Desperate FHBs with no deposit are taking out "parent assist" loans to get onto the property ladder; Lender BlueBay rolled out “parent assist” loans last year, allowing buyers to borrow 20% deposit from parents
Tweet Topic Started: 29 Jun 2015, 10:11 AM (5,304 Views)
So houses have never been affordable anywhere in the world?
Interesting question. I would think that for the majority of mans civilisation, debt was not required to attain shelter. Certainly not the case in many nations now.
Interesting question. I would think that for the majority of mans civilisation, debt was not required to attain shelter. Certainly not the case in many nations now.
It was only in the 20th Century as credit became available to the man in the street that the common man could buy his own house. Before that people were lifetime tenants.
It was only in the 20th Century as credit became available to the man in the street that the common man could buy his own house. Before that people were lifetime tenants.
Mmmm, any link to prove that Peter? Certainly Nth Korea now is free housing, so all depends on the political climate I would think. Can you prove that the majority rented in the USA or the UK up until the 20th century?
Even here on Oz I know two people who paid cash, no debt for their housing. To them, debt was dirty thing and their houses were affordable to them.
It amazes me the creativity and the ingenuity of people when going about buying their first property, but then shelter is very high on one's list of needs so perhaps it isn't so surprising.
I don't think the full gamut of ideas has been exhausted yet.
What will they think of next?
Shared equity loan products. The lender gets, say 20% of capital appreciation and you don't need to service that portion of the funds advanced = everyone can afford to pay 20% more.
These were being worked on just before the gfc but put on the back burner before being launched. Almost time to trot out again...
Yes I can, but surely you were aware of that. It was access to finance that brought housing and cars to the masses.
You personally knew people in the 19th century who paid cash for their house? Amazing.
So no links or proof that before the 20th century, the majority of people rented. Noted and I call bullshit. No, the people I know who never took loans are people I know...doh!
So no links or proof that before the 20th century, the majority of people rented. Noted and I call bullshit. No, the people I know who never took loans are people I know...doh!
You don't have Google? Really you should save up and buy it.
The wealthy created separate neighborhoods for themselves by building mansions on large plots of land at the edges of the cities or in the countryside. Housing developments of similar-looking single-family or multiple-family dwellings, built by speculators, sprouted on the edges of cities. These often catered to a new middle class of white-collar employees in business and industry. The houses faced broader streets and increasingly had plots of grass in front and sometimes in the rear. New apartments were spacious and often had balconies, porches, or other amenities. By 1900 more than a third of urban dwellers owned their own homes, one of the highest rates in the world at the time.
Home ownership rates before 1900 were lower but especially in the cities and heavily populated areas, it was better in farming communities. Ownership rates were also very low in the Southern states, but you can read that for yourself here - http://isites.harvard.edu/fs/docs/icb.topic868135.files/Kansas91_all.pdf
In 1890 the ownership rate in New York was just 29.28% refer page 33 but by then it was getting much better than the early part of the 19th century.
The people you know are people you know - amazing. How did you ever get out of high school?
Any expressed market opinion is my own and is not to be taken as financial advice
Australian Property Forum is an economics and finance forum dedicated to discussion of Australian and global real estate markets and macroeconomics, including house prices, housing affordability, and the likelihood of a property crash. Is there an Australian housing bubble? Will house prices crash, boom or stagnate? Is the Australian property market a pyramid scheme or Ponzi scheme? Can house prices really rise forever? These are the questions we address on Australian Property Forum, the premier real estate site for property bears, bulls, investors, and speculators. Members may also discuss matters related to finance, modern monetary theory (MMT), debt deflation, cryptocurrencies like Bitcoin Ethereum and Ripple, property investing, landlords, tenants, debt consolidation, reverse home equity loans, the housing shortage, negative gearing, capital gains tax, land tax and macro prudential regulation.
Forum Rules:
The main forum may be used to discuss property, politics, economics and finance, precious metals, crypto currency, debt management, generational divides, climate change, sustainability, alternative energy, environmental topics, human rights or social justice issues, and other topics on a case by case basis. Topics unsuitable for the main forum may be discussed in the lounge. You agree you won't use this forum to post material that is illegal, private, defamatory, pornographic, excessively abusive or profane, threatening, or invasive of another forum member's privacy. Don't post NSFW content. Racist or ethnic slurs and homophobic comments aren't tolerated. Accusing forum members of serious crimes is not permitted. Accusations, attacks, abuse or threats, litigious or otherwise, directed against the forum or forum administrators aren't tolerated and will result in immediate suspension of your account for a number of days depending on the severity of the attack. No spamming or advertising in the main forum. Spamming includes repeating the same message over and over again within a short period of time. Don't post ALL CAPS thread titles. The Advertising and Promotion Subforum may be used to promote your Australian property related business or service. Active members of the forum who contribute regularly to main forum discussions may also include a link to their product or service in their signature block. Members are limited to one actively posting account each. A secondary account may be used solely for the purpose of maintaining a blog as long as that account no longer posts in threads. Any member who believes another member has violated these rules may report the offending post using the report button.
Australian Property Forum complies with ASIC Regulatory Guide 162 regarding Internet Discussion Sites. Australian Property Forum is not a provider of financial advice. Australian Property Forum does not in any way endorse the views and opinions of its members, nor does it vouch for for the accuracy or authenticity of their posts. It is not permitted for any Australian Property Forum member to post in the role of a licensed financial advisor or to post as the representative of a financial advisor. It is not permitted for Australian Property Forum members to ask for or offer specific buy, sell or hold recommendations on particular stocks, as a response to a request of this nature may be considered the provision of financial advice.
Views expressed on this forum are not representative of the forum owners. The forum owners are not liable or responsible for comments posted. Information posted does not constitute financial or legal advice. The forum owners accept no liability for information posted, nor for consequences of actions taken on the basis of that information. By visiting or using this forum, members and guests agree to be bound by the Zetaboards Terms of Use.
This site may contain copyright material (i.e. attributed snippets from online news reports), the use of which has not always been specifically authorized by the copyright owner. Such content is posted to advance understanding of environmental, political, human rights, economic, democratic, scientific, and social justice issues. This constitutes 'fair use' of such copyright material as provided for in section 107 of US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed for research and educational purposes only. If you wish to use this material for purposes that go beyond 'fair use', you must obtain permission from the copyright owner. Such material is credited to the true owner or licensee. We will remove from the forum any such material upon the request of the owners of the copyright of said material, as we claim no credit for such material.
Privacy Policy: Australian Property Forum uses third party advertising companies to serve ads when you visit our site. These third party advertising companies may collect and use information about your visits to Australian Property Forum as well as other web sites in order to provide advertisements about goods and services of interest to you. If you would like more information about this practice and to know your choices about not having this information used by these companies, click here: Google Advertising Privacy FAQ
Australian Property Forum is hosted by Zetaboards. Please refer also to the Zetaboards Privacy Policy