Speaking at the National Housing Federation London Mayor Boris Johnson outlined the details of his revised housing strategy which would deliver 55,000 affordable homes in London by 2015, including 16,000 in the current financial year – the most since the mid-1990′s.
The new housing will be designed to the Mayor’s larger spaces standard which will mean more decent-sized family homes.As well as providing over 100,000 jobs in the next four years, these new affordable homes should also provide a much needed stimulus to housing mobility. By upgrading 40,000 council homes and by creating more affordable homes the plans will allow more Londoners than ever to get on the housing ladder. This should have a knock-on effect across the market with an increase in buyers over the four years and therefore steady growth.
This movement in the market will be spurred on by the government’s mortgage indemnity scheme which would decrease mortgage deposits to just 5% for first-time buyers allowing more of those stuck renting to gain a footing on the housing ladder.
The Mayor also has plans to reform the rental market by accrediting 100,000 landlords in an attempt to improve the quality of service in the sector. While this will help to raise confidence in the rental sector it will also make finding the best tenants a more difficult task. For landlords living outside of the capital that may mean using a property rental management service to ensure they are providing the most attentive service to their tenants.
Friday, 20 January 2012
London Mayor Plans Reforms of the Rental Market
