Changes to Housing benefit how much will rents fall?

System

chucknorris wrote: »

as we have no children there is no one to leave it all to, so what's the point in making more?

Tell you what, as a special favour you can give it to me

chucknorris

Joeskeppi wrote: »

Tell you what, as a special favour you can give it to me

Hopefully that time will be a long way off

chucky

silverjunky999 wrote: »

I think he is talking about the next few years.

so rents aren't going to fall for a few years then?

stelaconcepts

chucky wrote: »

so rents aren't going to fall for a few years then?

Who knows?

All we know is that the condems are going to be reducing the amount of housing benefit people can get every year from now on.

They say 90% of London will be affected by the reductions every year.

We will find next year what will happen.

IveSeenTheLight

chucknorris wrote: »

I've just put up my rents too chucky, not by much though, just over 2%.

I've just had a change of tenants and increased my rents as well.
No void periods, rental up, all good in the rental market from my experience.

stelaconcepts

MrEnglish wrote: »

Yes it will be gradual, but I think we should see average rents in London fall straight away.

As housing benefit fall every year from now on along with other benefits and the other cuts, rents and house prices should go lower over the next few years.

When you say straight away what do you mean?

It can take months to evict some tenants.

I can see most of these 90% of tenants in London just telling their land lords "look this is how much the government is willing to pay me for the rent"!

The land lord could go through the eviction procedure or just take the new lower rent every month.

These £2000 a week houses will really take a hit down to £400 week. Even the many more £1000 per week to go down to £400 is still very dramatic.

I can see a lot of these foriegn 'investors' selling up for whatever they can get.

Kylie Minogue just cut half a million from what she was asking from the house she is trying to sell. I think she will have to cut that much again to sell it.

chucky

stelaconcepts wrote: »

I can see most of these 90% of tenants in London just telling their land lords "look this is how much the government is willing to pay me for the rent"!

i'd love to know where this forumonic stat of 90% of property in London is getting housing benefit is derived from...

74tnemele

I am fed up with renting now no chance of buying in London unless there is a big crash. For some reason my housing ben has been stopped again, I cant get any help with my rent now, hosing ben is such a hassel now. My earnings are not enough so going to have to be very nice to my land lord the end of this month..

My savings were getting over the limit allowed so Im buying silver bullion. I sleep very well, there is nothing wrong with spending it on things so you still qualify for housing ben.

Trouble is wife is happy in London and found it hard in cheaper areas. But cost of living now, it makes me wonder how anyone can live in London without help paying rent. Well not many do I am one of the few, who has a patient land lord every time they stop my housing ben.

Wasnt it the Estate agents themselves who first said that 90% of tenants in London get HBen. So next April the ConDems are cutting it back. Either rents will fall or anyone on low earnings like me (under £25K) will have to move out of London. Or a bit of both. I am sure rents and house prices will come down then.

I am going to try and apply for HB again next month. But its getting harder. I feel like Wil Smith in the film with his son, he offers to paint his flat if thwe LL doesnt kick him out.

MikeJ74

Shakethedisease wrote: »

Government figures are all fine and well, ( *spin*).. however, you might be better reading what the biggest lettings angency in the Uk had to say a few days back...



http://www.yourmortgage.co.uk/news/3626984

90% affected in London according to the uk's biggest lettings agency.

Of that, 34% that 'expect' their tenants to make up the the lost housing benefit ( good luck with that, they're already on benefits because they can't afford the rent ).. and most that would ask their current dss tenants to leave. That means there will be an awful lot of landlords issuing section 21's.. and hoping to get new tenants from those aren't in receipt of benefits.

Supply and demand alright. And it'll be landlords competing for 'prime tenants'. And I'm not sure where the rest of the tenants are going.. don't think the government does either tbh ( but that's another thread).

But don't kid yourself that 'things will just stay the same' for everyone. Because the whole 'supply and demand' thing is about to be shaken up like a big snow-globe. It may not be your particular properties 'in demand' any more, just the kind of tenant you, and every other landlord out there, wants... and that means competition.

So it was the the uk's biggest lettings agency who said that 90% of London would be affected by the changes to housing benefit next April.


Is it possible to find out how many tenants in London do get housing benefit? Someone said you can earn a desent wage in London and still get help with your rent. especially if you have a few kids.

Shakethedisease

chucky wrote: »

i'd love to know where this forumonic stat of 90% of property in London is getting housing benefit is derived from...

Have a quick shuftie through this lot. There are some big figures being thrown around regarding lha.


http://www.themovechannel.com/news/f0aa24cb-041a/

http://www.homemove.co.uk/news/03-09-2010/landlords-unmoved-by-new-lha-limits.html

http://media.shelter.org.uk/Press-releases/London-households-could-be-pushed-over-the-edge-by-cuts-to-housing-benefit-310.aspx

http://www.lovemoney.com/news/make-good-property-decisions/buy-to-let-investments/bad-news-for-landlords-5392.aspx

http://www.insidehousing.co.uk/news/housing-management/benefit-reform-to-split-london-borough/6511308.article

http://www.ft.com/cms/s/2/8137836e-ba87-11df-8e5c-00144feab49a.html

http://citywire.co.uk/money/landlords-brace-themselves-for-benefit-caps/a427708

In Camden at least ( according to one of the articles) 2000 out of 3000 claimants are going to be affected.

And from Shelter

The charity is warning that when these changes come into effect in 2013 they will deliver an even bigger blow to household finances as Local Housing Allowance will not keep up with rising housing costs, a particular problem in London which has some of the most expensive rents in the country. Since 1999/2000 average rents in London have increased by 65 per cent while the CPI has increased by just 17 per cent.