Generation Whine

FTBFun

Percy1983 wrote: »

True, I don't think it covers the entire market, but genrally the BTLs and the FTBs are after the same houses, this has to be pushing house prices higher than if there where only FTBs.

How much of an effect his has I am unsure, but it is effecting things.

And what would you do about this exactly? In a mixed economy I don't think telling people what to invest their wealth in is an option.

pinkteapot

If all the BTLs disappeared overnight, prices would drop and there would be more FTBs. Prices would rise again.

I would be intrigued to know how many purchases in the last year say were by home movers, how many by BTLs and how many by FTBs. I have no idea how much of the market BTLs actually account for.

abaxas

pinkteapot wrote: »

If all the BTLs disappeared overnight, prices would drop and there would be more FTBs. Prices would rise again.

I would be intrigued to know how many purchases in the last year say were by home movers, how many by BTLs and how many by FTBs. I have no idea how much of the market BTLs actually account for.

Who cares about BTL, just build the houses we need and let the market decide.

Percy1983

FTBFun wrote: »

And what would you do about this exactly? In a mixed economy I don't think telling people what to invest their wealth in is an option.

How about taxing people more on all properties other than there primary residence? making it it an unattractive investment.

abaxas wrote: »

Who cares about BTL, just build the houses we need and let the market decide.

ahem to that.

pinkteapot

FTBFun wrote: »

And what would you do about this exactly? In a mixed economy I don't think telling people what to invest their wealth in is an option.

No but there are several policy options available to make BTL less appealing; increase income tax on rent received, increase stamp duty on second homes (which should also discourage all those baby boomers buying holiday homes Percy), increase CGT...

You could also help FTBs buy renovation properties by introducing a tax on properties sold after less than X years to discourage Sarah Beeny programme participants.

I'm not suggesting for one moment I'm in favour of any of these things, just saying there are options, though you can't eradicate these people from the market completely.

ILW

There are thousands of houses across the country which can be bought on a £30k salary. What is all the fuss about?

ash28

ukcarper wrote: »

I am a boomer I know 2 people who are renting 1 is a boomer who runs a very succesful buisness the other is a 35 year old who is renting out his house because he has moved in with his girlfriend. I think you will find that plenty of buy to let landlords are not boomers.

I also know a couple in their early 30s, both had their own properties, got married, bought a place between them and rent out the other 2 properties. They got married last year. The properties they owned individually were in different areas and the one they bought between them is in a different area again.

I know a boomer couple who have 2 x 1 bed properties, she was left some money quite a few years ago, her son rents one of the properties, my daughter lives with him.

A friend of said daughter who is 30, lives with her boyfried and rents out her own flat.

A colleague of my other daughter rents a flat where we live and rents out her own house in another part of the country to her ex boyfriend. She is 28.

I have friend who is almost 70 and has 2 properties he rents out. Bought them many years ago when he sold his business.

Another friend of first daughter moved back in with her parents after a relationship breakdown and rents out her house. Her partner had no financial interest in the house.

A lot of our friends are boomers (ourselves included) and they could no more afford a 2nd property than fly. We could afford to buy a small 2nd property out right but to honest I couldn't be bothered with it.

I also knew a number of people in the late 80s/early 90s who got their fingers burnt with btl - you were able to get non status mortgages then - property prices fell, high interest rates and quite a few of them were stuffed.

abaxas

pinkteapot wrote: »

No but there are several policy options available to make BTL less appealing; increase income tax on rent received, increase stamp duty on second homes (which should also discourage all those baby boomers buying holiday homes Percy), increase CGT...

You could also help FTBs buy renovation properties by introducing a tax on properties sold after less than X years to discourage Sarah Beeny programme participants.

I'm not suggesting for one moment I'm in favour of any of these things, just saying there are options, though you can't eradicate these people from the market completely.

Just put CGT on all property transactions unless moving to a more expensive place.

Problem sorted.

Percy1983

ILW wrote: »

There are thousands of houses across the country which can be bought on a £30k salary. What is all the fuss about?

I hope that is a joke, if not surely we don't need to answer that.

FTBFun

abaxas wrote: »

Just put CGT on all property transactions unless moving to a more expensive place.

Problem sorted.

Except for your main home, CGT is payable on all property transactions.

IMO it would be unduly harsh to tax people on the gain from their own home.