To think the benefit changes/proposals are going to cause a housing crash?

[Iamsparklyknickers]

It's going to be massively apparent that I'm no economist , but the more I hear on the subject of benefit changes the more I'm convinced a housing crash is going to happen.

My theory is that so many people - especially in the south - rely on benefits to stay in the location they're in despite having jobs. We all know there's a massive social housing shortage so it makes sense that a lot of working benefits are supporting private landlords rents.

If you take away anything that makes that affordable then people will just have to move = no more rent market = influx of properties on the market.

I think we'll see a lot more families sharing housing in the future if we carry on down this route personally, and I also think we haven't seen the full impact of the bedroom tax yet since a lot of people will struggle on to stay where they are or there just isn't anywhere to move to and most councils advice is to sit and wait to be evicted before they'll help you relocate.

Whilst I agree with some of the theory behind the changes, I don't think we have the foundations in place to make any of them workable and any savings will be eaten up getting people out of the messes they find themselves in.

As much as I love a good conspiracy theory I can't figure out why the government would choose to do that?Wouldn't a housing crash have a terrible impact on the economy? I may have missed something obvious, but it's as likely an outcome as everyone suddenly getting jobs/hours that pay enough for where they live.

I don't think the housing market will crash because of the bedroom tax.

We have a shortage of housing in this country and a growing population, so there are always people looking for accommodation.

Certainly in the south east, people will be pushed out of central London to the outer London areas. Sil is looking to swap her two bed flat for a three bed - she's been on the list for years and only had interest from one person, who was looking to downsize due to the bedroom tax, but they pulled out before even viewing the property.

I agree the bedroom tax in isolation would struggle to create a housing bust, but UB might be the straw that breaks the camels back so to speak.

I don't think the benefit changes will cause a property crash. Instead the changes will serve to socially engineer a change in the demographic of those living in London. London and popular areas will become the sole domain of the affluent. People will still want and be able to afford to live there.

here's hoping

^^
I wish it could be engineered so that low paid but necessary workers eg Nurses etc can afford to live in Inner London again.

Perhaps the conspiracy is that more people will be dependent on high speed rail, as the London sprawl moves out and out and out raising property prices and rents in all areas.

Well, I thought that would happen.

But I'm in the south east and prices are going up. I'm guessing that's to do with Osbournes new scheme to help first time buyers?

So I have no idea really.

No, sorry.

There are plenty of people looking to buy and rent houses. In fact in London it's pretty hard to find a decent private rental because there is such huge demand.

If you take away anything that makes that affordable then people will just have to move = no more rent market = influx of properties on the market.

your equation doesn't add up

people have to live somewhere, they may move but they will either - move somewhere smaller or they will house share like at the turn of the 20th century, when one family upstairs, one family down stairs

High speed rail - it will not stop between heathrow and b/ham

I wish, but I doubt it.

There's no such thing as bedroom tax.

How can it be a tax when it's simply a case of not paying more housing benefit than the claimant is entitled to?

It's a load of lefty bollocks.

Tax? my fucking arse it is.

Good night Shelly

Housing crash is the best thing that could happen. But it won't.

Well I am an economist and i don't think there's a housing crash going south any time soon. There's too much demand. And employment is reasonably high. Sadly. Rentals in the places people want are really hard to come by. There will always be someone else willing to pay that rent. It works like a wave - they might want Clapham but they'll get Balham or then Colliers Wood - just move out according to price range. But there will always be someone to pay that rent in Clapham. It might not be who it was last year, but there will be demand because there are enough people who can afford it.