“Home REIT appoints new investment manager as rent collection drops to 13%”

May 26, 2023 | Housing market

This is one of what may be a number of codas to a story featured a couple of weeks ago. Home REIT (Real Estate Investment Trust) was set up to invest in social housing, in our great world of privatised everything. They borrowed to buy and were hit by interest rate rises, just like many private buy-to-letters. The nature of their tenants, however, means that those tenants are suffering more than most from, in particular I’d guess, 19% food-price inflation, and so 87% aren’t paying their rents. They company has apparently ‘developed a number of initiatives’ to improve rent collection; I wonder what those could be? Although this will doubtless hit the investment managers’ bonuses, it will be those turfed out when the forced sales come around who suffer most. And ultimately the cost will bounce back to the government, who should never have tried to get shot of it in the first place.

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“Property sales to fall 21% next year as mortgage arrears rise”

“Property sales to fall 21% next year as mortgage arrears rise”

OK, I know I’ve been predicting a property market ‘crash’, or at least a slowdown, for a year or two now. It’s coming, but as is always the case, not for the reasons predicted. I thought that ’supply over demand’ would be the trigger, with new developments springing up on every accessible farmer’s field