As the title, I would assume this policy would have an effect on the real estate bubble.
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I always thought that would do something too. Isn’t there an Empty Homes tax now too?
This makes sense, the policy should also probably reduce income from empty homes tax too.
Agree, there should also be a ‘bedroom tax’ which should free up additional homes / increase income.
Like, what, a tax literally on number of bedrooms in a house? That seems extremely hard to enforce. Gotta have a look in every single house to see how many rooms of it are dedicated to bedding.
It’s a UK tax, it’s mainly for council owned houses where if (as an example) a single person was living in a 3 bed house they either have to pay additional tax for the un-used 2 bedrooms or they have to move to a smaller house. Obviously privately owned houses that wouldn’t be possible but state owned it’s quite easy to manage/enforce.
Ah I see. I can see a tax like that to be inconvenient to both rich folks (who are, however, gonna have their own houses and will likely evade) and poor folks (especially if, say, they just lost somebody and so have an extra bed they no longer need but suddenly gotta pay more to live there, potentially while the person they just lost might have been contributing to household income, so it’s a double whammy)
Seems like quite a harsh idea.
Rich people won’t be impacted as it’s just social housing, it’s not a popular tax for sure (unless you’re young and want to have children etc) as they benefit from it. My fiances uncle lived with his mum as a carer and after she passed he was told he’d need to move or pay the bedroom tax (he obviously moved) but it’s a genuine tax so should be in the UK model and it’s designed to reduce strain on the state housing model however harsh it is - the retired/older demographics won’t like it but the younger ones will.