Long term Renting? What do you intend to do in the future?

[Mrspitt3]

I'm horrified at some of my friends that have been renting for 20+ years and are in their 40s, and most don't Paul into a pension. I'm mid 40s and got on the property ladder when I was 20 and had a partner (I know prices have changed and I was working didn't have uni fees etc, but had no help from parents). I'm curious to know how long term renters intend to keep a roof over their head when they can no longer work due to age??

[Mrspitt3]

Pay into a pension*

[Ecureuil]

Maybe they have no idea how they’re going to keep a roof over their heads, are very worried about it and you being ‘horrified’ doesn’t really help?
Maybe they can’t afford to get on the property ladder or put money into their pensions?
Most people in that situation aren’t choosing to be, it’s their only option.

[donajimena]

I don't know. I'm shitting myself to be honest. I'm retraining to get a decent job. I doubt I'll retire health willing.

[donajimena]

But don't be horrified judgy on my behalf

[EnglishGirlApproximately]

No idea to be honest. I also gitvin the 'property ladder' in my twenties but xh screwed me over financially, got us in loads if arrears etc., By the time I'd got my finances back on track house prices had shot up and much higher deposits needed so I'm stuck renting, and I'll never be able to buy.
My and dp are fortunate to have a decent income so we can pay into pensions but they won't pay out enough so we have no idea how we'll live.

[Mrspitt3]

The horrified part is due to me thinking about my friends that have always earned more than me, When I've asked them about this in the past they just don't seemed concerned or have a long term plan for the future, I accept it's not easy getting on the property ladder these days, but it's not impossible. I have read articles how young couples are saving and some shared ownership schemes are helping.

[Mrspitt3]

To be clear I'm not judging anyone, I'm just asking how long term renters are planning housing in older age. I think my previous mesg explains better the horrified bit better, I have no intention of offending anyone and sorry if that is how it spunded

[Bluntness100]

I’m curious about this too and how it works. Is there a certain amount of housing benefit provided for people to help pay for the rent into retirement? It can’t be that unusual for people to be life long renters and as you don’t see pensioners sleeping on the streets, there must be some help available?

[Bluntness100]

Yes, it seems if you are a pensioner on low income you can get a certain amount of housing benefit to help with the rent.

[LittleWitch]

You are judging. This may come as a shock, but there are plenty of people who live for the day, and you know what, that’s ok. It is absolutely ok for people to live their lives differently and from a different philosophical standpoint to you.

I got on the property ladder in my very early twenties, moved a couple of times, got divorced, remarried, bought another house, moved with DH’s job. That job came with a house so we sold ours. Job didn’t work out so we left. Moved into a rental in order to get near a decent school and stayed there for 12 years. Yes, rented for 12 years. We could have bought a house but couldn’t be bothered. A year ago we bought a house. We’re in our 50s now, will have to work until we die as we have a mortgage, no savings of any real amount (about £30k) and my pension is worth about £1500 p.a.

Judge away. We played the hands we were dealt.

[Jenala]

What percentage of your annual salary did you need for a deposit when you bought your first property?

I need a years salary to get 10% deposit for a modest house in my area. And I'm not on NMW or anything. Saving is very hard when you pay out over a third of your income each month in rent and council tax before bills.

Many young people who save and buy early, if you read the stories under the headlines you find they generally live at home with their parents while working full time and saving. They can say they did it themselves that way, but that would be the equivalent of our parents giving us £100s every month as we wouldn't have to pay rent. So not that independent.

I moved out at 17 and couldn't have moved back if I wanted to as there is no bedroom or space for me. It's all well and good to be horrified if you can't see reasons why people end up stuck unable to save thousands and thousands.

All your posts have a tone of you can't believe no one is planning ahead but I'm certain these people are very aware of their precarious financial futures.

[Mrspitt3]

Bluntness I think a lot of long term renters think there will be some help in the future but I'm not so sure there will be. Some have said to me they are relying on inheritance but the worry is this isn't always guaranteed and some parents re marry and don't end up leaving houses to their children or houses have to be sold to pay for nursing homes etc

[Ecureuil]

How much are they realistically able to save while paying rent/utilities/living costs?
We have just bought our first property in our 30’s. High income, but it has taken us a lot of years (and some help from parents) to get a deposit together as we were spending so much on rent (£1200 a month for a damp 2 bed terrace). It’s not as easy as you think.

[Bluntness100]

Little witch, you couldn’t be “ bothered” buying a house so rented for twelve years instead and now have to work till you die?

Mrspitt, I think there has to be help, it might not be much, and the accommodation standard not great, or not where they wish to be, it may be social housing, but I don’t think we can have homeless pensioners, as a society we have always provided for people who cannot house themselves.

[EnglishGirlApproximately]

Have you actually looked into shared ownership? You still need a decent deposit for shared ownership. In the case of the vast majority of renters I know it's raising the deposit that's the issue, not paying a mortgage.

[Mrspitt3]

I don't recall my wage many years ago, but 6 months after getting a mortgage I lost my job and had to get two part time jobs quickly as my partner was in the forces and had to pay for barracks out of our income too. So it was like we had two mortgages at the time. We didn't have a holiday or go out very much and it was only a one bedroom very small house. I remember our deposit was about 3k and was in the very early 90s, my wage was about 5k a year I think

[Dothedodah]

Your post is judgmental and you come across as rather high and mighty.

There are hundreds of reasons why people rent and no one needs to explain themselves to you.

[CamberGirl]

I have never been able to save to buy a house or pay into a pension. Years of crappy NMW jobs will do that. My Mum is in a council house so no inheritance there.
I am shit scared about the future. We live payday to payday.

[HotelEuphoria]

I don't think you are judgey OP. I also wonder, I wonder about the friends of my DC with their leased BMW1 and their acrylic nails and RL polo shirts who say they will never get on the property ladder and ain't life unfair.

We drove a rusting fiat panda, never went out and didn't have carpets for five years.

I am not talking about expensive parts of the country or people genuinely trapped on low incomes or single parents etc but so many people I know (my own age too) have chosen a life of nice holidays, clothes and cars over future security.
Agents

[VioletCharlotte]

I'm a long term renter through no fault of my own. I left an abusive relationship 15 years ago. Ex refused to pay mortgage so our property neatly got repossessed, consequently my credit rating is screwed.

I earn a good salary but the rent is high and I have 2 children to support so there's nothing left to save for a deposit.

I imagine lots of long term renters situations are similar.

I do pay into a pension though.

[HotelEuphoria]

No idea where Agents came from.

[Mrspitt3]

My post was asking about people in their 40s, I understand those in their 20s it's very difficult. My hairdresser is early 20s and we've had numerous conversations about how long it's taken her and partner to save and just moved in their first home. Just to be clear about my situation, I've only been on holidays outside the uk a handful of times so to Europe, never had a new car or sofa always scond hand and had to pay out ex husband his share of the house 5 years ago. I have gone without and had to really budget supermarket shop etc and have a teenager at home. Again I will say my post wasn't intended as judgemental and apologise if it comes across that way. It was a question about the future that's all!!

[EnglishGirlApproximately]

Yep, saving on those acrylic nails will definitely free up enough for a deposit! Renters arebtbevebly split between nmw earners, single parents etc and people blowing thousands on cars and holidays. Many of us are decent earners who's disposable income is used on childcare, rent and commuting costs leaving little left to save. If I hadn't spent over £25l on childcare I'm the last few years I'd have had a deposit but you can't really leave a baby alone.

I'm sure someone will be along in a minute to tell me I shouldn't have had a child unless I had bought a house.

[Mrspitt3]

Violet and some others situations I really feel for and totally understand how a change in unexpected circumstances impacts on financial situations right there and into the future x