4 ms·
More importantly, mortgage payments have gone from 1/3 of income to 1/2. That's reaching unsustainable levels.
by AndrewDucker 4y ago
More importantly, mortgage payments have gone from 1/3 of income to 1/2. That's reaching unsustainable levels.
- dijit 4y agoThat's not normal? I paid half my income to rent when living in London 10 years ago, and prices have only gone up since then.
- dazc 4y agoI lived up North 10 years ago and my rent for a 2 bedroom house was £320 a month. It wasn't in bad area either.
- philjohn 4y agoUntil 9 years ago I was living in a 3 bed semi detached within commuting distance of Birmingham, near a trainline, monthly season ticket was £90 - mortgage was around £400 a month - interestingly, houses there are still relatively affordable.
- dijit 4y agoCoventry is/was that cheap, the downside is you’re extremely likely not to make it home from the train station. Hardly a reasonable trade off.
- philjohn 4y agoIn what way were you not likely to make it home? This was a place in South Staffordshire, on the chase line.
- dijit 4y agoit is an extremely violent and dangerous place, and not reflected in crime statistics due to peoples distrust of the police and general motivation to "not be a dirty grass". I hear it's getting better with the students these days, but, as mentioned, it's quite dangerous to be any amount of affluent in Coventry. It's actually hard to convey how frightening it can be, to randomly be targeted while walking through the streets.. I'm having a mild panic just thinking about it.
- philjohn 4y agoHuh - I'm not a million miles away from Cov (Rugby) and never felt particularly unsafe there, then again, I've only been there at night a couple of times.
- zimpenfish 4y agoSimilar - 20 years ago in Newcastle, 3 bed terraced, rented for ~£330 a month, pretty good suburb.
- bombcar 4y agoFor a long time a "rule of thumb" was 33% of income dedicated to housing + debts (usually based on underwriting rules, the bank wanted to see that your home loan payment + any other loan payments would be under 33% of your gross).
- HPsquared 4y agoThat depends on income though, surely. If someone is on $1M a year, even 90% going to rent would be quite sustainable if the other living expenses are affordable. On the other hand if someone's on $10k a year they'd still live poorly even if rent was free.
- bombcar 4y agoWhat’s sustainable for the bank and for you are different. The banks used 33% as a hard limit and recommended much less toward housing - but now that 33% has become “this is what you should spend”.
- Handytinge 4y agoI think the difference here is you're saying London, not the UK. I would imagine averaged across the UK, that isn't accurate.