Millennials in the house - what will entice you to save up for a house?

[AteRiri]

I read that millennials are all about experiences and not accumulating/owning things.

I'm curious...how can you be enticed to save up for a house?

I'm a millennial (I'm 29) and of my peers, a few are home owners, most (including us) are saving up, and a couple seem to think it's impossible.

We have a DS so I guess security/stability for him is the main thing, plus I want to be able to decorate/garden/nt have to wait for the landlord to fix things.

It's got to be a viable option. EG where I live houses are (comparatively) affordable so my colleagues and friends from outside work are all saving up - that also means that the nights out are lower spec, people go on cheap holidays etc - but we're all in that savings boat, so no one is feeling left out.

The next office along, and to some extent amongst my uni friends, house prices are 3x the rate in my home town. People don't save and nights out often involve dinner and cocktails rather than a pint or 3 in the local. Holidays are to places further away - the culture is to spend because what's the point in saving when you could save 20% of your net income for a decade and still barely have a deposit? Rents are double there, that eats up salary too. Even though it pays more to live there, it doesn't pay double!

That's what it looks like to me, but I've bought a house so maybe I've interpreted it wrongly.

Can I ask where you read that?

I'm a millennial, I bought a flat in a very deprived part of town, have spent 5 years renovating it, and was very lucky to be able to buy when I did. There's no chance at all that I would be able to now.

I'm about to move and start renting again until my flat sells - I need the equity to buy. My rent is £220 a month more than my mortgage will be on an equivent - and there is your answer. How do you save for a mortgage when you are providing a profit for a buy to let landlord and the estate agent? And when you have had to put two months cash deposit down to secure the rental in the first place - we are talking over £1000 here.

In a flat share, with two other people, I was able to save £2-300 a month. As a single, child free 30 year old in rental? Earning the national average salary? No chance. It's all going on rent.

Your question is arrogant and patronising. Property prices where I own have gone up 20-30% on a 1 bedroom flat in 5 years. I don't know about you but my salary hasn't gone up that much, so my ability to save hasn't either.

I really hope you're not a DM journalist... In months of reading MN I've rarely seen such a goady thread.

Most of the research data I've seen views people born in the eighties and nineties as millennials too. I don't know anyone born up to 1993 who doesn't own their own house.

If I and my partner were confident than we could live in that house for twenty years and we would have jobs in that area.

There will be a time for putting down roots but it's a couple more steps up the career ladder and it cannot be done alone right now.

I never had any incentive to own a house, until my best friend bought one. I suddenly felt jealous and now I'm thinking about saving.

I would be enticed to own a house if it could happen now, not in the future when I've saved and that stuff.

I'm Gen X & it's never entered my head to buy a house. Never saved, never considered it. I like where I live.

I strongly disagree with this. If anything, I would say that younger people today are very aware that they're not in for any easy ride financially. Yes they value experiences, but not at the expense of long term stability.

I've my own house. Bought it when I was 24 (27 now). Majority of my peers rent or live with parents.

The reason I bought was because I wanted security as I had my kids young. While my childless peers have the mind set 'fuck it, life is depressing, I want to do something fun with my money'. Which I can understand and would probably do the same if I was child free.

Can I ask where you read that?

www.cnbc.com/2016/05/05/millennials-are-prioritizing-experiences-over-stuff.html

www.forbes.com/sites/ashleystahl/2016/11/15/how-millennials-spend-their-money-hint-experiences-trump-possessions/#715f96295cfb

www.google.com.au/search?q=millennials+want+experiences&oq=millennials+experiences+&aqs=chrome.2.69i57j0l5.7138j0j7&sourceid=chrome&ie=UTF-8

I'm 17. Not sure I'll ever afford a house especially where I want to live (West London) but I'm going to go to university to study the subject I feel will get me a job in my chosen career, save up (already am with my Saturday job, minor though it is) and hopefully get a mortgage.

I won't have a gap year either - going to go straight to university as long a I get in, work in all my holidays and hopefully start full time work as soon as I graduate.

My H and I are Millenals (him just about) we are (mortgaged to the hilt) home owners. We begged and borrowed a deposit which we later paid back. A lot of it was the right place at the right time, sensible decisions and living in a 1950s DIY disaster for a good few years but it has paid off.

We stared our family quite early on (by surprise) so I guess that was a major factor too.

I'm not sure how we'd manage to buy now though, house prices have tripled where we live since around 2010 which is just crazy and it would be a massive struggle.

Im Gen X and i live in social housing.

I'm a millennial and I'd love to buy a house. It's hugely important to me because I want security and roots and I'm fed up of being moved around and milked for cash by landlords. But I'm single and my average-ish salary doesn't allow me to get a mortgage for anywhere near what I'd need to buy a flat in the vicinity of my job. I have a deposit but to bridge the gap and save enough to mean a mortgage is lower would take me years. I am trying, really fucking hard.

I think most millennials have to focus on the "experiences" because a.) they cannot afford a reasonable house and mortgage b.) student loans are increasingly ridiculous and more graduate jobs will probably move aboard due to Brexit. I think it will get worse and worse for younger people and I do feel a bit resentful that it has been much easier, in that respect, for older generations.

The cost of a house where I live is about 10 times our income will be when I leave uni in 2 years and will probably have risen by then. A deposit would take about 10 years to save.

I think being a millennial is hard. It's like you're not a child/teen anymore but you don't quite feel like a 'proper' adult. Graduate jobs are difficult to find, mortgages take a lot of time and sacrifices to save up for (unless you've inheritance). Plus there is a overwhelming sense of not knowing where you fit in with society, due to what previous generations could accompilish in their twenties is so far out of reach for people nowadays.

I'm an old millennial/ young generation whatever it is. Through a generous gift through both our families, we had a deposit of £20,000. New affordability rules, a lowish income and self employment meant the max a lender would have offered us was £90k. We took a mortgage of £76k. We got a good deal. £20k is more than I earn in a year. I still owe £16k in student loan debt. I am only just starting to save for a pension.

We paid back consumer debt of £3k in a 18 months. At that rate, it would have taken us around 10 years to save a deposit by which time I would have been 45.

What would it take to save?

Sod off.

Everyone I know is saving to buy a house, I'm 20 btw. I think houses are so expensive that it would take me years to get a deposit together, it feels like you're saving for nothing honestly.

I'm a millenial (born 1987) and I'm pretty fortunate to live in council housing - albeit not lucky in the circumstances that led to it (DV relationship and disability). My flat is worth £500k (a 2 bed flat without a garden, but in central London so v expensive area) and my income is average (£26k) so there's no chance of owning it even with the £100k+ discount. I grew up in London but most of my school friends have moved away, except those who were lucky to get social housing/shared ownership in the area. It's not unusual for people my age to still be in flatshares with rents 3x mine for just a room and shared kitchen/bathroom. Some of them can be quite bitchy about the flat I have but obviously they could have put themselves in the circumstances I had to get the higher points for social housing but they didn't.

So you've linked to two American articles, one of which outlines several of the articles above, and one generic Google search which proves absolutely nothing, while refusing to acknowledge the perfectly reasonable points people have put across above? I'm sorry but anyone can do a Google search to conveniently back up their opinions. It doesn't mean you've taken the time to read the articles.

one generic Google search which proves absolutely nothing, while refusing to acknowledge the perfectly reasonable points people have put across above?

Relax, I was just answering your question about where I read this.

JustKeepDancing

Can I ask where you read that?

Really goady thread, ffs leave the younger generation alone. They get so much shit chucked at them, and they don't deserve it.

You want to know what an incentive is? Affordable house prices and I don't mean a percentage lower than then market value I mean in relation to average salaries. How about cutting tuition fees so young people can graduate without a mountain of debt round theirs necks, how about encouraging vocational study instead of focusing on degrees. Seriously why does a junior administrator need a degree?! Don't even get me started on what they've done to nursing degrees , they will have to pay tuition fees whilst never being able to pay back the loan so will pay the interest for their whole careers. What hope have they got of getting on the ladder and we actually need nurses!

Average house prices in London is over £500k, that requires a deposit of £120k and a household income of £100k per year for the mortgage. Yes there will cheaper places but that is the average. The average salary is 35k in London, an average couple won't be able to afford an average house. Rents have fallen in the last year but they're still bloody expensive so to save for a deposit is hard.

Millennials are very aware of how screwed up the housing system, even the government has admitted its broken in their white paper. So if a millennial decides to enjoy their lives instead of worrying about the greed of the previous generations and how it's made it difficult for them to get on the housing ladder good luck to them!