Why do people think they are entitled to home ownership?

[El Cid]

Do you mean the state, or do you mean the Queen in a personal capacity?

 

Councils control land, not sure how much of the monarchs land is suitable for building house on, but the monarch owns a lot of land.

 

http://www.insidehousing.co.uk/council-unveils-housing-association-land-release-plan/7011226.article

[apelike]

Some interesting (if rather dense) analysis here.

 

http://www.savills.co.uk/research_articles/186866/188996-0

 

This suggests that the 1/3rd of the cost of building a house is the land cost is probably still appropriate. Not 70% as suggested earlier.

 

Not sure how much that applies in Sheffield as a lot of the new builds in Sheffield is on land that was previously in council ownership, and some of that land was actually given away to encourage building. SCC seem to have some sort of partnership with Keepmoat and maybe other house builders but it is impossible to find out how much that land was sold for or even if it was sold.

 

Homes in the new Cutlers View @Norfolk Park are going for £129,995-£214,995 and another development has started a bit further down where the Shops previously stood. SCC seems to be encouraging high cost homes to buy instead of actually building them to replace the ones knocked down.

Edited August 18, 2016 by apelike

[Cyclone]

If they want to give it away, why aren't they making it available to self builders?

[Love2print]

The partnership between Keepmoat and the Sheffield Council is called the Sheffield Housing Company. The partnership is based on SCC providing the land as their share of the business so they have not actually sold it as such.

 

If you look it up there is some info on how the partnership works.

 

As someone who tried to buy one of their houses I thought it was on the pricey side for the area. It was a large 3 bed but with it being in Southey/Parson Cross area I thought 130k was top end. You can now by the same type of home in the same area for over 160k (I just checked on Rightmove).

[apelike]

The partnership between Keepmoat and the Sheffield Council is called the Sheffield Housing Company. The partnership is based on SCC providing the land as their share of the business so they have not actually sold it as such.

 

If you look it up there is some info on how the partnership works.

 

 

The partnership is not very transparent as very few details are actually given as to how it works. I wonder exactly what SCC actually get out of this partnership and if any accounts are available after all it is a company. The main advantage I can see is that Keepmoat and Greater Places are guaranteed planning permission as the land is not put out to tender for others.

[Love2print]

The partnership is not very transparent as very few details are actually given as to how it works. I wonder exactly what SCC actually get out of this partnership and if any accounts are available after all it is a company. The main advantage I can see is that Keepmoat and Greater Places are guaranteed planning permission as the land is not put out to tender for others.

 

https://beta.companieshouse.gov.uk/company/07549600/filing-history

 

https://www.sheffield.gov.uk/in-your-area/regeneration/sheffield-housing-company/frequently-asked-questions.html -

 

"The Partnership

 

Sheffield Housing Company (SHC) is a partnership organisation with 50% of its shares owned by ourselves, and 50% owned by Keepmoat Great Places as the private sector partner.

 

We will invest land in the company and Keepmoat Great Places will invest money to match the value of the land we put in. If necessary, SHC would then borrow any additional money required to fund the house building programme. The profits and risks would be shared equally between ourselves and Keepmoat."

 

There are other documents available via SCC's website if you want more information.

[apelike]

Thanks for the info Love 2 print, much appreciated.

 

The accounts make good reading..

 

Edit, forgot to add this bit I noticed on your post.

 

"If necessary, SHC would then borrow any additional money required to fund the house building programme. The profits and risks would be shared equally between ourselves and Keepmoat."

 

Some of that money so far is being borrowed from SCC with two loans, one at 0% interest and one at 5% interest so it seems like the risks are also being shared by SCC.

Edited August 19, 2016 by apelike

[Cyclone]

The partnership between Keepmoat and the Sheffield Council is called the Sheffield Housing Company. The partnership is based on SCC providing the land as their share of the business so they have not actually sold it as such.

 

If you look it up there is some info on how the partnership works.

 

As someone who tried to buy one of their houses I thought it was on the pricey side for the area. It was a large 3 bed but with it being in Southey/Parson Cross area I thought 130k was top end. You can now by the same type of home in the same area for over 160k (I just checked on Rightmove).

 

https://companycheck.co.uk/company/07549600/SHEFFIELD-HOUSING-COMPANY-LIMITED/financials

 

Not being run very effectively as a company.

[mrcharlie]

If I may chime in on this topic - I have VERY heated views about the whole renting/tenant situation.

 

I absolutely detest private landlords. I view them as the scourge of modern living...utter parasites. If I had my way 2nd home ownership would be so heavily taxed up would be unviable for all the leeches to carry on.

 

Why do I feel like this....?

My parents inherited my grandmothers house and let it out, the tenants would love to buy it but my parents refuse to sell...it came for nothing so they're onto a good thing...capital is sat there, plus a big fat cheque each month. My brothers GF bought her council house within a few months of meeting my brother....she'd never had a job, he did. Got the house for absolute peanuts then moved out within a month. They now rent out the ex-council house and the poor desperate sod living there is unwittingly paying for their new much bigger house mortgage. Plus ofcourse my brother and GF are not married meaning ofcourse she claims full benefits for both her kids plus child maintenance by the kids fathers.

Another inherited his mothers house, kept it quiet, got a huge council house in what must be regarded as one of the best locations on the outskirts of Sheffield, the council house has a massive back garden. After being a tenant in a small 1 bedroom flat for the last 20yrs, his patience has paid off, he has aquired instant right to buy...which he has done so, his mothers house is now rented out and the sudden extra monthly income has seen the arrival of a prestige 4x4 (no guesses what make).

 

My whole argument here is that all these seem to consider second homes as a easy way to make extra money. I feel so sorry for work colleagues who are trapped in this renting cycle. The landlords charge so much (often more than the mortgage) which then leaves the tenants unable to save to buy their own.

 

I utterly despise this. I think no-one except local councils should have the right to profit from 2nd home ownership. Landlords now have a massive captive audience, stuck between living at home or renting.

[Chelle-82]

If I may chime in on this topic - I have VERY heated views about the whole renting/tenant situation.

 

I absolutely detest private landlords. I view them as the scourge of modern living...utter parasites. If I had my way 2nd home ownership would be so heavily taxed up would be unviable for all the leeches to carry on.

 

Why do I feel like this....?

My parents inherited my grandmothers house and let it out, the tenants would love to buy it but my parents refuse to sell...it came for nothing so they're onto a good thing...capital is sat there, plus a big fat cheque each month. My brothers GF bought her council house within a few months of meeting my brother....she'd never had a job, he did. Got the house for absolute peanuts then moved out within a month. They now rent out the ex-council house and the poor desperate sod living there is unwittingly paying for their new much bigger house mortgage. Plus ofcourse my brother and GF are not married meaning ofcourse she claims full benefits for both her kids plus child maintenance by the kids fathers.

Another inherited his mothers house, kept it quiet, got a huge council house in what must be regarded as one of the best locations on the outskirts of Sheffield, the council house has a massive back garden. After being a tenant in a small 1 bedroom flat for the last 20yrs, his patience has paid off, he has aquired instant right to buy...which he has done so, his mothers house is now rented out and the sudden extra monthly income has seen the arrival of a prestige 4x4 (no guesses what make).

 

My whole argument here is that all these seem to consider second homes as a easy way to make extra money. I feel so sorry for work colleagues who are trapped in this renting cycle. The landlords charge so much (often more than the mortgage) which then leaves the tenants unable to save to buy their own.

 

I utterly despise this. I think no-one except local councils should have the right to profit from 2nd home ownership. Landlords now have a massive captive audience, stuck between living at home or renting.

 

You shouldn't tar every private landlord with the same brush

 

I co-own a property with my ex and we rent out this house on a buy to let mortgage after we broke up.. the reason we kept it is because we both put a lot of money into it and lost a lot of equity in the 2007 floods, we owed more on our mortgage than what the property was worth.. we split up and neither of us wanted to live in the house and neither of us wanted to sell it and end up owing the bank 1000's of pounds so we put our heads together and decided to put it on a buy to let on a joint mortgage... The chap who owns the property next to mine charges £650 per month, we charge £415 per month.. We only wish to cover the cost of the mortage, insurance and tax we have to pay as it is classed as a second income.. We are not out to screw anyone!!

 

---------- Post added 19-08-2016 at 12:05 ----------

 

Oh and i'd like to point out it isnt a council house!