The state of Cardiff's housing market as prices grow twice as fast as wages

[LeningradCowboy]

https://www.walesonline.co.uk/news/local-news/housing-market-cardiff-prices-latest-21874326

Housing in Cardiff is in the "middle of a crisis", according to a sombre warning by the city's council.

[Doucas]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

I feel desperately sorry for young people, unless you're lucky enough to get help from your parents it's extremely hard to get on the ladder. I was very lucky that I bought around 8 years ago.

Since the 70s house price increases have increased massively while wages haven't (https://images.app.goo.gl/P1NT2ZDTC8VgKis98)

I think a lot of the older generations don't recognise this and wonder why young people are so angry at the state of the UK.

[SLUDGE FACTORY]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

In this country the idea of home ownership rather than having somewhere to live has been pushed so much that everyone is scurrying around trying to get on the property ladder

In Europe there is less of an emphasis on owning a house and more people rent as rents are reasonable

What have we done since Maggie Thatcher came ?

Sold council houses

Create a free for all in the private rented sector by removing protected rents and forcing so many people to rely not on councils and housing associations for somewhere to live but on private landlords many of whom are raking in the cash

And in order to cope with an increasing population both private and public housing needs to be built in big numbers and quickly .

It ain't happening .

It's a tsunami coming .

[A Quiet Monkfish]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

In this country the idea of home ownership rather than having somewhere to live has been pushed so much that everyone is scurrying around trying to get on the property ladder

In Europe there is less of an emphasis on owning a house and more people rent as rents are reasonable

What have we done since Maggie Thatcher came ?

Sold council houses

Create a free for all in the private rented sector by removing protected rents and forcing so many people to rely not on councils and housing associations for somewhere to live but on private landlords many of whom are raking in the cash

And in order to cope with an increasing population both private and public housing needs to be built in big numbers and quickly .

It ain't happening .

It's a tsunami coming .

The typical rented accommodation provided by the council run Associations is f*cking disgusting. Total wrecks, vermim, damp, you're lucky to get anyone to come out let alone make repairs. Home ownership is still what folk strive for throughout western societies, and house prices aren't coming down with interest rates at 0.5%.

[WJ99mobile]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

It will get to a breaking point. There’s no such thing as exponential growth. The difficulty is seeing where that is

Can really point fingers as the WG government prioritising environment over housing. That’s fine but does have consequences

[Ivortheengine]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

The only reason I wanted to buy my own house, is that because I didn’t want anyone telling me where I could and couldn’t live. The only problem being is that in many years into the future, I won’t get any financial benefit out of it. It will be passed on and split between younger members of the family. It just makes you think about what you’re doing from the day you took out your mortgage.

[A Quiet Monkfish]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

I feel desperately sorry for young people, unless you're lucky enough to get help from your parents it's extremely hard to get on the ladder. I was very lucky that I bought around 8 years ago.

Since the 70s house price increases have increased massively while wages haven't (https://images.app.goo.gl/P1NT2ZDTC8VgKis98)

I think a lot of the older generations don't recognise this and wonder why young people are so angry at the state of the UK.

In the early 90's the missus and I and the kids were delivering yellow pages most evenings to help pay the mortgage. 15%, plus and endowment element. Made up over 50% of our income. No help from family -who couldn't - government. I think a lot of the younger generation don't recognize how lucky they are.

[Doucas]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

[/I]

In the early 90's the missus and I and the kids were delivering yellow pages most evenings to help pay the mortgage. 15%, plus and endowment element. Made up over 50% of our income. No help from family -who couldn't - government. I think a lot of the younger generation don't recognize how lucky they are.

How do you not get this? Many people my age will never get a mortgage or never be able to afford a family. Lucky my arse.

[jon1959]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

'The gap between average income and average housing prices changed between 1985 and 2015 from twice an average salary to up to six times average income.'

https://en.wikipedia.org/wiki/Affordability_of_housing_in_the_United_Kingdom

In some places in the past few years the income to house/flat price ratio has been into double figures.

[SLUDGE FACTORY]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

The typical rented accommodation provided by the council run Associations is f*cking disgusting. Total wrecks, vermim, damp, you're lucky to get anyone to come out let alone make repairs. Home ownership is still what folk strive for throughout western societies, and house prices aren't coming down with interest rates at 0.5%.

The council don't run the housing associations but they do have a say in allocations

[Feedback]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

The two issues are

1. The lack of supply. The state doing everything it can via planning to stifle development and stop new builds.

2. Empty nesters sitting in 3, 4 and 5 bedroom houses that would be better utilised as family homes, freeing up more housing. Its not we don't have enough bedrooms in the UK, we have so many houses with bedrooms not used.

[jon1959]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

The two issues are

1. The unaffordable cost of housing (sale and rent).

2. Disincentives to council house building and land banking by developers (the lack of supply).

[tforturton]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

When I was 26, I bought a flat. The Building society wanted 10% deposit, and would lend three times my salary of £10,000. So, my dad gave me the £3000 deposit, then three times £10,000 meant I could borrow £30,000. I got a place for £30,000.

Try that these days. Even a cheap house in Cardiff is at least £200,000. So you need a £20,000 deposit, then you need to be on £60,000 a year, to qualify for that three times your salary thing. Not very likely at a young age.

[Feedback]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

The two issues are

1. The unaffordable cost of housing (sale and rent).

Agreed. The lack of supply (caused by an archaic and not fit for purpose planning system) is keeping prices artificially high.

2. Disincentives to council house building and land banking by developers (the lack of supply).

Developers cannot build because they cannot get planning. Councils do not build because mass social house building is only required in extraordinary times.

[Heathblue]

Re: The state of Cardiff's housing market as prices grow twice as fast as wages

The only reason I wanted to buy my own house, is that because I didn’t want anyone telling me where I could and couldn’t live. The only problem being is that in many years into the future, I won’t get any financial benefit out of it. It will be passed on and split between younger members of the family. It just makes you think about what you’re doing from the day you took out your mortgage.

I grew up in Ely then Rumney, from the moment I understood my parents were paying someone (the council) to live in the house, was the moment I said to myself I will never ever do that, I've made some poor life decisions along the way, wanting to own my home wasn't one of them.