Frustrated property sellers equals happy renters.
The cost of renting a home has dropped as frustrated property sellers have been flooding the market, according to two separate surveys. Owners were choosing to let rather than sell, having accepted that property prices were likely to stay low for some time, said property website Globrix.
Cities such as Manchester continue to have an oversupply of new-build apartments, said Findaproperty.com. Its research chief said landlords were adding perks to attract tenants.
10 comments:
If owners let instead of selling, then surely they rent instead of buying, making it zero sum.
I'm guessing it's mainly down to the over supply in flats.
The oversupply of flats (apartments, a posh name for a flat now is it?) is the governments method of allowing for housing for an exploding population, driven predominantly by immigration. It's the Kwik Save way - stack it high, sell it cheap. Our government knows that more people, means more business, means more tax, and is happy to create the ghastly situation where hundreds of people occupy a small space, and may as well be drones in pods all lined up to put cash in the government coffers.
Anon 12:11 - "If owners let instead of selling, then surely they rent instead of buying, making it zero sum."
Not at all - people over-consume housing (ie people per sq ft) in a boom and under-consume in a r(d)epression. People move back to mum & dad - take in a lodger - downgrade their accommodation etc.
Anon at 12.11
I'm expecting straitened adults to return to elderly parents in multi-generational occupancies to tide them over.
Well that's our plan 'C' anyway.
More immigrants = more tax ?
Ain't necessarily so - especially as such a large proportion are unskilled and illiterate.
Electro Kevin; that last comment was dodgy to say the least. As for falling rents; tell that to the letting agents who are maintaining a false ceiling on rents, to the detriment of owners and tenants. They'd rather hold out, and have a void rather than lose their commission.
I wasn't in a position to buy my first house in 2000, then I missed out on the boom, but now glad we are almost back to square one. I spent the last 9 years working like crazy saving for a house. Now it's a question of how much longer to wait and even whether it's wise to buy with unemployment increasing.
RenterGirl, E-K's comment was just simply a bald statement of fact.
Facts aren't "dodgy", they're just reality, something that people are now having to face up to.
I live in one of the high immigration areas. If you believe the government, it must be an epicentre of new business creation and wealth galore. But reality is people packed in like sardines, most new businesses shabby little shops (no 21st century Microsofts incubating around here), tons of organised crime, filthy streets, low hygience standards for everything, utter chaos. Why can't Labour actually organise immigration better?
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