Right to buy tenant plan to cost LLs £50 Billion

RealElement47

Labour’s right-to-buy tenant plan could cost landlords £50bn
Britain’s landlords have reason to fear the plan to give tenants the right to buy at a discount.

https://www.thetimes.co.uk/article/labours-right-to-buy-tenant-plan-could-cost-landlords-50bn-2ssf668nf

RealElement47

50 per cent off the market price for a flat or 35 per cent for a house. After five years you get an extra 1 per cent discount for every extra year you have lived in the house, 2 per cent if it’s a flat, up to a maximum of 70 per cent, or £82,800 across England and £110,500 in London, whichever is lower.

Thrugelmir

RealElement47 wrote: »

50 per cent off the market price for a flat or 35 per cent for a house. After five years you get an extra 1 per cent discount for every extra year you have lived in the house, 2 per cent if it’s a flat, up to a maximum of 70 per cent, or £82,800 across England and £110,500 in London, whichever is lower.

And if there's a mortgage to settle?

[Deleted User]

Even as a tenant myself this won't be getting my vote, it is unworkable and could actually cause rent prices to rocket as landlords want to cover their risks. It could create an increase in evictions prior to the legislation as landlords sell to protect their investment.

Many renters don't buy a house for various reasons and it is likely those reasons will still apply even with the right to buy. This scheme could attract false renters with the sole intention of buying a house at a knock down price.

It will also reduce the availability and choice for renters which again may increase rental prices.

If my circumstances change such that I want to buy a house, I'd happily approach my landlord with a fair market price offer and/or look at similar priced houses on the market - I wouldn't expect my landlord to give a compulsory discount, although I'm sure some may consider a small discount for a quick and easy sale.

triathlon

RealElement47 wrote: »

Labour’s right-to-buy tenant plan could cost landlords £50bn
Britain’s landlords have reason to fear the plan to give tenants the right to buy at a discount.

https://www.thetimes.co.uk/article/labours-right-to-buy-tenant-plan-could-cost-landlords-50bn-2ssf668nf

Apart from hating landlords I wonder who else they blame for their life failings and poor decisions.

Kohoutek

The solution is to not rent out second properties - at least that's John McDonnell's solution with his own second home.

https://www.dailymail.co.uk/news/article-7423415/Shadow-Chancellor-John-McDonnells-idyllic-riverside-SECOND-HOME-Norfolk-Broads.html

RealElement47

Everything is pointing towards downward pressure on property prices

tacpot12

This is only the tip of the iceberg. With Momentum in charge of Labour policies, there will be a wholesale redistribution of wealth from those who have it to those who do not. Whether this is right or fair is a question for the electorate.

Everyone with property should be aware that that Momentum will come knocking for some of that property if Labour are elected.

MobileSaver

RealElement47 wrote: »

Everything is pointing towards downward pressure on property prices

The HPC crowd have been saying that since 2003 yet in that time house prices have risen over 60%! Could they have been more wrong? :beer:

chucknorris

RealElement47 wrote: »

Everything is pointing towards downward pressure on property prices

Are you pleased that you sold your imaginary property portfolio at the top of the market? Or because it was imaginary, is it not that important to you?

Just to remind everyone, you previously claimed to have sold a property portfolio at a high in the market on here, whilst at the same time asking for advice about debts while being on benefits on another forum board.

Cakeguts

With Momentum in control you can guarantee that once they have got rid of the property owned by landlords they will start on people who live in houses bigger than Momentum think they need. Of course none of this will apply to Momentum or Labour party politicians they can continue to live in big houses worth close a £million in Islington.