I am never going to be able to fly the nest. Young people in England cant get their feet on the property ladder...

It is every young homeowner’s cry right now for flexible monthly deposits amid the ongoing rise in house price indices in the UK. Not forgetting the new borrowing standards set by the Bank of England which further dims the hopes of the Generation X to own homes in future. But what really is causing all these?

Strict Vetting System for Issuing Mortgage Loan

The Bank of England tightened its belt by creating higher deposit rates to curb home owners. For a senior UK resident, this means just coughing up a little more of the pounds gathered from years of saving and of course the life insurance policy. What about the young clerk earning wages at a small firm or the robust attorney just beginning his pupillage? A lot of young people don’t have money stored away, and a high mortgage deposit means no more left to savings.

Part of the new remortgage regulations also requires the loan applicant to show a clear credit history. But what if there is no history to show at all? Or even worse, what about most young graduates (coming out of campus and other higher learning institutions) who are trying to repay their accumulated tuition loan? This is not the kind of story a potential lender would like to hear; definitely, the Generation X is left out in sharing the big national cake of home ownership.

The Daily Cost of Living

A hike in house pricing means that the youthful professional doesn’t have time to enjoy life. Every end month is marked with big mortgage deposits, taxes, life insurance payments, maintenance costs, house bills…the list is endless. There is no time to save for a nice vacation when everything goes to the landlord and the State.

One sure way to stave off the steam from monthly deposits is making one huge down payment which will reduce how much is contributed in interest and monthly deposits. But how does a young graduate with only a few years in the job market find all that money from? Many are falling into the big lie of borrowing loans to pay other loans.

Basically, young people are left with nothing but high re-mortgage deposit payments, a rising cost of living, and the threats of drowning their whole lives in credit card debts. If the Bank of England and UK Government doesn’t come out with a mortgage advice plan for the young generation, then not many youths will leave their mum’s apartment any time soon.


If you need more info please visit us @ www.mortgageadviceservices.co.uk  or call us on telephone number 01332 257 087 for a free quote today.

Labels: , , , ,