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Rental Market Bidding Wars Drive Up Prices

Bidding wars in the rental market are driving up prices and leaving many tenants without affordable housing.
   

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Renting a property in London has become really competitive, with tenants bidding against each other and driving up prices. One guy named Chris had to pay £100 more than the advertised rent just to get a flat. But even though he paid so much, the place had problems like mushrooms growing in the bathroom and rats everywhere. This bidding war thing has been happening for a while, but now it’s affecting more people like Chris. A charity called Shelter did a survey and found out that over half a million renters in England missed out on a place to live because someone else offered more money.

Because there are so many people looking for places to rent, the prices are going up because of these bidding wars. In Bristol, a group called Acorn is trying to stop this because it’s making it hard for people to afford rent. Some tenants are scared to speak up because they think it might make it harder for them to find a place in the future. The Labour Party in the UK wants to ban bidding wars, like New Zealand and some places in Australia have done.

A guy named Ben Beadle from the National Residential Landlords Association says that bidding wars happen, but the real problem is that there aren’t enough houses to rent. He thinks that banning bidding wars won’t fix the problem and that we should focus on things like the cost of living going up and high mortgage rates. The government says that how much rent you pay is up to the landlord and tenant. They’re working on a bill to make renting fairer and more secure.

So basically, bidding wars in the rental market are happening a lot and making it more expensive for tenants. This means that many people miss out on places to live because someone else offers more money. Lots of people want to rent places, so they have to bid against each other to get a place. Some people think this is bad for tenants and want to ban bidding wars. Others think we should focus on fixing the housing supply problem.

Original news source: Renting: Bidding wars driving up prices for tenants (BBC)

Listen:

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Vocabulary:

1competitiveWhen people try to be better than others at something
2biddingWhen people offer different amounts of money for something
3propertyA building or land that someone owns
4tenantsPeople who pay money to live in a rented place
5advertisedWhen something is shown or told to people so they know about it
6problemsDifficulties or issues that need to be solved
7mushroomsA type of fungus that grows in damp places
8charityAn organization that helps people in need
9surveyA study or investigation to gather information
10rentersPeople who pay money to live in a rented place
11affordTo have enough money to pay for something
12scaredFeeling afraid or worried about something
13futureThe time that will come after the present
14banTo officially say that something is not allowed
15mortgageMoney that you borrow from a bank to buy a house

Group or Classroom Activities

Warm-up Activities:

– News Summary
Instructions:
1. Divide the class into small groups.
2. Assign each group a different section of the article.
3. In their groups, students must read their assigned section and summarize the key points in a news summary.
4. Each group will then present their summary to the class.

– Opinion Poll
Instructions:
1. Write the following question on the board: “Do you think bidding wars should be banned in the rental market?”
2. Divide the class into pairs.
3. In their pairs, students will discuss their opinion on the question and come up with at least three reasons to support their opinion.
4. After the discussion, students will poll the rest of the class to see how many people agree or disagree with their opinion.
5. Finally, students will report back to the class and share the results of their poll.

– Vocabulary Pictionary
Instructions:
1. Write a list of vocabulary words from the article on the board (e.g. renting, bidding war, affordable, landlord, tenant).
2. Divide the class into small groups.
3. One student from each group will come to the front of the class and choose a word from the list.
4. Without speaking, the student must draw a picture on the board to represent the word while their group tries to guess what it is.
5. The first group to correctly guess the word gets a point.
6. Repeat the process with a new student from each group and a new word until all the words have been used.

– Think-Pair-Share
Instructions:
1. Write the following prompt on the board: “What are some possible solutions to the problem of bidding wars in the rental market?”
2. Give students a few minutes to think individually about their ideas.
3. Pair students up and have them discuss their ideas with their partner.
4. After the discussion, bring the class together and have pairs share their ideas with the whole group.
5. Facilitate a class discussion to further explore and evaluate the different solutions proposed.

– Pros and Cons
Instructions:
1. Divide the class into small groups.
2. Assign each group a different topic related to the article (e.g. bidding wars, affordable housing, government intervention).
3. In their groups, students will brainstorm and list the pros and cons of their assigned topic.
4. Each group will then present their list to the class, explaining their reasoning behind each point.
5. Facilitate a class discussion to compare and contrast the different perspectives presented.

Comprehension Questions:

1. Why are renting prices going up in London?
2. How did Chris have to pay more than the advertised rent to get a flat?
3. What problems did Chris’s flat have even though he paid so much?
4. According to a survey by Shelter, how many renters in England missed out on a place to live because someone offered more money?
5. What is the group Acorn trying to stop in Bristol?
6. Why are some tenants scared to speak up about bidding wars?
7. What does Ben Beadle from the National Residential Landlords Association think is the real problem with the rental market?
8. What is the government doing to make renting fairer and more secure?
Go to answers ⇩

Listen and Fill in the Gaps:

Renting a property in London has (1)______ really (2)______, with tenants bidding against each other and driving up prices. One guy named Chris had to pay £100 more than the advertised rent just to get a flat. But even though he paid so much, the place had problems like mushrooms growing in the bathroom and rats everywhere. This bidding war thing has been happening for a while, but now it’s (3)______ more people like Chris. A charity (4)______ Shelter did a survey and found out that over half a million renters in England missed out on a place to live because someone else (5)______ more (6)______.

Because there are so many people looking for places to rent, the prices are going up because of these bidding wars. In Bristol, a group called Acorn is trying to stop this because it’s making it hard for people to afford rent. Some tenants are scared to speak up because they think it might make it (7)______ for them to find a place in the future. The (8)______ Party in the UK wants to ban bidding wars, like New (9)______ and some places in Australia have done.

A guy named Ben Beadle from the National (10)______ Landlords Association says that bidding wars happen, but the real problem is that there aren’t enough houses to rent. He thinks that banning bidding wars won’t fix the problem and that we should focus on things like the cost of living (11)______ up and high mortgage rates. The government says that how much rent you pay is up to the (12)______ and tenant. They’re working on a bill to make (13)______ fairer and more secure.

So basically, bidding wars in the rental market are happening a lot and making it more expensive for tenants. This means that many (14)______ miss out on (15)______ to live because someone else (16)______ more money. Lots of people want to rent places, so they have to bid against each other to get a place. Some people think this is bad for tenants and want to ban bidding wars. Others think we should focus on fixing the housing supply problem.
Go to answers ⇩

Discussion Questions:

Students can ask a partner these questions, or discuss them as a group.

1. What is a bidding war in the rental market?
2. How would you feel if you had to pay more money than the advertised rent to get a place to live?
3. Do you think it’s fair for tenants to have to bid against each other for a rental property? Why or why not?
4. Have you ever experienced or heard of bidding wars happening in your country?
5. What problems can arise when there are bidding wars for rental properties?
6. Do you think it’s a good idea for the Labour Party to ban bidding wars? Why or why not?
7. How do you think banning bidding wars would affect the rental market?
8. Do you agree with Ben Beadle that the real problem is the lack of available rental houses? Why or why not?
9. How do you think high mortgage rates contribute to the rental market problem?
10. Do you think the government should have more control over how much rent landlords can charge? Why or why not?
11. What are some ways the government could make renting fairer and more secure?
12. How do you think the housing supply problem could be fixed?
13. Do you think the rental market problem is unique to London, or is it a problem in other cities as well?
14. How would you feel if you missed out on a place to live because someone else offered more money?
15. What are some potential solutions to the rental market problem besides banning bidding wars?

Individual Activities

Vocabulary Meanings:

Match each word to its meaning.

Words:
1. competitive
2. bidding
3. property
4. tenants
5. advertised
6. problems
7. mushrooms
8. charity
9. survey
10. renters
11. afford
12. scared
13. future
14. ban
15. mortgage

Meanings:
(A) When people offer different amounts of money for something
(B) Difficulties or issues that need to be solved
(C) People who pay money to live in a rented place
(D) An organization that helps people in need
(E) When something is shown or told to people so they know about it
(F) When people try to be better than others at something
(G) To have enough money to pay for something
(H) A study or investigation to gather information
(I) The time that will come after the present
(J) Money that you borrow from a bank to buy a house
(K) Feeling afraid or worried about something
(L) To officially say that something is not allowed
(M) A type of fungus that grows in damp places
(N) People who pay money to live in a rented place
(O) A building or land that someone owns
Go to answers ⇩

Multiple Choice Questions:

1. Why are prices for renting properties in London going up?
(a) Landlords are increasing the rent
(b) The government is imposing higher taxes
(c) Tenants are bidding against each other
(d) The cost of living is decreasing

2. What did a charity called Shelter find out in their survey?
(a) The majority of renters in England are happy with the current rental prices
(b) Renters in England are not affected by bidding wars
(c) Over half a million renters in England missed out on a place to live because someone else offered more money
(d) The number of available rental properties in England has increased

3. What is the main concern of a group called Acorn in Bristol?
(a) Banning bidding wars in the rental market
(b) The lack of affordable rental options
(c) The high cost of living in Bristol
(d) The decreasing number of landlords in Bristol

4. Why are some tenants scared to speak up against bidding wars?
(a) They think it might make it harder for them to find a place in the future
(b) They are not affected by bidding wars
(c) They believe bidding wars are beneficial for tenants
(d) They are not aware of the issue of bidding wars

5. What does Ben Beadle from the National Residential Landlords Association believe is the real problem?
(a) The high cost of living and mortgage rates
(b) The government’s interference in the rental market
(c) The tenants’ unwillingness to pay higher rent prices
(d) The lack of houses available to rent

6. What does the government say about how much rent tenants pay?
(a) The government sets a fixed rent price for all properties
(b) It is up to the landlord and tenant to decide
(c) The government regulates the rental prices based on the tenant’s income
(d) The government is planning to cap the maximum rent price

7. What is the government working on to make renting fairer and more secure?
(a) A new tax system
(b) A rental price index
(c) A program to increase the number of landlords
(d) A bill

8. What is the main issue with bidding wars in the rental market?
(a) It benefits both tenants and landlords
(b) It makes it more expensive for tenants
(c) It increases the number of available rental properties
(d) It decreases the cost of living in the area

Go to answers ⇩

True or False Questions:

1. Renting a property in London has become really uncompetitive, with tenants not bidding against each other and prices remaining low.
2. The Labour Party in the UK wants to ban bidding wars, similar to what New Zealand and some places in Australia have done.
3. Ben Beadle from the National Residential Landlords Association believes that banning bidding wars will fix the problem, and instead, the focus should not be on addressing the housing supply issue.
4. Some tenants are not scared to speak up against bidding wars because they do not fear it might make it harder for them to find a place in the future.
5. A guy named Chris had to pay £100 more than the advertised rent just to get a flat, but the place had problems like mushrooms growing in the bathroom and rats everywhere.
6. The prices of rental properties are going up due to these bidding wars, making it harder for people to afford rent.
7. A charity called Shelter found out that over half a million renters in England did not miss out on a place to live because someone else offered more money.
8. In Bristol, a group called Acorn is trying to stop bidding wars because it’s making it difficult for people to find affordable places to live.
Go to answers ⇩

Write a Summary:

Write a summary of this news article in two sentences.




Writing Questions:

Answer the following questions. Write as much as you can for each answer.

1. What is happening in the rental market in London that is making it difficult for tenants?
2. How did Chris end up paying more than the advertised rent for his flat?
3. According to a survey by Shelter, how many renters in England missed out on a place to live because of bidding wars?
4. Why are some tenants scared to speak up about the issue of bidding wars?
5. What does Ben Beadle from the National Residential Landlords Association believe is the real problem in the rental market?

Answers

Comprehension Question Answers:

1. Why are renting prices going up in London?
Renting prices in London are going up because there are so many people looking for places to rent. This creates a competitive market where tenants bid against each other, driving up the prices.

2. How did Chris have to pay more than the advertised rent to get a flat?
Chris had to pay more than the advertised rent because there were other people interested in the same flat. In order to secure the flat, he had to offer more money than the advertised price.

3. What problems did Chris’s flat have even though he paid so much?
Even though Chris paid more for the flat, it had problems like mushrooms growing in the bathroom and rats everywhere.

4. According to a survey by Shelter, how many renters in England missed out on a place to live because someone offered more money?
According to the survey, over half a million renters in England missed out on a place to live because someone else offered more money.

5. What is the group Acorn trying to stop in Bristol?
The group Acorn is trying to stop bidding wars in Bristol. They believe that these bidding wars make it hard for people to afford rent.

6. Why are some tenants scared to speak up about bidding wars?
Some tenants are scared to speak up about bidding wars because they fear it might make it harder for them to find a place to rent in the future. They worry that landlords might not choose them if they are seen as troublemakers.

7. What does Ben Beadle from the National Residential Landlords Association think is the real problem with the rental market?
Ben Beadle believes that the real problem with the rental market is the lack of available houses to rent. He thinks that banning bidding wars won’t fix the problem and that the focus should be on addressing the housing supply issue.

8. What is the government doing to make renting fairer and more secure?
The government is working on a bill to make renting fairer and more secure. They are aiming to address issues such as high rental prices and lack of security for tenants.
Go back to questions ⇧

Listen and Fill in the Gaps Answers:

(1) become
(2) competitive
(3) affecting
(4) called
(5) offered
(6) money
(7) harder
(8) Labour
(9) Zealand
(10) Residential
(11) going
(12) landlord
(13) renting
(14) people
(15) places
(16) offers
Go back to questions ⇧

Vocabulary Meanings Answers:

1. competitive
Answer: (F) When people try to be better than others at something

2. bidding
Answer: (A) When people offer different amounts of money for something

3. property
Answer: (O) A building or land that someone owns

4. tenants
Answer: (C) People who pay money to live in a rented place

5. advertised
Answer: (E) When something is shown or told to people so they know about it

6. problems
Answer: (B) Difficulties or issues that need to be solved

7. mushrooms
Answer: (M) A type of fungus that grows in damp places

8. charity
Answer: (D) An organization that helps people in need

9. survey
Answer: (H) A study or investigation to gather information

10. renters
Answer: (C) People who pay money to live in a rented place

11. afford
Answer: (G) To have enough money to pay for something

12. scared
Answer: (K) Feeling afraid or worried about something

13. future
Answer: (I) The time that will come after the present

14. ban
Answer: (L) To officially say that something is not allowed

15. mortgage
Answer: (J) Money that you borrow from a bank to buy a house
Go back to questions ⇧

Multiple Choice Answers:

1. Why are prices for renting properties in London going up?
Answer: (c) Tenants are bidding against each other

2. What did a charity called Shelter find out in their survey?
Answer: (c) Over half a million renters in England missed out on a place to live because someone else offered more money

3. What is the main concern of a group called Acorn in Bristol?
Answer: (a) Banning bidding wars in the rental market

4. Why are some tenants scared to speak up against bidding wars?
Answer: (a) They think it might make it harder for them to find a place in the future

5. What does Ben Beadle from the National Residential Landlords Association believe is the real problem?
Answer: (d) The lack of houses available to rent

6. What does the government say about how much rent tenants pay?
Answer: (b) It is up to the landlord and tenant to decide

7. What is the government working on to make renting fairer and more secure?
Answer: (d) A bill

8. What is the main issue with bidding wars in the rental market?
Answer: (b) It makes it more expensive for tenants
Go back to questions ⇧

True or False Answers:

1. Renting a property in London has become really uncompetitive, with tenants not bidding against each other and prices remaining low. (Answer: False)
2. The Labour Party in the UK wants to ban bidding wars, similar to what New Zealand and some places in Australia have done. (Answer: True)
3. Ben Beadle from the National Residential Landlords Association believes that banning bidding wars will fix the problem, and instead, the focus should not be on addressing the housing supply issue. (Answer: False)
4. Some tenants are not scared to speak up against bidding wars because they do not fear it might make it harder for them to find a place in the future. (Answer: False)
5. A guy named Chris had to pay £100 more than the advertised rent just to get a flat, but the place had problems like mushrooms growing in the bathroom and rats everywhere. (Answer: True)
6. The prices of rental properties are going up due to these bidding wars, making it harder for people to afford rent. (Answer: True)
7. A charity called Shelter found out that over half a million renters in England did not miss out on a place to live because someone else offered more money. (Answer: False)
8. In Bristol, a group called Acorn is trying to stop bidding wars because it’s making it difficult for people to find affordable places to live. (Answer: True)
Go back to questions ⇧

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Young people in their early 20s are more likely to be out of work due to ill health than those in their early 40s, with poor mental health being a significant factor, according to a report by the Resolution Foundation.

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