The next Generation

There was an interesting article in The Guardian recently about how developers are profiting from the so-called Generation Rent, i.e. those people who for reasons of affordability or a desire not to tie themselves down with a mortgage.

The Next Generation

The Guardian’s take on it was this is a bad thing because it allocates housing on the basis of wealth, rather than social need.

Now, there is some truth in this and, as ever the article focused on London where the cost of renting a one-bedroom flat in a build to rent development in Elephant and Castle (so not a particularly great area as the Capital goes) is £1,841 per month.

But looking outside the London ‘bubble’, my view is that anything that increases general housing supply is a good thing and schemes like this do have a role to play in housing young professionals who are unable or don’t want to commit to buying.

Obviously it doesn’t address the needs of lower income individuals and that needs to be addressed by increasing the supply of social housing as well.

I think there is room for all sorts to address need and developers are always going to look for initiatives which generate profit.

I have no problem with this but it would be nice to see more mixed tenure developments which might create more socially mixed communities.

So, you could have Generation Rent living next to Generation Buy (yes, I made that up!). That’s no bad thing is it?