Check out Manual here and get 55% off your first order using my code DTM55. bit.ly/4a13ZVi

“Can’t buy a cheap flat white”. That’s the Costa living crisis…

I think this country has really not thought through the social impacts of the broken housing market. So many young and not so young people are deferring having kids. It’s going to cause big demographic issues in the future.

The problem with new homes is that when they’re built, they’re marketed with premium prices. New builds aren’t worth the prices that are assigned to them.

What also makes it expensive is when your sale falls through on the date of exchange and you lose £3k in fees and have to start all over again.

Now imagine try buying your first house on your own. Single person tax is a real thing.

Anything that allows people to borrow more money (like the first suggestion) like all the previous schemes done by the tories, will drive up prices further. This is basically kicking the can down the road AND fascilitating wealth flow from poorer to richer people. We need to fix supply. We also need to fix inequality, more and more property is owned by the wealthy people.

I grew up in an area of Miami that is mostly made up of * middle-class Cuban Americans where just five years ago a house would cost 250-350k for the most part. Now the cheapest one goes for 600k. Forget working class being able to afford them. A professional lawyer, engineer, etc. would now struggle to buy a home in that same neighborhood. Something needs to change and it will change.

It also doesnt help that affordable housing schemes have so many hoops to jump through. As a single dad on a good salary in the south east I am told that I am classed as unaffordable for shared ownership because the repayments combined with my fixed costs (childcare) cannot exceed 45% of my take home pay, but I can "afford" a rental property that works out significantly higher than the same repayment figure.

Bought a house in 2007 at 19 years old thinking I'd made it. The crash in 2008 crippled me. I moved 130 miles north for work in 2014. I rented my house out and rented a house for me, my wife, and two children. In 2016 I had to sell that house and had to take out a 15k loan to pay off the negative equity. Trying to rent a house for a family of four (including a disabled child which statistically costs the same as three-four children) so technically a 6-7 person family and trying to save a deposit as well has crippled me. I only got back on the property ladder just over two years ago after working 72 hours a week for 6 years straight. As it was a physical job I'm now permanently injured so had to change job again and then we got battered with the interest rate increase, that hit us massively again. I'm now 37 and in a worse position with property than I was at 19 years old. I can't believe how every financial decision has gone so wrong. I've never owned a credit card, only ever been abroad 5 times for no longer than a week, own a 14 year old Skoda and have not been able to afford to carry out the work on my home to enjoy living in it. It's hand to mouth every single month.

That’s a depressing topic and not even addressing the massive issue that is leasehold.

The government needing to have a "review" of anything is ridiculous. The last review got us inflationary policies such as Help to Buy, which drew a circle around a group of buyers who had money in their pockets to pay to play at the time, and screwed anyone who would've wanted a go in the following years. The suggested solutions were common sense, but an easy win is to tax the assets of the super-rich. That would trigger a sell off, bring down taxes on working people, who could use their increased disposable income to buy the increased supply on the market.

bought our 1st home back in 2019. I was 30 and my husband was 38. We were already considered late in buying, I feel sickened to all of those who want to get on the ladder and keep being left behind

There are areas that are cheaper though. Take for example someone looking for property in London or Bristol, they are on £70k gross per year but struggle to find anywhere they can afford despite holding down a professional job. Even a small flat can be £500k+. Yet where I live you can easily buy a terraced house for £70k or a three bedroom semi detached house for £120k so if you are on a £30k like myself, then you can easily afford to buy a house. I bought mine on a single person mortgage and it's not like I even have a professional job. Though I acknowledge that there is a big overall housing shortage, a big factor is location. If all the professional, high paid jobs were not concentrated in just a few UK cities and were spread more evenly across the whole country, then the population would naturally spread out more. Then many of the houses around where I live that are empty would be taken up. People say, build more, that's OK but in some areas like my hometown that makes no sense when they can't even sell the ones that exist already but are sat empty. It is another consequence of the regional wealth gaps that exist in this country where there are not only wages that are lower but also a lack of investment and poor infrastructure, lack of decent jobs etc. The sad fact is there are young people in my hometown like my neice who are going to university, getting a degree, then moving away from the town to a city in search of the better jobs which is only adding to housing problems in those cities whilst in my own town I would say the population is probably going down and the average age is getting older. One day there will be no young people left in my town and all there will be is a town full of pensioners. The local businesses already can't find any staff. All this is adding towards creating housing hotspots in certain cities.

Brought my first home last year in the East Midlands for £130k with 10% down as a deposit. The house had been neglected and the old boiler was last installed 24 years and the plaster was falling off the walls. The total renovation is projected to cost £50k. This was the only realistic home I could afford in a decent area.

As a 26 year old living in Berkshire (South East) I'm currently in the process of completing on my first property with my partner, a 2 bedroom flat. The main thing that got us over the finish line was utilising our Lifetime ISA, which I feel a majority of people my age don't actually utilise as much as they should. Some still have the HelpToBuy ISA capped to £250,000 purchases outside London, and £450,000 in London. They put in a pound in when Martin Lewis told them to, and they have contributed into it since, because there was a sense of urgency, In my opinion what lacks the most in our society is Financial Education, and learning how money works; emergency fund, tax etc. Majority of it is behavioural, and that's taught by parent's and family members, well those fortunate enough to. So thank you Damian for sharing your videos, and I think we can all do our bit also to stop making finance a taboo subject and encourage to share information we learn with one another.

At 41 with about 10% of my yearly salary saved up, I've had to move back into with my mum to make any form of serious saving. I recon it will take me about 4 years to save up and I'm getting to a point where I'm thinking I may as well just save up such a large deposit, that I can buy an house outright. Trouble is, by the time I've done that, the house prices will have doubled, so I would probably be chasing moving goal posts. It's sad when your only "hope" is inheritance.

Much much worse since the mortgage companies allowed 2 earners to be considered in affordability. Quickly becomes the requirement, as the prices track the new money pouring in. It may be inevitable that attitudes need to change towards home ownership

That comparison of interest rates with earnings multipliers was really useful, and not something I’ve seen done before. Really it makes a lot of sense - what you’re paying interest on determines how much interest you’re paying, so if your interest rate halves but the price of the house compared to income doubles, you are paying the same amount. But these statistics are so infrequently seen together that it can seem as if things would be hard but essentially we’d get through it if interest rates go higher

As someone who recently bought last year, to anyone looking for actual advice on how to do it, open a Lifetime ISA ASAP (it's shocking how many people STILL haven't done this). I starting investing £4000 of my annual earnings (£333/month) and the government gives you an additional 25% on top (plus there is interest). Treat this like a bill that comes out after rent. After 4 years of doing this (from 21 to 25) I then had £20,000 for a deposit which was enough to get a 3-bedroom town house in the North of England. I did all this on my own. No support; no partner. Assuming you have a stable salary, which mortgage lenders will take seriously, then that deposit should be enough to get you started. It takes patience and discipline. Just because people tell you it's not easy doesn't mean you can't achieve it. Good luck to anyone that reads this. And if you are buying with a partner, that makes everything 100% easier.

1970's land value as a proportion of the house purchase was about 5%, now 70% (North East) to 300+% (South East). Its land values as a commodity further gaining value post-1996 (buy-to-let law change) as buy-to-let has meant that the

Saw the notification and instantly felt sick. The situation for us youngsters wanting to get into property is not looking good 😥

My friend was looking at a shared ownership scheme in south London/affordable housing. She was denied a chance as they said she’d need to earn over 65k a year to qualify. This is modern Britain where key workers can’t afford affordable housing but the rich can own multiple houses and houses are left empty by overseas investors.

My eldest is looking at investing £15,000 on a used, high-mileage, tall, long-wheeled van to live in. In 1996 i invested £15,000 on a deposit on a 3-bedroom, semi-detached house on the canal side in Chester. To be fair, the van will be hers, whereas i still owed £45,000.

@DamienTalksMoney I work for a Building Society and will be at the BSA conference next week discussing ways we can innovate to help solve this issue. Your video though as always was a beautifully articulate and accessible summary of the issue and the report. Thank you for continuing to highlight important issues in such a well produced manner

Conveyancing fees are an absolute con and I believe these need to have a validity period for certain elements. You could be so close to the purchasing a house, and for whatever reason it could fall through after you've paid conveyancing fees. Joe Bloggs and his avocado toast could rock up a month later, and pay for a conveyancing fees, and some of the searches Jo and his avocado are paying for, have just been undertaken a few weeks earlier. A validity certificate should be issued by the land registry to the property seller / agent excluding some searches as the search has just been undertaken. Just my ramblings on yet another fab video!

Cracking video Damien! Good information interspersed with well thought out humour. 😊 I have 1st time buyers viewing my house this week, but despite it being cheaper because there are some issues that will over time need to be addressed, I'm sure that they will have so much of the money withheld pending works they'll not be able to buy. In many respects it is perfect for a young couple. 🤞

Keep in mind that during the 80’s people were encouraged to save due to the interest rates. Right now there’s very little incentive to save because those who are saving are watching those who are reckless taking it in. I’ve been trying to save for a home and it’s been discouraging to watch prices continue to not budge because there’s people willing to get into a mortgage where they’re paying 40% of their income. It’s insane.

nearly 30 still don't have our own place as a high earner and the best I can seem to find is flats or houses only meant allowed for retirees or investors were all the walls are moldy

10:16 this is such an important point and something everyone needs to know. As you say this is not borrowing and throwing the money away with zero return. This would be borrowing with a garentueed return and a big return at that and due to it being the government it's even better as it is gaining them mutiple revenue streams from less spent on benefits due to more people employed, to economic boost as more is spent in local areas, transport links are improved, more can be invested in job creation for these new estates, lower rent and house prices means people spend more money on goods and services increasing GDP and tax returns it's a win, win.

No mention of almost unfettered immigration since 1997 which has increased demand and depressed wages, so no surprise the cost of housing has soared. Add into this mix the printing of money which also causes asset prices to increase and we end up with the shocking situation we find ourselves in - more of the same is just going to exacerbate the problem so we need radically different politicians and radically different political solutions.

Currently buying a house in Solihull, 3 bed semi, mortgage is gonna be £1650 a month. Yeah, okay it's Solihull. But, we're still talking a modest sized 3 bed semi at £340k. It's mental. I've honestly doubted whether it's actually worth it. When we have a kid, add £1200 a month child-care. Our combined income's pretty good, so we can just about manage it. But I'm thinking, how is someone on the average wage buying a house and having a kid or two? It just doesn't seem possible

The main issue i believe is the monopoly the house builders have. These guys are screwing everyone in the country for no reason and are keeping the prices of new property very high which has a knock on effect on older properties. The government need to get a grip of them, problem is the mps are invested in said property builders so its not in their interest to level the market lower

The UK government has not made a policy in favour of the little guy for the last 2 decades at least. I've no doubt they would love to do the 100 year mortgage so their banker friends can live off the interest.

I have more than 2 years gross salary, live in the Midlands and, only being able to borrow about £90K, still can't afford anything!

We need houses built by the government and sold at cost. The problem is a lack of supply, it always has been, and the selling off of social housing has made it worse.

I bought eight years ago. Despite having reasonable pay rises since, I'd have zero hope of buying this house now. The money I paid for a four bed detached house would at a push get me a three bed semi now and the interest rate would mean the monthly cost would be far higher. That's before all the other costs that have jumped too. Nightmare.

Problem in Bournemouth area is that they are building loads of homes, but not thought about the additional traffic etc. Places that are already overcrowded and busy will be getting worse. Youngsters can not get on the property ladder around here as the prices to buy are crazy and more and more rich people are moving into the area.

great video Damien, all the major problems begin in 1979 when Thatcher gets into power, everything changed when she sold off the council houses all the big problems start from there because that generation that were able to buy their houses cheaply were going to have an advantage over the generations coming behind them, (anyone born post 1979) basically had a massive uphill struggle as there were so few council houses left to rent as no new stock was allowed to be built. This is why there is such a huge financial divide between those generations after Thatcher and before her...and why the young are struggling so much now, the only way to fix it is to allow there to be more houses to be built for people to rent etc as not everyone can afford a house. But we both know that they older generations dont wont this as it brings down the paper value of their houses as they are investments...selfish to their cores for the most part and the main reason we are in this mess.

Large building developers are not incentivized to build quickly. If house prices go down the profit margins go down. They already own enough land and have planning permission to build millions of homes. Incentives need to be restructured

Im 32 and finally got a decent job with progression prospects - 37k working remotely. Home ownership is not in my reach.

Until uncontrolled immigration legal & illegal is addressed any ‘solution’ is pissing in the wind

I am pretty sure if the population was not increasing as much, you know by not settling in the rest of the world in the UK, especially illegally. That would result in houses being more affordable.

When people think of housing price they think only of speculation on land value. But it is more complicated. A house is also material cost, which followed inflation the past 20/30 years when wages haven't. A house is also a location and demand can outstrip offer, if we don't build enough of them. Depending on where you live your house cost depends more or less on land value speculation.

The average cost of building an MMC social sector home in the county I work in in North Wales is now £266,000. Tell me how a Housing Association is expected to finance that without decent grant rates. We really struggle to develop new homes, even to sell or rent at private market prices. Source - I’m a Chartered Housing professional working for a Housing Association.

I think there can only be worse to come before it gets better. We are on an island with limited space (unless we want to pave over our countryside). We have astronomical national debt. Even the hedge funds are losing faith in government bonds. I can only think there is a shock to come. I look to The North for affordable property. Anything remotely near London is just out of reach.

Everything from the visuals, to jokes and even music are always spot on and on par with the theme of the video. The sheer amount of effort is amazing! Well done Damien and thank you for another excellent video!

Have you been on right move, type location say Burnley then put radius 10 miles. See the house prices...

I think using the pension to pay for deposit will only increase house prices, same as reducing the percentage of the deposit over the house price. Unfortunately, it's not a matter of trying to make already existing houses more affordable, but to make more houses. In that matter, leaseholds policies have to be reviewed, as flats in tall buildings will be the only (humanly) viable option

Unchecked immigration since 1990's. Foreign investors buying properties in places like London like they're gold bullion and leaving them empty. People buying second/holiday homes when interest rates were near zero as a way to invest. Older people living longer, stagnant construction industry. Hmmm i can't understand why there's a shortage of housing 🤔

Very similar to Canada. Federal government used to build tens of thousands of homes each year.

My dad had the right idea. Buy a 3 bed as young as possible and get your mates in as lodgers. I didnt take that advice as I was travelling a lot for wor. But hindsight is 20/20.

12.50; Reminder; Clement Attlee's government defaulted on a huge US loan in 1947 (due to the winter of 46/47 where the government spent the money stopping people from freezing to death over the 6-month freeze, we have never had a winter since like that one) he had a choice abandon the proposed 1948 NHS and welfare acts as the government were 250% GDP ratio in debt, or go ahead, thank God he ( and it was him and him alone, lonely at the top) went ahead rather than buckling. Gov debt is not like a household (Deficit Myth by Stephanie Keltion) as Gov owns, issues and collects their own currency nobody else can do that. The credit card analogy is a classic neoliberal meme.

Was that a triple at the end 12:35 ? “Do you still (have a car 🚗 though/have Ocado/avocado 🥑)?” Nice 😂

It's not an issue of supply, it's landlordism, therefore cost. The UK doesn't have a housing shortage - our homes per capita is higher than many countries but we have 4x more landlords than teachers and no rent control. Multiple home ownership and the unregulated private rental sector is the genuine biggest factor behind the crisis but housing supply is the scapegoat. Also, let's not forget the shocking standards of new homes - developers are increasing their margins by foregoing quality control.

in New Zealand, they do allow pension savings to be used as your deposit for your first home. If someone owns their home outright, and the state pension is livable, if you do not need to pay a mortgage /rent, then the system works.

The situation is diabolical and a national embarrassment. 2nd homes should not be allowed, the system is based on explotation and greed and houses should be homes, not investments. I'm lucky enough to be able to move to Devon and retain my London job but working from home. Appreciate this is rare, and without this, my wife and I would have the the depressing reality of not being able to afford to start a family and wasting our lives commuting to London and becoming corporate slaves, like many do blindly without realising.

Using pension pots for a deposit on a house just throws more fuel on the fire.

Great insightful vid for me who is soon to be a first time buyer. Did appreciate the pun at the end to 😂🤙

The best solutions are often the simplest which is to build more houses and some sort of law to prevent the hording of houses. Trying to create a complicated system of taxation, pensions and mortgage terms won't make the situation any better. It will only put a temporary bandaid on the problem.

As usual, the answer given is simply to build more houses. Note: there are more residential properties in the UK than there have EVER been! The real reason has been totally ignored yet again; it always is. Take a look at house price unaffordability & compare that to the net immigration; plot the two on a time series graph; it ain't rocket science. Mass uncontrolled immigration stuffs ever more people into the county, thus increasing demand. It's simple 101 economics. The supply has still increased but has not kept up with immigration numbers. Strange how immigration is RARELY mentioned & NEVER blamed. So what's your bias?

The issue is that the Government are homeowners and landlords themselves so their self interest in keeping house prices high is why they don't want to do anything about it.

The pension approach is very smart. This is how it works in Singapore where higher percentages of salary go into overall savings where splits are made for housing, health and retirement. Every single household in Singapore owns property through this policy.

There isn’t a property ladder anymore. It’s a single step, that you can either get up onto or (more increasingly) you cannot….

Here's a hot take that may not be popular. The real issue is the rapidly declining value of the pound. The pound has lost half its value since 2000 and 25% since the beginning of the pandemic! Average house prices in the UK are 84% cheaper if you don't value your house in fiat pound tokens and use another popular store of value.

The Nigerian government introduced the option of accessing your pensions for a mortgage down payment a couple of years ago. You're limited to 25% of your pensions so people don't exhaust the entire pot.

I'm single in my early 30s, and bought a small one-bedroom flat 5 years ago. In just those 5 years I've seen the costs of just being alive, from my mortgage to electricity, jump up in price. I'd love to move to a house, but I can't afford to. The costs I'm paying now scare me - how could I possibly afford more? I think being able to do it on your own will one day be impossible.

hmm… different areas of the country have different markets. when I first bought a house a staff nurse starting salary was £7k per year, now it’s quadrupled, and guess what? so has the price of that same house. interest rates now are actually lower than when I bought that house too. as I said, other parts of the country have prices that have more than quadrupled in the last 45 years though. there is no single housing market.

Damien is the best . Can you do a video on creating a pension for someone starting one in their 20s?

Subscriptions are a much bigger part of modern life than it used to be. Want good entertainment - subscription, play a videogame 9/10 times subscription, need to do taxes subscription, phone finance/contract, charity, gym, therapy, food plans, adblocker, antivirus, software for sidehustle, all subscriptions. Now you dont need all of these but more than likely you will have one or two. Now some of these would've been applicable before (particularly charity) but i think the normalisation of monthly subs for soooo many of our services is frankly terrible. So many of these are close to necessitys whearas before they wouldve been one off costs if you didnt have the money you would skip the service as it was more likely to be a one off cost.

As a single person what I did was become a land lord. The bank would lend me more money compared to me getting a residential mortgage. So now I rent out the property on a buy to let repayment mortgage and when the time is right I’ll change my mortgage and move into it. Although you need a minimum of 25% for buy to let mortgage, so that can be tough

This is very much a regional topic and the ladder does still work as your not throwing your money away on rent which is likely more than your mortgage repayment so therefore you build wealth via equity over time. Now that's not overnight but long term like +5 years while as a young person you build your career and increase your pay which then in turn increase your buying power. However what is developing is almost two markets in the majority of the country; New build and ex-council build. Then there is stamp duty or Lbtt in Scotland which is also damaging and is essentially a double tax. It is a tax designed to keep the working and middle class low in available cash and reduce there buying power as at there higher end of the market that money is made back via compounding effect. Another example of the how the rich get richer and or stay rich. Combine that with wealth band stats and where they hold wealth a video you done recently and it explains a lot so learn from that and use it. Note you only pay the tax at purchase so buy cheap with potential and do it up and push that home into another band and sell it and repeat as a useable side hustle while having a roof over your head

It is so difficult for first time buyers! I managed to buy my own house at the age of 29 (as a single buyer). I put a 20% deposit down and my house is in a desirable and sought after area. I didn’t have any help from family, but I am very fortunate to have a decent job, and I am very financially disciplined. I was also extremely lucky as I locked in a laughably low interest rate and bought at a great time. I now have a massive amount of equity in my property as well. For most people, it isn’t impossible, but the odds are stacked against you - it takes a lot of patience and sacrifice to save up a large sum of money, (and I acknowledge the sacrifice is bigger or longer, if you earn less). Some people aren’t willing to do it and others just simply aren’t able to save enough 😢.

The fundamental problem is that people perceive that property prices cannot fall, and that's because of various governments' actions. The result of this is that people are rewarded more by buying the most expensive property that they can. Even if prices rise by only, say, 2% a year, when you're geared up to your eyeballs (no, not like a young George Osborne) then you gain a huge ROI. This in turn reduces the workforce flexibility and gobbles up larger percentages of people's incomes in repayments, both of which have a negative impact on the economy. E.g. the death of the high street isn't JUST because of online shopping and out of town shopping centres, it's also because people are not spending as freely.

i live in a major city in the south. people i know have bought in their 40s/50s and moved to places like Bedford, Luton, and the north.

Everyone seems to forget Sunak's wasteful spending and then a huge amount of taxation! For instance, not content with giving our ludicrous contract to his friends, he failed to increase tax on the very rich! When push comes to shove, he increased the greatest tax burden on the middle class, by freezing tax allowance until 2028...just when inflation has been at its highest for nearly 30 years. This means, every day britons who never benefitted from the last 20 years of debt build up are asked to pay for it, Sunak's wife instead pays less than 5% in tax! The Sunak's wealth increased by £106m but yet they are not paying any more tax than before, but everyone else is! Going back to what we had 3 years ago can go along way, but we need a whole change in the way we elect our parties and who exactly do they work for!

Low interest rates have allowed prices to go up too high, the current rates are actually pretty normal. Gov should have never dropped rates so low for so long.

Make some good points. There societal issue here. Do youth need to go Uni get decent paying job? & and get in to all that debt before, you even buy property. Do need go and get nice car on finance. I don’t have degree it’s choices me and the mrs brought our first home 2005 2 bed terrace £93K both of us stacking shelves at local supermarket 100% northern rock mortgage remember those 😂 I’m 40 now have 4 bed detached double en-suite and no degree yes it was hard we both sacrificed didn’t go out much for those first few years but we had each other and own home. Our social life suffered but worth it the end. Enjoyed the video.

Great work, Damian! Every generation is challenged differently, but a lack of housing is the fundamental factor. And no real government strategy!

"Borrowing money to invest in housing and infrastructure... is like taking out a loan to invest in new equipment. Very different proposition." I completely agree. Now we just need every news outlet to stop deliberately conflating 'all state debt'='bad' and we might get somewhere...

Not really on topic but I was talking to my brother in a "Let's set the world to rights" type convo tonight, and I raised the idea of what's going to happen in general with people if the current trend of effectively having less and less money each year continues. As in, how long can people keep having 6% less money each year in real terms (for example) until the whole world breaks? Ten years more of declining real terms income could mean people are 30% to 60% worse off - where's the breaking point?

Screw the UK housing market, I'm seeing property overseas that costs 10x less than similar property in the UK, just that post Brexit it's not exactly straight forward to leave the sinking ship.

Suggest renting until the property cycle turns down. Save instead in assets that are relatively cheap. I hit the jobs market in late 80s when property prices were unaffordable, especially in London. I rented a room in a multi-occupied house for a few years, during which house prices fell by 40-50%.

There is lots of shared ownership or 'affordable' flats being built near where I live in Croydon. As it turns out these new build 'affordable' flats (which seem to be quite small and basic) are being valued at ~£420k for a 2 bed property which is probably 6-8 times prices a decade or two ago!

Surely Right to Buy would need to be revoked before Councils resume house building

Until immigration is brought down to managable levels, the housing market (rent and purchase) will continue to be disfunctional. The UK has run a house building deficit for decades and now the chickens have come home and the people that are affected are predominantly young people. The leithvo YT channel covers this for Australia. People talk about immigrating there but they have the same problem

I have tried to think ahead on this one and I think the truly unsolvable puzzle arrives when a generation of renters retires as pensioners are still eligible for housing benefit. At a certain point (maybe 40 years from now) this cost is unsustainable. So even if this is allowed to continue, there is a hard stop there.

I didn't see it in the video. But another difference between 1980 and now it's wage growth. One would take out a big mortgage relative to income but salary would rise making it increasingly affordable over time, that doesn't happen now

We currently build 200k houses per year. The govt would like us to double this. So we either double the workforce to pick up the slack or we get the current workforce to work longer days. Immigration is not helping as this is increasing demand. None of the above would be considered so the problem will continue to exist.

Wealth will trickle down as today’s youngsters likely have property owing parents Those that don’t will find it very difficult The haves and have not divide will grow

the average housprice has always been 3-5x the average household income which is still true as generally only the man used to bring in a income when your grandad bought his home. it can e a bubble but intrest rates, inflation, population growth all plays a part

It’s not just first time buyers. I recently sold my house for £250k giving me over £100k capital, so I’m buying a house the same price as at 4.5% anything over £280k it’s just over leveraged money going to the bank on interest. But it’s costing me £8k to move including agents and then when I remortgage I’ll be paying £200pm more on a £30k less borrowing that when I took the mortgage. And I consider myself so fortunate even though it’s me being screwed. I can’t access my Lisa which could be an option but I’m planning to use that instead of the 25% pension withdrawal to buy a bigger annuity which I’ve calculated will by me 20 years of more money from retirement, if I get to retire of course as that’s getting further and further away.

I have just bought my first home with a 95% ltv and deposit of 7000 (E.Midlands), it is a nice little 2 bed terrace with a decent garden, detached garage, loft conversion, new bathroom and overlooking the countryside. If people are needing to put down a 60k deposit outside of London then there is something seriously wrong, they need to be looking at cheaper properties, there are still some around! 😊

One cannot ignore the fact that the new generations of youth can no longer count on the social conditions in which their parents, the baby boomers, found themselves after graduating from universities: they face either unemployment, or work not in their specialty, or, at best, casualization. Over the past decades, the proletariat has turned into the precariat - an entire class of partially or temporarily working and therefore socially unsettled people, who have neither stable work, nor full employment, nor guaranteed labor rights, nor, in fact, a future, since in such conditions it is impossible to have family planning, or to acquire housing, or to have a secure old age. The Keynesian model alleviated the social tension generated by capitalism through the expansion of social guarantees, while a welfare society ensured employment and social security for the majority. Neoliberalism is not about that. It focuses on production efficiency and profit

We are screwed! Maybe one option would be a quasi equity release from parents main residence (maybe government backed to keep out the shameless profiteers from invading the market). Given that parents residence is outside of inheritance tax, then maybe just maybe a way to access inheritance from those exempt assets could be a route. Wow, there you go, I have just solved the issue (as long as mum and dad have an asset to tap). Great vid again my man.

In 2010 at the age of 30 and 31 we bought our first house with my husband on the outskirts of London (zone 5). 14 years on, the same house is now double the price. We would have no chance now. We bought a second house in 2020 in an affluent rural small town in the East Midlands, we wanted more space, better schools, less crime, fresh air. That house 4 years on increased in valuation by 15%, despite the market downturn and interest rate rises. It’s simply insane and completely unaffordable to buy for young people without help from the parents. Not only that, but renting a place is also out of budget for many young people, let alone saving while renting. On our street, every other house still has the “children” in their late twenties living at home. I’m speechless and angry. It should not be a luxury to move out.

I know the avocado toast thing is stupid but there is some truth in there as well. I know so many people who waste money. People who pay £8 to park everyday to avoid a 10 minute walk, buy lunch out instead of making it, buy expensive coffee every day instead of using the fancy coffee machine for free at work, blow way more than needed on a night out, pay for fancy designer clothes and cars they can’t afford…you get the idea., it’s not one avocado brunch it’s everything that adds up. Still really hard financially at the moment, not saying that’s all because people are no good with money but it certainly doesn’t help.

I thought of something like a cap on how many family homes a landlord could buy, for example if we set a cap of 2 then most of the very rich guys wouldn't be able to buy more houses, However I think buildings such as apartments should remain untouched and shouldn't have a cap since they are basically built for renters anyway and people who want to temporarily stay. I think this solution is a bit extreme but it might help redistribute the wealth and fix the inequality we have right now.

I love that great effort has been put into this video. We appreciate the work you’ve put into this and how informative it is. God bless you and please do continue putting out great contents like this.

I've found this so informative. Having maxed out my Stocks & Shares Isa for the last umpteen years Thrown 60k for years into a SIPP . I've realised that the I need to purchase a buy to let food bank. Which part of Great Britain might you suggest?