How does Buy to Let END!

[spygirl]

That sounds like a combination of business risk - letting to dossers - and a dumb market where idiots have rushed in and suddenly find they cant rush out, at least without taking a very large hit.

Fucktards.

My response to people going on about doing social let's in London is - why not set up a business to hire Ferraris to poor people?

Similar sort of capital cost. Similar sort of risk.

 

[DurhamBorn]

The comment below shows the lunacy.They are learning that leverage kills you when cash flow collapses.Iv got many shares in companies i hope and expect to stop the divi for a year.Iv cash to cover that event x 8.Cash flow needs to be preserved.These idiots think margin calls dont happen in property.They are stuffed now though.This first,then lower prices so higher mortgages then a long slow rise in rates that keeps prices down.

Fulltime landlords rely on difference bet rent and mort if that's not paid they have nothing.

 

[Hardhat]

I like how you can sense the penny almost dropping in some of these posts. You'd think some of them had been forced to become landlords at gunpoint.

[Shamone]

2 minutes ago, Hardhat said:

I like how you can sense the penny almost dropping in some of these posts. You'd think some of them had been forced to become landlords at gunpoint.

These have really cheered me up. To see these vile individuals go bust would be a dream come true.

[spygirl]

12 minutes ago, DurhamBorn said:

The comment below shows the lunacy.They are learning that leverage kills you when cash flow collapses.Iv got many shares in companies i hope and expect to stop the divi for a year.Iv cash to cover that event x 8.Cash flow needs to be preserved.These idiots think margin calls dont happen in property.They are stuffed now though.This first,then lower prices so higher mortgages then a long slow rise in rates that keeps prices down.

Fulltime landlords rely on difference bet rent and mort if that's not paid they have nothing.

 

IO BTLers are on a burning platform.

No regulated bank can take on their loans. Banned. Regulated banks with io btl books are raising the SVR to get rid.

The number of specialist finance companies underwriting btl debt are getting fewer n fewer. And finding raising capital for the lending harder and more expensive.

And, last not least, BTL is turning out to be be a much riskier activity than was originally priced in. Economic slowdown- poof! All the renters disappear. Hardly surprising as most are on 1 month notice.

Fuckards. Both the banks n lls.

[Wight Flight]

If you read the comments about the number of new properties available, meaning they are having to compete to find a tenant, it lays bare the myth that there is a housing shortage.

I think rents might start falling soon. With house prices following closely behind.

[eek]

1 hour ago, spygirl said:

Banging on about tenant not paying and not getting a mortgage holiday.

Have these morons not gone thru the S24 tax changes yet?

They are bust, fucked, insolvent.

 

 

It's a Ros rant - there is so much to enjoy within it I will return to it again later...

6 minutes ago, Wight Flight said:

If you read the comments about the number of new properties available, meaning they are having to compete to find a tenant, it lays bare the myth that there is a housing shortage.

I think rents might start falling soon. With house prices following closely behind.

The problem there is that LHA rates act as a foundation on the market - I think as part of this emergency they should be halved to reveal the true market value...

[spygirl]

27 minutes ago, eek said:

It's a Ros rant - there is so much to enjoy within it I will return to it again later...

The problem there is that LHA rates act as a foundation on the market - I think as part of this emergency they should be halved to reveal the true market value...

Indeed. You see boro places, bought at 70k - Oh the happy, fog a mirror days of bank lending. Being sold at around 25k-30k which is just about a 4% yield on the LHA rate.

These are being bought by cash buyers, for slumlording.

LHA needs kicking away n prices need to clear.

 

[Sugarlips]

34 minutes ago, Wight Flight said:

 

I think rents might start falling soon. With house prices following closely behind.

Supply of holiday flats has leapt noticeably higher in Sydney & Melbourne this week. Unless the flat has a unique selling point, price is the only tool for landlords to get ahead of their neighbour to avoid void periods.

Would be very interested to hear how this looks on the IOW, coming into peak summer-let period with everyone in lockdown, can you see any signs of panic on the ground as yet?

[HolyCow]

Are BTLers getting the mortgage holiday or not? I thought it didn't apply to them?

[eek]

32 minutes ago, HolyCow said:

Are BTLers getting the mortgage holiday or not? I thought it didn't apply to them?

BTLers can apply for it as all mortgages qualify. Property 118's issue is that the tenants are bright enough to know that a 3 month ban on eviction means they can live rent free for months and there is nothing the landlords can do about it.

And even if they aren't bright enough to have done it this month, a friend will be pointing out the error in their ways before the end of this month.

Edited April 4, 2020 by eek

[Wight Flight]

2 hours ago, Sugarlips said:

Supply of holiday flats has leapt noticeably higher in Sydney & Melbourne this week. Unless the flat has a unique selling point, price is the only tool for landlords to get ahead of their neighbour to avoid void periods.

Would be very interested to hear how this looks on the IOW, coming into peak summer-let period with everyone in lockdown, can you see any signs of panic on the ground as yet?

Nothing visible. A few rentals coming to the market but no more than normal.

I think our market is a little different. City dwellers letting out their holiday home, or people inheriting and not selling. The is some naked BTL and some building to let but nothing like the mainland.

I think a lot of people have just decided to move in to their second home for the duration rather than rent it out.

Then again, I follow the rental market and don't pay much attention to the holiday lets.

[spygirl]

Post from ToS.

https://www.moneywise.co.uk/property/buy-let-landlords-it-time-sell?utm_source=IBMW&utm_medium=email&utm_campaign=Moneywise Newsletter 01-04-2020 (1)&utm_content=

James Fraser, 51, is one of the many landlords to have been hit by the Government’s changes to the buy-to-let sector.

The phasing out of mortgage tax relief has hit him hard and he has considered selling up.

James, who lives in Stevenage and rents out 26 properties, says: “The changes to mortgage tax relief are ruining the industry, and landlords will have no other choice but to put rents up or quit.

 

I dont where his 26 - countem - btl are. I doubt they are in the south. If they were hed have sold up.

Even with the insane leverage, hed stilll not be able to do 26 btl south of Sheffield.

I reckon they are in places like Donny n Boro.

And i reckon the worry about cgt is moot. Hell be 30k down on each.

Hes bust. Putting rents up increases the tax owed.

 

[spygirl]

With a huge fucking bang.

https://www.gazettelive.co.uk/news/teesside-news/redcar-millionaire-power-couple-star-18050993

Property boss and mind coach Steven Green and his partner Gemma Sharples have built up a multi-million pound business empire from nothing.

Channel 5 says: "Steve and Gemma live in a newly renovated five-bedroom house in the seaside town of Redcar and own nearly 80 properties worth over £6m, while Ben and Demi live in a rented two-bedroom, terraced house in Co Durham and rely on Ben's zero-hour contract work as a roofer."

Now, I'm guessing the 6m of Redcar property - You cant go wrong buying in Redcar/Esst Cleveland..... - is all io btl, held outside of ltdco.

As far as an empire built from nothing....

https://suite.endole.co.uk/insight/people/19222393-miss-gemma-louise-sharples?page=companies

https://suite.endole.co.uk/insight/people/19222394-mr-steven-john-green?page=companies

Click on each company then scroll down for financial highlights.

With the io btl of '6m' and the ltdco, these two idiots must be in hock for around 10m.

The only positive is most if the charges are financial companies, where theres no fall out to UK taxpayers as they are not regulated banks.

Oldest Ltd for both is 2014. Most are 2016 2018.

Edited April 8, 2020 by spygirl

[Andersen]

Article today in the Times : Property purchases by buy-to-let landlords fall to record low. The proportion of homes bought by landlords has fallen to a record low as a combination of Covid-19 and tax changes drives buy-to-let investors from the market https://www.thetimes.co.uk/edition/business/property-purchases-by-buy-to-let-landlords-fall-to-record-low-vfskhr733
Good news if you're wanting to buy a home for yourself, not if your ll evicts you to sell the place or if you need to find somewhere to rent (numbers available will reduce as the ll sell-off continues).v

[Popuplights]

On 04/04/2020 at 06:31, Wight Flight said:

If you read the comments about the number of new properties available, meaning they are having to compete to find a tenant, it lays bare the myth that there is a housing shortage.

I think rents might start falling soon. With house prices following closely behind.

I fucking hope so. Just in time for my kids.

[eek]

23 hours ago, spygirl said:

With a huge fucking bang.

https://www.gazettelive.co.uk/news/teesside-news/redcar-millionaire-power-couple-star-18050993

Property boss and mind coach Steven Green and his partner Gemma Sharples have built up a multi-million pound business empire from nothing.

Channel 5 says: "Steve and Gemma live in a newly renovated five-bedroom house in the seaside town of Redcar and own nearly 80 properties worth over £6m, while Ben and Demi live in a rented two-bedroom, terraced house in Co Durham and rely on Ben's zero-hour contract work as a roofer."

Now, I'm guessing the 6m of Redcar property - You cant go wrong buying in Redcar/Esst Cleveland..... - is all io btl, held outside of ltdco.

As far as an empire built from nothing....

https://suite.endole.co.uk/insight/people/19222393-miss-gemma-louise-sharples?page=companies

https://suite.endole.co.uk/insight/people/19222394-mr-steven-john-green?page=companies

Click on each company then scroll down for financial highlights.

With the io btl of '6m' and the ltdco, these two idiots must be in hock for around 10m.

The only positive is most if the charges are financial companies, where theres no fall out to UK taxpayers as they are not regulated banks.

Oldest Ltd for both is 2014. Most are 2016 2018.

£6m of Redcar property - is that half the town?

 but it's nice to see that they have recent experience of their forthcoming (poor) future ...

[spygirl]

12 minutes ago, eek said:

£6m of Redcar property - is that half the town?

 but it's nice to see that they have recent experience of their forthcoming (poor) future ...

https://houseprices.io/?q=redcar&p=12

Mainly red n orange.

Northern IO BTL seems to cost the LL about 30k-40k loss per house.

Id love no when they bought their 'empire'

At those numbers, Id guess it most be 5+ years ago.

80 * 30k = 2.4m loss.

At average of ~500/m LHA, income will be 80 x 500 = 40k/m

If held individually, 50% will be paid to HMRC as tax. So theyll be loosing on the rental income.

Total clusterefuck.

 

 

 

[HolyCow]

On 04/04/2020 at 12:31, Wight Flight said:

If you read the comments about the number of new properties available, meaning they are having to compete to find a tenant, it lays bare the myth that there is a housing shortage.

I think rents might start falling soon. With house prices following closely behind.

A lot of it is because AirBnB has removed so many rental units from the market and now they are not allowed to market during the lockdown, all the AirBnB "landlords" are putting them onto the market. It would be wonderful if both AirBnB and all these scumbags went bust. We can but hope.

[HolyCow]

20 hours ago, Andersen said:

Article today in the Times : Property purchases by buy-to-let landlords fall to record low. The proportion of homes bought by landlords has fallen to a record low as a combination of Covid-19 and tax changes drives buy-to-let investors from the market https://www.thetimes.co.uk/edition/business/property-purchases-by-buy-to-let-landlords-fall-to-record-low-vfskhr733
Good news if you're wanting to buy a home for yourself, not if your ll evicts you to sell the place or if you need to find somewhere to rent (numbers available will reduce as the ll sell-off continues).v

Not necessarily. In many places the market is flooded with AirBnb properties that cannot be used for short term lets and are now available for long term. 

[sancho panza]

5 hours ago, HolyCow said:

A lot of it is because AirBnB has removed so many rental units from the market and now they are not allowed to market during the lockdown, all the AirBnB "landlords" are putting them onto the market. It would be wonderful if both AirBnB and all these scumbags went bust. We can but hope.

coukd be EE's heading home.....

[HolyCow]

10 hours ago, sancho panza said:

coukd be EE's heading home.....

I read somewhere (perhaps an article linked from here) that 500k Bulgarians had returned home from the rest of Europe (presumably before lockdown). I imagine a mixture of Brexit (perceived hostility towards EEs) and a slowdown in the economy (before and now exacerbated by Coronavirus) will prompt a lot of EEs to return to their homelands. I have a feeling countries like Poland and Hungary will be on the ascent over the next few decades and we will see a resurgence of nationalism (even in western Europe).

[Zanu Bob]

17 minutes ago, HolyCow said:

I read somewhere (perhaps an article linked from here) that 500k Bulgarians had returned home from the rest of Europe (presumably before lockdown). I imagine a mixture of Brexit (perceived hostility towards EEs) and a slowdown in the economy (before and now exacerbated by Coronavirus) will prompt a lot of EEs to return to their homelands. I have a feeling countries like Poland and Hungary will be on the ascent over the next few decades and we will see a resurgence of nationalism (even in western Europe).

They've got real leaders with real beliefs based on real world life experience.

We in the UK have a bunch of Oxbridge graduates who want to play cultural marxist pontoon.

[spygirl]

Rental market chaos as tenants struggle to pay and 80,000 landlords fear bankruptcy

https://www.telegraph.co.uk/investing/buy-to-let/rental-market-chaos-tenants-struggle-pay-80000-landlords-fear/amp/

I prefer the old headlines, about plucky propordee investors who were worth 6m*

All debt.

 

Critics say there are major gaps in state support schemes

Nope.

Ll borrows money from bank.

Ll gets rents to tenant, ll pays bank.

Why should state offer any support?

 

[Option5]

Stumbled into this website, the in fighting between landlords is brilliant 😁

https://www.landlordtoday.co.uk/breaking-news/2020/3/what-impact-could-coronavirus-have-on-the-housing-market