Rising rents solved with people power

München: @BBCWorld über das #MietshäuserSyndikat’sprojekt #Ligsalz8: Despairing of rising prices, some Germans are taking matters into their own hands to secure long-term, cheap, and stable rents. #CoHousing

BBC News: “… How Ligsalz8 keeps its prices low

It’s a communal property, neither owned by private landlords nor by the state.

Ligsalz8 is part of a rental housing syndicate, the Mietshäuser Syndikat, which aims to keep rents affordable and out of the hands of speculators.

Ligsalz8 is involved in more than 100 projects throughout Germany, and has links to similar setups in the Netherlands and Austria. Aware of how high living costs are in the UK, the organisers are keen to spread the idea even further.

“We thought, what can we do to make sure that these flats never get privatised again?” said York.
How they buy their buildings

Groups of tenants create housing associations, which join with the syndicate to form private limited companies. Those companies then buy – and own – the buildings.

They are financed by direct microcredits in the form of tiny loans and crowdfunding, as well as “standard” bank loans and support from the syndicate.

The rents stay the same, even after the loans are paid off. … .”