Intermediate housing
Stage: Policy designFind out more about the Intermediate Housing Consultation: housing schemes below the market rate such as London Living Rent and Shared Ownership.
Closed
1416 Londoners have responded | 04/08/2020 - 11/10/2020
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Discussions
A key part of the Mayor’s strategy to address London’s housing crisis is to increase the number of genuinely affordable homes in London. Genuinely affordable homes include homes at social rent levels, as well as intermediate homes for Londoners who are unlikely to access homes at social rent levels, but may struggle to afford private rents or buy a home.
Such schemes are typically aimed at working-age Londoners. The main types of intermediate homes supported by the Mayor are shared ownership homes and London Living Rent. The amount of funding available and the type of housing it can be used for in London is restricted by central government.
City Hall is keen to understand what Londoners think of intermediate housing, to help shape the Mayor’s policies in this area.
What role could intermediate housing play to tackle London’s housing crisis? What can be done to improve the experiences of those Londoners living in intermediate housing? How important is it for information to be published on how intermediate housing is allocated, and who gets prioritised?
Tell us in our discussion below.
The discussion ran from 04 August 2020 - 17 December 2020
Closed
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Log into your accountJP1
Community Member 3 years agoAn observation to record - the online survey does not cover all of the questions within the GLA's Intermediate Housing Consultation. This will result in incomplete feedback to the consultation process.
hsmith94
Community Member 3 years agoI am hoping that a shared ownership scheme will help me to get on the property ladder. Without it, the prospect of owning property for someone of my generation (born 1994) would be completely unfeasible. I would like to see shared ownership...
Show full commentI am hoping that a shared ownership scheme will help me to get on the property ladder. Without it, the prospect of owning property for someone of my generation (born 1994) would be completely unfeasible. I would like to see shared ownership schemes being promoted more so more people are aware of it, and I would like to see more easily accessible information about the schemes.
Show less of commentLambeth_walker
Community Member 3 years agoAlso introducing priority based on some arbitrary definition of key worker is ludicrous - give covid heroes etc a proper wage, and make home ownership accessible to all regardless of job type
Lambeth_walker
Community Member 3 years agoIntroduce a levy on private landlords owning multiple properties in order to drive down buy to let house prices. Far too many people (esp the young) have no prospect of owning an affordable home because of the excessive returns and lack of...
Show full commentIntroduce a levy on private landlords owning multiple properties in order to drive down buy to let house prices. Far too many people (esp the young) have no prospect of owning an affordable home because of the excessive returns and lack of risk involved in being a landlord
Show less of commentRogerThornhillNBNW
Community Member 3 years agoCounting NHS hospital NONclinical / support staff ; Administration Etc as key workers as well would be good start. It's a travesty that we are not counted as key workers yet remove us and a hospital cannot function.
Counting NHS hospital NONclinical / support staff ; Administration Etc as key workers as well would be good start. It's a travesty that we are not counted as key workers yet remove us and a hospital cannot function.
Eayrin
Community Member 3 years agoThere should be a cap on London rents to ensure that it's affordable.
WonderWomanWan…
Community Member 3 years agoShared Ownership has proved to be a tenure that has trapped people, and is too complex, badly administered by many landlords. Intermediate rents, London Living Rent, is a far better option, allowing those who can’t pay huge private rents...
Show full commentShared Ownership has proved to be a tenure that has trapped people, and is too complex, badly administered by many landlords. Intermediate rents, London Living Rent, is a far better option, allowing those who can’t pay huge private rents but can’t access Council or Housing Association social rented properties, to be able to live in London without putting all their cash into rents. If people wish to save up for a deposit and become home owners, they can do so as well. In terms of who should be at the front of the queue to get intermediate housing, our COVID heroes, key workers from all types of employment, must surely be at the front of the queue?
Show less of commentLifelonglondoner
Community Member 3 years agoCan currently disused office space be used as housing? There is a lot of empty space currently in the city. Crying shame it is not being used for something beneficial (!)
ThomasGrove
Community Member 3 years agoThe regulation of the rental market is essential. Not just in terms of cost but also in terms of quality. A city-wide rental regulator is needed to get the situation under control.
below is a vision of what this might look like.
The...
Show full commentThe regulation of the rental market is essential. Not just in terms of cost but also in terms of quality. A city-wide rental regulator is needed to get the situation under control.
below is a vision of what this might look like.
The regulator would set the maximum and minimum rental cost per month by property size and location. This would reduce the incentive for landlords to purchase property for rental at an inflated price and prevent areas of London from becoming unaffordable to low paid workers.
The regulator would also approve property for rental. Many older properties offered by landlords fall below the minimum housing standards having been converted to maximise profit rather than quality of life. The regulator would inspect properties before granting a certificate allowing it to be used as a rented property certifying that if complies with a standards. This would prevent low quality conversions and prevent the construction of low quality homes for rental.
The regulator would also set maintenance targets for the landlord and the certificate mentioned above would require renewal at frequent intervals via an inspection by the regulator. This would prevent absentee landlords allowing their properties to decay, compromising the health and wellbeing of occupants while they still revive an income.
Failure to meet any of the strict standards set by the regulator would mean that the certificate could be withdrawn preventing the property from being privately rented.
The regulator, rent caps and the certificate would over time reduce the number of private landlords, allow people to save a greater portion of their income through reduced rents and thus increase spending in local communities.
Show less of commentshadowman2016
Community Member 3 years agoAn excellent idea and one that I believe operates in many european cities.
brobbo1
Community Member 3 years agoAll new housing no matter what category should be carbon negative and help to increase biodiversity
alggomas
Community Member 3 years agoMore council houses for key staff earning less than £35k a year.
Too many private developments strangling London and its environment. Covud19 should be a warning that millions of people crammed together is a gift for diseases and vermin....
Show full commentMore council houses for key staff earning less than £35k a year.
Too many private developments strangling London and its environment. Covud19 should be a warning that millions of people crammed together is a gift for diseases and vermin.
Councils are reducing pest control.
In Barnet/Finchely too many new developments. Short time employment for quick money selling properties for the rich and destroying communities.
How can you sell affordable housing in a block of flats costing £500000 each !!
Show less of commentJocelyn Watson
Community Member 3 years agoI think we should return to an improved Council Housing Scheme and that London property should be solely used for the benefit of building Council Housing and no land should be available for private developers at this time.
BradC
Community Member 3 years agoAt the time the Keyworker scheme was fantastic; however, I would like to move on to a larger home to accommodate my family. The issue is the repayment percentile is so high that I cannot afford to buy the house I am currently in and would...
Show full commentAt the time the Keyworker scheme was fantastic; however, I would like to move on to a larger home to accommodate my family. The issue is the repayment percentile is so high that I cannot afford to buy the house I am currently in and would have to start again. As you can imagine this means I am stuck.... If the arrangement to payback what was the amount borrowed + a small percentile this would enable many locked in to move and release the money back into the scheme.
LoraW
Community Member 3 years agoPrivate rents should not exceed mortgage repayments on the property. The buy to let industry is theft. There should be long term lease protection so renters feel safe in their home, that they will continue to be able to afford the rent and...
Show full commentPrivate rents should not exceed mortgage repayments on the property. The buy to let industry is theft. There should be long term lease protection so renters feel safe in their home, that they will continue to be able to afford the rent and will not be a evicted so the landlord can get in a new tenant at a higher rent.
Show less of commentAnonymous - account deleted
Community Member 3 years agoShared ownership is only any good on new and freehold property. Old houses with 'leasehold' and 'marriage' values below 80 years are virtually unsellable unless it's 30% below that of a neighbouring house. You do ALL the maintenance, and...
Show full commentShared ownership is only any good on new and freehold property. Old houses with 'leasehold' and 'marriage' values below 80 years are virtually unsellable unless it's 30% below that of a neighbouring house. You do ALL the maintenance, and get screwed when you move out!
Show less of commentJammers
Community Member 3 years agoI'd like to see London following Barcelona's lead and using empty investment properties as affordable housing.
Anonymous - account deleted
Community Member 3 years agoI'd love to see that! Crack down on empty homes in London and vital living space being sold out for tons of money on Airbnb while residents of the city struggle to find affordable accommodation.
Jammers
Community Member 3 years agoExactly! Especially covid has shown that London can literally house every single homeless person if the political will is there.
msn.com
Community Member 3 years agoLots of investment and office buildings are being converted into dwellings, some of it deemed as affordable. The stumbling block is the definition of the term "affordable". The people that define the term are probably earning around the UK...
Show full commentLots of investment and office buildings are being converted into dwellings, some of it deemed as affordable. The stumbling block is the definition of the term "affordable". The people that define the term are probably earning around the UK national average wage of £35+k. The London living wage (for those lucky enough to get it) is less than £23k. Given that the weekly rent in most inner London is £300-350 pw (£17k p.a) (check the Mayors rental map https://www.london.gov.uk/what-we-do/housing-and-land/improving-private…) those on the LLW cannot afford to live unsubsidised in Inner London. So where they are HMG is suplimenting the income of the landlords. Can this be right? Is there a better way?
Show less of commentMichael_Young
Community Member 3 years agoAbsolutely. Affordable rents and security of tenure must have priority. And while land values escalate, it's only the rich that get richer, leaving the less well-off to suffer. Shared ownership is OK but needs elimination of onerous...
Show full commentAbsolutely. Affordable rents and security of tenure must have priority. And while land values escalate, it's only the rich that get richer, leaving the less well-off to suffer. Shared ownership is OK but needs elimination of onerous leasehold 'aggreements'.
Show less of commentShepstar36
Community Member 3 years agoI strongly agree with other posts here which say we desperately need rent caps in London. It's a disgrace that rents were not subject to caps years ago. Plenty of workers couldn't even afford shared ownership purchases before the Covid...
Show full commentI strongly agree with other posts here which say we desperately need rent caps in London. It's a disgrace that rents were not subject to caps years ago. Plenty of workers couldn't even afford shared ownership purchases before the Covid crisis, and I only dread to think how homes will now be effected. It would be the ideal time to introduce rent caps right now, for the many who could never hope to get anywhere near the property ladder.
From anecdotal experience, a small two bedroom flat purchased under shared ownership could cost two thirds of an individual's salary all together (with mortgage, rent, bills and other costs). I cannot see how this can be seen as 'affordable housing' unless it were a couple or group making the shared purchase.
I am happy living alone, which means I will never be a home owner as long as I stay in London, shared ownership or not.
Show less of commentmsn.com
Community Member 3 years agoWhile I am sympathetic to the various ideas (LL Rent, Intermediate Housing, etc.) I believe these will only be successful with heavy HMG subsidy. This of course will come from taxes, paid by all (incl. those living o/s London - who may...
Show full commentWhile I am sympathetic to the various ideas (LL Rent, Intermediate Housing, etc.) I believe these will only be successful with heavy HMG subsidy. This of course will come from taxes, paid by all (incl. those living o/s London - who may resent subsidising London prices). What may be more effective is to have a statutory cap on all private rents; have tents set by an independent body based upon a national formula and to reinforce compliance by instituting a punitive tax on excess rental charges, e.g. 90p for every £1 in excess. I sm sure that many will comment that this will drive landlords out of the business and reduce available accommodation. I believe this to be wrong. The properties themselves will not disappear and most landlords will appreciate the long term beneefits to society. Those that do not may leave properties empty but a compulsory tax on empty properties and a shoter, easier compulsory purchase regime would soon reverse this trend.
Show less of commentJammers
Community Member 3 years agoDriving landlords out of business is win/win.
Talk London
Official Representative 3 years agoHi everyone
Thank you for sharing your views and experience in this discussion on intermediate housing.
Some of you have mentioned the lack of security of tenure. City Hall's Housing team told us that shared owners are leaseholders of the share of their home that they have purchased. Most new homes built in London today are sold on a leasehold basis, but despite this many leaseholders know little about their rights and obligations. The Mayor has published a Leasehold Guide for Londoners to make the process of buying a leasehold property easier to understand.
Is there anything more that can be done to help people better understand shared ownership as a tenure?
Talk London
Bellis
Community Member 3 years agoCity Hall's housing team need to review their understanding of shared ownership. SO tenants do NOT have a lease on a share of their home. They have an assured tenancy for the duration of the lease.
SO is governed by the Housing Act 1988...
Show full commentCity Hall's housing team need to review their understanding of shared ownership. SO tenants do NOT have a lease on a share of their home. They have an assured tenancy for the duration of the lease.
SO is governed by the Housing Act 1988, whereas leasehold is governed by Landlord and Tenant Act(s). This means that is a SO tenant is in 8 weeks arrears with either their rent or service charge, they can (and will) be taken to court by their landlord and the court MUST issue a reposession order. The landlord can then reposess the entire flat without giving the tenant back the money they paid for their share, much less any capital appreciation, or money they have spent maintaining the property. (See Richardson v Midland Heart 2007) Another difference is that leaseholders are entitled to statutory lease extension, but SO tenants are not.
SO tenants are buying the option to become leaseholders if they staircase to 100%, but unless and until that happens, they are assured tenants, NOT leaseholders.
And I can't being to tell you how epically disappointing it is that even the spods at City Hall still don't know what shared ownership is, and will almost certainly be giving erroneous information to decision makers like Sadiq Khan and Tom Copley.
Show less of commentN106302
Community Member 3 years agoBuying a flat leasehold outright (oxymoron warning here?) was bad enough; ground rent could double every ten years (doen't seem a lot when you buy, but twenty years on it becomes a hurdle for buyers!). Service charges rarely reflected the...
Show full commentBuying a flat leasehold outright (oxymoron warning here?) was bad enough; ground rent could double every ten years (doen't seem a lot when you buy, but twenty years on it becomes a hurdle for buyers!). Service charges rarely reflected the quality of (any) service from the landlord, were arbitrary, and arbitrarily increased.
A couple of decades ago(?) political moves gave leaseholders the right to purchase their freeholds, in theory. An opportunity for landlords to hike the price of the freehold to ever outrageous levels, effectively pricing the tenants out of the market.
To postpone such tenants' rights in the future, developers came up with selling houses (buildings on freehold land) under leasehold tenancies. You can buy the house, but you don't own the land it's built on. So much for reform.
Now we have lend-lease, the worst of both worlds. You want a guide to understand shared ownership as a tenure? You're worse off than ever. You don't own the property, you pay rent; you're a leaseholder, you pay ground rent; you pay service charges. Who's going to want to buy your fraction of the cost of living there?
There's a shortage of affordable housing. There are some 200,000 empty residential properties in London alone, apparently. You can't squat one these days; if it's residential it's a criminal offence. So if you own an empty residential property, and leave it empty, it's perfectly legal. If you go and live in it without permission, you're a criminal.
A solution to the affordable housing problem? Doesn't look much like one to me.
Show less of comment