The Private Rental Sector Must Be Due For A Huge Boom It’s Really Logical !
// August 13th, 2010 // Comments // House and Home
It’s pretty obvious . The country is overcrowded. Barely a week goes by without an article on the National news about a shortage of housing somewhere in the country . Government initiatives to provide affordable housing seem destined never to keep pace with the insatiable demands of the public and the varying demographics within the country taken as a whole . Governments are hardly ever proactive and are usually playing a game of catch up. Therefore at any given instant , the demand for housing within the country is outstripping supply and anything the government does is often too little too late.
Public housing construction has been in a severe decline for decades now, and even modern planning regulations requiring developers to provide a quantity of so called “social housing” with each new development over a certain size does not create a meaningful impact on the burgeoning demand for housing within the country.
A question to ask is why do We Buy Houses at all? Well the answer to this is pretty simple. We Buy Homes because we are addicted to the perception that when We Buy Houses we get a security of residence – it’s one of the basic wants after all , to have a roof over our heads. If I was to Sell My House more than likely the first thing I would do is to look at the property market with a view to getting another house . But there may well be a time where I would have to think about a time in rented digs and there I may well have something of a surprise .
When I come to Sell My House I may in all likelihood find that the period between vacating the property and buying another one would not be adjoining each other so I would have to rent for a while . But rental property is at a premium round by where I live and top quality properties are hard to come by. So demand is very high for anything that is more or less decent and at a reasonable rent. This of course inflates pressure on the less than premium property area as all the top quality rentals are being taken up. It’s something of a pinch all round and I am just an example of why someone needs or wants to enter the rental sector as opposed to buying a property .
When We Buy Homes generally it is assumed that the property is to be bought as a main or sole residence. Probably external factor will have caused a landlord to start renting the property out to tenants, a move away from the area, say, or a temporary financial difficulty. However this is usually with a view to getting the property back to live in at some stage. Thus when the property is turned over to the private rental sector it may only be for a short period before the landlords circumstances change. It’s well known that these are difficult fiscal times so a number of house owners are forced to rent. But it’s not true that the supply of rental properties is going to increase because of this phenomenon. In practice people that have relinquished their own property for the time being are still going to need somewhere to live escalating the demand for more inexpensive rental accommodation in the short to medium term. And if families with children are obliged to find accommodation other than their own house then the local authorities are legally obliged to find them somewhere to live again increasing the demand for affordable rental properties.
Certainly the medium to fine quality, good value sector of the private rental market is going to go through some busy times recession or no recession.

















































