Council tax hike on second homes triggers surge in sell-offs
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- Опубліковано 18 вер 2024
- The number of second homes being put up for sale in one part of Wales has increased by more than 250% - as homeowners and businesses criticise the Welsh government's council tax premium.
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People can afford second homes? I thought alot of people couldn't afford first ones
Tons of people sold their council house in London and bought second homes across the west.
Well, yes, while hospital trust CEO's earn 10 x the wages of a newly qualified Registered Nurse, those at the front line can scarcely afford a holiday and those with a relatively cushy desk job buy up housing for holiday homes. I live in a Cornish village where this is exactly the case.
@@adrianfielding4678 wonder how many voted for this?
Yes the inequality in this country now is ridiculous.
MPs. And they claim expenses on them too
KEEP GOING AND MAKE THIS HAPPEN NATIONWIDE! It CAN be done!!
How can this not help both those who cannot afford a home and those who do not have home. When we have a housing and homelessness crisis those who own multiple properties should be the first hit.
Very smart, needs to be done in every county in every country.
Most other countries have more land so it's not an issue really the bigger problem is builders mostly overcharging for new homes and people paying for them as people have invested in properties instead of the stock market or savings because financial institutions have ripped Joe public off for decades, governments should deter speculative investment in housing and sort out the financial markets, the UK just needs to curb mass uncontrolled immigration, it will have 70 million people shortly it can only sustain 50 million comfortably!?!
Amen! I've always said that no one should own more than 1 property.
Socialist.
@@terrygardner6395 Because capitalism has clearly worked for everyone?🤡
Why can't I own a second home? I worked hard for it.
Best thing I've heard in years
Stupid idea that will put locals out of work
@T5Zplayer how so?
@@davetherave1230 For this to work the council need to acquire those properties and convert them. Wont happen. Then look at the sources of work that are not tourist industry. The Welsh government nor the council have a clue how to bring employers to the area.
Short sighted perspective. These areas need money, tourism and investment. And it will just leave to one of the other numerous coastal towns that don’t penalise those that have done well
Great news, if locals can get onto the housing ladder that's going to be far better for the economy. Instead of paying rent to a landlord in London, they can buy more goods and services from local businesses and keep wealth in the community.
Good. Homes for locals.
Aah, yes. But, will it be the locals who get to buy them…
good!
@@A.H-j2o has to start with selling to bring the price down.
its the locals who sold them to 'outsiders' for a big profit.......
Should put a covenent on sales to locals first on to deeds
Having a family living full-time in a house that they own will be much, much better than a second home that is typically used only for average 5 weeks per year. So charging second home owners a Council Premium is a great policy and long overdue. Other towns in Wales effectively shut down for several months over winter due to the number of second homes, so again, the policy is great.
What is the policy on second homes that are rented to locals? Leaving homes empty most of the year is no good for anyone.
Wonder why the estate agent is against it?
😂
Rich ppl say taxing rich ppl isn’t the way forward - shocker. Great news! Bring it in in Cornwall where it’s vitally needed too.
Really rich people will just pay the increase.
@@BenRelle that works too, at least the locals will get better public services as a result.
I blame all of these ‘Homes under the Hammer’ type programmes, that encourage people to buy older houses as an investment and then rent them out.
Also the Social Media influencers talking about property as a get rich quick scheme!
@@_wrl_ Increases in house values has been a political tool for getting the votes of the middle classes for a long time and an economy based around property and house ownership has been a cosy arrangement between the banks and our Governments for a long unhealthy time.
Or maybe capitalism?
@@markbright662well it has to be capitalism as no one would own a home under communism, except the state.
If a house is rented out to someone who occupies it all year round then the Council Tax will not change at all, because for the person renting it it is their first (and only) home.
As someone who lives in Cornwall, the locals cant afford the houses, they are bought by landlords who rent them out to locals who need benefits to rent them, the locals dont spend money like holiday makers and 2nd home owners, local businesses are quiet as not enough getting spent
There won't be a Council Tax hike on MPs' second homes, that's for sure! Probably they don't pay Council Tax in the first place!!
It’s not really the same thing though is it?
pff, they can afford the tax hike!
They will claim it back on expenses I imagine.
MPs having second homes is needed though. They have a job half the week in Westminster but also have to spend lots of time in their constituency
@@massivehero4871 if the property is for sale, the premium is implemented on a property left empty for at least a year. This is not a new change and these premiums have been in effect for a few years now on empty properties. The only difference is that up until now second homes were exempt from these premiums.
Suddenly there's a surge of houses for sale and opportunities for first time buyers
People will still buy them as 2nd homes, they'll just get them at reduced rates as prices fall. However they will also become more affordable for standard people also. This is a good thing.
That's a contradiction isn't it. If people kept buying them... the price wouldn't drop.... It will only drop if supply out strips demand or in this case, if demand drops.
@@TheDandonian Using a similar supply and demand argument... If the supply of houses increases because more second homes are put on the market, the price drops. Assuming would-be second home owners are put off the only likely purchasers will be locals and, if their pockets aren't as big, the price will fall.
They put their houses up for sale as they have 12 month remission from council tax and no cost whilst they weigh up their options, they are unlikely to rent them out as Labour is bashing that to, rented properties costs will rise, second homes will go empty and nobody wins especially locals it does not correct the underlying problems it just exaggerates the existing problem, not enough affordable housing in the UK caused by Draconian planning (Planning should be more streamlined and not just to build crap houses!) and scrupulous large private builders land banking!?!
Is there much work for locals?
Lack of homes is an immigration issue, nothing else. The population would be declining and house prices would fall in line with it.
It's very good for young people, zero increase in houses, young people will be able to afford a house. these Cartels will no longer have huge profits, and they will no longer be interested in buying ten properties!!!
Drivel
Utter nonsense Now there's gonna be less jobs.
@@T5Zplayer how?
Explain how a bunch of houses that are empty 10months out of the year generates jobs versus houses that are occupied 12 months out of the year.
They won’t be for British people lol
Every corner in England will be multi racial to be in line with the rest of the world, it’s an improvement program for peoples lives.
People across the planet have complained about housing price inflation in many areas due to people who can afford multiple homes. Finally something being done about that here with more complaints from different interests.
Visited Pembrokeshire in 2021. Absolutely ruined. All the youngsters have left the area, restaurants couldn't even open due to no staff.
I have 0 sympathy for these 2nd home owners but I don't think it can regenerate an area like this.
but did the youngsters want to stay though?
@@jonathanjonathan7386 Not a chance, Pembrokeshire is a dive for anyone worth their salt wanting a good life for yourself, they do not mix. Source: Lived in Wales 7 years, frequently visited
@@jonathanjonathan7386 I'm from the Lake District. Yes I want to live there but there is no way I can afford a house, in an AONB with the pay and types of jobs on offer.
Pembrokeshire is exactly the same and will take more than forcing people to sell their already expensive homes to get people to stay and move back.
@@MattyGsterThe7th The problem across the country, homes are 'cheap' outside London / South, but wages are poor.
In London / south, wagers are higher but property is still unobtainable.
@@MattyGsterThe7th dunno about the lakes but I saw a flat for sale in tenby for 139k, minimum wage is around 24k per year these days, couple on combined 48k could easily afford that.
Of course, this won't affect MP's second homes because they can just get the taxpayer to pay through claiming expenses ... along with their £4,700 a year 'heating allowance' - It's a cruel world.
The issue, though, will be that landlords will now be forced to put rents even higher for people to live in rented accommodation to cover their additional costs.
So the locals will actually not win, unfortunately... and be forced to leave.
The tax doesn't apply to residential rentals, only vacant properties and holiday homes, so the idea is second home owners will either change the use to a private letting or sell the property bringing down rents and house prices due to an increase in supply.
"Forced"😂😂😂 surely that's the perils of capitalism, risk/reward, etc. Someone will lower their rent to outcompete and bingo, so another cycle begins.
When no one rents they will sell and with more houses available the prices will come down and people local to the area can move there or even those who want to live there that work remotely i would love to do tht but the house prices are crazy
What idiots….tourism brings in money and keeps money in UK. This will just make second home owners buy in Europe
Where Are Jobs For People To Move To Tenby
People selling their second houses to people buying second houses.
As long as the newbies are willing to pay the new community charge, why not !!!
Higher middle class selling to the upper class. Worse situation.
I watched a programme years ago about this problem and a local said all the houses are took up by people as a second home, they come in summer and in winter it’s like a ghost town as no one wants to be there in winter, surely this has got to be better for businesses, if someone lives in these they would bring life back into the towns/villages when they would of been empty, I had never dreamed that some places had this problem, so on that basis I would say it’s a great idea, someone that lives in them all year round is better than a ghost town
These rich people have pushed the prices of owning a house in Pembrokeshire through the roof. It's absolutely laughable when somebody who owns a £500.000 house can't pay a little bit more Community tax charge. This is a classical example of the greedy rich who will avoid paying their fair share of taxes and will even sell their homes at a loss ... good riddance to them, Empty homes will bring the prices down again !!!
Why should someone that's worked harder than most and can afford a second home have to pay more than everyone else
This proposal does not solve the housing problem and just chases away wealth, it is just more tax that will kill growth.
totally, it just chases the people who are already leaving as fast as they can. Its another stupid short sighed change.
Locals living there all year round will spend more than someone spending a few weeks there each year. This should be obvious, and its good for social cohesion.
About time there was a tapered asset tax - those with 3 - 10 properties and those with 10 + should face higher taxes.
Whatever
Why? That sounds like jealousy at work, to me.
@@T5Zplayer grow up
Absolutely!
green eyed monster makes an appearance again
Can’t wait to see the downturn in those area and eventually bankrupt councils!
tianamen square bro, tianamen square
Good. Houses for locals, not rich foreigners from the big cities
They should do this throughout the UK, a home is meant to be lived in. People will still go to these areas as tourists.
That is a great idea, they should be forced to sell them for what they paid for them.
The measure I've been advocating for for years.
Well done.
Now, similar increase for business-owned residences. Not only for privately-owned ones.
Your the problem 😡
@@ldn876oh shut up
Starmers stealth taxes will cripple this country
Boohoo 😢 how sad rich people selling their second homes because they don’t want to pay tax.
Won’t someone think of the poor absentee landlords.
Lol !
Clueless comment
All most of them will do is declare the second home is the wife's home. This will, as usual, affect those less able to manipulate the system.
See them cry and call it jealousy when their greed is literally inflating the property prices and pricing out young people and families out of the market. Selfishness at its finest
@@T5Zplayer Only your comment is clueless, at least explain your POV, not that I will check back anyway.
If less people own 2 or 3 houses, there must be more to go around.
Meanwhile Westminster has one of the cheapest council tax’s in the UK….where all the MP’s have second homes!!!
Is that the council, which earns more than £200 million/annum in parking charges and parking fines?
I love how everybody knows homes are too expensive, the news reports this for 10 seconds a year. When house prices go down, houses becoming affordable becomes a disaster. Oh no. An area with low wages has more houses available and house prices may come down, how will those on low incomes come when houses become affordable!
About time, most can’t even afford one home
Well they can't only do the houses they also got to create jobs and opportunities to get people to want to live in places like this and it can't just be dead end jobs
This is fantastic! Need to do this in rest of UK, then no housing shortage.
It all depends on who is buying up the properties that are getting sold. If it’s the banks or corporate interests, who help to maintain the madly inflated house prices in the area, then it’s just more of the same. If the housing market crashes to a reasonably appropriate level so that average working locals can afford to purchase them, then it can only be a good thing. I would be highly and pleasantly surprised if it was the latter. If it turns out to be the former, then it is more of the same transfer of wealth and property to the Uber wealthy corporate interests, with appropriate rewards for the policy makers, I wouldn’t wonder.
Any emty space should be overtaxed, considerable overtaxed. I hate too see empty shops and empty houses.
Ministry of Defence has 10,000 long term empty homes, costing the taxpayer £25M annually to maintain.
If they are let out to be holiday homes then the local services are being used year round and still need to be funded. The local population should not be effectively subsidising multiple homeowners and holidaymakers.
Landlords complaining that the amount they charge per day is now being eroded by council tax payments per month - all while keeping the profit capital out of the local economy and often spent elsewhere - will be surprised at the lack of sympathy.
In fact it is pretty normal to have a news story where individuals are affected, but almost nothing about the long term effects felt by a large proportion of the local population. Partly because it is not a short attention span news story. Did anyone really come out of this 3 minute story having a real feel for the pros and cons - or any studies at all - on the effects to differing sectors of the community?
Amazing.
75% for single people
100% normal rate
200% for second property
300% for third property
Rate +50% for empty properties
LOL
This is music to my ears, best news i've heard in a very long time
Its about time second homes were taxed accordingly, these are usually owned by people with money other that your normal working families. They can still have their second homes for their holidays by using the local hotel accommodation. Then the could still use the local restaurants.
What a cracking and very fair idea ! I can only see good coming from this. All councils should follow suit.
Time to emigrate and get out of sinking country
yes get out we need quality people here, not quantity
This is a brilliant move and should apply to the whole UK. There's not enough affordable housing to go around for people wanting their first home and people wanting a second, and if they really feel they need a second house they should pay for it. With more available on the markets it would hopefully bring prices down.
why don't they build 2nd homes in Moss side ..jaywick ..Blackpool ..Glasgow ..Rhyl ..etc etc there are plenty of places they could all move to !!
Terrific should never have been aloud. Should have happened 20 years ago.
Houses are homes. Not commodities.
Tell that to anyone under 50 - who EXPECTS to profit from house price inflation. In the 50's, 60's,70's and some of the 80's people bought houses as HOMES...................then greed got ahold of society.
@maxthelab8457 Well that's the whole essence of the problem.
Nobody wants to compromise their own pot of gold to ensure people in society as a whole are housed.
The Turkeys won't vote for Christmas and the house is 100% Turkeys with property portfolios.
It's the politics of ENVY again. Same with taxing private education
totally pure jealousy
Presumably 'locals' sold out to the second homeowners in the first place. Parents died or job in the big town - I'll make a quick buck.
Second home bought by a landlord, rented to a local at inflated rent and difference picked up by the...!
double standards, the locals want to make a quick £££ then dont like the prices going north!
What’s the point the locals still won’t be able to afford them
If wages are low, then house prices should be low too. There needs to be an adjustment where house prices fall, and thats what the 'industry expert' is worried about
hopefully the lack of buyers at the current prices will drive the prices of these homes down below they're totally over inflated valuation and to a level where regular people can afford them and in turn make it easier for locals to buy.
Remember those things called hotels ?
Let me guess, the ones that fear targeting 2nd home owners would not solve the housing crisis are 2nd home owners
😅😅
Needed trying somewhere. Interesting to see how this works out
This doesn’t address people who can’t afford to by it just changes the business model the majority will go on the private rental ma
That's part of the idea. There are very few traditional rental properties in Pembrokeshire as it's more profitable to rent them as holiday let's for 12 weeks a year.
This Council Tax premium, in conjunction with the need to rent 182 nights a year to become a holiday let on zero rated business rates has seen a lot of holiday lets become traditional rentals.
And that's fine as there is still a massive over supply of holiday lets.
Great idea. should be 300%. Local homes for local people
It is 300% on top of the standard rate ie 4x the normal council tax.
Local shop for local people. We don’t like outsiders.
@@Anonymous56657 the locals with no money LOL
The economies of sea side tourist locations without tourists go bust very quickly…………
Bad economic move by the crumbling Labour Party. People are now going to spend their money in foreign countries and making the British seaside trade plummet worse than it is already
Overpriced shity British seaside. About time the markets corrected themselves
There will be many attempts to bring the house market down.
Hopefully some good buying opportunities.
It’s the people who own *only one home* and live in this area that I feel sorry for.
They will have bought their home at a premium price with a big mortgage. And now, the value of that home will be in free fall, putting them in some pretty dire financial trouble
Depends on whether they are looking for a quick sale after a recent purchase or a long term stay. Market trends over 10-20 years will even out changes in value.
@@unusg1 fair point, but I’d still be pretty miffed if I’d bought in the last five years and am paying a mortgage. Owing more than your home is worth is never a nice feeling
Nothing is going into free fall. House prices just go up and up
Two or three young adults should pool together to buy a house, and at least they will have a start in home ownership.This is the only solution due to the exorbitant private rent costs.Rent controls please, as found in most of Europe.
More affordable housing would create a much fairer and human friendly system.
Hello? there is a tax loophole if the property is for sale - an empty home for sale is tax exempt but they will have to visit the property to care for it though
Great!!!
More homes for local welsh people!!!
Good.. after working 80 hours every week i cant afford to pay my bills and rent.. how people are allowed to multiple houses and profit from misery of others..
Envy.
Pembrokeshire will do into steep decline, there's no future for the place now
Im effing sick of these hikes!!
I have moved homes rental from £757 to £1400!! Its a joke! I want to get on to the property ladder unable to due to these hikes! Not to include the bills!!!
personal problem not a national problem
@@tarmactrailandtrack yeah personal but the price hikes is a national problem too
We now live in France and all second homes pay a second tax on holiday homes.
I rented a place in Tenby for a week was lovely but if I cannot rent a place then I would not go who is going to suffer not me just the people who work there
Plenty of hotels available
@@Kikiconsilience not with 2 dogs
@@bombardierboerboelsYou'd be surprised how many hotels accept pets these days
totally, the 2nd home as rentals/Airbnb and all that keep the local shops busy. Without them the people who are likely to live there would not be supporting the local shops even over the 12 months.
Second home owners who can't afford the hike selling to second home buyers who can afford the hike 🤔 I don't think this will really help many first time home buyers. Also on the Pembrokeshire council website it states the hike/council tax premium doesn't apply to "Dwellings being marketed for let". So those properties which are up for lease or rent, which I presume include airbnb etc rental type of properties of which there will be many in touristy areas. Hence I can also see these second homes being bought up my landlords and airbnb's. The real problem is the UK hasn't been building enough new homes for decades 🙄
Excellent.
Make it *more* affordable for *first home owners...duh...*
The second home also need to be tax on the house prices increase every year to. House prices need a big adjustment.
People celebrating forgetting this is a way of prying properties back from hard working people to make up for the fact they aren’t building enough homes with so much red tape making it a nightmare.
There are a few politicians with second homes in Pembrokeshire, Mark dickford being one of them. He was the leader of Welsh labour in the the Welsh assembly in Cardiff. Just goes to show how concerned politicians are about first time buyers getting housing locally....
How many homes does one person need?
A lot of people have second homes, especially in London, people have their homes far away from their workplace so they purchase another home closer to work and often rent out their main home which is often situated in a nice area.
How to destroy an economy. Vote Labour.
Already destroyed by the Tories and those Brexit voting morons.
Yeah, that after the Tories raised the national debt from £600 Billion to £2.7 trillion in just 14 years. No political party will ever be worse than that !!!
A very short sighted plan from the government. People will be stretched financially if they buy, so they won't be able to afford to treat themselves with eating out etc. Air b n bus bring in income all year round and people who visit, tend to spend more. I understand the frustration of locals not being able to buy, but if there aren't any jobs, locals won't stay anyway.
Surely there's a better 'down the middle' approach?
Good news for seaside towns and anyone who needs a home
Some people don’t want to own a house,so how are they going to rent a property if there are none available,charging second home owners £7000 for council tax just seems to me as an excuse to steel money from home owners,if people are living in these properties as a holiday home and they don’t rent them out they shouldn’t have have to pay more.
Im leaving this darn country
See ya x
@josephnott2956 Yep, wouldn't want to ya in a few years.
@@Philip---pip267 Many are my friend
@@sinceresong9907 best get going ain't ya war coming
@@josephnott2956 I'm definitely leaving
Good - Return the houses to the locals and give young people the chance at getting on the property ladder
These will not be bought by local people. They will either be bought by commercial landlords and turned into rented accomodatoon or sold to retirees for their main home. Tenby is expensive to live with low wages. Businesses will close, it will become dilapidated, and follow the path of most seaside towns in the UK.
Mate. If they're offering cheap houses, because no-one is buying them, they'll soon find a lot of Buyers who want somewhere to live
@@NickPoninski not cheap.
Idk how it works in the UK, or if the law provides for this instance, but around here those houses would simply be incorporated.
let's send loads of immigrants there the government can pay for the hotels they stay in
I looked to buy a property in wales but the land transfer tax was 50k. I bought another property in England and paid 7k. Well done snakeford
Living in the area locals still won’t be able to afford the homes. They are very expensive and wages are very low in Wales. .
Corruption is not the problem its the acceptance of corruption thats the problem
The stupidity and evilness of governments astounds me.
What's evil about taxing the greedy rich?
Good and surprising , my government doesn’t want to do it
Renters Nation on Min wage....I can still hear the Tories Laughing at a Party.
One home, one bed, people should not be allowed multiple houses. No wonder there is a housing crisis, greedy people
people only allowed one bed house?
Just means higher expense claims for MP’s.
Good, ALL councils should be doing this. As these homes don't sell, they will drop in price until they are sold
Or squatters will take over.
The extra tax won’t go to locals at all it will go as all taxes do to a bottomless pit of government waste.
The UK is a lost cause
Is this 2nd home ownership both within Wales? So only the Welsh are getting clobbered?
This VT is only looking at one area. There’s 2nd homes countrywide and each area has different economic benefits. Need to get London housing prices down 10%.