to think you shouldn't live in HA/council house and then buy an "investment property"

[humptynumpty]

Am totally at friend who has suggested we buy an investment property. Fair enough, is a great idea, but we live in a housing association property and somehow doesn't feel right to buy your own house, rent it out and make money, while keeping your housing association property too.
AIBU?

My DP privately rents a studio flat for £250 pcm. My HA house rent is £412 pcm. If he moved in with me, as I am medically unfit for work, we would have to try to cover all my rent and council tax on his wages. We can't. Not if I want to afford to get the DC's to school and pay my bills. So although we are trying to better our situation, DP has such a low wage that even with tax credits, it wouldn't cover the amount of IS I would lose. BUT I still don't agree that HA houses should be sold off (I was offered part ownership on mine 2 yrs back, but for an extortionate figure...) I wouldn't personally do it, if I had the money to do that, I would either go Private rented or buy a place (I wish) to let someone who was in more need than me have the HA place I'm in currently. It irks me that due to our situation, DP and I are/will always be unable to live together, I am signed off permanently sick from work, and HB doesn't allow for a 2-adult household where one adult cannot work. I've had to spend years before in crummy temp accomodation, with DC's to get a HA place because of people like this, who can afford their own house but won't free up the social housing for those that can't.

Loudlass have you put your details through entitled to? I know weare entitled to HB atmand I cant work for carer reasons, DH is on a very low incomelike your DP.

A buy to let property is an investment/business.The tenants income pays the mortgage.So the argument that you can necessarily afford to live in it yourself is nonsense.

Maybe the answer is to have millions more HA places. After all they are just houses/flats and you still pay rent on them. As I understand it the rent isn't subsidised as such (any Housing Benefit you get you could also get for a private place)

Also they don't have silly rules like the "no children" one that some private landlords have (just saw that in another thread)

The only people who would lose would be private landlords who buy property as an investment.

I agree, Onagar. If there were huge numbers of HA properties all the dodgy amateur landlords and investment buying would no longer be encouraged.

I think this argument is confused greatly by the obvious differences in amount and type of HA places in different areas.

Round here a lot of HA work on a shared ownership basis, and there is no list/you have to be on benefits etc. Single men who I know who have good jobs have part bought HA property.

Onagar - But that's just not going to happen is it, to be realsitic. Although I do know round here new build developments have to sell a small amount of the flats to LA for HA to buy and manage. They are trying to mix areas of private and social housing. Some estates round here are dreadful because they are all social housing and really run down.

Luckily we have a bidding system round here. That means gone is the old "we offer you a property and you have to accept it" rules. You are put in temporary accomodation then "bid" or show an interest in properties that become available and are put online each week. You can be as fussy as you like but will obviously wait longer if you won't accept just anywhere and in the mean time you are probably living ina bedsit or cramped flat somewhere not too plesant. Some places I was offered were so awful I'd rather sleep on the streets. Places I'd be too worried to even walk past after dark because of the high crime rates, buglaries, muggings etc.

"As I understand it the rent isn't subsidised as such"

Yep, that's true - and it's the thing lots of people don't seem to realise when they complain about HA tenants getting handouts. HAs are non-profit organisations, so the rents are set so they cover maintenance, staff costs etc. Goes to show how vastly overpriced private rents really are.

Hando, yeah it won't happen. I expect this government would rather everyone bought their home.

I know what you mean about turning down a place you are offered. A long time ago I was in that position myself. What they offered me first was so bad I really would have preferred sleeping in the corner of the car park which has been my worst experience up until then.