Quote:
Originally Posted by Maggy J
Not all of us.I've only ever owned one home.It's the one I finished paying the mortgage on after 35 years.The one I presently live in.I was therefore able to afford to pay the mortgage even when interest rates shot up to 17% because I did not spend my time upgrading to a larger and bigger house and mortgage like so many of my peers who forgot that one's home should never be regarded as an investment.Many people across the years got trapped in negative equity because they forgot that rule.As it was getting the deposit together in the 70s was extremely hard on us.No holidays abroad and no gratuitous gadget buying and mostly second hand furniture in my home.
I reckon that suggesting that the high price being paid for by first time buyers is down to every past home owner in the last 30+ years is a bit of a sweeping statement.
Blame those who are property developers for the ridiculous rise in property prices and the bankers for not being circumspect in loaning out mortgages in the past to those who just couldn't repay them when interest rates soared because they over extended their resources to obtain a mortgage in the first place.
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Yeah we sure 'lucked out' with those double digit mortgage interest rates didn't we eh?
Ironically it's often parents with homes and therefore assets who are helping their children to get mortgages by downsizing for example so it's not all bad news.
Now anyone who's managed to save a few quid by, for example, not having new cars, foreign holidays etc. etc. is being penalised with pathetic savings rates. What are people supposed to do to provide for their retirements if savings and property yield less?