Rents to Rise 20% over next Five years

Going4TheDream

More bad news for those renting and struggling to get on the property ladder?

http://www.guardian.co.uk/business/2011/nov/11/mortgage-famine-creates-rental-boom

olly300

When there is mortgage rationing then rents go up as people have to live somewhere.

When mortgages are easier to get rents go down.

It's simply supply and demand.

nollag2006

olly300 wrote: »

When mortgages are easier to get rents go down.

And conversely, when mortgage rationing ends, house prices will rocket

olly300 wrote: »

It's simply supply and demand.

As for rising 20% over the next 5 years, I have seen the rents in my portfolio rise 20% over the past two years!!

:j

MrRee_2

This is terrible news for renters, really terrible.

With such cheap Mortgages about it is really sad that some cannot access them.

I had to rent when I left home age 20- I had absolutely no way of buying a place. I went into heavy debt but gradually hauled myself up and out. I just worked really hard and long hours - even all weekends.

Finally I could scrape enough to buy - renting drove me absolutely bonkers, as I'm sure it does everyone else.

tescobabe69

MrRee wrote: »

This is terrible news for renters, really terrible.

With such cheap Mortgages about it is really sad that some cannot access them.

I had to rent when I left home age 20- I had absolutely no way of buying a place. I went into heavy debt but gradually hauled myself up and out. I just worked really hard and long hours - even all weekends.

Finally I could scrape enough to buy - renting drove me absolutely bonkers, as I'm sure it does everyone else.

Apart, of course, for the millions whose rent is paid by the taxpayer.

robmatic

A 20% increase over 5 years would broadly be in line with inflation so it's no big deal really.

Jimmy_31

MrRee wrote: »

This is terrible news for renters, really terrible.

With such cheap Mortgages about it is really sad that some cannot access them.

I had to rent when I left home age 20- I had absolutely no way of buying a place. I went into heavy debt but gradually hauled myself up and out. I just worked really hard and long hours - even all weekends.

Finally I could scrape enough to buy - renting drove me absolutely bonkers, as I'm sure it does everyone else.

You should have stayed at your mams for a bit till you got a deposit together for a house.

This would have prevented you from being landed with a very very heavy debt.

You were working 7 days a week (hard and long hours:)) and not earning enough to keep up with the rent on a 1 bed flat so i can sympathize and totally understand why it sent you bonkers.

I can understand this is not possible for everybody as some people get kicked out of their mams for being a bit of a tw*t.

What service were you providing in those hard and long hours.

Going4TheDream

robmatic wrote: »

A 20% increase over 5 years would broadly be in line with inflation so it's no big deal really.

except many working rents wont see their salaries increase in line with it? and more expense for the government for those who dont and claim HB?

MrRee_2

tescobabe69 wrote: »

Apart, of course, for the millions whose rent is paid by the taxpayer.

Don't get me on those free-loaders!!

They are as bad as those living in their bosses cellar

Jimmy_31

MrRee wrote: »

Don't get me on those free-loaders!!

They are as bad as those living in their bosses cellar

Oh they are bad alright.

EVERYBODY will start to see how bad they are over the coming years as they will be living around them.

LOTS of areas in the northwest are now full, next to no houses have been built for the new spongers who come of age everyday so they are being moved to different towns.

I cant see many houses being built in the near future for them either as every HA i work for is spending millions every year just on maintaing the housing stock they have got. Lots of their stock are old properties that require constant maintenance, plus lots of the tenants do not take care of the home they are given, this results in no money being spent on new homes as there is never any money left.

Young girls are still giving birth to children everyday and have no chance of their fella sorting their housing situation out because he is too busy standing outside the shops looking hard with his mates.

High house prices and high rents will just make lots more of the young say fcuk it i aint even bothering to try and put a roof over my head.

The people in the town a few miles away from me are not happy that sponging familys have been housed in their street as it disrupts the community and does the value of their house no favours at all.

High house prices and high rents will bite you in the ar5e one day mate.

Welcome to my world:rotfl:

Going4TheDream

Jimmy_31 wrote: »

Oh they are bad alright.

EVERYBODY will start to see how bad they are over the coming years as they will be living around them.

LOTS of areas in the northwest are now full, next to no houses have been built for the new spongers who come of age everyday so they are being moved to different towns.

I cant see many houses being built in the near future for them either as every HA i work for is spending millions every year just on maintaing the housing stock they have got. Lots of their stock are old properties that require constant maintenance, plus lots of the tenants do not take care of the home they are given, this results in no money being spent on new homes as there is never any money left.

Young girls are still giving birth to children everyday and have no chance of their fella sorting their housing situation out because he is too busy standing outside the shops looking hard with his mates.

High house prices and high rents will just make lots more of the young say fcuk it i aint even bothering to try and put a roof over my head.

The people in the town a few miles away from me are not happy that sponging familys have been housed in their street as it disrupts the community and does the value of their house no favours at all.

High house prices and high rents will bite you in the ar5e one day mate.

Welcome to my world:rotfl:

I have to say that I agree with a lot of what you have said. In about 2003 when prices started to rise a bit, we lived in a 3 bed terrace in a old but quiet and decent part of town, mainly young couples, some with families and very older people many who had lived there forever (mainly widowed women in their 80's/90/s) . As prices went up some of the young couples bought up the next level house and rented out as their mortgages were small.

Two particular houses right in the middle of the small street rented out to two single mums with a tribe of assorted kids...one pregnant with another. Various Boyfriends appeared on the scene, always arguing and falling out with the other various boyfriends. The kids were feral to the core, kicking cars, vandalising, breaking into peoples sheds and stealing, beating up and bullying neighbouring kids

Elderly women were threatened when collecting their pension less than 100 metres down the road by the PO.

The police were called regularly but failed to intervene until one night in one of the arguments one of the nutty boyfriends actually petrol bombed one of the girls cars .

I would say this all happened with in a space of 6 months from being a lovely little community to a pure living hell. And mainly because of two families in the middle of the street.

I had just bought my current house but it needed a huge amount of work so I was keeping both for the interim, but after that night, I left my old house (later rented out) and moved in to the new one and lived in one room for a year whilst it was renovated.

Some others sold up and moved but as the area went down hill others couldn't sell and more rented out, some just had to stay.

Once the rot sets in it spreads real quick.