We’re now less than a month away from the UK general election – and Labour’s Right to Buy policy is still a topic of debate among property professionals.
As we read this week, there are still major fears that the policy would force buy-to-let landlords out of the market.
Not being able to decide if they want to sell and for how much is unsurprisingly quite a scary proposal for Britain’s landlords.
Of course, whether this policy would see the light of day in its current form is a debate in itself.
Shadow chancellor John McDonnell has already backtracked by stating that it won’t affect landlords with only one or two properties, so perhaps he’d backtrack even more if the party got into power.
If private Right to Buy came into force as currently proposed it certainly seems very destabilising – and would need to be combined with a substantial social housing programme to mitigate a reduction in private rental sector stock.
That’s not to say that tackling rogue or unprofessional landlords isn’t a valid goal in itself.
Yes, there are many professional and good landlords.
But many of us have had negative experiences with hands-off or unprofessional landlords, or know a friend or relative that’s struggled with similar issues.
It also emerged this week that house prices have risen the most in Leave voting areas since the Brexit vote.
This may be a coincidence, or it could be that Remainers – who are still likely to think Brexit is a bad idea – feel less confident in the state of the market than Leavers and are therefore less inclined to buy.
We also got the positive news that first-time buyers are saving for a house faster than a year ago, in 3.6 years.
However I wouldn’t get too carried away with the news, as those buyers are saving £843 a month on average – which seems like more than most could manage unless they’re living at home.
Ryan Bembridge
Editor
Property Wire
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