Renters getting shafted yet again

[Upthebracket22]

I know this might be just noise but Ed Davey is proposing that mortgage holders get £300 a month grants!

www.theguardian.com/politics/2022/nov/06/lib-dem-leader-ed-davey-proposes-300-a-month-mortgage-grants

I mean WTF? What about private renters who get shafted by landlords with huge annual rent rises! Do renters get a £300 a month grant?

Absolutely fucking shocking to be honest! (And clearly not really viable as it will feed even more into inflation)

100% agree with this

@GasPanic yes quite. I think a 30% correction is the prediction too from what I saw last week

I don’t know but think there’s zero chance of this being intended for BTL mortgages
and instead only owner occupied.

People always begrudge others getting help. Just read any of the benefits threads and the mere mention of upping it a bit is often met by outrage.

How they should live within their means. Get a better paid job etc.

Why not apply this same idea to mortgage payers rather than a handout?

Libdems id forgotten they existed.

There is nothing to suggest every homeowner would get that. Just the once having financial issues...
Like renters who have financial issues can get UC top ups.

I don't see what the issue is?

This

If you’d read the article you’d know it was coming from taxing banks.

I can't get worked up over it. Lib Dems always have stupid ideas. It won't happen.

Landlords are getting rid of their properties, for the past 12 months, and rents have shot up due to lack of supply and high demand.

Even with a probable drop in house prices, the estimate is between 10 and 15 per cent drop, how is that making houses more affordable for first time buyers when the interest rates have gone up as much as they have. The only saving grace is that deposits will be paying a slightly better interest rate, but not enough to make a conceivable difference. Plus when interest rates rise, people who have sunk money into property as a way of growing their money and protecting it from inflation, will be getting out because when you can earn 4 per cent on your capital, so commensurately more in stocks and shares and other vehicles, what's the point of risking it being a landlord?

@ihatethefuckingmuffin i think ultimately my point is that none ever gives a shit about renters.

we could have a society where the rental system is similar to some European countries - lifelong tenancies, tenants can decorate & raise their kids there, rent caps etc. That’s what it should be like.

But most U.K. landlords don’t want that- they want as much money as possible for as little contribution.

The whole rental market needs a total overhaul - renters are not second class citizens. Not everyone can buy buy that doesn’t mean they should live in an insecure slum.

I rent a house out. My mortgage has gone up by £100 a month. I havent yet increased it , It is going up again next month. I will have to pass that onto my tenants. I don't want to but I can't afford not to

Op renters get UC on decent incomes if they have very high rental costs. If they don't then their income is very high. You just sound bitter.

@NewNovember oh god ‘you just sound bitter’ = standard nonsense response on mumsnet to anything 🙄

And no, renters don’t get UC on decent incomes as it’s means tested.

Exactly. He might as well be promising everyone a free trifle. It doesn’t matter because it simply won’t happen.

Op yes they do on high incomes you can earn £50k and get UC if you have high housing costs.

Very unlikely. They'll only pay the local housing allowance rate. Not the amount your rent is

@Upthebracket22, it always amazes me when someone comes along and says if someone else did not have X number of houses others could buy them. It does not work like that. Any person wanting to buy a house has to have the deposit and multiplets necessary to afford the mortgage. Over last 5 years LL have been selling btl houses in their thousands and during this time house prices have carried on rising. Houses have not become cheaper with less LL in market. As it is LL have to pay 3 percent more stamp duty than other buyers. Also LL contribute to economy by paying tax. Without their contributions there would be less money for government to hand out in housing benefits. If you don't believe me look up the figures of LL who have now sold off btl and look at house price increases over same time.

@Upthebracket22 and decent landlords can get shafted too ! I for one don’t see my tenant as a cash cow but neither am I going to pay for her to live in my old home which I worked hard to buy in the first place !

@caringcarer yup.
Lots of rentals for sale around mine. Reasonable prices actually. No takers, but they are now empty and pressure on remaining rentals is ridiculous.

I wish this were true but they can raise it to whatever they like. Our landlord wants to raise our rent by 35%, we countered with 12% and are waiting to hear back. Absolutely insane, especially as when we moved in Dec. of 2020 his flat had been empty for 5 months. I am a landlord myself (I have property in my home country) and I would never raise rent beyond 3% on a tenant who had paid in a timely manner and took care of the property.

@Upthebracket22 single parent of two children a boy and girl aged 10 and 5 earning £50k living in London

@caringcarer but I also don’t buy this idea that housing in the U.K. would collapse with out landlords doing everyone a service.

Its not true. The housing market is undergoing a much needed correction which will hopefully mean that more people can buy their own home.

Ultimately that is excellent news- less BTL landlords and more families and young people in their own secure homes.

@Asher33 yes the LHA of £1300 not a low amount.

@NewNovember thats a single parent with kids though. It’s a specific set of circumstances. Lots of couples with no kids are paying half their income in rent & get no help.