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krosfyah

Can Someone Explain Converted Ex-local Authority/council Flats Please

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So essentially at some point through the Tory rule, it was decided to allow LA tenants to purchase their own flats. So if you bought one of these things, does that mean you will (or could) potentially still be living amongst council tenants? I am in favour of a free market and all that, but can't say i like the idea of buying something for £170k that might have only cost the owner 1/4 of that price to buy, then had them dress it up with faux wood floors and faux chrome hob with extractor and sell it now in bubble land for a 400% profit.

I know people with disability etc genuinely need council property and i'm not knocking those tenants. But i also know several people who have had the good luck just to get onto council lists, who SHOULD all be private tenants, but did it to save money and one of them owns her own place, and is on 70-100k/year. The thought of buying one of these places off of someone like her sickens me to the point of never even considering them. That and the fact someone who is a tenant in one complains constantly about the noisy neighbours and the fact no one has any consideration for each other in the place, or sense of community.

I was hoping someone could give me a brief run down on privatised council places, and if this is an accurate picture of whats happened.

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I live in one and know a few others who do. There's a wide variety. Some are badly built, nasty blocks or 70s maisonettes, whatever, and no amount of tarting up will hide that. But some are well built and in mixed areas. Some are lost in the middle of council estates - if a lot of the others aren't owned that usually means it's not such a good area as people were more likely to buy in a decent area. In some you might have bad neighbours but that can happen anywhere - the odds are worse if you're in a block of course.

There are other potential problems - the leasehold can be more restrictive and you are subject to service charges. They can be hard to sell as there is a snobbery around about them.

It's not worth worrying too much about the luck of those who bought and sold the places. In many cases you won't even be buying from the original owner. It was a bribe from Thatcher to the council tenants and the country's social housing stock suffered as a result. This government did nothing to reverse that. Some were lucky to get good stuff. Others ended up buying unsaleable rubbish in blocks and getting stung for all the maintenance, so it's a mixed bag there too. But it's all in the past. you're better off worrying about whether or not the property is a good buy or not now. In spite of the lower prices I'd say the answer is often no, but there are some where I think it is worth buying.

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So essentially at some point through the Tory rule, it was decided to allow LA tenants to purchase their own flats. So if you bought one of these things, does that mean you will (or could) potentially still be living amongst council tenants? I am in favour of a free market and all that, but can't say i like the idea of buying something for £170k that might have only cost the owner 1/4 of that price to buy, then had them dress it up with faux wood floors and faux chrome hob with extractor and sell it now in bubble land for a 400% profit.

I know people with disability etc genuinely need council property and i'm not knocking those tenants. But i also know several people who have had the good luck just to get onto council lists, who SHOULD all be private tenants, but did it to save money and one of them owns her own place, and is on 70-100k/year. The thought of buying one of these places off of someone like her sickens me to the point of never even considering them. That and the fact someone who is a tenant in one complains constantly about the noisy neighbours and the fact no one has any consideration for each other in the place, or sense of community.

I was hoping someone could give me a brief run down on privatised council places, and if this is an accurate picture of whats happened.

It's just the same with new builds. Johnny 'two shags' Prescott now insists that all new developments over a certain size contain a proportion of 'social' (i.e. housing association) housing.

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It's just the same with new builds. Johnny 'two shags' Prescott now insists that all new developments over a certain size contain a proportion of 'social' (i.e. housing association) housing.

Indeed. Plus which, once they collapse in price, the last of the glut will be sold off to housing associations anyway. So they will mostly end up with a mix of a few foolish OOs, some being rented out by scrabbling BTLs who can't get rid of them without going bankrupt, and people housed off the council list. The latter aren't all bad people of course, but the idea that these are some kind of executive luxury apartments is likely to disintegrate pretty fast. And they're mostly built with terrible sound insulation.

Same happened for a lot of late eighties developments once the crash started.

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I think the biggest potential downfall is the maintenance charged for what should be under normal maintenance contracts.

It goes both ways though - I looked at one a couple of years ago, and in the previous 12 months the existing tenant had been charged:

1) 200 quid to paint the communal bin house door (v expensive - was done in the rain as well)

2) 2500 quid to double glaze the flat (about average)

3) 2000 quid to re-lay the entire roof (cheap I believe)

Ex LA flats tend to be quite well put together in the majority of cases as everything had to be checked, rechecked and checked again before it was signed off. There are exceptions to that rule though.

Worth checking if there are any existing LA tenants though as personally I don't believe there's the same onus on looking after the property and surounding area if you don't own it....

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I'm curious about what happens if the council builds a new social block. Do the tenants immediately get the right to buy?

This I guess explains why so little council housing has been built in recent years as it would mean that councils would just be funding a windfall for tenants.

Still, I have seen one or two ex-LA offerings which look quite new so I guess such a windfall has occurred.

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I live in one and know a few others who do. There's a wide variety. Some are badly built, nasty blocks or 70s maisonettes, whatever, and no amount of tarting up will hide that. But some are well built and in mixed areas. Some are lost in the middle of council estates - if a lot of the others aren't owned that usually means it's not such a good area as people were more likely to buy in a decent area. In some you might have bad neighbours but that can happen anywhere - the odds are worse if you're in a block of course.

There are other potential problems - the leasehold can be more restrictive and you are subject to service charges. They can be hard to sell as there is a snobbery around about them.

It's not worth worrying too much about the luck of those who bought and sold the places. In many cases you won't even be buying from the original owner. It was a bribe from Thatcher to the council tenants and the country's social housing stock suffered as a result. This government did nothing to reverse that. Some were lucky to get good stuff. Others ended up buying unsaleable rubbish in blocks and getting stung for all the maintenance, so it's a mixed bag there too. But it's all in the past. you're better off worrying about whether or not the property is a good buy or not now. In spite of the lower prices I'd say the answer is often no, but there are some where I think it is worth buying.

Excellent post, many thanks, this was really helpful

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I'm curious about what happens if the council builds a new social block. Do the tenants immediately get the right to buy?

This I guess explains why so little council housing has been built in recent years as it would mean that councils would just be funding a windfall for tenants.

Still, I have seen one or two ex-LA offerings which look quite new so I guess such a windfall has occurred.

I believe you have to live in the property for a length of time before you have the option to buy.

I also believe the longer you live there, the bigger the discount.

I could be wrong however.

NDL

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Councils have the right to refuse 'Right to buy' i believe now

It shouldnt even exist in the current market place until house values return to normal levels

Why should these scabs on society get to buy their houses when normal people who rent dont get to buy their houses!!!

Middle class sucker punched again to provide for our breeding lower chav class

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One thing to bear in mind though is that many people living in right to buy leasehold flats can get massive bills running into tens of thousands of pounds when the Council (as freeholder) does the block up. This has happened a lot in inner London boroughs.

Saying that the right to buy scheme in inner London was an absolute scandal. People were able to buy flats at a massive (up to 40%) discount in places like Westminster and Camden and then flogged them off at a massive profit later on as prices rose.

Even today council tenants get priority over everyone else for shared ownership properties. Subsidising people's rent in one thing - giving them a big fat subsidy to buy a property at the taxpayers expense in preference to other people who have always had to pay market rents (but can't afford to buy either at full price) is quite another (and absolutely scandalous)!

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Why should these scabs on society get to buy their houses when normal people who rent dont get to buy their houses!!!

Middle class sucker punched again to provide for our breeding lower chav class

Because, bigger scabs came along and gave them the right.

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I'm curious about what happens if the council builds a new social block. Do the tenants immediately get the right to buy?

This I guess explains why so little council housing has been built in recent years as it would mean that councils would just be funding a windfall for tenants.

Still, I have seen one or two ex-LA offerings which look quite new so I guess such a windfall has occurred.

It used to be two years now its 5 - if you tenancy started after a fairly recent date.

It wouldn't be a problem to sell off council housing to individuals *if* new housing had been built at the same time.

The wholesale selling off to private companys/housing trusts is something else and I don't think tenants benefit at all.

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Saying that the right to buy scheme in inner London was an absolute scandal. People were able to buy flats at a massive (up to 40%) discount in places like Westminster and Camden and then flogged them off at a massive profit later on as prices rose.

More like upto 70% for flats and 60% for houses, if you had been a tenant for a particular number of years. Eventually the 'subsidy' was 'reduced' to 38k maximum discount, nationally. More recently, in London and other areas of high housing need, this was further reduced to 16k.

Edited by Buffer Bear

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Guest Bart of Darkness

I believe that the discount system has been amended so that you have to wait 5 years after buying before you can sell (without having to repay any of the discount you received).

It's something along the lines of having to repay all your discount if you sell withing a year of buying, with the amount of discount repaid being reduced by 25% a year thereafter.

Councils have the right to refuse 'Right to buy' i believe now

It shouldnt even exist in the current market place until house values return to normal levels

Why should these scabs on society get to buy their houses when normal people who rent dont get to buy their houses!!!

I hope you're not implying that all council tenants are "scabs". There are plenty of "normal people who rent" amongst our numbers y'know.

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  • 302 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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