A journalist @ Yahoo Finance UK is after views on the build-to-rent sector and its potential in the UK. She's specifically looking for thoughts on the pros and cons of it for consumers, lenders and the property market as a whole. Deadline, as ever, is fairly tight so keep your responses to the point.
3 responses from the Newspage community
We are still not building enough homes in the UK so millions of consumers are being forced to rent. As a result build to rent companies have a captive market and almost guaranteed customers. Many renters feel like they can't save a deposit because they are paying other peoples mortgages. Even though there are more low deposit mortgages available they are struggling to get out of the cycle of renting.
The build to rent sector does have major potential in the UK, but this will all be driven by the cost of the property, cost of rent, the renter's preference as many in the UK still wish to own their home and if the build to rent sector can offer affordable rents which give people who are not able to live at home the ability to save towards a deposit to one day potentially purchase a property of their own then it’s a great thing.
The only upside for consumers is it may, and I emphasize the word may bring lower rents if there are more properties to occupy. However, the likely outcome is that the opposite will happen; it would be very easy for large institutional investors or lenders to monopolise large swathes of an area and increase prices. It's high time property stopped being seen as an asset rather than a human good in and of itself. Bring back The Levellers!