> Successive Conservative governments have failed to deliver a single new “starter home” despite promising to build 200,000 by 2020, Whitehall’s spending watchdog has found.
> The government is set to miss its housebuilding target by almost a decade after failing to invest in social housing, a new analysis has warned. Boris Johnson has promised to increase housebuilding to 300,000 a year by the mid-2020s in a bid to tackle Britain’s housing shortage.
> Social housing was not built under the Conservative-led coalition because of fears it would ‘create Labour voters’, according to Nick Clegg
But the country keeps voting in a Conservative government, so we are where we are.
Investment firms and banks are looking at this and licking their lips though. If people cannot keep up with payments then they will swoop in to buy up property and rent it out to people for extortionate amounts. Any changes seen in the housing market are not going to benefit first-time buyers, they will only benefit cash buyers who will hoover up any stock they can.
But the top minds of /r/unitedkingdom told me that I’d be able to buy a cheap 4 bed in London thanks to people being unable to afford their mortgages.
You sound like there was much hope in the first place…..
Most young people I know actually have more hope, as there is a (small) chance of a housing price collapse.
Old news to me I gave up years ago and used what would have been my deposit to goo travelling
How l wish today’s younger people had yesteryears opportunities to save and own their dream homes.l not saying it was a walk in the park and l had my fair share of personal setbacks but a better time l believe.lt truly breaks my heart now l am in God’s waiting room to see how bad everything has become.Poor government decisions, complacency by a very compliant population,greed and power grabs have helped to put the youngsters in this insidious and hopeless position.When l go l hope my ‘ bit’ goes to help a few, unfortunately l can’t help the many.There is still a small window of opportunity to turn things around but the shutters are being prepared to come down.
So we just managed to buy our first home in August on a 5 year fix at 2.99%, hoping we get to ride out this madness. Didn’t buy the home as an investment though so even if it is worth less after 5 years, then it’s still somewhere we can live in. Mortgage payments for 5 years fixed at roughly the same cost as our rent (though I’ve probably spent another £2k in the last month sorting out maintenance things, just homeowner stuff.)
Because first time buyers hopes were so high before
Just imagine the impact on the economy of the UK if UK nationals are paying hundreds of millions in rent to foreigners instead saving and spending locally, massive cash outflow of the UK, further weakening our economy in addition to a reduction in the supply of homes.
There is a balance between interest rates and house cost. Much of the rise in house prices is down to low interest rates.
As rates rise houses become more unaffordable and prices fall. Landlords will try to pass this on but in most cases new landlords with a high btl mortgage are in for a struggle. Hopes are not destroyed. There may be some postponement of a move but as prices adjust, the money saved for a deposit gives a better ltv ratio. We couldn’t continue finding more and more ways to prop up an increasingly high salary to house price.
social housing can be built but also as landlords fail, local authorities can buy up to spread social housing throughout areas rather than a single block.
The way things stand it costs circa £500 a month just to offset the monthly house price increases, forget actually looking at upsizing.
Housing is an investment vehicle first and foremost, and has been for some time, thanks to the Tories.
And people in this subreddit thought house prices were going to drop, enabling them to pick up cheap house prices lol.
Here’s another nugget for you geniuses, irrespective of supply this has all happened because the Bank of England has kept interest rates ridiculously low, creating a false economy where house prices never would have inflated so much in the first place. You can thank Labour as much as the Tories for that one.
Not only have any hopes of owning a house gone but the potential to even rent somewhere by myself has been reduced dramatically
14 comments
The Conservatives [chose not to build ](https://www.theguardian.com/society/2019/nov/05/tories-broke-pledge-on-starter-homes-in-2015-manifesto-report-saysl)enough houses right from the word go in 2010.
> Successive Conservative governments have failed to deliver a single new “starter home” despite promising to build 200,000 by 2020, Whitehall’s spending watchdog has found.
Boris carried on in the [same vein](https://www.independent.co.uk/news/uk/politics/government-housing-target-300000-b1784575.html)
> The government is set to miss its housebuilding target by almost a decade after failing to invest in social housing, a new analysis has warned. Boris Johnson has promised to increase housebuilding to 300,000 a year by the mid-2020s in a bid to tackle Britain’s housing shortage.
Edit: This wasn’t an omission, or due to focus on other priorities – rather, the conservative party decided it was better to [let millions live in precarious rentals](https://metro.co.uk/2017/06/17/tories-did-not-build-new-social-housing-over-fears-it-would-create-labour-voters-says-nick-clegg-6715800/) and to turbocharge house prices, rather than build social housing and risk anyone voting Labour,
> Social housing was not built under the Conservative-led coalition because of fears it would ‘create Labour voters’, according to Nick Clegg
But the country keeps voting in a Conservative government, so we are where we are.
Investment firms and banks are looking at this and licking their lips though. If people cannot keep up with payments then they will swoop in to buy up property and rent it out to people for extortionate amounts. Any changes seen in the housing market are not going to benefit first-time buyers, they will only benefit cash buyers who will hoover up any stock they can.
But the top minds of /r/unitedkingdom told me that I’d be able to buy a cheap 4 bed in London thanks to people being unable to afford their mortgages.
You sound like there was much hope in the first place…..
Most young people I know actually have more hope, as there is a (small) chance of a housing price collapse.
Old news to me I gave up years ago and used what would have been my deposit to goo travelling
How l wish today’s younger people had yesteryears opportunities to save and own their dream homes.l not saying it was a walk in the park and l had my fair share of personal setbacks but a better time l believe.lt truly breaks my heart now l am in God’s waiting room to see how bad everything has become.Poor government decisions, complacency by a very compliant population,greed and power grabs have helped to put the youngsters in this insidious and hopeless position.When l go l hope my ‘ bit’ goes to help a few, unfortunately l can’t help the many.There is still a small window of opportunity to turn things around but the shutters are being prepared to come down.
So we just managed to buy our first home in August on a 5 year fix at 2.99%, hoping we get to ride out this madness. Didn’t buy the home as an investment though so even if it is worth less after 5 years, then it’s still somewhere we can live in. Mortgage payments for 5 years fixed at roughly the same cost as our rent (though I’ve probably spent another £2k in the last month sorting out maintenance things, just homeowner stuff.)
Because first time buyers hopes were so high before
Let’s not forget that in addition to not enough homes being built, the depreciation of the sterling has been a discount on UK housing for foreign investors, so more and more housing bought up by Chinese, Russian, Arab, and other countries. [This article comes to mind](https://www.propertyweek.com/news/chinese-and-hong-kong-investors-purchase-875bn-of-homes-in-liverpool-over-five-years/5121190.article) which states almost £9bn of housing in Liverpool was bought up by Chinese investors.
Just imagine the impact on the economy of the UK if UK nationals are paying hundreds of millions in rent to foreigners instead saving and spending locally, massive cash outflow of the UK, further weakening our economy in addition to a reduction in the supply of homes.
There is a balance between interest rates and house cost. Much of the rise in house prices is down to low interest rates.
As rates rise houses become more unaffordable and prices fall. Landlords will try to pass this on but in most cases new landlords with a high btl mortgage are in for a struggle. Hopes are not destroyed. There may be some postponement of a move but as prices adjust, the money saved for a deposit gives a better ltv ratio. We couldn’t continue finding more and more ways to prop up an increasingly high salary to house price.
social housing can be built but also as landlords fail, local authorities can buy up to spread social housing throughout areas rather than a single block.
The way things stand it costs circa £500 a month just to offset the monthly house price increases, forget actually looking at upsizing.
Housing is an investment vehicle first and foremost, and has been for some time, thanks to the Tories.
And people in this subreddit thought house prices were going to drop, enabling them to pick up cheap house prices lol.
Here’s another nugget for you geniuses, irrespective of supply this has all happened because the Bank of England has kept interest rates ridiculously low, creating a false economy where house prices never would have inflated so much in the first place. You can thank Labour as much as the Tories for that one.
Not only have any hopes of owning a house gone but the potential to even rent somewhere by myself has been reduced dramatically
Read [this article](https://medium.com/buyinghomeswithothers/the-ultimate-list-of-options-for-first-time-buyers-in-the-uk-in-2022-3cb7089cb0e7), which I thought was a helpful list of all the options out there for FTBs – but then it really just made me think they’re all just tinkering around the edges. Something massive and structural needs to change. Is it only mass social housing delivery that will do it? What is the correction we need here?!