What would you do in my situation???

SnooksNJ

Dan-Dan wrote: »

Words fail me

WOW
http://www.dailymail.co.uk/news/article-2962702/Council-tenants-given-30-000-government-grants-buy-home-elsewhere.html

fierystormcloud

Dan-Dan wrote: »

Words fail me

Cheeky_Monkey wrote: »

:T

This situation is replicated up and down the country with thousands of people living in social housing they don't need as they can easily afford to buy/rent privately.

Whichever option you go for OP, just make sure you screw as much money out of the taxpayer as you can to secure yours and your children's future (rolls eyes)

nonnatus wrote: »

I'm a bit gobsmacked to be honest - and probably very naive!

How is it possible that with that kind of income, the Govt will GIVE you £33k towards a private house? I really need to wise up more to how the real world works! Is it just luck?

I'm sure you're a very nice family and you've obviously done very well for yourself, but I don't understand why the Govt should have to pay such a huge sum of money for your lifestyle choice...

I am with the majority here.

!!!!!!? :huh:

Why in the name of heck is the OP being given £33K towards a house OR a £100K reduction in the house price?

There are so many things wrong with this country, and this is one of them.

Is it a wind up d'ya think?

nubbins

Its gotta be a wind up

hcb42

Why is it a wind up? It is Benefits Britain everywhere., There are tonnes of examples of where the state tops up income......

AdrianC

I'm less sceptical than some. The figures and concepts DO add up - to an extent.

The OP has suggested the full value of the house is around £275k (£100k discount + £150k mortgage + 10% deposit), so the (near-on maximum) £100k discount would be just over 35% - which is the starting point for people who've been tenants between 3 and 5 years, rising by 1% per year.
https://www.gov.uk/right-to-buy-buying-your-council-home/discounts

The Right to Buy Social Mobility Fund certainly exists - and gives up to £30k discount for council tenants to buy a private-sector property. The big benefit with it is that it leaves the council property within the public sector.

BUT... there's VERY limited funds available for it. Only six London boroughs have been given funding from central Gov't, and two of those only £300k each total, another two only £600k each.
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/418717/successfulBidders.pdf
Sure, LAs can fund it themselves, but that's not incredibly likely given how skint they all are.

So actually getting £30k from it...? Yeh, good luck with that.

Whatever you might think about RtB, the fact is that it's been in place for 35 years, under governments of both main colours, and it's not going anywhere any time soon.

Red-Squirrel_2

Hang on a minute, council houses aren't a 'benefit', the OP will be paying the full rent for theirs and they aren't 'subsidised'. They are cheaper than private rents because private rents are overpriced and exist to make profit!

I presume the 33K is an incentive to get people to hand back council houses to slow the speed at which they're being lost. That probably makes financial sense for the council or they wouldn't do it! They can pay 33K now and keep the house, or they can sell it a 100K discount and have one less council house that won't get replaced.

Its not the OP's fault that RTB completely screwed up the social housing system in this country. It was always supposed to be for ordinary working families, of varying incomes, not just for the neediest.

somethingcorporate

Red-Squirrel wrote: »

Hang on a minute, council houses aren't a 'benefit', the OP will be paying the full rent for theirs and they aren't 'subsidised'. They are cheaper than private rents because private rents are overpriced and exist to make profit!

Well they are subsidised if the market rent is higher. If the government could charge market rent (private costs) but is deliberately allowing them to pay less it is being subsidised otherwise that increase would go into the public coffers. Rents are driven by market forces, not to make a profit. Private rent in a lot of houses may actually result in zero profit for a landlord as the rent is dictated by what the local market will supply.

Nick_C

somethingcorporate wrote: »

Well they are subsidised if the market rent is higher. If the government could charge market rent (private costs) but is deliberately allowing them to pay less it is being subsidised otherwise that increase would go into the public coffers.

But public services are not there to make profits for the Government. The cost of providing Council Housing is funded by the rents. Council rents are not subsidised. In fact some councils are using creative accounting to take money from their Housing Revenue Accounts to subsidise Council Taxpayers.

Private rents on the other hand allow profit making private landlords to be subsided through housing benefits, and this is a significant contributory factor to our current budget deficit - an estimated £24.5 billion in 2014/15.

The average housing benefit paid to tenants in council houses is £4,312 a year. The average in the private rented sector is £5,626.

We could save £2 billion a year if we could house private tenants on benefits in council housing.

See https://www.gov.uk/government/statistics/benefit-expenditure-and-caseload-tables-2014 and http://www.insidehousing.co.uk/systematic-raiding-of-housing-revenue-accounts/7004227.article

Hoploz

Personally I would rather you left the social housing system at the lowest cost to the tax payer, and move in to the private sector using your own money. There is little enough social housing due to so many being sold off, without people who no longer need them sitting pretty, denying those who really need housing a home.

fairy_lights

I'm gobsmacked that council tenants can get a 30 grand handout for buying a home and moving out of their council property.
It seems grossly unfair to everyone else who has to scrimp and save to get on the property ladder - OP has had the benefit of a council house for years and now gets a huge helping hand to buy a house. I don't blame the OP for seizing the opportunity with both hands, I don't think many of us can honestly say we would turn it down but, just....wow.