The Student Room Group

How can anyone in our generation afford to move out?

i am 23 and have a decent income of £20,000 a year (£10.40 an hour) and my parents are moving in a year so i need to find somewhere to go. I worked out my budget and i couldn't even afford to rent a 1 bedroom flat where i live. And the most a bank will lend me for a mortgage is 90k. it really annoys me that people on benefits are better off than someone on a decent wage working full time. what is everyone else my age doing?.

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People have wealthy relatives, a better paying job or got lucky in investing their money somewhere.
I'm 21 and I plan on living at home for a while until I get a decent job and then get a flat in the city. Maybe even share with someone to keep the costs down.
Reply 3
What are your financial commitments per month and how much do you manage to save on a monthly basis if you don't mind me asking?
Original post by shane-draper
i am 23 and have a decent income of £20,000 a year (£10.40 an hour) and my parents are moving in a year so i need to find somewhere to go. I worked out my budget and i couldn't even afford to rent a 1 bedroom flat where i live. And the most a bank will lend me for a mortgage is 90k. it really annoys me that people on benefits are better off than someone on a decent wage working full time. what is everyone else my age doing?.


Do you have any friends/colleagues in a similar situation?
Are you massively against renting?
Between the two of us on a combined student finances of 13k we ve had no trouble renting financially but then we ve no council tax liability.
Original post by Anon0098
What are your financial commitments per month and how much do you manage to save on a monthly basis if you don't mind me asking?



car insurance, car tax, petrol, gym and rent (living at home) come up to £400 and i try and keep to about £50 a week for food so i can save about 650 a month
Original post by shane-draper
i am 23 and have a decent income of £20,000 a year (£10.40 an hour) and my parents are moving in a year so i need to find somewhere to go. I worked out my budget and i couldn't even afford to rent a 1 bedroom flat where i live. And the most a bank will lend me for a mortgage is 90k. it really annoys me that people on benefits are better off than someone on a decent wage working full time. what is everyone else my age doing?.


Uhh, depends on where you're looking at. Unless your budget is already cut, I don't see how you can use 20k a year while living with your parents unless you're in debt.
You just have to save absolutely everything, spend nothing and you'll get there, eventually. I know people on over double what you're on who are struggling when it comes to getting mortgage approval (London/South East). It's very hard today, no doubt.

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(edited 8 years ago)
Reply 8
Original post by shane-draper
car insurance, car tax, petrol, gym and rent (living at home) come up to £400 and i try and keep to about £50 a week for food so i can save about 650 a month



Also how far do you travel for work? Is public transport like train/bus out of the question?
They can't.
Original post by shane-draper
car insurance, car tax, petrol, gym and rent (living at home) come up to £400 and i try and keep to about £50 a week for food so i can save about 650 a month


£50 for feeding one person is something you could cut down if needs be unless you ve very specific dietary requirements:smile:
There is a reason we are called "generation rent". You pay loads out in a mortgage so can't afford to save for a deposit.
With no deposit you can't buy so keep renting.
Rents and property prices increase way faster than wages. The problem is only getting worse.

Meanwhile those who are well off (those with several properties such as buy to let landlords) are getting even better off and those that aren't well off work so hard and pay so much rent just to pay off someone elses mortgage.

Unless you can rely on parents or an inheritance soon we are screwed.
Original post by Anon0098
Also how far do you travel for work? Is public transport like train/bus out of the question?


1 mile, 2 mile round trip lol
I'd highly recommend playing the lottery. You're more likely to win the jackpot than save enough for a deposit.

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The help to buy scheme is very good and it does allow many to get on the property ladder when they would otherwise be unable.

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Original post by shane-draper
1 mile, 2 mile round trip lol



Then cut the car out, travelling 1 mile to work and the same back can be accomplished by a bus. Hell, you could even walk or cycle to work and save shed loads on the financial commitments which come with owning a car.
(edited 8 years ago)
Reply 16
Original post by shane-draper
i am 23 and have a decent income of £20,000 a year (£10.40 an hour)


So you take home almost £1400 a month?

Original post by shane-draper
I worked out my budget and i couldn't even afford to rent a 1 bedroom flat where i live.


I find that hard to believe. Where do you live?


Original post by shane-draper
And the most a bank will lend me for a mortgage is 90k.


Get a joint mortgage

Original post by shane-draper
what is everyone else my age doing?.


At your age (and earning alot less than you) I was renting and saving a good £600+ a month for a house deposit. I had enough saved 3 years later, it wasnt difficult.
(edited 8 years ago)
On that wage its really not hard to move out. You have two options..

1) Leave London, rents from Nottingham northwards are very affordable

2) Use sites like spare room, you'd live with strangers however you can get bills inclusive and often in a decent location
Original post by shane-draper
1 mile, 2 mile round trip lol


I d sell your car and cycle or walk it in that situation unless its a too dangerous route theres no reason to need a car really.
Leave the country. I have a mortgage for a house at 23 and my salary is a slightly above average UK one for my profession.

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