[Finance] Rental price freezing.

[beorhthelm]

Because it's not a free market it's subsidised by taxpayers in the form of housing benefit

so the answer is they should cut housing benefit?

 

[darkwolf666]

so the answer is they should cut housing benefit?

I’ll make an assumption that was a joke, in which case hilarious!

If it’s not a joke, then that’s hilarious (not)!

 

[nicko31]

Seems Berlin are a real supply problem for housing. Will capping rents help and encourage developers to build more properties?

Might actually have the reverse effect and drive up the price of existing property...

 

[darkwolf666]

consensus of economists is that rent control is a bad idea. two main objections are it reduces the amount of rental property available and lowers quality. why would landlords invest if there is no return? rent in London is utterly ridiculous, but the solution is in increasing supply not reducing it, or making incentives to locate elsewhere.

Locate elsewhere, so rich/poor ghettos...!

Why should people who have possibly lived in an area for generations be forced to move because the area they live in has become fashionable and the renews unaffordable...

Surely, by “market forces” those areas that people could “relocate” to would also increase in price, due to market forces, making them unaffordable too, without assistance.

You clearly are a Tory, with no idea as to how the real people’s lives work!

 

[spongy]

Not an acceptable answer imo.

If you can't afford to live in Berlin, move to somewhere you can.

My parents did it 40+ years ago when they got married and couldn't afford to buy where they grew up - not a new idea being priced out of an area you would like to live or think you are entitled to live in.

This comment has just made me so ****ing angry.

Heres a little story for you.

I'm now 40 years old. I cant afford to buy my own house and am stuck in the rental trap.

I met my mrs at the age of 27 back in 06. We dated for 4 years before I proposed and we moved into our own rented place so we could just live together in our own space.

In that time the banking crisis happened so completely ****ed any chance us getting a 100% mortgage.

I was earning £18k a year in a factory and she was on 17k as a civvy for the police. We didnt have savings (how can you save on such a shit wage renting?).

Our landlord sold the flat we rented from under us so we had to move out in 2012. We couldn't afford to rent in Brighton (my home town for generations and where all my family and friends live) so we up sticks and moved to Burgess Hill in a small 1 bedroom masionette.

I got a new job in Burgess Hill and started a new career in CNC work. In 2013 we fell pregnant with our first daughter, during that time our rent increased by £50 a month in 2 years completely negating my pay rise for the new job. A first floor 1 bed masionette wasnt big enough but our then landlord introduced us to his friend that was looking to rent out his 2 bed ground floor flat in hassocks privately so avoiding those ***** of agencies.

We moved in in 2014 and 2 months later our daughter was born, our rent was £750 a month when we moved in so we had to find another £70 a month to afford it. Which was difficult on maternity pay.

During that time we discovered that our landlords sister was a letting agent and advised our landlord that he was renting his flat out "undervalue" so in 4 years our rent increased to £925 a month over the period, (no pay rise here so we're now cutting back on things to keep the roof over our heads) but in that time we had made new friends and settled in the area and applied for the school down the road for our daughter ready to start school in Sept 2018.

In January, two weeks after getting the school place our landlord gave us notice to move out as he was selling it so he could buy a place with his girlfriend.

We gave him over £39k towards his mortgage and then booted us out.

My whole ****ing world collapsed right there and then.

So now we live in Burgess Hill, miles from the train station at the other end of town, but our daughter still goes to school in hassocks.

Its tricky but we get by as we have to.

I desperately want to buy my own home but now my rent is £1k a month, I have all the usual bills to pay that go with running a home, 2 cars to run (she still works in shoreham) so needs it and to get daughter to school and back and commute.

I was going to sell my car and keep riding my bike to work but some **** nicked it after the Cardiff game last season.

In 2 weeks my mrs is due little Ms Spongy no2.

So heres some maths.

I earn 26k and she earns 23k.

We have £0 in savings as we just about have our heads above water.

With average house price in Burgess Hill at £300k.

So let's we say we start saving £200 a month into a "help to buy ISA".... we cant, we live and budget down to our last £10 a month that needs to last 3 days before payday.without having frivolous spending such a takeaway on a Friday night.

Even if we could then it would take 10 years to save for a deposit based on today's market. If house prices were frozen at today's value. Which of course they wont be.

So in 10 years I could have a deposit. But I'll be 50 years old with 18 years left until retirement (if I make it that long). MORTGAGE DECLINED.

I could ask my parents to help but they dont have any savings (dad is 73 and mum is 68). They own their house and I do get half to split with my sister. But do I want them to die now just so i can release the equilty to buy a house? Of course not. I'd rather keep them around for as long as i can thankyou!

I have spoken to a couple of mortgage advisors and some recommend a mortgage that can take the equity from my parents house to use as a deposit and we pay my parents back as part of it.

I thought it was brilliant so enquired further. The best deal I could get doing that mortgage was 28 year repayment @£1325 a month. Considering how much I pay in rent and how little I have disposable income I cant afford it.

I could probably cut back a bit more on stuff such as food maybe? Or clothes? Or petrol maybe if I turn it off when rolling down hill?

So my option according to you would be to move somewhere else? Where do you suggest?...

Up north maybe?

So are you seriously suggesting I should uproot everything I know and love to a different part of the country to buy a house in a shithole?

Are you suggesting that I should take my parents grand children and a new addition away from them and everything I know just to buy a house?

Believe me. I'm trying to do everything in my power to provide a decent life for my family. And I CANT. A

As far as I'm concerned my only purpose in life is to provide as good a life for my family as my parents did for me.

I cant to that. Do you know just how much that ****ing hurts? I regularly cry myself to sleep. Or spend my time awake at night trying to figure this out so I can provide for my family?

Let me know what to do yeah? I'm an intelligent person. I've retrained in my 30's in a completely different field of work, gone back to college and studied to higher level education.

Now I have another baby due and I cant afford to move back to where I loved living.

Wht do I do? Cut the cord now and pull my daughter out of school now as the second one due wont get a place there as we live too far away?

Or keep working all the hours good sends to try and get back there?

Take my wife and daughter away from from their elderly grand parents so they see her less before they die?

Regards.

A tired, broken man.

Heres a little kicker, I looked at 100% mortgages as apparently they're available now. Iwe need a joint income of £120k to get one. I think we're a bit short.

 

[darkwolf666]

This comment has just made me so ****ing angry.

Heres a little story for you.

I'm now 40 years old. I cant afford to buy my own house and am stuck in the rental trap.

I met my mrs at the age of 27 back in 06. We dated for 4 years before I proposed and we moved into our own rented place so we could just live together in our own space.

In that time the banking crisis happened so completely ****ed any chance us getting a 100% mortgage.

I was earning £18k a year in a factory and she was on 17k as a civvy for the police. We didnt have savings (how can you save on such a shit wage renting?).

Our landlord sold the flat we rented from under us so we had to move out in 2012. We couldn't afford to rent in Brighton (my home town for generations and where all my family and friends live) so we up sticks and moved to Burgess Hill in a small 1 bedroom masionette.

I got a new job in Burgess Hill and started a new career in CNC work. In 2013 we fell pregnant with our first daughter, during that time our rent increased by £50 a month in 2 years completely negating my pay rise for the new job. A first floor 1 bed masionette wasnt big enough but our then landlord introduced us to his friend that was looking to rent out his 2 bed ground floor flat in hassocks privately so avoiding those ***** of agencies.

We moved in in 2014 and 2 months later our daughter was born, our rent was £750 a month when we moved in so we had to find another £70 a month to afford it. Which was difficult on maternity pay.

During that time we discovered that our landlords sister was a letting agent and advised our landlord that he was renting his flat out "undervalue" so in 4 years our rent increased to £925 a month over the period, (no pay rise here so we're now cutting back on things to keep the roof over our heads) but in that time we had made new friends and settled in the area and applied for the school down the road for our daughter ready to start school in Sept 2018.

In January, two weeks after getting the school place our landlord gave us notice to move out as he was selling it so he could buy a place with his girlfriend.

We gave him over £39k towards his mortgage and then booted us out.

My whole ****ing world collapsed right there and then.

So now we live in Burgess Hill, miles from the train station at the other end of town, but our daughter still goes to school in hassocks.

Its tricky but we get by as we have to.

I desperately want to buy my own home but now my rent is £1k a month, I have all the usual bills to pay that go with running a home, 2 cars to run (she still works in shoreham) so needs it and to get daughter to school and back and commute.

I was going to sell my car and keep riding my bike to work but some **** nicked it after the Cardiff game last season.

In 2 weeks my mrs is due little Ms Spongy no2.

So heres some maths.

I earn 26k and she earns 23k.

We have £0 in savings as we just about have our heads above water.

With average house price in Burgess Hill at £300k.

So let's we say we start saving £200 a month into a "help to buy ISA".... we cant, we live and budget down to our last £10 a month that needs to last 3 days before payday.without having frivolous spending such a takeaway on a Friday night.

Even if we could then it would take 10 years to save for a deposit based on today's market. If house prices were frozen at today's value. Which of course they wont be.

So in 10 years I could have a deposit. But I'll be 50 years old with 18 years left until retirement (if I make it that long). MORTGAGE DECLINED.

I could ask my parents to help but they dont have any savings (dad is 73 and mum is 68). They own their house and I do get half to split with my sister. But do I want them to die now just so i can release the equilty to buy a house? Of course not. I'd rather keep them around for as long as i can thankyou!

I have spoken to a couple of mortgage advisors and some recommend a mortgage that can take the equity from my parents house to use as a deposit and we pay my parents back as part of it.

I thought it was brilliant so enquired further. The best deal I could get doing that mortgage was 28 year repayment @£1325 a month. Considering how much I pay in rent and how little I have disposable income I cant afford it.

I could probably cut back a bit more on stuff such as food maybe? Or clothes? Or petrol maybe if I turn it off when rolling down hill?

So my option according to you would be to move somewhere else? Where do you suggest?...

Up north maybe?

So are you seriously suggesting I should uproot everything I know and love to a different part of the country to buy a house in a shithole?

Are you suggesting that I should take my parents grand children and a new addition away from them and everything I know just to buy a house?

Believe me. I'm trying to do everything in my power to provide a decent life for my family. And I CANT. A

As far as I'm concerned my only purpose in life is to provide as good a life for my family as my parents did for me.

I cant to that. Do you know just how much that ****ing hurts? I regularly cry myself to sleep. Or spend my time awake at night trying to figure this out so I can provide for my family?

Let me know what to do yeah? I'm an intelligent person. I've retrained in my 30's in a completely different field of work, gone back to college and studied to higher level education.

Now I have another baby due and I cant afford to move back to where I loved living.

Wht do I do? Cut the cord now and pull my daughter out of school now as the second one due wont get a place there as we live too far away?

Or keep working all the hours good sends to try and get back there?

Take my wife and daughter away from from their elderly grand parents so they see her less before they die?

Regards.

A tired, broken man.

Sums it up so well, yet I guarantee some ****wit will say don't have kids if you can't afford it..

 

[Machiavelli]

I agree but also disagree. Housing is a basic necessity for most people, so there needs to be some significant oversight from the government. Historically, the government have favoured policies that keep homeowners happy, since those are the vast majority of voters. Hence you end up with policies that increase the 'value' of people's property. If your house is worth loads more than you paid, you are generally happy (odd really, since you can't unlock that value without downsizing!).

The policies for housing are an utter disaster in this country. They government surely know that most of their 'help to buy' policies are simply driving prices UP. They can't be so naïve to believe otherwise.

We need some sort of incentive to stop people from land banking and we need to speed up the planning processes. I genuinely think the government need to be building a lot of houses as private enterprise is ALWAYS going to keep supply low to make greater profits. The reality is that the 'free market' won't make some building company come in and rapidly expand by severely undercutting other builders. There is no point - it's just additional risk with less profit per unit. They don't need to do that, there is so much demand they can keep doing what they're doing.

Farce. God knows what happens over the next 10 years when a LOT more voters don't have property of their own.

Great post, but as to your last sentence, it's happening already. The Thatcher revolution began with property ('a property-owning democracy') and it may well end with property, as the young are increasingly being priced out of the market -- the proportion of the young owning property has fallen over recent decades, and the average age for first time buy has increased. Much of this is down to distribution with the number of buy-to-lets and second homes growing, but it's also down to the number of homes with the number of new builds, as you indicate, way below the level of demand.
If you look at housing over the last century or so, it's only when the government has stepped in that supply has managed to catch up with, meet or exceed demand, and that needs to be returned to, but it's going to take a long, long time -- several decades -- to repair what's gone on in recent decades. As you also point out, it'll meet ridiculous resistance too, often from those that it'll benefit.

 

[Machiavelli]

This comment has just made me so ****ing angry.

Heres a little story for you.

I'm now 40 years old. I cant afford to buy my own house and am stuck in the rental trap.

I met my mrs at the age of 27 back in 06. We dated for 4 years before I proposed and we moved into our own rented place so we could just live together in our own space.

In that time the banking crisis happened so completely ****ed any chance us getting a 100% mortgage.

I was earning £18k a year in a factory and she was on 17k as a civvy for the police. We didnt have savings (how can you save on such a shit wage renting?).

Our landlord sold the flat we rented from under us so we had to move out in 2012. We couldn't afford to rent in Brighton (my home town for generations and where all my family and friends live) so we up sticks and moved to Burgess Hill in a small 1 bedroom masionette.

I got a new job in Burgess Hill and started a new career in CNC work. In 2013 we fell pregnant with our first daughter, during that time our rent increased by £50 a month in 2 years completely negating my pay rise for the new job. A first floor 1 bed masionette wasnt big enough but our then landlord introduced us to his friend that was looking to rent out his 2 bed ground floor flat in hassocks privately so avoiding those ***** of agencies.

We moved in in 2014 and 2 months later our daughter was born, our rent was £750 a month when we moved in so we had to find another £70 a month to afford it. Which was difficult on maternity pay.

During that time we discovered that our landlords sister was a letting agent and advised our landlord that he was renting his flat out "undervalue" so in 4 years our rent increased to £925 a month over the period, (no pay rise here so we're now cutting back on things to keep the roof over our heads) but in that time we had made new friends and settled in the area and applied for the school down the road for our daughter ready to start school in Sept 2018.

In January, two weeks after getting the school place our landlord gave us notice to move out as he was selling it so he could buy a place with his girlfriend.

We gave him over £39k towards his mortgage and then booted us out.

My whole ****ing world collapsed right there and then.

So now we live in Burgess Hill, miles from the train station at the other end of town, but our daughter still goes to school in hassocks.

Its tricky but we get by as we have to.

I desperately want to buy my own home but now my rent is £1k a month, I have all the usual bills to pay that go with running a home, 2 cars to run (she still works in shoreham) so needs it and to get daughter to school and back and commute.

I was going to sell my car and keep riding my bike to work but some **** nicked it after the Cardiff game last season.

In 2 weeks my mrs is due little Ms Spongy no2.

So heres some maths.

I earn 26k and she earns 23k.

We have £0 in savings as we just about have our heads above water.

With average house price in Burgess Hill at £300k.

So let's we say we start saving £200 a month into a "help to buy ISA".... we cant, we live and budget down to our last £10 a month that needs to last 3 days before payday.without having frivolous spending such a takeaway on a Friday night.

Even if we could then it would take 10 years to save for a deposit based on today's market. If house prices were frozen at today's value. Which of course they wont be.

So in 10 years I could have a deposit. But I'll be 50 years old with 18 years left until retirement (if I make it that long). MORTGAGE DECLINED.

I could ask my parents to help but they dont have any savings (dad is 73 and mum is 68). They own their house and I do get half to split with my sister. But do I want them to die now just so i can release the equilty to buy a house? Of course not. I'd rather keep them around for as long as i can thankyou!

I have spoken to a couple of mortgage advisors and some recommend a mortgage that can take the equity from my parents house to use as a deposit and we pay my parents back as part of it.

I thought it was brilliant so enquired further. The best deal I could get doing that mortgage was 28 year repayment @£1325 a month. Considering how much I pay in rent and how little I have disposable income I cant afford it.

I could probably cut back a bit more on stuff such as food maybe? Or clothes? Or petrol maybe if I turn it off when rolling down hill?

So my option according to you would be to move somewhere else? Where do you suggest?...

Up north maybe?

So are you seriously suggesting I should uproot everything I know and love to a different part of the country to buy a house in a shithole?

Are you suggesting that I should take my parents grand children and a new addition away from them and everything I know just to buy a house?

Believe me. I'm trying to do everything in my power to provide a decent life for my family. And I CANT. A

As far as I'm concerned my only purpose in life is to provide as good a life for my family as my parents did for me.

I cant to that. Do you know just how much that ****ing hurts? I regularly cry myself to sleep. Or spend my time awake at night trying to figure this out so I can provide for my family?

Let me know what to do yeah? I'm an intelligent person. I've retrained in my 30's in a completely different field of work, gone back to college and studied to higher level education.

Now I have another baby due and I cant afford to move back to where I loved living.

Wht do I do? Cut the cord now and pull my daughter out of school now as the second one due wont get a place there as we live too far away?

Or keep working all the hours good sends to try and get back there?

Take my wife and daughter away from from their elderly grand parents so they see her less before they die?

Regards.

A tired, broken man.

Heres a little kicker, I looked at 100% mortgages as apparently they're available now. Iwe need a joint income of £120k to get one. I think we're a bit short.

Thanks for posting this. It takes brave interventions like this to encourage folk to re-evaluate their views although, unfortunately, I'm not holding my breath

 

[beorhthelm]

I’ll make an assumption that was a joke, in which case hilarious!

If it’s not a joke, then that’s hilarious (not)!

was your comment a joke? how does housing benefit contribute to rents, other than by enabling some tenants to pay higher rent? im pretty sure you dont want to reverse that. besides, its capped so not really contributing to the high end.
the answer is more supply, everything else is intervention to avoid this.

 

[portslade seagull]

Really? Who exactly has said this?

Germany already has some of the toughest rent laws already in Europe. Various and numerous types of rent controls, including capping of increases, already exist here and have been around for many years if not decades. Neither have markedly decreased volume or impeded the quality as you suggest. FYI 60% of German residential property is let, and in the main is owned and funded in a very different way to the U.K. I really can’t see how you can sweepingly state it’s bad when markets, cultures, law and economies are so different between the U.K. and Germany are also so different.

I thought Germany was more a rental market. Ours only went the other way when MT decided to pawn of the council housing stock

 

[SollysLeftFoot]

Would be grand, but not going to happen, the same ones who’ll cry about rent caps will be the same ones crying about new housing developments to help alleviate the housing crisis.

 

[Herr Tubthumper]

I thought Germany was more a rental market. Ours only went the other way when MT decided to pawn of the council housing stock

In Germany around 60% is rental. In the U.K. I think it’s 35% ish.

 

[Pinkie Brown]

I did wonder if that was the case about the area - we went to bar called Supermolly which was like no-other i had visited before. The majority of people drinking there did not pay as they lived above and did things for the general cause of the property/community.

We did find some great nightspots in and around the area however number 1 on my list was unobtainable thanks to a outstretched arm to the left saying I was not to enter without any spoken word and a walk down a well trodden path by many

Yep, know it. Near Frankfurter Allee. Anyone that pays for beer, it's only about e1.50. The walk from the main bar to the music section is a minor adventure. Down a set of steps out the back, along a dark passage past the bins, down a ramp, through another door then along another passage to the entrance. I've seen Attila a couple of times there in past years. Friedrichshain & neighbouring Kreuzberg are virtually ungentryfiable. Long may it stay that way. Google got chased out of town by protests last year when they had plans to set up office in Kreuzberg. That would have been the slippery slope. Plus of course even higher rents.

 

[AmexRuislip]

Would be grand, but not going to happen, the same ones who’ll cry about rent caps will be the same ones crying about new housing developments to help alleviate the housing crisis.

Hows Luton these days?
Wasn't exactly winning awards for Britain in bloom, when I knocked about there in the late 80s

 

[Herr Tubthumper]

This comment has just made me so ****ing angry.

Heres a little story for you.

I'm now 40 years old. I cant afford to buy my own house and am stuck in the rental trap.

I met my mrs at the age of 27 back in 06. We dated for 4 years before I proposed and we moved into our own rented place so we could just live together in our own space.

In that time the banking crisis happened so completely ****ed any chance us getting a 100% mortgage.

I was earning £18k a year in a factory and she was on 17k as a civvy for the police. We didnt have savings (how can you save on such a shit wage renting?).

Our landlord sold the flat we rented from under us so we had to move out in 2012. We couldn't afford to rent in Brighton (my home town for generations and where all my family and friends live) so we up sticks and moved to Burgess Hill in a small 1 bedroom masionette.

I got a new job in Burgess Hill and started a new career in CNC work. In 2013 we fell pregnant with our first daughter, during that time our rent increased by £50 a month in 2 years completely negating my pay rise for the new job. A first floor 1 bed masionette wasnt big enough but our then landlord introduced us to his friend that was looking to rent out his 2 bed ground floor flat in hassocks privately so avoiding those ***** of agencies.

We moved in in 2014 and 2 months later our daughter was born, our rent was £750 a month when we moved in so we had to find another £70 a month to afford it. Which was difficult on maternity pay.

During that time we discovered that our landlords sister was a letting agent and advised our landlord that he was renting his flat out "undervalue" so in 4 years our rent increased to £925 a month over the period, (no pay rise here so we're now cutting back on things to keep the roof over our heads) but in that time we had made new friends and settled in the area and applied for the school down the road for our daughter ready to start school in Sept 2018.

In January, two weeks after getting the school place our landlord gave us notice to move out as he was selling it so he could buy a place with his girlfriend.

We gave him over £39k towards his mortgage and then booted us out.

My whole ****ing world collapsed right there and then.

So now we live in Burgess Hill, miles from the train station at the other end of town, but our daughter still goes to school in hassocks.

Its tricky but we get by as we have to.

I desperately want to buy my own home but now my rent is £1k a month, I have all the usual bills to pay that go with running a home, 2 cars to run (she still works in shoreham) so needs it and to get daughter to school and back and commute.

I was going to sell my car and keep riding my bike to work but some **** nicked it after the Cardiff game last season.

In 2 weeks my mrs is due little Ms Spongy no2.

So heres some maths.

I earn 26k and she earns 23k.

We have £0 in savings as we just about have our heads above water.

With average house price in Burgess Hill at £300k.

So let's we say we start saving £200 a month into a "help to buy ISA".... we cant, we live and budget down to our last £10 a month that needs to last 3 days before payday.without having frivolous spending such a takeaway on a Friday night.

Even if we could then it would take 10 years to save for a deposit based on today's market. If house prices were frozen at today's value. Which of course they wont be.

So in 10 years I could have a deposit. But I'll be 50 years old with 18 years left until retirement (if I make it that long). MORTGAGE DECLINED.

I could ask my parents to help but they dont have any savings (dad is 73 and mum is 68). They own their house and I do get half to split with my sister. But do I want them to die now just so i can release the equilty to buy a house? Of course not. I'd rather keep them around for as long as i can thankyou!

I have spoken to a couple of mortgage advisors and some recommend a mortgage that can take the equity from my parents house to use as a deposit and we pay my parents back as part of it.

I thought it was brilliant so enquired further. The best deal I could get doing that mortgage was 28 year repayment @£1325 a month. Considering how much I pay in rent and how little I have disposable income I cant afford it.

I could probably cut back a bit more on stuff such as food maybe? Or clothes? Or petrol maybe if I turn it off when rolling down hill?

So my option according to you would be to move somewhere else? Where do you suggest?...

Up north maybe?

So are you seriously suggesting I should uproot everything I know and love to a different part of the country to buy a house in a shithole?

Are you suggesting that I should take my parents grand children and a new addition away from them and everything I know just to buy a house?

Believe me. I'm trying to do everything in my power to provide a decent life for my family. And I CANT. A

As far as I'm concerned my only purpose in life is to provide as good a life for my family as my parents did for me.

I cant to that. Do you know just how much that ****ing hurts? I regularly cry myself to sleep. Or spend my time awake at night trying to figure this out so I can provide for my family?

Let me know what to do yeah? I'm an intelligent person. I've retrained in my 30's in a completely different field of work, gone back to college and studied to higher level education.

Now I have another baby due and I cant afford to move back to where I loved living.

Wht do I do? Cut the cord now and pull my daughter out of school now as the second one due wont get a place there as we live too far away?

Or keep working all the hours good sends to try and get back there?

Take my wife and daughter away from from their elderly grand parents so they see her less before they die?

Regards.

A tired, broken man.

Heres a little kicker, I looked at 100% mortgages as apparently they're available now. Iwe need a joint income of £120k to get one. I think we're a bit short.

A very brave and open post. Maybe this will make people think instead of making such smug and crass statements like the one which angered you.

 

[darkwolf666]

was your comment a joke? how does housing benefit contribute to rents, other than by enabling some tenants to pay higher rent? im pretty sure you dont want to reverse that. besides, its capped so not really contributing to the high end.
the answer is more supply, everything else is intervention to avoid this.

What a ridiculous statement, of course housing benefit contributes towards the cost of rent and keeping them inflated. Mr landlord know that he can ask above market price and still get tenants, price gets driven up, so Mrs Landlord asks a but more and so it goes on, all the while a large percentage of this is being met by the taxpayer!

Cap rents, as was the point of this thread and landlords may see their profit drop from 8% to 6% but they will still be making money... Without such a large burden on the state

 

[blue-shifted]

This comment has just made me so ****ing angry.

Heres a little story for you.

I'm now 40 years old. I cant afford to buy my own house and am stuck in the rental trap.

I met my mrs at the age of 27 back in 06. We dated for 4 years before I proposed and we moved into our own rented place so we could just live together in our own space.

In that time the banking crisis happened so completely ****ed any chance us getting a 100% mortgage.

I was earning £18k a year in a factory and she was on 17k as a civvy for the police. We didnt have savings (how can you save on such a shit wage renting?).

Our landlord sold the flat we rented from under us so we had to move out in 2012. We couldn't afford to rent in Brighton (my home town for generations and where all my family and friends live) so we up sticks and moved to Burgess Hill in a small 1 bedroom masionette.

I got a new job in Burgess Hill and started a new career in CNC work. In 2013 we fell pregnant with our first daughter, during that time our rent increased by £50 a month in 2 years completely negating my pay rise for the new job. A first floor 1 bed masionette wasnt big enough but our then landlord introduced us to his friend that was looking to rent out his 2 bed ground floor flat in hassocks privately so avoiding those ***** of agencies.

We moved in in 2014 and 2 months later our daughter was born, our rent was £750 a month when we moved in so we had to find another £70 a month to afford it. Which was difficult on maternity pay.

During that time we discovered that our landlords sister was a letting agent and advised our landlord that he was renting his flat out "undervalue" so in 4 years our rent increased to £925 a month over the period, (no pay rise here so we're now cutting back on things to keep the roof over our heads) but in that time we had made new friends and settled in the area and applied for the school down the road for our daughter ready to start school in Sept 2018.

In January, two weeks after getting the school place our landlord gave us notice to move out as he was selling it so he could buy a place with his girlfriend.

We gave him over £39k towards his mortgage and then booted us out.

My whole ****ing world collapsed right there and then.

So now we live in Burgess Hill, miles from the train station at the other end of town, but our daughter still goes to school in hassocks.

Its tricky but we get by as we have to.

I desperately want to buy my own home but now my rent is £1k a month, I have all the usual bills to pay that go with running a home, 2 cars to run (she still works in shoreham) so needs it and to get daughter to school and back and commute.

I was going to sell my car and keep riding my bike to work but some **** nicked it after the Cardiff game last season.

In 2 weeks my mrs is due little Ms Spongy no2.

So heres some maths.

I earn 26k and she earns 23k.

We have £0 in savings as we just about have our heads above water.

With average house price in Burgess Hill at £300k.

So let's we say we start saving £200 a month into a "help to buy ISA".... we cant, we live and budget down to our last £10 a month that needs to last 3 days before payday.without having frivolous spending such a takeaway on a Friday night.

Even if we could then it would take 10 years to save for a deposit based on today's market. If house prices were frozen at today's value. Which of course they wont be.

So in 10 years I could have a deposit. But I'll be 50 years old with 18 years left until retirement (if I make it that long). MORTGAGE DECLINED.

I could ask my parents to help but they dont have any savings (dad is 73 and mum is 68). They own their house and I do get half to split with my sister. But do I want them to die now just so i can release the equilty to buy a house? Of course not. I'd rather keep them around for as long as i can thankyou!

I have spoken to a couple of mortgage advisors and some recommend a mortgage that can take the equity from my parents house to use as a deposit and we pay my parents back as part of it.

I thought it was brilliant so enquired further. The best deal I could get doing that mortgage was 28 year repayment @£1325 a month. Considering how much I pay in rent and how little I have disposable income I cant afford it.

I could probably cut back a bit more on stuff such as food maybe? Or clothes? Or petrol maybe if I turn it off when rolling down hill?

So my option according to you would be to move somewhere else? Where do you suggest?...

Up north maybe?

So are you seriously suggesting I should uproot everything I know and love to a different part of the country to buy a house in a shithole?

Are you suggesting that I should take my parents grand children and a new addition away from them and everything I know just to buy a house?

Believe me. I'm trying to do everything in my power to provide a decent life for my family. And I CANT. A

As far as I'm concerned my only purpose in life is to provide as good a life for my family as my parents did for me.

I cant to that. Do you know just how much that ****ing hurts? I regularly cry myself to sleep. Or spend my time awake at night trying to figure this out so I can provide for my family?

Let me know what to do yeah? I'm an intelligent person. I've retrained in my 30's in a completely different field of work, gone back to college and studied to higher level education.

Now I have another baby due and I cant afford to move back to where I loved living.

Wht do I do? Cut the cord now and pull my daughter out of school now as the second one due wont get a place there as we live too far away?

Or keep working all the hours good sends to try and get back there?

Take my wife and daughter away from from their elderly grand parents so they see her less before they die?

Regards.

A tired, broken man.

Heres a little kicker, I looked at 100% mortgages as apparently they're available now. Iwe need a joint income of £120k to get one. I think we're a bit short.

Massive kudos to you my friend.

The conversation about housing is dominated by smug daily mail twats who view it as an opportunity to go on about how successful they are or how much they earn, when in reality they either inherited or were in the right place at the right time when buying their first home.

The link between normal paying jobs and being able to buy a house (without significant help) has been broken, especially in the part of the country we live in. Partly it's caused by people moving to the south east of course, but decades of (housebuilders lobby influenced) government policy designed to reduce the stock of housing that normal people need hasn't helped.

 

[AmexRuislip]

This comment has just made me so ****ing angry.

Heres a little story for you.

I'm now 40 years old. I cant afford to buy my own house and am stuck in the rental trap.

I met my mrs at the age of 27 back in 06. We dated for 4 years before I proposed and we moved into our own rented place so we could just live together in our own space.

In that time the banking crisis happened so completely ****ed any chance us getting a 100% mortgage.

I was earning £18k a year in a factory and she was on 17k as a civvy for the police. We didnt have savings (how can you save on such a shit wage renting?).

Our landlord sold the flat we rented from under us so we had to move out in 2012. We couldn't afford to rent in Brighton (my home town for generations and where all my family and friends live) so we up sticks and moved to Burgess Hill in a small 1 bedroom masionette.

I got a new job in Burgess Hill and started a new career in CNC work. In 2013 we fell pregnant with our first daughter, during that time our rent increased by £50 a month in 2 years completely negating my pay rise for the new job. A first floor 1 bed masionette wasnt big enough but our then landlord introduced us to his friend that was looking to rent out his 2 bed ground floor flat in hassocks privately so avoiding those ***** of agencies.

We moved in in 2014 and 2 months later our daughter was born, our rent was £750 a month when we moved in so we had to find another £70 a month to afford it. Which was difficult on maternity pay.

During that time we discovered that our landlords sister was a letting agent and advised our landlord that he was renting his flat out "undervalue" so in 4 years our rent increased to £925 a month over the period, (no pay rise here so we're now cutting back on things to keep the roof over our heads) but in that time we had made new friends and settled in the area and applied for the school down the road for our daughter ready to start school in Sept 2018.

In January, two weeks after getting the school place our landlord gave us notice to move out as he was selling it so he could buy a place with his girlfriend.

We gave him over £39k towards his mortgage and then booted us out.

My whole ****ing world collapsed right there and then.

So now we live in Burgess Hill, miles from the train station at the other end of town, but our daughter still goes to school in hassocks.

Its tricky but we get by as we have to.

I desperately want to buy my own home but now my rent is £1k a month, I have all the usual bills to pay that go with running a home, 2 cars to run (she still works in shoreham) so needs it and to get daughter to school and back and commute.

I was going to sell my car and keep riding my bike to work but some **** nicked it after the Cardiff game last season.

In 2 weeks my mrs is due little Ms Spongy no2.

So heres some maths.

I earn 26k and she earns 23k.

We have £0 in savings as we just about have our heads above water.

With average house price in Burgess Hill at £300k.

So let's we say we start saving £200 a month into a "help to buy ISA".... we cant, we live and budget down to our last £10 a month that needs to last 3 days before payday.without having frivolous spending such a takeaway on a Friday night.

Even if we could then it would take 10 years to save for a deposit based on today's market. If house prices were frozen at today's value. Which of course they wont be.

So in 10 years I could have a deposit. But I'll be 50 years old with 18 years left until retirement (if I make it that long). MORTGAGE DECLINED.

I could ask my parents to help but they dont have any savings (dad is 73 and mum is 68). They own their house and I do get half to split with my sister. But do I want them to die now just so i can release the equilty to buy a house? Of course not. I'd rather keep them around for as long as i can thankyou!

I have spoken to a couple of mortgage advisors and some recommend a mortgage that can take the equity from my parents house to use as a deposit and we pay my parents back as part of it.

I thought it was brilliant so enquired further. The best deal I could get doing that mortgage was 28 year repayment @£1325 a month. Considering how much I pay in rent and how little I have disposable income I cant afford it.

I could probably cut back a bit more on stuff such as food maybe? Or clothes? Or petrol maybe if I turn it off when rolling down hill?

So my option according to you would be to move somewhere else? Where do you suggest?...

Up north maybe?

So are you seriously suggesting I should uproot everything I know and love to a different part of the country to buy a house in a shithole?

Are you suggesting that I should take my parents grand children and a new addition away from them and everything I know just to buy a house?

Believe me. I'm trying to do everything in my power to provide a decent life for my family. And I CANT. A

As far as I'm concerned my only purpose in life is to provide as good a life for my family as my parents did for me.

I cant to that. Do you know just how much that ****ing hurts? I regularly cry myself to sleep. Or spend my time awake at night trying to figure this out so I can provide for my family?

Let me know what to do yeah? I'm an intelligent person. I've retrained in my 30's in a completely different field of work, gone back to college and studied to higher level education.

Now I have another baby due and I cant afford to move back to where I loved living.

Wht do I do? Cut the cord now and pull my daughter out of school now as the second one due wont get a place there as we live too far away?

Or keep working all the hours good sends to try and get back there?

Take my wife and daughter away from from their elderly grand parents so they see her less before they die?

Regards.

A tired, broken man.

Heres a little kicker, I looked at 100% mortgages as apparently they're available now. Iwe need a joint income of £120k to get one. I think we're a bit short.

[MENTION=6886]Bozza[/MENTION], this is the reason for enquiry

 

[darkwolf666]

In Germany around 60% is rental. In the U.K. I think it’s 35% ish.

Does the tenant have stability in Germany, as in long rents. The major problem in the UK rental market is the not knowing if you've got somewhere to live at two months notice!

 

[darkwolf666]

Massive kudos to you my friend.

The conversation about housing is dominated by smug daily mail twats who view it as an opportunity to go on about how successful they are or how much they earn, when in reality they either inherited or were in the right place at the right time when buying their first home.

The link between normal paying jobs and being able to buy a house (without significant help) has been broken, especially in the part of the country we live in. Partly it's caused by people moving to the south east of course, but decades of (housebuilders lobby influenced) government policy designed to reduce the stock of housing that normal people need hasn't helped.

This, with ****ing huge great brass knobs on.

St Maggie of Grantham has a lot to answer for!