Buying a house can sometimes be a difficult task. Manchester Money is ahead of the game and has identified from our customers, that many feel unprepared and overwhelmed when buying their first home, which prompted us to think that surely it would be beneficial to be taught about buying a house, saving up for a deposit, budgeting for bills etc before leaving school?
Manchester Money attended Todmorden Highschool careers fair on the 6th of July to speak to the school kids about the home buying process. We asked some typical questions about affordability and mortgages, then played a fun, interactive games to see if the kids could guess the value of certain houses. Beth Wildman, one of our Mortgage Advisors, gives her thoughts on if the home buying process should be taught to school children, “absolutely, it is just as important, if not more important than your usual subjects. I speak to people all the time at a similar age to myself who have had sticky debt issues or credit impairments and always say 'I wish someone had taught me about credit cards in school etc' and how important understanding what interest is.”.
From our time in the school, it was apparent that the kids had extremely limited knowledge about this topic overall and were taken a back on what you needed to earn and save to buy a house. It was an interesting exercise to see what the kid’s perceptions some were as guessed a house worth £155 000 would be between £12,000 and £300,000. They also started to ask questions such as what type of job would pay enough to buy a house like this opening up discussions about if you were to buy on your own you may need a better salary than two people buying together. We feel that this was a worthy exercise and the kids seemed genuinely engaged referencing their parents houses and some even talked about when they had moved house.
A survey published by Stipendium discovered that seven in ten people think that the home buying process should be taught to school kids. Understanding, what we should expect when purchasing a property is important because it is most likely going to be the largest purchase you will ever make.
Following this, the survey also showed that 66% of those who have purchased a house in the past six months were unaware of how the homebuying process actually worked; the reason that 60% felt they didn’t have access to enough resources for a better understanding of the home buying process. At Manchester Money, we are your financial partner who will guide you throughout the process.
Darren Hopkinson, another one of our Mortgage Advisors gave his thoughts about this idea, “I agree that children should be taught about money, bills and associated costs which come with growing up. This then goes on to saving for a deposit, buying a house and then the costs associated with owning a property. I think children now don’t have a clue about money and costs, so anything taught at school has to help you.”
If you are a school or college in the North West that would like us to attend your careers fair, please get in touch. We would love to hear from you.