Would you support or oppose proposals for the government in introduce a “rent control

Percy1983

CLAPTON wrote: »

because it will make the make the poorer worse off.

Please excuse my lack of logic...

Taking less money off the poor makes them poorer?

CLAPTON

Percy1983 wrote: »

Please excuse my lack of logic...

Taking less money off the poor makes them poorer?

have you actually read the proposal?

Percy1983

CLAPTON wrote: »

have you actually read the proposal?

I haven't read any proposal, I do believe this thread is talking in general terms about the idea of rent caps to which I support them in principle.

CLAPTON

Percy1983 wrote: »

I haven't read any proposal, I do believe this thread is talking in general terms about the idea of rent caps to which I support them in principle.

in general terms then and not discussing this particular proposals, rent controls will
-encourage landlords to sell to owner occupiers
-owner occupiers tend to have a lower occupancy than renters

so the 'winners' will be some owner occupiers
and the 'losers' will be the poorer people who can't afford to buy who will be made homeless
or will need to access housing from illegal landlords charging high prices for a now more scarce resource.

Percy1983

CLAPTON wrote: »

in general terms then and not discussing this particular proposals, rent controls will
-encourage landlords to sell to owner occupiers
-owner occupiers tend to have a lower occupancy than renters

so the 'winners' will be some owner occupiers
and the 'losers' will be the poorer people who can't afford to buy who will be made homeless
or will need to access housing from illegal landlords charging high prices for a now more scarce resource.

Well this is where the details for how far caps will go will make a big difference.

In many cases landlords will just make less profit and many will probably accept this.

I do find this thing of there will suddenly not be enough houses, surely in most cases the size of the household will remain the same, ie if I was renting with the mrs I would then buy with the mrs.

So on that basis there is 100 people rents 50 houses, 80 of them then buy 40 of the houses there is still 10 houses for the remaining 20.

Maybe if it does go to the point of homeless people sleeping all over the place in the millions as you say then we will soon get fed up of tripping over them in shop doorways and the then government may actually start thinking seriously about building more.

In short the system right now is those born earliest have the easiest chance at home ownership generally skewing the older to be richer at the expense of the young. If there is the mass sell off as you say that will then level off much of the playing field to which there will still be poor people but then you won't be poor because of your year of birth but because you didn't work as hard as your immediate peers.

CLAPTON

Percy1983 wrote: »

Well this is where the details for how far caps will go will make a big difference.

In many cases landlords will just make less profit and many will probably accept this.

I do find this thing of there will suddenly not be enough houses, surely in most cases the size of the household will remain the same, ie if I was renting with the mrs I would then buy with the mrs.

So on that basis there is 100 people rents 50 houses, 80 of them then buy 40 of the houses there is still 10 houses for the remaining 20.

Maybe if it does go to the point of homeless people sleeping all over the place in the millions as you say then we will soon get fed up of tripping over them in shop doorways and the then government may actually start thinking seriously about building more.

In short the system right now is those born earliest have the easiest chance at home ownership generally skewing the older to be richer at the expense of the young. If there is the mass sell off as you say that will then level off much of the playing field to which there will still be poor people but then you won't be poor because of your year of birth but because you didn't work as hard as your immediate peers.

many properties are occupied by sharers: so maybe three couples sharing a 3 bed house.
once sold it is likely to have at most one couple.

it's likely that if you were renting with the mrs, when you decided to buy, then you would buy a bigger place more suited to starting a family or whatever.

on average, one would expect rented places to be more crowded than owner occupier ones.

I struggle see how your scenerio with people sleeping all over the place improves the quality of poorer peoples lives and is any improvement on the current situation.

tamiami

What if mortgage rates rise, therefore landlords mortgage rises. What if mortgage is then higher than rent coming in? If rent is capped and landlord cant afford mortgage then potentially it could be another repossession or another home sold and therefore another family out of their rented home.

Percy1983

tamiami wrote: »

What if mortgage rates rise, therefore landlords mortgage rises. What if mortgage is then higher than rent coming in? If rent is capped and landlord cant afford mortgage then potentially it could be another repossession or another home sold and therefore another family out of their rented home.

It might cost them £50 a month, in 25 years you have a house for£15000 rather than someone buying it for you outright with profit.

Still not a bad investment, just not the cash cow it currently is.

antrobus

Percy1983 wrote: »

It might cost them £50 a month, in 25 years you have a house for£15000 rather than someone buying it for you outright with profit.

Still not a bad investment, just not the cash cow it currently is.

Not if it gets repo'd because you can't meet the payments.

Then you get nothing.

Percy1983

antrobus wrote: »

Not if it gets repo'd because you can't meet the payments.

Then you get nothing.

Very true, but if you can't afford a house at £50 month then don't buy it. Likewise if the margins are so tight that there is no wriggle room then thats not much good in 'business' is it.

Sorry if my non greed centric thinking makes little sense to some of you.