at £91000. Which sounds great but I couldn't move anywhere smaller, so if I go for a house that was £100000 it's probably now £125000, so all the "extra" money in my house will go when I try to move up the ladder. Like I say it's great if you bought a 4 bedroom place but the kids have moved out and you want a 2, then you'll benefit. For the OP though I would always recommend saving for even longer and stretching as much as you can for your first house, it's difficult to move up the ladder if you start at the bottom

But his mortgage should be cheaper and freeing up some extra cash

 

[Select coaches]

It's not a moral judgement mate. It's an economic term/ and reality.

As I said, if you're fortunate to have decent money in an area where lots of people don't, it works out nicr for you. It is indeed a privelege for people in that situation.

Privilege my least favourite word of recent times. I was privileged to grow up in a happy but fairly poor house. I’ve worked damn hard to earn the fairly “privileged” place I find myself in.

 

[sonson]

I don't think the majority have good money around here, but most people seem to do ok.

Good money is relative.

When talking deprivation, we're talking not just economy but health etc.

2019 Local Authority Health Profile for Sunderland:

" Sunderland is one of the 20% most deprived districts/unitary authorities in England and about 23.6% (11,395) children live in low income families.
[HEADING=2]Life expectancy is 11.5 years lower for men and 8.5 years lower for women in the most deprived areas of Sunderland than in the least deprived areas."[/HEADING]

If a good 20+% of the population are struggling, you don't need to be a millionaire to be doing much much better than them.

But by the sane token if you moved to one of the richer regions of the UK you'd probably have a lot of things you're accustomed to removed from your options

Privilege my least favourite word of recent times. I was privileged to grow up in a happy but fairly poor house. I’ve worked damn hard to earn the fairly “privileged” place I find myself in.

I don't actually give a shit. Nobody who gets anywhere gets there without help, including you. Nobody is self made. If you're fortunate it's because someone helped you
That's all privelege means- you're a part of, and benefit from, the experiences and lives of others.

If the concept of you yourself not actually accomplishing everything yourself, which you didn't, is offensive to you, we're not going to see eye to eye.

 

[AndrewP]

If a good 20+% of the population are struggling, you don't need to be a millionaire to be doing much much better than them

How do you know they're struggling?

 

[safcforever]

Intriguing. I am a millennial as well. Probably once a month for me. But I bought my first house aged 26 so I bathe in Starbucks coffee and use avocado as a body rub now.

They ought to stop though, the fat bastards.

I’d like to see the work life balance from the 70’s/80’s. I get some people eat take out to be lazy but I’m guessing some work 6 days a week.
I started doing what others have posted here. Make meals in advance, it’s not healthy at all but it’s ok. I’ll be sorted hopefully as soon as Feb/March 2022. but there’s a lot of people can’t get out of their rut

 

[Doeboy]

You can buy a good phone for way under £200. You can get a sim with 10gb of data and unlimited calls and texts for £5pm.

If you're skint and struggling to save, yet drop £50 per month on a phone then you're doing sometime wrong.

You'll have wanted a good wage house to match your good wages. I'm guessing those who earn less will buy somewhere cheaper.

As you say it’s all relative, you earn more your outgoings increase etc. I imagine the slog of saving is the same regardless below a certain very high income.

Good money is relative.

When talking deprivation, we're talking not just economy but health etc.

2019 Local Authority Health Profile for Sunderland:

" Sunderland is one of the 20% most deprived districts/unitary authorities in England and about 23.6% (11,395) children live in low income families.
[HEADING=2]Life expectancy is 11.5 years lower for men and 8.5 years lower for women in the most deprived areas of Sunderland than in the least deprived areas."[/HEADING]

If a good 20+% of the population are struggling, you don't need to be a millionaire to be doing much much better than them.

But by the sane token if you moved to one of the richer regions of the UK you'd probably have a lot of things you're accustomed to removed from your options

I don't actually give a shit. Nobody who gets anywhere gets there without help, including you. Nobody is self made. If you're fortunate it's because someone helped you
That's all privelege means- you're a part of, and benefit from, the experiences and lives of others.

If the concept of you yourself not actually accomplishing everything yourself, which you didn't, is offensive to you, we're not going to see eye to eye.

That’s an extremely broad view of privilege mind. By that definition every single person on the planet is privileged.

 

[iPabs]

on a somewhat related note got my decision in principle today, absolutely buzzing. can’t wait to be a homeowner.

 

[sonson]

How do you know they're struggling?

Because of like facts and that. Because relative to the rest of the UK, they are. Thats not a contentious point mate. It's a very well established fact. I grew up in Redhouse, I'm quite aware of what struggling looks like. Romantic Poverty is a myth.

Unless you think you know better than Local Authority reports, national censusses and indexs etc.

Why do you think house prices in Sunderland are so cheap BTW? Somebody just forget to go into the letting agent with a price gun? For 20 years?

They're set at the rate that people can buy them for. Those rates are much less in areas of economic deprivation because people have much less money to buy them with.