How can someone in their 30s afford a house - PLEASE READ MOD WARNING IN OP

[Deleted User] · 13-02-2019 12:55pm

Many folk on single incomes are trying to future proof themselves by only looking at houses too. Makes it tougher for them as well.
There are some very decent apartment complexes about.

eviltwin · 13-02-2019 12:57pm

Making sacrifices to save for a deposit is not a new concept, it's always been that way. Most people I know who bought houses under 35 spent most of their 20's saving, we still lived our lives but modestly. That's how it has to be for most of us, we don't have rich parents or lotto wins to fall back on and we earn an average wage.

I had a two hour commute when I bought my house for nearly ten years, I had to buy where I could afford which was far away from work and my social circle....thats just how it is.

Captain Chaos · 13-02-2019 12:57pm

GreeBo wrote: »

So your point is that its hard to buy a nice house in nice areas with a low, single income?

Is there a time when this wasn't the case?

During the boom when the banks were throwing money at people, buying wasn't a problem.

People borrowing beyond their means was however.

Now the banks won't even let most people borrow within their means.
I can't afford rent but I could afford the mortgage repayments but the banks won't grant me a loan. Current mortgage repayments are under half the rent amounts of where I'm looking.

Any further out the costs are offset against increased travel costs, can't win.

[Deleted User] · 13-02-2019 12:59pm

Captain Chaos wrote: »

...............Current mortgage repayments are under half the rent amounts of where I'm looking..........

Where's that, if you don't mind my query

Eric Cartman · 13-02-2019 1:02pm

GreeBo wrote: »

So your point is that its hard to buy a nice house in nice areas with a low, single income?

Well spank my ass and call me Judy!:eek:
Have you told anyone of your ground-breaking discovery?

Is there a time when this wasn't the case?

Not even a low single income, the market is distorted as a single earner on a 50-70k income who needs to be in dublin for work is completely priced out of it.

More affordable housing needs to be built.

GreeBo · 13-02-2019 1:07pm

Captain Chaos wrote: »

During the boom when the banks were throwing money at people, buying wasn't a problem.

People borrowing beyond their means was however.

Now the banks won't even let most people borrow within their means.
I can't afford rent but I could afford the mortgage repayments but the banks won't grant me a loan. Current mortgage repayments are under half the rent amounts of where I'm looking.

Which can all be summarised as "people couldnt afford to live in dublin back then either, but they bought houses they couldnt afford on the never never"

Closing this gap is not causing a "dysfunctional" market. I've already said its the people that are dysfunctional, not the market.

I have a 5 bed house with a family of 7. Everyone wants to sleep in the master with the ensuite.
Its ridiculous, this house doenst work, its too small, its totally dysfunctional!

Captain Chaos wrote: »

Any further out the costs are offset against increased travel costs, can't win.

Because people have failed to join the dots of "why am I working in Dublin if I dont live in Dublin?"

You probably would never consider working in Longford and living in Dublin, so why would you do the opposite and make that the markets fault?!

Amirani · 13-02-2019 1:08pm

Eric Cartman wrote: »

Not even a low single income, the market is distorted as a single earner on a 50-70k income who needs to be in dublin for work is completely priced out of it.

Priced out of buying a house. Single people on those salaries are by no means priced out of buying an apartment, which is a much more appropriate use of resources for a single person.

Bigmac1euro · 13-02-2019 1:08pm

Pussyhands wrote: »

Sure everyone must have been living like kings so the way you make it sound?

30 year mortgage and only 1.5 the salary. Only 1 earner in the house. What a great life they had.

I wasn't born in the 80's but everything I've read says to me it was a depressing time in Irelands history and the early 90's couldn't have been that much better.

If you're dad was making 40k pounds back in 1990, then that is a massive amount of money. Certainly not the norm. I know plenty of people who lived with their parents all their lives, raising families with them..

Hahahaha! Yeah everyone lived like kings as I clearly stated in my post..... NOT

1 parent working and 1 parent taking care of the children giving the kids a better childhood not stuck in a crèche all day with strangers because people can not AFFORD to stay at home with kids because of rent/mortgage repayments.

Obviously the 80s was a tough time but our suicide rate has doubled since then so you might want to check your facts.

Everyone knows people that have lived with their parents all their lives so that has no bearing on this conversation.

Sleepy · 13-02-2019 1:09pm

One just down the road from me in North County Dublin, a five minute walk from a train that gets to Connolly Station in half an hour / is 30 minutes to Blanchardstown on the M1/M50 that could be afforded on a 60k salary.

https://www.daft.ie/dublin/apartments-for-sale/donabate/30-ballisk-court-donabate-dublin-2012495/

Claw Hammer · 13-02-2019 1:09pm

bigpink wrote: »

Many people do that doesn’t make them eejits

It doesn't make them eejits because they are already eejits when they accept such a job offer.

GreeBo · 13-02-2019 1:11pm

Eric Cartman wrote: »

Not even a low single income, the market is distorted as a single earner on a 50-70k income who needs to be in dublin for work is completely priced out of it.

"needs" is the key word there.
"Decided" is the correct word.

Don't work or live in Dublin if you can't afford to. Super simple stuff.

50-70k isn't a big wage in Dublin, yunno why? Because it costs a lot more than that to live in Dublin. Again, super simple stuff.

Eric Cartman wrote: »

More affordable housing needs to be built.

Needs to be built in Dublin you reckon?
Why exactly? Because you want to live there but can't afford to.

I work in New York but live in Cork. I cant afford to buy in New York and I cant afford the travel costs. Your argument is rather than me find a job near to where I can afford to live, that New York should build me somewhere cheap to live?

Its madness.

Sleepy · 13-02-2019 1:11pm

Bigmac1euro wrote: »

1 parent working and 1 parent taking care of the children giving the kids a better childhood not stuck in a crèche all day with strangers because people can not AFFORD to stay at home with kids because of rent/mortgage repayments.

Not always true either. I know many families where one of the parents can't afford to work because Childcare costs would have them working for nothing (or making a loss!)

GreeBo · 13-02-2019 1:13pm

Bigmac1euro wrote: »

because people can not AFFORD to stay at home with kids because of rent/mortgage repayments.

ARGH!
its because people are choosing to live and work somewhere they cannot afford and for some unfathomable reason think this is a problem for someone else to solve.

victor8600 · 13-02-2019 1:14pm

Eric Cartman wrote: »

Not even a low single income, the market is distorted as a single earner on a 50-70k income who needs to be in dublin for work is completely priced out of it.

More affordable housing needs to be built.

60K * 3.5 = 210K, this should be a price for a two bed apartment in Dublin. And it seems that it is possible to find apartments in this range on daft.ie. It would be nice for a single person to afford a 4 bed semi-d inside M50, but probably it is not very reasonable to expect unless your salary is way above the average.

upinsmoke · 13-02-2019 1:16pm

If people can't save a 10% mortgage then you cant afford to buy a house. Its that simple.

It shows your not earning enough or dont have the competencies to save money and sacrifice for something you want.

If your in Dublin then look at getting a job in another county or move abroad. You dont get things handed to you.

f@steddie · 13-02-2019 1:17pm

Bigmac1euro wrote: »

1 parent working and 1 parent taking care of the children giving the kids a better childhood not stuck in a crèche all day with strangers because people can not AFFORD to stay at home with kids because of rent/mortgage repayments.

Plenty of people are doing just this. Some have cut their cloth to suit their circumstances, others are higher earners.

f@steddie · 13-02-2019 1:23pm

Eric Cartman wrote: »

Not even a low single income, the market is distorted as a single earner on a 50-70k income who needs to be in dublin for work is completely priced out of it.

More affordable housing needs to be built.

Affordable housing for those on 70k? Maybe a reality check and a financial education is what they need.

M442 · 13-02-2019 1:24pm

pwurple wrote: »

I don’t think there is anything I can write here that you can actually take in. My point wasn’t complicated, or in any way controversial, but you are taking it on like some bizarre attack.

I will rephrase it yet again, maybe this time?
See below:

Things are more expensive nowadays. So, to live in the big city, you need to earn more.

Ps, what’s your profession?

My grandparents moved in to a house together in the late 40s. I assume when you bought in the 70s things were the same and you didn't have many luxuries.

1 I assume like my grand parents you didnt have running water? I mean you can just walk to the well you don't need running water in your house

2 I assume you didn't have indoor plumbing or a toilet in your house? I mean what is it with people expecting a toilet in their house! Such entitlement. Just go in the communal toilet or up the field!

3 Did you have a bike? Of course you didn't have anything as crazy as a car but did you have the unnecessary luxury of a bike? I mean you could do like my grand did and walk 5 miles every time you need a bag of sugar.

4 Did you have electricity? Nothing wrong with candles.

6 Did you have a radio? You don't need a radio in your house that's a luxury.

If you had any of the things on the list above you lived a very privileged life in the 70s in a house full of expensive stuff you didn't need.

wench · 13-02-2019 1:25pm

Bigmac1euro wrote: »

Obviously the 80s was a tough time but our suicide rate has doubled since then so you might want to check your facts.

Suicide was only decriminalised in 1993, so any stats for the 1980s would need to be taken with a pinch of salt.

Cyrus · 13-02-2019 1:28pm

Bigmac1euro wrote: »

Hahahaha! Yeah everyone lived like kings as I clearly stated in my post..... NOT

1 parent working and 1 parent taking care of the children giving the kids a better childhood not stuck in a crèche all day with strangers because people can not AFFORD to stay at home with kids because of rent/mortgage repayments.

i would argue creches (good ones) are much better for kids than a lot of home situations with little stimulation and no one to play with.

sheriff2 · 13-02-2019 1:30pm

We recently bought in Dublin, we were lucky that we only paid €600 rent to stay in a friends place. Both had average jobs 35k and were able to save around 1.5 - 2k a month..

I work with lads that between themselves and partners earn more than us but don't seem to be able to save anything, fair enough they are paying about €1500 in rent, but how can they not save over 1k a month. With the help to buy scheme potentially giving 20k (we were only eligible for 10k). there is no reason a deposit cannot be saved within 2 years.
I know its small steps but the same lads that cant save are the ones that eat out every day, get coffees etc, small saving but you have to start somewhere.

My take on how a Single person could expect a mortgage deposit.
Take Home Pay - €2000
Rent (room in house) €800 inc. bills
Food, drink, socializing - €400 (€100 a week)
Left with €800 to save a month.
(obviously isn't taken into account clothes, other one off spends etc but some months you might save less or more than others)

€800 a month x 2 years = €19,200 plus 10 - 20k on the help to buy

GreeBo · 13-02-2019 1:30pm

M442 wrote: »

If you had any of the things on the list above you lived a very privileged life in the 70s in a house full of expensive stuff you didn't need.

and do you know why you had all this stuff.....its because you could afford it, not because someone made it cheaper just to help you out.

Yurt2 · 13-02-2019 1:30pm

f@steddie wrote: »

Affordable housing for those on 70k? Maybe a reality check and a financial education is what they need.

Well, given that the average house price in Dublin is 380k or thereabouts, someone on 70k (double the median salary) isn't getting a mortgage for the 'average' dwelling. It kind of suggests we have an affordability problem.

The hypothetical person on 70k is defective - he / she needs to learn to eat beans on toast and /or learn how to code more effectively.

Graham · 13-02-2019 1:35pm

Yurt! wrote: »

Well, given that the average house price in Dublin is 380k or thereabouts, someone on 70k (double the median salary) isn't getting a mortgage for the 'average' dwelling. It kind of suggests we have an affordability problem.

Or an expectation problem.

Why would a single person need an average house?

Given the percentage of single person households has been increasing rapidly, is a 3 bed semi forever home inside the M50 a realistic proposition?

Yurt2 · 13-02-2019 1:39pm

Graham wrote: »

Or an expectation problem.

Why would a single person need an average house?

Given the percentage of single person households has been increasing rapidly, is a 3 bed semi forever home inside the M50 a realistic proposition?

Call me an idealist, but I think that a person earning double the median wage should be able to afford a mortgage within the m50. Perhaps it's 'the market' that's defective, and not the individuals working to better themselves (as is being implied by many on the thread).

baby and crumble · 13-02-2019 1:40pm

GreeBo wrote: »

"needs" is the key word there.
"Decided" is the correct word.

Don't work or live in Dublin if you can't afford to. Super simple stuff.

Thing is though, there's a number of professions and sectors that operate almost solely out of Dublin, or at least the cities where prices are higher.

I mean tbh I agree with your main argument but it's not as simple as all that really.

[Deleted User] · 13-02-2019 1:43pm

upinsmoke wrote: »

If people can't save a 10% mortgage then you cant afford to buy a house. Its that simple.

It shows your not earning enough or dont have the competencies to save money and sacrifice for something you want.

If your in Dublin then look at getting a job in another county or move abroad. You dont get things handed to you.

Anyone I know who managed to get on the property ladder in dublin are paying far less with their mortgage than what I'm paying in rent. I can barely save because my rent is taking up 1/3 of my net pay. I'd be able to save more if I was paying less into a mortgage. I feel like I'm trapped.

Yurt2 · 13-02-2019 1:46pm

baby and crumble wrote: »

Thing is though, there's a number of professions and sectors that operate almost solely out of Dublin, or at least the cities where prices are higher.

I mean tbh I agree with your main argument but it's not as simple as all that really.

Or the implication that our capital city should be reserved for those who can afford the runaway house and apartment prices / rents. Evreyone else can feck off to the commuter belt. There are unbeleivable social and economic implications to this kind of attitude, and quite frankly, I find it childish.

Sleepy · 13-02-2019 1:47pm

Yurt! wrote: »

Well, given that the average house price in Dublin is 380k or thereabouts, someone on 70k (double the median salary) isn't getting a mortgage for the 'average' dwelling. It kind of suggests we have an affordability problem.

You're comparing apples with oranges:

A national median salary with an average Dublin house price.

GreeBo · 13-02-2019 1:52pm

Yurt! wrote: »

Call me an idealist, but I think that a person earning double the median wage should be able to afford a mortgage within the m50. Perhaps it's 'the market' that's defective, and not the individuals working to better themselves (as is being implied by many on the thread).

You are an idealist.

No one is saying someone trying to better themselves is defective.
Someone complaining that they cant afford to live in the same place that everyone else wants to live simply has defective ideas.

Why should you be able to afford a median house on twice the median wage?
What makes you think that there should be some close link between these two things?
Adding "median" to both subjects doesnt somehow link the two subjects in any meaningful way.

The median price for a shuttle is mission is $450 Billion dollars.
I'm on a multiple of the median wage but I cant afford to take a trip to space. Should I get onto Nasa to lower the price?

How can someone in their 30s afford a house - PLEASE READ MOD WARNING IN OP

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