How to help unemployed single mum onto the housing ladder?

natwill_3

jakehamble wrote:

Surely 'a lot of slack' equates to 'a lot of profit'.

Wouldn't a welfare system be more productive if that 'profit' were distributed in a way to help those in need become self-sufficient.

Haven't people investing in buy-to-let properties priced those on lower incomes out of the housing market?

Why? At least they are renting these properties out...I don't think it is fair to diss BLTers....they earn the money and invest it...no one has a pop at those who invest in the stock market...its a free market here

jakehamble

But there's a big difference between the stock market and the property market surely?

Anyone can invest in the stock market at any time - you can't be 'priced out of it'. You just invest as much or as little as you can afford.

But the massive increases in property prices mean that those less well off cannot afford to buy the roof over their heads. Property is not just about investment. Don't we have a social responsibility here?

clutton_2

""Haven't people investing in buy-to-let properties priced those on lower incomes out of the housing market?""

i think this argument has some merit in it as being part, but only part, of the reason that house prices increased so dramatically in 2002-2004.

You may not believe this, but, i have on three occasions, not bid for a particular house as i knew that first time buyers were wanting it.

natwill_3

Its just my opinion....If you are on low income should you expect the right to own your own home in the area you want to live in...This wasn't always the case.

Many people work very hard to either own a property or buy as an investment..fair play to them...the govt should have a social conscious not private individuals trying to make a living or saving/training to earn money to buy.

Capitalist country here....if you invest and make money through taking the risk of buying property fair play to you.

jakehamble

natwill wrote:

should you expect the right to own your own home in the area you want to live in...This wasn't always the case.

Getting on the housing ladder has never been so expensive as a proportion of income, ever.

natwill wrote:

the govt should have a social conscious not private individuals trying to make a living

I don't dispute that people have a right to make a living. But to improve the lot of all of us, the government and individuals all need to play their part. After all, the government is simply an subset of individuals elected by the rest of us.

Yes, this is a capitalist country, and it many ways that is to the benefit of us all. But we need checks and balances to ensure that the rich don't become super-rich at the expense of the poor.

clutton_2

if you think that being a BTL landlady makes me rich, let alone super-rich, i suggest you come down from planet zog mate !!!!!

jyonda

Housing is a basic need which should be met by society if an individual can't provide for themselves. It's the governments fault for allowing this situation to come about by not creating the legislation or taxation to make it unprofitable. But then I suppose the majority either wouldn't like it or don't give a stuff. I'm allright Jack. The measure of a society is how they treat the weak.
Maybe house prices are a runaway train and no-one knows what will happen so don't invest at this point in time. Save the deposit then help her buy when prices are lower and she has a wage to meet the mortgage payments.

natwill_3

jakehamble wrote:

Getting on the housing ladder has never been so expensive as a proportion of income, ever.



I don't dispute that people have a right to make a living. But to improve the lot of all of us, the government and individuals all need to play their part. After all, the government is simply an subset of individuals elected by the rest of us.

Yes, this is a capitalist country, and it many ways that is to the benefit of us all. But we need checks and balances to ensure that the rich don't become super-rich at the expense of the poor.

I think we have to agree to disagree here;)

clutton_2

"""It's the governments fault for allowing this situation to come about by not creating the legislation or taxation to make it unprofitable"""

The 2004 Housing Act is attempting to tighten up on the small number of rogue landlords. It is using a sledgehammer to crack a nut, and many landlords are seriously thinking of getting out of the business.

The new requirements, particularly for properties classed as HMO (houses in multiple occupation) are causing huge amounts of discussion and different local authorities are interpreting the Act in different ways. Suffice it to say that it will cost landlords more money to bring properties up to unnecessarily high standards, and they will have to now pay license fees for these properties, and there is no ceiling limit on these fees.

Some local authorities housing departments see some of these changes as so ridiculous, that they are giving landlords 5 years to comply with for example the requirement to put a sink in every room - in the hope that government can be made to see sense.

£20,000 fines are on offer for non compliance.

There is also a pilot scheme in operation as we speak whereby Housing Benefit is being paid directly to tenants, rather than to a landlord. Some local authority HB offices take 2-3-4- months to pay up, and some landlords have just seen tenants do a bunk when a huge cheque arrives for the rent.

(what other sort of job does anyone have where they have to wait 2-3-4- months to get paid - and then it can be clawed back thru no fault of the landlords ?)

All these measures will definitely ensure that many private landlords will sell up.

Those who will suffer will be tenants, who will find there is a decreasing amount of property available for private lettings, and as supply reduces, rents will go up.

I attend a wide variety of national meetings and landlord association meetings, and it is pretty well all over the country that landlords feel that fairly soon no profit at all will be made, so, what will be the point in continuing in the business.

natwill_3

Does that mean that landlords will increasingly not accept DSS...alot of the properties rented here say that already...

To be honest if I ever rented my flat out I don't think it would be to DSS only because of some of the horror stories of non payment I have heard...though I suppose that can happen with private tenants as well