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Tenants Trapped In The Rental Sector Has Reached Its Highest Levels

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Despite government efforts to make the jump on to the property ladder easier. Three-fifths (60 per cent) of renters said they cannot afford to move out of the sector, showing an increase from 58 per cent three months ago. The large chunk of renters left behind, who would like to buy but cannot afford to, has been added to by former home owners who have returned to the rental sector in the tough economy. Around one third (31 per cent) of trapped renters said they had previously owned their own home. 96 per cent of current renters said they still dream of owning their own home at some point and one in six (16 per cent) of those expecting to buy their first home this year were 40 years old or over.

The study found that only 15 per cent of potential buyers said their deposit saving is on course amid high inflation, poor returns on savings and sluggish wage growth.

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Who said we are recovering?

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trapped?

I don't feel trapped

Me neither, but I do feel a demographic coming on... first change to the law in favour of renters in 5, 4, 3, 2, 1...

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From Shelter

Renting has as many benefits for some as it has disadvantages for others. The position of renting for families, who have no choice but to rent, could be so much different than it is in the UK NI. Shelters research shows the impact of unstable housing on families and on children. This is mainly due to the terms and conditions of tenancy contracts - inexperienced and 'couldn't care less' (my opinion - not the way Shelter describe it )attitudes of landlords.

1 in 10 renting families (10%) have had to change their children’s school due to moving, with moves causing stress and upset for some children.

Renting families are nine times as likely to have moved in the last year than families who own their homes.

44% of parents feel their children would have a better childhood if they had more stability in their home. Less than 10% of families value the freedom and flexibility renting gives them.

Nearly three quarters of families (72%) are struggling or falling behind with their rent (compared to 63% of all renters), with many cutting back on essentials to stay in their homes.

In the last year 28% of families have not had repairs carried out or poor conditions dealt with by their landlord or letting agent.

http://england.shelter.org.uk/professional_resources/policy_and_research/policy_library/policy_library_folder/growing_up_renting_a_childhood_spent_in_private_rented_homes

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From Shelter

Renting has as many benefits for some as it has disadvantages for others. The position of renting for families, who have no choice but to rent, could be so much different than it is in the UK NI. Shelters research shows the impact of unstable housing on families and on children. This is mainly due to the terms and conditions of tenancy contracts - inexperienced and 'couldn't care less' (my opinion - not the way Shelter describe it )attitudes of landlords.

http://england.shelt...te_rented_homes

certainly the problems of renting are moderated if you are aggresiovely savvy as a renter - ie you rent well and know how to handle your landlord

I can appreciate the relative advantages of owning to avoid all that stress however, if you are not so inclined towards this above point

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Not even sure that owning is the answer for many families, on affordability or availability - it is the terms that come with renting that are the problem. Short term tenancies = no security - little freedom to decorate, garden etc and lack of maintenance seem to be the biggest problems.

Short term tenancies are often stipulated as part of the BTL mortgage contracts. Only the banks / regulators and/or government can change that. I would purpose that in order to get a BTL mortgage that the potential LL's should prove savings of at least 2 years mortgage payments which should be held frozen as security (on top of the deposit). This would provide families/people with some security as 2 months notice (England) or 1 months notice (NI) is not long enough for many families to find alternative accommodation where the children's school, doctors, family support in the form of relatives or friends living close by, can remain the stable.

A house is not simply a building, a commodity, a symbol of social status or an investment instrument. Nothing could be more fundamental to human flourishing than the right, regardless of income, to that shelter which provides the central setting for the majority of personal and family life. Disturbingly, however, there is evidence to suggest that many in the UK do not enjoy this right.

Most who have moved house will appreciate the required level of organization needed and realise the stress and disruption that is experienced. When renting has been chosen as a life style choice, then the administration of moving is a considered choice. When renting privately is the only option, this changes to an additional stressor, one which is often a financial burden.

The current advance towards a rentier society is a disaster waiting to happen - long term instability for any body is unhealthy, mentally, physically and emotionally. For children the effects are compounded - all of the above with health,education, self esteem and social skills suffering.

I think we may not realise the full impact for years to come. Cameron wanted to resolve the 'problem family' situation - he is making it worse.

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Not even sure that owning is the answer for many families, on affordability or availability - it is the terms that come with renting that are the problem. Short term tenancies = no security - little freedom to decorate, garden etc and lack of maintenance seem to be the biggest problems.

All of which will be resolved by legislation as the demographic (and consequently the concerns of the voters) shifts. I wouldn't be surprised if increasing security and rights for renters forms a significant part of manifestos going into the next election.

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All of which will be resolved by legislation as the demographic (and consequently the concerns of the voters) shifts. I wouldn't be surprised if increasing security and rights for renters forms a significant part of manifestos going into the next election.

I would.

Try 2025 and I might be inclined to agree with you.

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I would.Try 2025 and I might be inclined to agree with you.

More likely I think too.

All of which will be resolved by legislation as the demographic (and consequently the concerns of the voters) shifts. I wouldn't be surprised if increasing security and rights for renters forms a significant part of manifestos going into the next election.

I hope your right - I think there will be talk of reform, I just can't see that much will happen.

It's all a bloody mess

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I hope your right - I think there will be talk of reform, I just can't see that much will happen.

Well, 'manifesto' at this stage. 2025 may well be right in terms of actually doing anything...

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All of which will be resolved by legislation as the demographic (and consequently the concerns of the voters) shifts. I wouldn't be surprised if increasing security and rights for renters forms a significant part of manifestos going into the next election.

I believe Labour intend to run with this at the GE, hopefully that will give the other two a substantial push in the right direction. Tenants are trapped by financial repression which keeps house prices and rents inflated relative to wages. But financial repression is costly to maintain. The UK govt is already looking at a bill of £1.6 trn through 2018. Tick tock.

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I believe Labour intend to run with this at the GE, hopefully that will give the other two a substantial push in the right direction. Tenants are trapped by financial repression which keeps house prices and rents inflated relative to wages. But financial repression is costly to maintain. The UK govt is already looking at a bill of £1.6 trn through 2018. Tick tock.

Tick tock....

Indeed. Anybody think that tighter regulations on landlords will limit the appeal of BTL? Will regulation have a knock on result producing lower yields?

No figures for England, Wales or Scotland but in NI in 2007 1 in 10 young, newly formed families rented privately, in 2012 it was 1 in 5. Rentier society is moving at a considerable pace. :o

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I believe Labour intend to run with this at the GE, hopefully that will give the other two a substantial push in the right direction. Tenants are trapped by financial repression which keeps house prices and rents inflated relative to wages. But financial repression is costly to maintain. The UK govt is already looking at a bill of £1.6 trn through 2018. Tick tock.

If Labour look to be the most serious about reforming the private rented sector then they'll get my vote. I don't really care how irresponsible they'll be with the public finances, all three parties are going to spend us into hyperinflation/defaults anyway.

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Of course the use of 'trapped' is a clear prompt that if you can buy now you should...

...before you miss the boat.

Escape your trap - get on board now - the Titanic's setting off :o

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Escape your trap - get on board now - the Titanic's setting off :o

I'd rather live in a pothole in Pontefract than sail 5000 miles in the coal scuttle of a ship on the strength of nothing more than a 'promise'.

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