labour's proposed rent reforms
- Thread starter el-ahrairah
- Start date
And the trouble is, these magic boxes for a significant number of their purchasers do grow money. But they don't have to bare the costs, the externalities of the hording of a scarce resource their activities create.
pinkmonkey
2.4 hour party person
Well, I wish I could find the link, apparently the magic boxes in Leeds are being sold 20% -30% over market value and you cannot rent them out for as much as a London one. I'm a bit astounded at the ones near me in Tottenham - £1200 a month for 2 bedrooms, the brand new adjacent student halls are £250 a week and guess what, seem to be full of wealthy Chinese students. It's all about making money.
_angel_
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What do you mean a spoof? I took the photo.
Whether it is a scam is another thing, plus it is months ago.
It's not the first time I've heard those Chinese blamed for high house prices. I expected better from this forum.
ViolentPanda
Hardly getting over it.
Although it depends on your perspective.
Over here, 39sqm means, at best a poky studio flat, over there, given the space use in the average small mietshaus apartment, and the fact that many have 4m ceilings (so allow mezzanine storage or sleeping space), you get more "bang for your buck".
Dogsauce
I’ve got Skol but I’m not a Scholar
There was a big scam at the time of the last boom with one organisation/agency deliberately overvaluing flats so that the loan-to-value meant that the mortgage could be obtained at a very good rate, e.g. a £140,000 mortgage on a flat 'valued' at £175,000. A lot of these were fairly naive investors jumping on the property investment bandwagon and easy prey for the slick scam-artists. Come the crash the investors found their properties actually worth about £110,000 to £120,000. The slimy grammar school boy behind a lot of this went to jail for it.
There aren't really any significant flat developments going on in Leeds that I'm aware of other than purpose-built student flats on the periphery of the centre (which are popular with overseas students, partly because apartment living is more commonplace and accepted overseas). All the vacant sites in the centre are temporary car parks. In a city where houses start at about sixty grand, paying twice that for a flat plus service charges just seems a bit absurd.
pinkmonkey
2.4 hour party person
It is, thing is, you can live in a lovely village or town and still be in work in 20 or 30 minutes or even be able to drive into work. There is no need to live in a box in a city centre. It's not London is it?
It's the same scam over again but now it's foreigners getting ripped off.
It's the same scam over again but now it's foreigners getting ripped off.
pinkmonkey
2.4 hour party person
Oh come on, Chinese investors aren't to blame, it's the British property developers who are taking advantage of them, surely?
So you think Chinese people are being taken advantage if more than other purchasers? How is their nationality relevant here? Is it like Polish plumbers and Romanian pickpockets? Gullible Chinese property buyers inflating the housing market for us natives?
Dogsauce
I’ve got Skol but I’m not a Scholar
I thought it was Russian and Gulf states money in London?
Central living is good if you want to be able to get to gigs and stuff easily, plus I quite like the fact my gf's zone 1 shared ownership flat (bought before the current stupidity) is only six minutes' bike ride from Kings Cross, beats having to trudge out to some suburb.
Central living is good if you want to be able to get to gigs and stuff easily, plus I quite like the fact my gf's zone 1 shared ownership flat (bought before the current stupidity) is only six minutes' bike ride from Kings Cross, beats having to trudge out to some suburb.
Dogsauce
I’ve got Skol but I’m not a Scholar
This might explain at least one MPs reticence to act:
http://www.buzzfeed.com/solomonhughes/tory-mp-earns-1000-an-hour-helping-oligarchs-to-buy-london-h
http://www.buzzfeed.com/solomonhughes/tory-mp-earns-1000-an-hour-helping-oligarchs-to-buy-london-h
pinkmonkey
2.4 hour party person
So, the
The China thing, well I'm referring to articles like this one:
http://www.ibtimes.co.uk/london-pro...ion-challenges-russian-arab-dominance-1443291
And this one
http://www.opp-connect.com/20/01/2014/south-east-asia-buyers-frantic-for-london-property/
No, Not at all, where did you get that idea from? I think that investors are being ripped off by property developers.
The China thing, well I'm referring to articles like this one:
http://www.ibtimes.co.uk/london-pro...ion-challenges-russian-arab-dominance-1443291
And this one
http://www.opp-connect.com/20/01/2014/south-east-asia-buyers-frantic-for-london-property/
ViolentPanda
Hardly getting over it.
What is relevant is where the major streams of investment funding are coming from. Knowing where allows you to analyse the type of money being used, so knowing a majority is coming from, for example, China, means that you can extrapolate that there's a quantity of "loose" money there, actively looking for non-stock market investment. With that knowledge two (essentially opposite) things can be done - scammers can target the loose money, and authorities can direct warnings at the holders of loose money.
ViolentPanda
Hardly getting over it.
Different streams of money. Most of the (non-Sovereign Wealth Fund) Gulf and FSU money is aimed at high-ticket one-off purchases, The (non-Sovereign Wealth Fund) Chinese money being talked about, is money from individual investors from the (for want of a better description) Chinese middle classes.
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