I keep seeing these contradictory reports regarding the housing market and it makes me wonder if it’s government propaganda or the media trying to mislead us.

First, they said that housing prices were going up.  This was a marker that the recession was improving.  I really have not seen much improvement in the recession when the cost of living is so high compared to earnings.  The report had said that house prices were going up as fewer properties were available and more people were in the market to buy.

OK, if earnings have not gone up and cost of living is rising, how do people suddenly manage to have enough saved up to buy?  What am I missing?  Where did these people come from?  Are they the rich trying to buy up cheaper properties so that they can go on to rent it out at unreasonable rates?

Recently, a different report states that homes are now more affordable in more locations throughout the UK.  OK, if house prices are going up, how are they now more affordable? And where are they more affordable?  In locations that most people don’t want to live due to job opportunities, etc.  Therefore, people already living in those areas probably can’t even afford those homes.  It’s only people with money and a good job living outside those areas that can afford to buy into it.  And why would they buy into it?  The only reason would be to retire or as an investment opportunity.

Even those with a good job are unable to get onto the housing ladder.  I’ve only been working for 3 months, so I can’t lump myself in with those people, but my starting salary would be considered “extremely good”.  Unfortunately, I have no savings, and the current cost of living means that despite my high salary, we really are living “hand to mouth”.  How would someone like myself ever be able to get a mortgage?  Banks and the government are no longer in the business of helping people in the middle ground.  And the frustrating part is that if we were able to get a mortgage, our monthly mortgage may be lower than our rent, and we’d be gaining some equity (hopefully).