Citizens Inheritance - Good idea?

[Ghandi's Flip Flops]

A big problem was caused/started by Gordon Brown and his raid of the private pension schemes a few years back. He turned probably one of best private pension set-ups going into being a waste of time.
I was working as an contractor/freelancer at the time, and literally overnight the blokes i was working with stopped sticking any spare money they had into private pensions and instead started buying property to rent out as it was deemed a better investment for their retirement.
They started hoovering up all the properties that first time buyers would likely buy and then sticking them on the rental market.
This caused a shortage and also a rise in prices at the lower end of the market, and the flip side of this was someone i know at that time, who was trying to buy their first home, got gazumped 3 times by BTL landlords.

I can only see the housing problem being solved if there is a sustained effort to build more affordable houses for first time buyers /council controlled rentals, better rent/lease control in the rental market, whilst also some encouragement for those with spare finances to invest elsewhere other than in property/housing.

 

[blueonblue]

Build affordable, quality housing, run by, and with rents set, by local government. Don't allow people to buy them. Market pressure will bring down extortionate rents in the private sector and reduce the over inflated house prices in this country. People can then realistically aspire to saving for a deposit on their own home.

But just how many council tennents in the last forty years saved a deposit and handed back the council house ?, what happened in reality was the family treated it as a privately owned house when the number occupying it fell below the social need, the attempt to redress this was branded a "Tax" on the poor rather than the withdrawal of the subsidy that supports social housing.
One solution is make rental terms say 5 years and dependent on the social needs at that time to renew, I`m sure there are other ways, but again the reality will be people will be portrayed as victims for political point scoring.


As for giving government handouts , f*ck right off, if you dont work for what you have then you have no appreciation of its value.

 

[The Light Was Yellow Sir]

Better idea would be a universal income payment.

This is exactly what we should do. For two reasons mainly, firstly that it is a good idea and secondly because people would be up in arms about it, especially the press.

 

[Blue Mist]

I'm 60, as a kid my parents couldn't afford "pop" and coffee was off everybodys books. My first car was 12/13 years old. My first house was only after I had saved with a building society for 3 years to prove I could repay the mortgage, oh and I still had to find 10% of the asking price. I worked damn hard for everything I now have.
Now every kid drinks coca cola as a right, Starbucks is making millions. A first car is brand new bought on lease finance and a new home is expected and the government to blame for them not getting one. The 10k they will get will be blown on a wedding in the bahamas.

What a stupid idea.

 

[Franny 1234]

What if you support a different football team.
Not everybody is a citizen.
Although its good to look after our own.
C.T.I.D

 

[SiMCFC]

Moved out at 17, served my time on 90 quid a week. Rented a shitty little bed sit with my girlfriend, we went out on a date night once a month to keep things exciting. After serving my time I got a full time contract, we decided to buy a house, rented for another year and at 22 decided we were wasting money by renting. Moved in with the in-laws for 2 years and lived in a box room pretty much, made the decision to save every penny we could, working overtine when available whilst still allowing for an odd night out once a month, 3 years ago we bought a house with a 30k deposit. No hand outs, we had to pay stamp duty as we were just about 125k.

Pretty much everyone I know could buy a house if they really wanted to and have their priorities right, mates of mine are on 4x what I earn and live at home with parents still, have lovely cars, go out 3/4 times a week and multiple holidays a year but never have any money and blame the Tory government on a daily basis, the only people to blame are themselves who have no will power to actually save up.

 

[Fred_Quimby]

Ludicrous idea. I am 69 and it Took me 5 years of hard saving to find the deposit for my house, not going out, cheapest food I could find, travelled by bike to work and so on. Really peed of with the idea that people want to give £10000 to others to help them get a house (or piss it up against the wall).

Build affordable, quality housing, run by, and with rents set, by local government. Don't allow people to buy them. Market pressure will bring down extortionate rents in the private sector and reduce the over inflated house prices in this country. People can then realistically aspire to saving for a deposit on their own home.

It's as simple as that but nobody wants to do it because too many rich people will be a bit less rich and MPs like the dividends they get from all the house builders.

This is by far the better idea. Or an even better idea is for the rich to give it to them.

 

[Bert Trautmanns Helemet]

I think they are forgetting one thing...

People of the previous generations, like my parents, saved like buggery to get a deposit on their first house. Nearly everyone did this. Nowadays most youth spend it on shit trousers that show off their arse cracks and drugs.

Flippancy aside, promoting a saving economy rather than just handing out 10k for a deposit, will help them out in the long run. Or be more like the rest of the world, rent. If any of our governments actually sorted out the landlord/ rental situation then renting would be a viable solution. A long term rental is usually suitable for both parties. The trouble is when a landlord keeps jacking the price up, can kick people out at a moments notice, can provide squalid living conditions without fear of penalty renting is not viable.

Dead against a 10k handout. It will provide the lazy with another excuse not to do fuck all safe in the knowledge that a deposit is ready and waiting for them.

Nail. Head. Hit.

 

[I'm With Stupid]

Agree with this, I bought my first house a few years ago at 26 and at the time was only earning about £20k. I think the difference is I worked whilst living at home to save up. It was tough and we gave up stuff but it is doable if you plan.

You don't even need £10k nowadays, help to buy is 5% and for a couple that is only £5k each and that gets you a £200k house..... Mortgage repayments are far less than renting so anyone saying they cannot afford the repayments probably can't afford to rent either.

Do I still get the money given I have worked since 16 and have a house, obviously though if I get it I will just get a refund of the money I have already paid in tax....

I think the issue is more the sort of jobs people often have nowadays. When my parents bought their first house, they both effectively had jobs for life in the area. It was a fairly safe bet. That's getting less common. People have to be flexible to move around more nowadays, perhaps not somewhere like Manchester, but in smaller towns. When my parents bought their first house, they were both basically guaranteed jobs for life in their local area. And while there's still some of that, there's also the explosion in part-time, zero hours and casual work, which even if you actually have enough money, isn't exactly conducive to exposing yourself to a massive loan. There's also a huge increase in people living alone for longer, which means that people are often trying to get on the property ladder by themselves, which by definition, makes it twice as hard. But yeah, I agree in general. If you can't save £5k in 3 years while living at home with your parents, you're doing something wrong. And for people with no intention of moving out of their local area, repaying a mortgage is far preferable to paying rent. I do feel sorry for people in London though, and there is a risk (and it seems to already be happening) that people being priced out of London will drive up prices in the other big cities.

Just out of interest, as someone who doesn't have a mortgage (I move around a lot), do you have to be able to demonstrate sufficient earnings to the banks in order to be granted one?

 

[stonerblue]

Bought my first house when the credit bubble blew up and banks were falling over each other to get us in their clutches. Saw a house, went into estate agents and gave them fifty quid deposit then got my boss to do some wage slips and bingo, banks offered me 3 1/2 times my 'wage'. House cost £12,750.