Why buy – ever?

Electrum

If governments do cut back on housing benefits then rents will fall back also into line.

In cities like Berlin, renting is far more popular than in the UK, because of lower rents and better tenancy rights. These trends are slowly coming to the UK.

Graham_Devon

Problem here is I don't see much in the way of an attempt to cut back on housing benefit.

The tax credit cuts will actually see an increase in housing benefit.

Theres talk of course - there is always talk. But little action is taking place.

I also don't think cutting housing benefit is the right policy, personally. Capping rents and offering huge numbers of social housing units would be more effective and cut housing benefit over time.

martinsurrey

http://www.theguardian.com/world/2015/aug/19/why-stockholm-housing-rules-rent-control-flat

and there is the other side of the coin, in a regulated market there is demand but no supply. So a 30 year waiting list for the affordable rents.

its great for the people with one of them, but for the others, not so good.

from the comments

"One apartment got 2000 applications, winner waited since 1989 to get their apartment. If you decrease the price, then you increase the demand."

Herzlos

Bringing down housing benefit will just force those on it into more and more overcrowding. It's not going to touch rents.

I like the idea that some Scandinavian countries (I think) have; students can get free accomodation with pensioners in exchange for helping them out a bit and socialising. It takes some burden off the state, gives the pensioner some help and company, and gives the student a nice place to live and hopefully a great experience. I don't see why we couldn't do similar here.

I chose to buy because it seemed foolish not too - on a monthly basis (excluding major repair) it's cheaper than rent, it'll only go down, and I don't need to deal with any more landlords. So I can change/fix things without approval or having to bug them daily for weeks to get stuff done.

Out,_Vile_Jelly

Herzlos wrote: »

I like the idea that some Scandinavian countries (I think) have; students can get free accomodation with pensioners in exchange for helping them out a bit and socialising. It takes some burden off the state, gives the pensioner some help and company, and gives the student a nice place to live and hopefully a great experience. I don't see why we couldn't do similar here.

That's far too mature and civilised to ever take off here.

If people could be more confident about pensions, that could help houses be considered less as assets and more as useful places to live.

CLAPTON

Herzlos wrote: »

Bringing down housing benefit will just force those on it into more and more overcrowding. It's not going to touch rents.

I like the idea that some Scandinavian countries (I think) have; students can get free accomodation with pensioners in exchange for helping them out a bit and socialising. It takes some burden off the state, gives the pensioner some help and company, and gives the student a nice place to live and hopefully a great experience. I don't see why we couldn't do similar here.

I chose to buy because it seemed foolish not too - on a monthly basis (excluding major repair) it's cheaper than rent, it'll only go down, and I don't need to deal with any more landlords. So I can change/fix things without approval or having to bug them daily for weeks to get stuff done.

if some properties become more overcrowded then other properties will become less crowded and so will fall in price (i.e. there will be less demand for each place

however the 600,000 immigrant we welcome each year will probably maintain the current pricing levels


I don't think we have any laws that prevent pensioners offering students accommodation in exchange for help.

martinsurrey

CLAPTON wrote: »

if some properties become more overcrowded then other properties will become less crowded and so will fall in price (i.e. there will be less demand for each place

however the 600,000 immigrant we welcome each year will probably maintain the current pricing levels


I don't think we have any laws that prevent pensioners offering students accommodation in exchange for help.

they would be employees

tax laws, pension laws, minimum wage laws,

while not illegal, very bureaucratic.

CLAPTON

martinsurrey wrote: »

they would be employees

tax laws, pension laws, minimum wage laws,

while not illegal, very bureaucratic.

a good point ...................

The-Joker

CLAPTON wrote: »

if some properties become more overcrowded then other properties will become less crowded and so will fall in price (i.e. there will be less demand for each place

however the 600,000 immigrant we welcome each year will probably maintain the current pricing levels.

Its a redundant argument about immigrants increasing demand. The only demand increase comes from people who can afford the crazy asking prices.

If you go by the perm prop bulls supply demand argument, then go to these overflowing refugee camps. Loads of demand and very little supply of houses.

Dasa

Herzlos wrote: »

Bringing down housing benefit will just force those on it into more and more overcrowding. It's not going to touch rents.

I like the idea that some Scandinavian countries (I think) have; students can get free accomodation with pensioners in exchange for helping them out a bit and socialising. It takes some burden off the state, gives the pensioner some help and company, and gives the student a nice place to live and hopefully a great experience. I don't see why we couldn't do similar here.

I chose to buy because it seemed foolish not too - on a monthly basis (excluding major repair) it's cheaper than rent, it'll only go down, and I don't need to deal with any more landlords. So I can change/fix things without approval or having to bug them daily for weeks to get stuff done.

Yea I saw that on TV not long ago. From memory the students and oaps were living together in a sort of care home type of arrangement. The elderly residents said having the students around helped them feel young. I remember thinking at the time what a great idea it was. It seemed to work, but I suppose there must be some downsides to it.

Thrugelmir

Electrum wrote: »

In cities like Berlin, renting is far more popular than in the UK, because of lower rents and better tenancy rights. These trends are slowly coming to the UK.

More to do with historic issues. Berlin Wall only came down in 1990 in case you'd forgotten. Majority of post war housing in the cities was tenement blocks. Often 4 bedrooms in order to house entire families. As 90% of Germany's entire housing stock was destroyed in the war.