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

GAA Beo

A lot of landlords don't take HAP tenants. It can be very difficult to find one who will.

alexmalalex

pwurple wrote: »

https://www.youtube.com/watch?v=

Lols. Sums. Sure I can't possibly remember 2 years ago.

Also, and I don't know how many times I've got to repeat myself here, the post you are quoting was a response to the question of how people in the 70's were able to buy houses on one income. It's because THEY HAD LESS STUFF! I'm not saying we should all live like the 70's now, obviously we don't. But this is the reason it takes two incomes now... we all have shedloads more schtuff now, to pay for.

You're dead right. You can't save until you have an income to put away. That's why my initial post had "Work work work". That's step one. Then you can make savings. No point in saving a pittance and not progressing in work.

Your assumption is wrong, here. While it is true to say people had less stuff, this is absolutely not the reason for non-affordability of housing. The issue of affordability is due to the price of housing, and the fact that greedy banks, developers, and real estate companies want to maximize their margin.

And please explain what you mean by work, work, work? It doesn't make sense. As I have said repeatedly, the key is earnings potential. if I'm a junior doctor, can I earn more money by delivering pizzas at the weekend? yes, in the short-term. But in the long-term I won;t make consultant.

Your advice is misleading, and you seem out of touch with the reality of the property market.

(P.S. Nothing wrong with self-esteem, so long as it is counterbalanced with some humility and who said I was Irish?).

lainey_d_123

Eric Cartman wrote: »

If youre a traveller with a load of kids and double digit criminal convictions they pay all your rent for a city centre apartment

Basically. The people who are really fcked are the ones who are not quite poor enough to qualify for help. People who earn above average (or are lucky enough to have a partner to greatly reduce rent/bills) can save enough to eventually buy a house and be financially secure. People who earn nothing get given a medical card, house, etc. People who are taking home 1500 euro a month and paying out over half of that to rent a room and pay the bills and get to work every day, how are they supposed to do it?

lainey_d_123

alexmalalex wrote: »

Your assumption is wrong, here. While it is true to say people had less stuff, this is absolutely not the reason for non-affordability of housing. The issue of affordability is due to the price of housing, and the fact that greedy banks, developers, and real estate companies want to maximize their margin.

And please explain what you mean by work, work, work? It doesn't make sense. As I have said repeatedly, the key is earnings potential. if I'm a junior doctor, can I earn more money by delivering pizzas at the weekend? yes, in the short-term. But in the long-term I won;t make consultant.

Your advice is misleading, and you seem out of touch with the reality of the property market.

(P.S. Nothing wrong with self-esteem, so long as it is counterbalanced with some humility and who said I was Irish?).

And also the fact that not everyone can be a high earner. That's basic economics. It used to be that pretty much anyone with a halfway decent job (or not even) could buy a modest house. Now, you need to be either a very high earner or a couple both earning quite good money just to buy the same kind of modest house.

In the nineties, my family bought a house for 65,000. My dad at the time was earning around 40,000 a year. The house wasn't even double his annual salary. That same house is now worth 350,000 and that same job is paying 55,000. How does this very basic maths escape so many people? House prices have skyrocketed, wages have not.

Yurt2

lainey_d_123 wrote: »

And also the fact that not everyone can be a high earner. That's basic economics. It used to be that pretty much anyone with a halfway decent job (or not even) could buy a modest house. Now, you need to be either a very high earner or a couple both earning quite good money just to buy the same kind of modest house.

In the nineties, my family bought a house for 65,000. My dad at the time was earning around 40,000 a year. The house wasn't even double his annual salary. That same house is now worth 350,000 and that same job is paying 55,000. How does this very basic maths escape so many people? House prices have skyrocketed, wages have not.

You missed the memo: people who can't afford a house are morally defective and eat too many avocados / are on the dole or both. They should all live in abandoned famine cottages in Leitrim and subsist off rhubarb until they learn coding and can work for some IDA subsidised crowd in Sandyford Industrial Estate. After that, we might let them live in Meath... maybe.

Sheepdish1

Wood wrote: »

Currently single ( fiancé who is a single parent). Had a crap job then got promoted.

Have about 5% of a deposit. Basically begged stole and borrowed to make the 10%.

Still not approved. Mortgage repayments are 40% of current rent.

So to answer your question. I have no idea.

Income is over 100k a year beyween us. Can't get a mortgage for 200k.

Why can’t you get approved for 3.5 times your income ?

WrigleysExtra

Reading the OPs post it just screams of excuses. Wasn't thinking of his future, poor at saving, unemployed at one point blah blah blah. How about take some damn responsibility for your own actions and stop blaming everyone else.

GreeBo

OP you are basically saying "how do people run a marathon? I never did any exercise or training and when i get to the race I'm surrounded by all these fit experienced people who are better than me. I don't understand it. What can i do?!"

People in their thirties buy houses because they saved something when they were in their twenties. You didn't have to live like a hermit, just not like the world was ending tomorrow. You have the most disposable income at the start and end of your life and the least in the middle. Hence the middle is a bad time to only start worrying about these things.

I'm afraid to even mention pensions tbh.

alexmalalex

GreeBo wrote: »

OP you are basically saying "how do people run a marathon? I never did any exercise or training and when i get to the race I'm surrounded by all these fit experienced people who are better than me. I don't understand it. What can i do?!"

People in their thirties buy houses because they saved something when they were in their twenties. You didn't have to live like a hermit, just not like the world was ending tomorrow. You have the most disposable income at the start and end of your life and the least in the middle. Hence the middle is a bad time to only start worrying about these things.

I'm afraid to even mention pensions tbh.

You know that is complete rubbish! The problem is that the fit and experienced people cannot run the marathon because the marathon is now 52 miles. The goalpost has changed.

The logic makes no sense - if someone doesn't have a mortgage and a family, then they likely have as much disposable income as a 25 year old.

Why mention pensions then?

GreeBo

alexmalalex wrote: »

You know that is complete rubbish! The problem is that the fit and experienced people cannot run the marathon because the marathon is now 52 miles. The goalpost has changed.

The logic makes no sense - if someone doesn't have a mortgage and a family, then they likely have as much disposable income as a 25 year old.

Why mention pensions then?

No the marathon is the same length for all the other 30 somethings I'm afraid. Some of them just thought about the future and planned for it. The OP seems to be surprised that houses cost money.

I'm just outside the OPs range and have traded up more then once, because i planned it.

Why bring up someone without a mortgage? Why not use lotto winners to prove some other irrelevant point?

I brought up pensions so hopefully the OP doesn't get another surprise when they are 70 and are shocked to discover it still costs money to live.
Someone who didn't save any money when they were young probably doesn't have a pension now either.

milhous

alexmalalex wrote: »

You know that is complete rubbish! The problem is that the fit and experienced people cannot run the marathon because the marathon is now 52 miles. The goalpost has changed.

The logic makes no sense - if someone doesn't have a mortgage and a family, then they likely have as much disposable income as a 25 year old.

Why mention pensions then?

I think the op asked how people are buying houses in their 30's.. But the thread got derailed a bit with people saying how difficult it is compared to x years ago. So goalposts are the same for everyone in their 30's, depends how they spent there 20's regarding saving and/or career path...

Pussyhands

lainey_d_123 wrote: »

And also the fact that not everyone can be a high earner. That's basic economics. It used to be that pretty much anyone with a halfway decent job (or not even) could buy a modest house. Now, you need to be either a very high earner or a couple both earning quite good money just to buy the same kind of modest house.

In the nineties, my family bought a house for 65,000. My dad at the time was earning around 40,000 a year. The house wasn't even double his annual salary. That same house is now worth 350,000 and that same job is paying 55,000. How does this very basic maths escape so many people? House prices have skyrocketed, wages have not.

And what about facilities and amenities???

Was there high speed broadband in the 90's? How about the luas? How about professional top class sports teams? How about public transport?

Mortgage interest rates in the 90's was 13/14%.

Houses are more efficient nowadays.

In the 90's rural life was thriving, farmers were plenty.

Then we started getting better quality of jobs and better salaries and things rose in price.

Do you wish we were back in the 90's???

VonLuck

GreeBo wrote: »

OP you are basically saying "how do people run a marathon? I never did any exercise or training and when i get to the race I'm surrounded by all these fit experienced people who are better than me. I don't understand it. What can i do?!"

People in their thirties buy houses because they saved something when they were in their twenties. You didn't have to live like a hermit, just not like the world was ending tomorrow. You have the most disposable income at the start and end of your life and the least in the middle. Hence the middle is a bad time to only start worrying about these things.

I'm afraid to even mention pensions tbh.

Not true at all. I have saved diligently all my working years and am now in my thirties. I budgeted every cent I had, no flashy car, I have more than enough for a deposit, in a reasonable well paying job and yet I am no where near being able to afford a house in Dublin as a single applicant.

If I had a deposit of €20k or a deposit of €60k, it's not going to be a limiting factor if decent houses are costing upwards of €300k. It's your salary (or more 3.5 times it) that will dictate if you can afford a house, not your savings. High earners or dual applicants are the only people able to buy at the moment.

riclad

Young people in America who go to college ,and take a student loan may owe 100k plus after they graduate .
Unless they have rich parents to pay for their education.
at least in ireland education is not that expensive .
Hap is designed for people on low incomes, people on welfare ,single mothers ,people on disablity allowance .
The average wage is 30k plus .
I think the title of this post could be how does someone paying rent in dublin ,cork,galway etc afford to buy a house.
how does a young person pay all the expenses like rent, food, going out, and still save for a deposit on a house.
Some people just move home for 2 years while they save for a deposit .
By the way the council basically only give house,s to
women on welfare who have at least 2 children .
Single people may get offered an apartment or a 1bed flat.

Tar.Aldarion

VonLuck wrote: »

Not true at all. I have saved diligently all my working years and am now in my thirties. I budgeted every cent I had, no flashy car, I have more than enough for a deposit, in a reasonable well paying job and yet I am no where near being able to afford a house in Dublin as a single applicant.

If I had a deposit of €20k or a deposit of €60k, it's not going to be a limiting factor if decent houses are costing upwards of €300k. It's your salary (or more 3.5 times it) that will dictate if you can afford a house, not your savings. High earners or dual applicants are the only people able to buy at the moment.

This is exactly right, if you are on your own you are fecked. Even if you earned say 60k-80k you'd need what, over 100k deposit?

GreeBo

VonLuck wrote: »

Not true at all. I have saved diligently all my working years and am now in my thirties. I budgeted every cent I had, no flashy car, I have more than enough for a deposit, in a reasonable well paying job and yet I am no where near being able to afford a house in Dublin as a single applicant.

If I had a deposit of €20k or a deposit of €60k, it's not going to be a limiting factor if decent houses are costing upwards of €300k. It's your salary (or more 3.5 times it) that will dictate if you can afford a house, not your savings. High earners or dual applicants are the only people able to buy at the moment.

You can't buy in Dublin, I can't buy in Monaco but we can both buy a house.
The OP cannot buy a house anywhere. This is not societies fault.

There are only so many houses in Dublin and more and more people vying to buy them so the price goes up. Even if the prices were fixed at 50k not everyone could buy one. There just aren't enough of them and never will be.

Yurt2

GreeBo wrote: »

You can't buy in Dublin, I can't buy in Monaco but we can both buy a house.
The OP cannot buy a house anywhere. This is not societies fault.

There are only so many houses in Dublin and more and more people vying to buy them so the price goes up. Even if the prices were fixed at 50k not everyone could buy one. There just aren't enough of them and never will be.

"Shur that's just the way it is"

GreeBo

riclad wrote: »

Young people in America who go to college ,and take a student loan may owe 100k plus after they graduate .
Unless they have rich parents to pay for their education.
at least in ireland education is not that expensive .
Hap is designed for people on low incomes, people on welfare ,single mothers ,people on disablity allowance .
The average wage is 30k plus .
I think the title of this post could be how does someone paying rent in dublin ,cork,galway etc afford to buy a house.
how does a young person pay all the expenses like rent, food, going out, and still save for a deposit on a house.
Some people just move home for 2 years while they save for a deposit .
By the way the council basically only give house,s to
women on welfare who have at least 2 children .
Single people may get offered an apartment or a 1bed flat.

Expenses like "going out?
LOL.
The entitled generation.

Pretty sure my old man wasn't worrying about going out in the 80s when rates were 18%+ and mortgage repayments were more than take home pay.

HamSarris

VonLuck wrote: »

Not true at all. I have saved diligently all my working years and am now in my thirties. I budgeted every cent I had, no flashy car, I have more than enough for a deposit, in a reasonable well paying job and yet I am no where near being able to afford a house in Dublin as a single applicant.

If I had a deposit of €20k or a deposit of €60k, it's not going to be a limiting factor if decent houses are costing upwards of €300k. It's your salary (or more 3.5 times it) that will dictate if you can afford a house, not your savings. High earners or dual applicants are the only people able to buy at the moment.

<MOD SNIP>

When it comes to Dublin, 30 year olds are not competing with other 30 year olds. If this was the case, house prices would struggle to reach 200k. On here you'd swear every 30 year old was an IT professional on 100k, yet for some magical reason the median wage is 41k. 30 years olds are competing with those who have the majority of the money supply - the wealthy investors and the over 50s.

Sometimes you've just got to accept that there's too much competition and to focus your time and money elsewhere. You sound diligent so you're not going to face any future financial catastrophe by not buying a house. You can keep up with inflation by buying gold and silver, and once the next recession hits, it will be a good opportunity to invest. Again some people will try to scare you into buying a home because you'll someone get to 70 with no money and no home. In the future, house will be in oversupply with advancing technologies and modular housing so I wouldn't be frightened into buying a house. Plus if you buy a house, you risk losing half of it if you ever get married or have children.

GreeBo

GreeBo wrote: »

Expenses like "going out?
LOL.
The entitled generation.

Pretty sure my old man wasn't worrying about going out in the 80s when rates were 18%+ and mortgage repayments were more than take home pay.

Going out and having a social life is as legitimate an expense of living as any, this nonsense of expecting people to have no life is just that, nonsense.

Do you think people didn’t go out and enjoy themselves in the 80’s too?

yourdeadwright

Eric Cartman wrote: »

Little Less Conversation wrote: »

What is this HAP scheme? Can I possibly have my rent paid for me?

If youre a traveller with a load of kids and double digit criminal convictions they pay all your rent for a city centre apartment

Even if u are single and earn under 35 grand after tax you qualify for up to 1200 a month in Dublin on the HAP
Its quite easy to apply online ,you have to prive uv no where to live , like parents and that and as someone said you have to find a place that will accept HAP
But earning wise if ur single and paid under 35 grand afyer tax you can apply

bigpink

Savanna Refined Symbolism wrote: »

Going out and having a social life is as legitimate an expense of living as any, this nonsense of expecting people to have no life is just that, nonsense.

Would it not be classed as a luxury or treat?

bigpink

bigpink wrote: »

Would it not be classed as a luxury or treat?

I personally don’t class it as a luxury or a treat, it’s part of my week as much as anything else.

bigpink

Savanna Refined Symbolism wrote: »

I personally don’t class it as a luxury or a treat, it’s part of my week as much as anything else.

How do you find it with saving for house?Do you cut back on something else

lainey_d_123

GreeBo wrote: »

No the marathon is the same length for all the other 30 somethings I'm afraid. Some of them just thought about the future and planned for it. The OP seems to be surprised that houses cost money.

I'm just outside the OPs range and have traded up more then once, because i planned it.

Why bring up someone without a mortgage? Why not use lotto winners to prove some other irrelevant point?

I brought up pensions so hopefully the OP doesn't get another surprise when they are 70 and are shocked to discover it still costs money to live.
Someone who didn't save any money when they were young probably doesn't have a pension now either.

It isn't though, is it? That's the point.

There are many, many factors beyond 'saving' which give people a head start over others in that marathon.

Stayed at home for college? Head start.

Parents paid for college? Head start.

No major health issues? Head start.

Got a stable long term partner? Head start.

And so on and on and on. Funny how so many people have such a hard time accepting that luck played a huge role in their ability to buy a house. Sure, they might have worked hard, but lots of people work hard and don't manage it, through no fault of their own.

OP sounds like an immature waster, but not everyone is like that.

lainey_d_123

Pussyhands wrote: »

And what about facilities and amenities???

Was there high speed broadband in the 90's? How about the luas? How about professional top class sports teams? How about public transport?

Mortgage interest rates in the 90's was 13/14%.

Houses are more efficient nowadays.

In the 90's rural life was thriving, farmers were plenty.

Then we started getting better quality of jobs and better salaries and things rose in price.

Do you wish we were back in the 90's???

I don't give a flying fcuk about top class sports teams or the luas. I just want to be able to live in a modest flat on my own. Secure housing is a basic human need. High speed internet is not.

Yes, I absolutely wish we were back in the nineties. It's bizarre to me that you think it's better now.

upinsmoke

Savanna Refined Symbolism wrote: »

Going out and having a social life is as legitimate an expense of living as any, this nonsense of expecting people to have no life is just that, nonsense.

Do you think people didn’t go out and enjoy themselves in the 80’s too?

We are not living in the 80s though, if you want a deposit suck it up and save. You can still have a social life saving for a mortgage.

You can enjoy both. I'm current saving for a mortgage as a single applicant and renting.

I generally now only go out at midnight and bring a tenner with me for two pints. I do have a few cans at home first. My friends could blow 150 euro or more every weekend on booze. Cinema is a cheap expense as well. People waste their money on the latest phones, drugs , cigarettes, nice cars and wonder how they don't have enough for a mortgage.

The earlier you start saving the less frugal you need to be. I lived like a King throughout my 20s, 3 holidays a year, BMW, out partying every weekend, latest bill pay phone, smoking etc and blew all my money. I enjoyed every minute of it and don't regret it.

29 now and six months through saving 1200 a month. That's 43200 in savings in three years which is my target before applying. 17.5k will be going on a deposit. I'm not in Dublin and only on 39K a year

lainey_d_123

upinsmoke wrote: »

We are not living in the 80s though, if you want a deposit suck it up and save. You can still have a social life saving for a mortgage.

You can enjoy both. I'm current saving for a mortgage as a single applicant and renting.

I generally now only go out at midnight and bring a tenner with me for two pints. I do have a few cans at home first. My friends could blow 150 euro or more every weekend on booze. Cinema is a cheap expense as well. People waste their money on the latest phones, drugs , cigarettes, nice cars and wonder how they don't have enough for a mortgage.

The earlier you start saving the less frugal you need to be. I lived like a King throughout my 20s, 3 holidays a year, BMW, out partying every weekend, latest bill pay phone, smoking etc and blew all my money. I enjoyed every minute of it and don't regret it.

29 now and six months through saving 1200 a month. That's 43200 in savings in three years which is my target before applying. 17.5k will be going on a deposit. I'm not in Dublin and only on 39K a year

If you can save 1200 a month at 29, you're an outlier. Do you realise most people don't even have 1200 left over after they've paid their rent? Let alone anything else. I've never lived a life like you describe. I've always scrimped and saved. I'm no closer to buying a place.

Pussyhands

Savanna Refined Symbolism wrote: »

Going out and having a social life is as legitimate an expense of living as any, this nonsense of expecting people to have no life is just that, nonsense.

Do you think people didn’t go out and enjoy themselves in the 80’s too?

If you go out every week, you shouldn't be spending more than 50 quid a night. That's 2.5k a year. I don't think everyone goes out on a night out anyways every weekend. Sure...go to the cinema or something, that'll be 20 quid.

What I see are lads going for a night of pints, could spend 60 quid on pints alone, they'll go for a feed then, another tenner and then taxis another 20 quid.

Bigmac1euro

Pussyhands wrote: »

And what about facilities and amenities???

Was there high speed broadband in the 90's? How about the luas? How about professional top class sports teams? How about public transport?

Mortgage interest rates in the 90's was 13/14%.

Houses are more efficient nowadays.

In the 90's rural life was thriving, farmers were plenty.

Then we started getting better quality of jobs and better salaries and things rose in price.

Do you wish we were back in the 90's???

Compare the average house price in Dublin in 1990 with the average wage at the same year.

Now

Compare the average house price in Dublin in 2019 with the average wage for the same year.

Even with the much bigger interest rates the difference is beyond a joke.


Also.
Having a tv or a smartphone doesn’t make it acceptable the cost of housing has rose 900%.