Jump to content
House Price Crash Forum
Sign in to follow this  
Badger

Rent Now Buy Later Housing Plan

Recommended Posts

Guest DissipatedYouthIsValuable

I'm waiting to see real innovation, like "buy now, name your price"

Share this post


Link to post
Share on other sites
, I thought that some sense was finally being spoken by our govt.. but sadly, no

they never have they never will

Share this post


Link to post
Share on other sites

I can't really see a problem with this........... unless you are legally bound to buy a share after x number of years; which I suspect you are. Otherwise the headline would be:

"Unused housing stock to be used for renting"

This is going to be a legal nightmare when the point where a share has to be bought has been reached, and the tenants still haven't got a pot to piss in.

Just how many more hair brained schemes can this government and developers come up with?

Share this post


Link to post
Share on other sites

>They would rent the property at a discounted rate for two or three years with an option to buy part of it.

Looks like a good deal to me.

1. You get discounted rent

2. You get an option.

You are not forced to buy.

If the option was at future market price, even better. They would have to sell at crash prices.

.....

So the bad news is:

1. Discounted rent based on what? Valuation by former Inside Track directors perhaps?

2. Option price could be fixed now rather than future market price.

3. Government Pilot scheme. i.e. no actually money behind it, and gets pulled if anybody tries to use it.

I see my rentals this way anyway. I rented my first house for a year then bought it (1997).

I'd consider buying the current house I rent. I'd pay for an option to buy it at market price in 2011 and receive a rent discount in the meantime.

Which brings up another point. If the prices miraculously do go up by the time the option expires, can the owner kick you out of the AST to avoid selling it?

Ramble, ramble, ramble.

VMR.

Share this post


Link to post
Share on other sites
>They would rent the property at a discounted rate for two or three years with an option to buy part of it.

Looks like a good deal to me.

1. You get discounted rent

2. You get an option.

You are not forced to buy.

If the option was at future market price, even better. They would have to sell at crash prices.

.....

So the bad news is:

1. Discounted rent based on what? Valuation by former Inside Track directors perhaps?

2. Option price could be fixed now rather than future market price.

3. Government Pilot scheme. i.e. no actually money behind it, and gets pulled if anybody tries to use it.

I see my rentals this way anyway. I rented my first house for a year then bought it (1997).

I'd consider buying the current house I rent. I'd pay for an option to buy it at market price in 2011 and receive a rent discount in the meantime.

Which brings up another point. If the prices miraculously do go up by the time the option expires, can the owner kick you out of the AST to avoid selling it?

Ramble, ramble, ramble.

VMR.

Reading it, you'll get the option to buy, so if the price is wrong at the time you simply don't buy. I'm assuming it will be at the price when you sign up. Surely if the market price is lower at the time, you don't exercise the option and decide either to buy elsewhere or renegotiate.

The big disadvantage to this (for the taxpayer) is that effectively, they are paying for the government to bailout developers by enabling the government to buy unsold stock.

Then the also by subsidising the rent which will be at 80% of the market rate.

We'll see if this scheme actually takes off.

Amusing though, since when I read the headline "Rent Now Buy Later", I thought isn't that what everyone's doing anyway?!

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 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%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.