Now is the time to start squeezing.

The credit crunch, despite how complicated the government try to make it, is really very simple. People with houses were borrowing money that they couldn't afford to pay back in the hope that house prices kept rising so that they could borrow more to pay back what they already owed. When houses prices stopped rising, as anybody with any common sense knew they would, these people got in trouble. Because they cannot borrow anymore money they can't pay their debts. It is as simple as that.

So now they have to find a way to pay off what they owe which is good news for anybody renting property. Buy to let landlords cannot afford to have their properties empty. They need the income or they will not only lose their rental properties but possibly their own home as well. So rental prices are dropping far more quickly than house prices. Anybody with empty property to rent is dropping their rent just to get a tennant in there and get some money coming in. In the Richmond area rent has fallen by almost 20% already and is certain to fall even further.

So if you live in privately rented accommodation you have these people by the balls and it is now time to start squeezing. Write to your landlord and give him or her a choice. Either they lower the rent or you will go elsewhere. At the moment they have no choice. They know that if you go there is not a lot of chance of them renting out the property and even if they do they will not get anywhere near what you are paying. So if you don't get greedy and ask for a sensible reduction, along the lines of what rental prices have fallen in your area, then you will get it.

And don't feel guilty about it! They have spent the past few years driving new cars, enjoying foreign holidays and living the high life at your expense. Now it's your turn to save money and enjoy a better standard of living.