How does Buy to Let END!

[leonardratso]

50 % Shared Ownership

[Stuey]

4 minutes ago, Bobthebuilder said:

What would that rent for Stuey?

I could get £1000/month I reckon. 

[Bobthebuilder]

2 minutes ago, leonardratso said:

50 % Shared Ownership

Well spotted.

[Bobthebuilder]

3 minutes ago, leonardratso said:

50 % Shared Ownership

Buyer criteria … Income is less than £80,000 per annum. You don’t own another property/your name does not appear on the deeds of a property. You are unable to purchase this type of property in this area without assistance through an affordable home ownership product. Rent/building insurance/management fee is currently £231.48 PCM.

[JoeDavola]

4 minutes ago, Bobthebuilder said:

Buyer criteria … Income is less than £80,000 per annum.

Baller Stu fell at the first hurdle!

[Bobthebuilder]

7 minutes ago, Stuey said:

I could get £1000/month I reckon. 

My mate is paying a lot less than that for a two bed with garage in rural Dorset on a house valued at £260K.

[Stuey]

6 minutes ago, Bobthebuilder said:

My mate is paying a lot less than that for a two bed with garage in rural Dorset on a house valued at £260K.

Can't imagine there's many jobs there. There's loads here. Two people in at £500/month would be easy. 

[Wight Flight]

2 minutes ago, Stuey said:

Can't imagine there's many jobs there. There's loads here. Two people in at £500/month would be easy. 

So out of your 1k rent you are paying £100 agent fees and £231 insurance and management.

Net £669. Add in a 10% void and you are at £600 per month  / £7,200 per annum return on £190k.

Sub 4% yield. Assuming no other costs.

Cracking investment. 

[Bobthebuilder]

6 minutes ago, Stuey said:

Can't imagine there's many jobs there. There's loads here. Two people in at £500/month would be easy. 

Sorry fella, I just cannot take you seriously anymore, you are amusing though. I can just imagine meeting you for a pint, you would probably have a galvanised bucket stuck to one foot, and go clang, clang every time you walked to the bar.

2 minutes ago, Wight Flight said:

So out of your 1k rent you are paying £100 agent fees and £231 insurance and management.

Net £669. Add in a 10% void and you are at £600 per month  / £7,200 per annum return on £190k.

Sub 4% yield. Assuming no other costs.

Cracking investment. 

As it is 50% shared ownership, I assume theres also rent to pay?

[Wight Flight]

2 minutes ago, Bobthebuilder said:

Sorry fella, I just cannot take you seriously anymore, you are amusing though. I can just imagine meeting you for a pint, you would probably have a galvanised bucket stuck to one foot, and go clang, clang every time you walked to the bar.

As it is 50% shared ownership, I assume theres also rent to pay?

I was basing my calculations on 100% ownership.

You couldn't do 50% for a BTL.

 

[Bobthebuilder]

1 minute ago, Wight Flight said:

I was basing my calculations on 100% ownership.

You couldn't do 50% for a BTL.

 

Sorry did not read your post properly.

[Stuey]

12 minutes ago, Wight Flight said:

So out of your 1k rent you are paying £100 agent fees and £231 insurance and management.

Net £669. Add in a 10% void and you are at £600 per month  / £7,200 per annum return on £190k.

Sub 4% yield. Assuming no other costs.

Cracking investment. 

I suppose I could force a third in which even on your pessimistic costings would be 6% yield, and also add on capital appreciation as Stockton continues to gentrify. 

[Bobthebuilder]

5 minutes ago, Stuey said:

I suppose I could force a third in which even on your pessimistic costings would be 6% yield, and also add on capital appreciation as Stockton continues to gentrify. 

Three separate people renting a house is classed as a HMO, and requires a licence.

[Wight Flight]

24 minutes ago, Stuey said:

I suppose I could force a third in which even on your pessimistic costings would be 6% yield, and also add on capital appreciation as Stockton continues to gentrify. 

Of course you could get £1500.

Why wouldn't people want to pay that when the alternative is a decent 4 bed detached for the same money.

https://www.rightmove.co.uk/properties/140144141#/?channel=RES_LET

[leonardratso]

2 minutes ago, Wight Flight said:

Of course you could get £1500.

Why wouldn't people want to pay that when the alternative is a decent 4 bed detached for the same money.

https://www.rightmove.co.uk/properties/140144141#/?channel=RES_LET

you need to go back and read again, stuey is not financing a BTL empire here, its a sandwich of pork and leafy veg with some fruit in it. I think he may well be borrowing spygirls ketboard since BTL is always being put as BLT on his posts.
 

[Bobthebuilder]

On 19/11/2023 at 15:27, Stuey said:

Can't imagine there's many jobs there. There's loads here. Two people in at £500/month would be easy. 

Jobs are irrelevant, they are all retired civil servants.

[Andersen]

On 10/11/2023 at 17:42, InLikeFlynn said:

No doubt true, but I'm surprised at how few (0.57%) BTL mortgages are in arrears.

From a LL forum : Landlord Arrears Rocket - massive rise as interest rates bite (sort of related to the comment above) 

https://www.landlordtoday.co.uk/breaking-news/2023/11/landlord-arrears-rocket--massive-rise-as-interest-rates-bite 

Quoted from the link :

Lenders’ trade body UK Finance says there were 11,540 buy to let mortgages in arrears of 2.5 per cent or more of the outstanding balance in the third quarter of 2023. This is a disturbing 29 per cent rise on the previous quarter.

Within the total, there were 6,270 buy to let mortgages in the lightest arrears band (representing between 2.5 and five per cent of the outstanding balance). This was 33 per cent greater than in the previous quarter. 

[Wight Flight]

10 minutes ago, Andersen said:

From a LL forum : Landlord Arrears Rocket - massive rise as interest rates bite (sort of related to the comment above) 

https://www.landlordtoday.co.uk/breaking-news/2023/11/landlord-arrears-rocket--massive-rise-as-interest-rates-bite 

Quoted from the link :

Lenders’ trade body UK Finance says there were 11,540 buy to let mortgages in arrears of 2.5 per cent or more of the outstanding balance in the third quarter of 2023. This is a disturbing 29 per cent rise on the previous quarter.

Within the total, there were 6,270 buy to let mortgages in the lightest arrears band (representing between 2.5 and five per cent of the outstanding balance). This was 33 per cent greater than in the previous quarter. 

Five percent must be a year or more in arrears.

Surprised they are allowing that.

[spygirl]

12 hours ago, Wight Flight said:

Five percent must be a year or more in arrears.

Surprised they are allowing that.

Its not oly the LL who are gormless, green idiots.

So are the banks who lent to them.

These are commercial mortgages.

Banks need to move in as soo nas theres the first sign of credit wrinkle.

 

[Ash4781b]

21 hours ago, Andersen said:

From a LL forum : Landlord Arrears Rocket - massive rise as interest rates bite (sort of related to the comment above) 

https://www.landlordtoday.co.uk/breaking-news/2023/11/landlord-arrears-rocket--massive-rise-as-interest-rates-bite 

Quoted from the link :

Lenders’ trade body UK Finance says there were 11,540 buy to let mortgages in arrears of 2.5 per cent or more of the outstanding balance in the third quarter of 2023. This is a disturbing 29 per cent rise on the previous quarter.

Within the total, there were 6,270 buy to let mortgages in the lightest arrears band (representing between 2.5 and five per cent of the outstanding balance). This was 33 per cent greater than in the previous quarter. 

“Craig Fish of Lodestone Mortgages and Protection, says: “When it comes to remortgaging, many landlords are finding that they are unable to do , due to insufficient rental income and are having to stick with their current lender on higher-priced products. 

“This results in landlords increasing the rent they charge, which in turn has a knock-on effect on the tenants who are unable to pay, resulting in rental voids. “

I guess Craig might be selling products but interesting to see this written. 

[sancho panza]

In answer to the OP

'How does Buy to let end?'

stage 2(deteriorating) or stage 3 (default)?

https://www.nationwide.co.uk/-/assets/nationwidecouk/documents/about/how-we-are-run/results-and-accounts/2023-2024/interim-results-september-2023.pdf?rev=3bdc8ba8adc645f98e03f5ba810461b6

 

Edited November 22, 2023 by sancho panza

[spygirl]

13 hours ago, sancho panza said:

In answer to the OP

'How does Buy to let end?'

stage 2(deteriorating) or stage 3 (default)?

https://www.nationwide.co.uk/-/assets/nationwidecouk/documents/about/how-we-are-run/results-and-accounts/2023-2024/interim-results-september-2023.pdf?rev=3bdc8ba8adc645f98e03f5ba810461b6

 

NW BTL (+leg) loans are going bad at a far far far higher rates - and cost - compared to OO.

Wonder why .....

The ~2004 claim that BTL was far far safer than OO - just get other tenant ....... bank up the rents ..... is proving to be farfar from true.

 

[spygirl]

Should I sell my buy-to-let properties empty or with tenants living there?

https://www.thisismoney.co.uk/money/buytolet/article-12771163/Should-sell-buy-let-properties-tenants-situ.html?ico=mol_desktop_home-newtab&molReferrerUrl=https%3A%2F%2Fwww.dailymail.co.uk%2Fhome%2Findex.html&_ga=2.196532074.71348852.1700557777-1153876054.1674210976&_gl=1*1t2o4xv*_ga*MTE1Mzg3NjA1NC4xNjc0MjEwOTc2*_ga_XE0XLFFF16*MTcwMDc0MTAwMi45NC4xLjE3MDA3NDEyNzIuMC4wLjA.

Goes to a number of properdee talkign heads ...

Plain facts are if the original LL cannot run the BTLs a profit then they wont be sold to a LL.

The only choice the fuckwit has is to evict the tenants TEHN put the flats up for sale.

And swallow the mortgage costs, which, if they are so leveraged they cannot afford an up tick in IRs, means they dont have the cash to do this.

Fantasy LL - If I cant money then another LL will take the place + tenants on ....

 

 

[Wight Flight]

5 hours ago, spygirl said:

Should I sell my buy-to-let properties empty or with tenants living there?

https://www.thisismoney.co.uk/money/buytolet/article-12771163/Should-sell-buy-let-properties-tenants-situ.html?ico=mol_desktop_home-newtab&molReferrerUrl=https%3A%2F%2Fwww.dailymail.co.uk%2Fhome%2Findex.html&_ga=2.196532074.71348852.1700557777-1153876054.1674210976&_gl=1*1t2o4xv*_ga*MTE1Mzg3NjA1NC4xNjc0MjEwOTc2*_ga_XE0XLFFF16*MTcwMDc0MTAwMi45NC4xLjE3MDA3NDEyNzIuMC4wLjA.

Goes to a number of properdee talkign heads ...

Plain facts are if the original LL cannot run the BTLs a profit then they wont be sold to a LL.

The only choice the fuckwit has is to evict the tenants TEHN put the flats up for sale.

And swallow the mortgage costs, which, if they are so leveraged they cannot afford an up tick in IRs, means they dont have the cash to do this.

Fantasy LL - If I cant money then another LL will take the place + tenants on ....

 

 

Jesus there is some dodgy thinking amongst that lot.

Quote

It's worth bearing in mind that if you do end up selling to an owner occupier then you will need to give your tenants at least two months' notice, which could potentially slow down your sale.

Two months. Good luck.

And there are a lot of assumptions that the tenant will do all they can to help the landlord sell.

The real advice is issue a s21, wait 12 months with no income for vacant possession and hope you don't go bankrupt in the interim.

[spygirl]

‘I want to get out’: two landlords on the ‘broken’ property rental market

From high rents to repossessions and public opprobrium, it’s not just tenants who say the system isn’t working

https://amp.theguardian.com/uk-news/2023/nov/24/two-landlords-on-the-broken-property-rental-market

And one of those special LL names too....

“It is not a housing market that is working or fair,” says Sajjad Ahmad, who has been in the world of private renting for more than 40 years. “Rents are far, far too high.” But Ahmad is not one of the 11 million private tenants in England and Wales. Instead, he is among a growing number of landlords who now agree with many of their tenants that the system is broken.

He had 30 flats and houses across England – in Grimsby, Kirkby and Crawley – until he sold 16 last year. “I want to get out of the sector,” he says. And he’s not alone. Hamptons recently said that by the end of the year landlords will have sold 294,300 more homes than they have bought since 2016 – equivalent to more than the total number of households in Manchester.

Like all lefties, Graniduan is pure renterism.

I'd suggest he may have been a LL for 40y. But I'd suggest the 30 houses didnt happen till Brown Io btl fuckwitery kicked off 2004.

I'd also suggest he's being fucked by s24.

And I'd also  suggest that by 'rents too high' he means above LHA and he can't slumlord.