Right to buy on privately rented homes

RealElement47

One the one hand some are saying the HPCers were wrong, and on the other some are saying there are no perm property bulls left.

You have to be in either one camp or the other

MobileSaver

RealElement47 wrote: »

One the one hand some are saying the HPCers were wrong, and on the other some are saying there are no perm property bulls left. You have to be in either one camp or the other

And that's your problem, you and your sock puppets can only see end of the world extremes one way or the other.

For the rest of us we envisage house prices will bob along, sometimes a bit higher, sometimes a bit lower but over the long term staying higher due to the fundamental supply and demand issue that we as a nation are not creating anywhere near enough homes for the growing number of people who want them.

RealElement47

No, either you are a perma property bull or you are not.

If you don't think house prices can only go up forever without a correction, then you are not a perma property bull.

Welcome to the real world, where we believe a correction to property is very likely.

Lately the correction is looking more and more likely

RealElement47

DannyGold wrote: »

The UK faces some of the largest changes ever since the world wars.

Momentum is a powerful and increasingly independent political force that is radically transforming the Labour party, with local groups challenging party orthodoxies, flouting national membership rules and fighting to get their activists selected.

Right to buy from private LLs is just one example of the big changes that could come and radically transform the environment.

Filo25 wrote: »

I'm not a BTLer but on the face of it, this seems to be another populist economically stupid policy.

On the upside it isn't looking hugely likely that Labour will be getting a majority anytime soon, and I would guess stuff like this isn't going to be too popular with some of their potential coalition partners if they get close enough to be able to form a govt with support from other parties.

IT IS GOING TO BE VERY POPULAR WITH TEN MILLION RENTERS.

if it's a good idea doesn't come into it, if it wins a lot of votes is all that matters

Green_Bear

Cakeguts wrote: »

Because the houses that the renters will be able to buy at reduced rates are the ones that were bought cheap by landlords because no one else wanted to buy them. They will be the only ones left in the rental market all the decent ones would have been sold on long ago. If you have a rental property that can be sold easily you are going to do that and get out.



Remember the moan about landlords buying first time buyer properties and increasing the prices of those properties? What will be left will be the properties that first time buyers don't want. The ones in really bad areas and too small for families. All tenants who cannot get a mortgage or who don't want to buy will be stuck in these properties paying high rents because of the competition to get somewhere and they won't be able to move nor will they want or be able to buy them. That is why it is bad for renters.

I'm not sure I follow your argument.
If the houses that no one wants to buy are good enough to rent now, then why would the tenants of those properties be unhappy with a chance to buy the house they live in?

Tenants will not be forced into houses that are already occupied by tenants.
That makes no sense.

Green_Bear

RealElement47 wrote: »

No, either you are a perma property bull or you are not.

If you don't think house prices can only go up forever without a correction, then you are not a perma property bull.

Welcome to the real world, where we believe a correction to property is very likely.

Lately the correction is looking more and more likely

They can (and have) go up forever when priced in a fiat currency.

Green_Bear

I will be so bold as to make a prediction:

Despite all the arguments against UK residential BTL investment:

Additional 3% SDLT
s24
Removal of s21
Licensing
Threat of Corbyn RTB
etc
etc

There will STILL be posts on this site (and others) along the lines of:

''Hi there, I know nothing about what being a LL involves, but I've got £5k to put down as a deposit and I've heard in the pub that you can't go wrong with bricks and mortar. So I'm now a BTL LL''.

RealElement47

Green_Bear wrote: »

They can (and have) go up forever when priced in a fiat currency.

True in nominal terms they may be going up in fiat currency units, but falling in value at the same time.

The truth is when the correction comes property will almost certainly be going down a little in fiat currency, and falling a hell of a lot in inflation adjusted real terms.

The proposal alone of right to buy private could be the spark to light the fire of the comming correction to property prices.

Green_Bear

RealElement47 wrote: »

True in nominal terms they may be going up in fiat currency units, but falling in value at the same time.

The truth is when the correction comes property will almost certainly be going down a little in fiat currency, and falling a hell of a lot in inflation adjusted real terms.

The proposal alone of right to buy private could be the spark to light the fire of the comming correction to property prices.

You can only see real historical property price trends by looking at house prices measured in oz of gold or silver.

Green_Bear

RealElement47 wrote: »

IT IS GOING TO BE VERY POPULAR WITH TEN MILLION RENTERS.

if it's a good idea doesn't come into it, if it wins a lot of votes is all that matters

But will those renters bother to vote and will they be in the important (ie marginal) constituencies)?
That's the reality of British politics.