Right to buy on privately rented homes

DannyGold

MobileSaver wrote: »

Very true and the real losers would be renters as all that would happen is landlords wouldn't allow tenants to stay for longer than two years to ensure they couldn't take advantage of RTB at year three.

There are obviously going to be plans in place to protect against that.

What about the millions of tenants that have lived in a Place for longer than 2 years already?

GDB2222

It depends on the discount, of course, but how many tenants are able to raise a sizeable mortgage, anyway?

DannyGold

GDB2222 wrote: »

It depends on the discount, of course, but how many tenants are able to raise a sizeable mortgage, anyway?

Just shows how much prices need to fall

MobileSaver

DannyGold wrote: »

There are obviously going to be plans in place to protect against that.

Really? Do you have a source for that or did you just make it up as usual?

DannyGold wrote: »

What about the millions of tenants that have lived in a Place for longer than 2 years already?

What about them? You don't really think this will happen in the way that you think do you? :rotfl:

Stop believing the populist sound bites and HPC fantasy fictions for just one minute and think about the real world implications...

In your fantasy world, anyone who rents out a property for two years then has to offer it for sale to the tenant for say a 35% discount, so an £80,000 discount on the average UK house.

Where does that £80,000 come from? The landlord? The rental market would be decimated; why would anyone rent out a property if it meant losing £80,000 in three year's time? The Government? Where are they getting the money from when finances are already stretched? This isn't Council-owned property where the discount is just a balance sheet adjustment, this would be real money that has to paid to someone.

chucknorris

DannyGold wrote: »

What about the millions of tenants that have lived in a Place for longer than 2 years already?

We have tenants in one property who have been there 9 years, they are good tenants, and they have even asked us if we would be willing to sell the house to them. We may in the future, but not just yet (ideally 10 years from now). But if a Labour Gov was elected, and making noises about implementing a scheme such as this, we would have to assess the situation. We would have to consider whether to take the house back and sell it on the open market. A scheme such as this is going to take a while to get up and running, so we would have time on our side.

westernpromise

chucknorris wrote: »

We have tenants in one property who have been there 9 years, they are good tenants, and they have even asked us if we would be willing to sell the house to them. We may in the future, but not just yet (ideally 10 years from now). But if a Labour Gov was elected, and making noises about implementing a scheme such as this, we would have to assess the situation. We would have to consider whether to take the house back and sell it on the open market. A scheme such as this is going to take a while to get up and running, so we would have time on our side.

I'd love to know how it will work with HMOs as well. Take a 5-bedroom, 3-reception house that's an 8-bedroom HMO housing 16 people. Who has the right to buy what, exactly?

There would be instant homelessness in any event. I'd give notice to my tenants if anything of the sort looked likely, then simply leave it empty for a few years (or maybe move back in myself from Monday to Thursday for a slightly easier commute), or until one of my daughters eventually needs for or after university.

I have no idea where all the evictees would go. Obviously nobody's going to let a property ever again. I'm not sure it would be legal within the EU anyway - how can the state instruct an individual with a £200k mortgage to sell a £250k property for £150k?

chucknorris

westernpromise wrote: »

I'm not sure it would be legal within the EU anyway - how can the state instruct an individual with a £200k mortgage to sell a £250k property for £150k?

I think that the only way that it would work would be if it was voluntary scheme, along the lines of the discount being funded by, the saving of an estate agents fee, a Gov grant for the tenant buyer, and a CGT free sale for the owner.

DannyGold

chucknorris wrote: »

I think that the only way that it would work would be if it was voluntary scheme, along the lines of the discount being funded by, the saving of an estate agents fee, a Gov grant for the tenant buyer, and a CGT free sale for the owner.

Yes the cap gain free part sounds good.

Lot of LLs trying to sell now before the big falls but are hit by huge cap gains taxes

chucknorris

DannyGold wrote: »

Yes the cap gain free part sounds good.

Lot of LLs trying to sell now before the big falls but are hit by huge cap gains taxes

????? Hit by it? I wish that my CGT bills were a 1,000 times higher? You only pay CGT on the profit! Are you seriously arguing that it is better to break even or make a loss, rather than make a profit to avoid CGT?

MobileSaver

DannyGold wrote: »

Lot of LLs trying to sell now ... but are hit by huge cap gains taxes

LOL, you have no idea what you are talking about do you? :rotfl: