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Labour To Cap Rent Increases

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That's my position. Started with 3 year tenancy with one way break clause. At the end of that I negotiated another 5 years with an agreed rental uplift but no further increases during the tenancy. This will see my kids through school at which point I will review my options. Landlord and I both happy with the arrangement. Didn't need some idiot government handholding to make it happen. I suppose it helps that I am used to commercial leases where this would be the norm.

That sounds pretty rare. Where do you live?

In such arrangements, currently it's pretty clear where the power resides. As a tenant you are very expendable and it's been that way for a long time, both in terms of law and the state of the market. Government intervention is required, one way or another.

Edited by moedo12

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This is dynamite! Miliband has played his ace card.

Those 4.5m crosses are going in the Labour box on May 7th.

The sheer brilliance of it is the Tories have no comeback no comeback at all as those 4.5m renters know they're all about the props and HPI

...

I agree with the sentiment, but I don't think this is going to be the game-changer of the 2015 GE. I think Labour may just scrape in with a minority coalition, and with the support of the SNP may begin to enact some of these policies over the next few years, and whether this will be beneficial or detrimental your average HPCer remains to be seen.

But I do think this is the beginning of a change in sentiment amongst the political class, a slow realisation that the narrative of sticking up for the rent-seekers is not winning votes, even when it's done in the name of entrepreneurship. It's the beginning of a rising tide though rather than a tsunami.

I maintain that I think the change is likely initially to come from the left, because I think the moderate right currently have no ideas beyond maintaining the status quo, because they haven't accepted that the current economic system is broken. A return to "real capitalism" is too much of a bitter pill for the global elite to swallow, as it would likely trigger a global debt reset, and the electorate are not even vaguely ready to believe in the libertarian story. That doesn't mean it will not make a comeback at some point, but for now, I think the narrative of the left will slowly but surely gain more traction with the jilted generation.

Just my opinion.

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Bet the tories wish the army of renters weren't so large now!

Game over. We have a Labour government in waiting.

The Tories appear to have thrown the election.

If our only alternative is a labour-coalition then I'm glad they're at least aiming to set the right agenda, they'd have to win my trust though one in power

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The bits he is proposing like outlawing tenant fees is just copying Scotland's lead.

Maybe the SNP need to run candidates in England next time.

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I assmue in London at least most landlords will simply jack the rent up, up front to counter this?

New tenants will have the right to know what rent the previous tenants were paying before agreeing a contract

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They sure do. Endless hpc discussion of home-owner victims, while £1million-valued homes likely to be passed to the chosen ones without any tax liability, where otherwise would help bring assets back to wider market to pay IHT - more supply.. one part of what otherwise makes a healthy functioning market.... not this market where there can be no HPC so less incentive for downsizing/selling/accepting less by elderly.

There will be no increase in supply, without either building more homes or reducing the population of this country, or both. All it will do is redistribute the properties which we have.

All the schemes being presented by all parties, be it help to buy, rent caps or longer tenancies will not do anything to solve the main problem. The building of homes has to outpace population increases for a good period of time. No politician or many voters understand this. We are not going to be able to tax ourselves to a surplus of homes. If there are fewer BTL landlords and more owner occupiers, the same homes will still exist.

Edited by BalancedBear

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New tenants will have the right to know what rent the previous tenants were paying before agreeing a contract

And? Do the rules say the new tenants need only pay what the previous tenants were paying (plus whatever uplift cpi brings)?

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And? Do the rules say the new tenants need only pay what the previous tenants were paying (plus whatever uplift cpi brings)?

Yes this is the elephant in the room that people are forgetting on this one. Landlords will get the same uplift they would get anyway when their tenants move out and in the meantime their rental income is protected by inflation rises.

Ed Miliband gets to look like a good guy when in effect he is misleading the electorate again. Looking by the responses on the thread people seem ready to swallow up his nonsense reasoning.

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Yes this is the elephant in the room that people are forgetting on this one. Landlords will get the same uplift they would get anyway when their tenants move out and in the meantime their rental income is protected by inflation rises.

Ed Miliband gets to look like a good guy when in effect he is misleading the electorate again. Looking by the responses on the thread people seem ready to swallow up his nonsense reasoning.

Not that pesky elephant again!

I think the idea is that you can have a 3 year tenancy with prices limited to inflation - i.e.if we accept house prices are for the time being 'untouchable' at least renting starts becoming a more stable tenure. I don't think the purpose is to somehow 'punish' landlords - and anyway for what ?

The game seems to be how to meddle with the market while appearing 'house-price agnostic'. I don't like Millibands statist approach but if blukip are unvotable and greens aren't realistic then thats the best we've got so far. Come on Tory's, only a couple of weeks but nothing much to lose and everything to gain on this issue with a volt-face back to capitalism !

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Yes this is the elephant in the room that people are forgetting on this one. Landlords will get the same uplift they would get anyway when their tenants move out and in the meantime their rental income is protected by inflation rises.

Ed Miliband gets to look like a good guy when in effect he is misleading the electorate again. Looking by the responses on the thread people seem ready to swallow up his nonsense reasoning.

It may be nonsense but then so are the myriad HTB schemes, HTB ISAs,FLS, HA discounted sell offs and various other prop that the current government are using to bolster the housing market. Miliband has simply recognised that renters are a significant voter demographic who may be tempted to vote for him if the bribes are right. In particular I think any offers of security of tenure may trump any promises to cap rents. Moreover I think the divide in the British property market is not between landlords and tenants or renters and owner occupiers but between those who are over leveraged in their borrowing and need the debt ponzi HPI to go on ad infinitum and those who are not. If Milibands proposals persuade a few people not to become over indebted by remaining as renters rather than taking on ludicrously large mortgages then I think it will ultimately help tip the housing market back toward the correction it so obviously needs. If he could also make good his promises to build more homes then that day might come even sooner. Edited by stormymonday_2011

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That sounds pretty rare. Where do you live?

In such arrangements, currently it's pretty clear where the power resides. As a tenant you are very expendable and it's been that way for a long time, both in terms of law and the state of the market. Government intervention is required, one way or another.

Live in Surrey. Not sure how rare it really is. If it weren't for the bank rules I guess it would probably be quite common.

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I was giving someone a lift in my car and chatting when they said "if i could get the money for a deposit i'd buy another house and let it out, get some other xxxx to pay my mortgage"

I knew the game was up when i heard that.

It's this type of person that would have no qualms about hiking the rent whenever they felt like it and hoping to capture the earnings of people in a less fortunate position.

Yeah you can go on that that's what banks do to people etc etc but allowing a free for all for citizens to extract money from those in a less favourable financial position with no controls is really lousy IMHO.

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I saw Millipede being interviewed about this earlier. The interviewer asked what was to stop landlords simply upping the price at the start of a tenancy. He replied "Oh they won't do that".

****ing moron. And he is going to be the next PM!

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it's simple you turn up to view a flat for rent start to negotiate and exercise your right to know what the previous tenant was paying, if a huge hike is revealed you just scoff and see ya later jack!

Good luck with the voids n all that ;-)

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I was giving someone a lift in my car and chatting when they said "if i could get the money for a deposit i'd buy another house and let it out, get some other xxxx to pay my mortgage"

I knew the game was up when i heard that.

It's this type of person that would have no qualms about hiking the rent whenever they felt like it and hoping to capture the earnings of people in a less fortunate position.

Yeah you can go on that that's what banks do to people etc etc but allowing a free for all for citizens to extract money from those in a less favourable financial position with no controls is really lousy IMHO.

Are you renting? Did you not point out the moral hazard of his view? There will always be people that will want to pile into a sure thing. The HPC will have to be massive and depress the market decades before I can see this attitude changing.

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it's simple you turn up to view a flat for rent start to negotiate and exercise your right to know what the previous tenant was paying, if a huge hike is revealed you just scoff and see ya later jack!

Good luck with the voids n all that ;-)

Yeah the problem is that

1) Almost all landlords will do it

2) There are loads of people who are prepared to pay it

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  • 399 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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