Rent to buy..great idea?

[bigsexydoug]

The lib dems say if they get elected (stop laughing at the back ! ) they will build 30,000 houses, you can then pay rent for 30 years and then the house becomes yours.

 

I think it's a fantastic idea, the worst that can happen is it becomes cost neutral, if people don't pay rent they can be evicted and someone else can start the 30 year cycle again meaning more is paid for the house so goes back to the excheuqer than the cost it cost to build the house.

 

Now this would actually improve many people's lives instead of say building the hs2 !

[El Cid]

It will get bad press, good or bad.

[Fogey]

Mmmmmm, but can you transfer the equity you build up to another property? If not its a terrible idea, the chances of you needing to move or change your home are fairly large.

[tinfoilhat]

More chance of space monkeys flying out of my posterior than the lib dems actually delivering or even trying to deliver that "promise".

 

University fees anyone? It was 5 years ago the country cannot be that thick.

[Mecky]

No, but thanks for the heads up to ignore yet another person

[bigsexydoug]

More chance of space monkeys flying out of my posterior than the lib dems actually delivering or even trying to deliver that "promise".

 

University fees anyone? It was 5 years ago the country cannot be that thick.

 

Of course they won't get in, unless via another coalition and there are bigger parties now to null and void the lib dems, however I think it's A brilliant idea, well worth other parties looking at, yes it would take some initial investment .

 

---------- Post added 14-03-2015 at 07:51 ----------

 

No, but thanks for the heads up to ignore yet another person

 

Your welcome, I shall care about as much as I do about the price of marmalade.

[tzijlstra]

More chance of space monkeys flying out of my posterior than the lib dems actually delivering or even trying to deliver that "promise".

 

University fees anyone? It was 5 years ago the country cannot be that thick.

 

Care to list the promises they did keep?

 

The mechanism already exists, what the LibDems want to do is expand it drastically and introduce a method for the rent-to-buyee to 'cash in' when they move, so they instantly have a deposit to buy outright.

 

It is a good plan, cost-neutral and effective.

[*Belle*]

I don't want to appear negative because on the face of it, it seems like a good idea. It shows that they are thinking, at least. But:

 

Add the cost of the land, the build costs, the 30 year maintenance and refurbishment costs, the rent and maintenance admin, the interest on the governments borrowing to finance the project, building insurance (need I go on?). Ok then, shoot me down in flames, but I bet the rent would have to kick off around £200 a week, which to me seems a bit of a stretch for the people that it is designed to help.

[tzijlstra]

I don't want to appear negative because on the face of it, it seems like a good idea. It shows that they are thinking, at least. But:

 

Add the cost of the land, the build costs, the 30 year maintenance and refurbishment costs, the rent and maintenance admin, the interest on the governments borrowing to finance the project, building insurance (need I go on?). Ok then, shoot me down in flames, but I bet the rent would have to kick off around £200 a week, which to me seems a bit of a stretch for the people that it is designed to help.

 

Actually it isn't, most people wanting to join the property ladder have that sort of money to pay rents but can not save up enough to accumulate a deposit. This scheme is designed to eliminate the need for a deposit AND provide those that take part with a way to build up a deposit over time.

 

Also, if the government write off the properties over a 100 year period, whilst the rates are set to 30 years it means the government does not lose out and might be able to be flexible with the rates.

[Mister M]

Although I'm not a Lib Dem supporter, it sounds like a good idea.