How does Buy to Let END!

[Wight Flight]

Just now, AlfredTheLittle said:

From 2021. Hopefully rising interest rates help solve the problem.

No. They make it worse.

landlords will switch from long term rentals to short term to make up the numbers.

I have just looked at my town. Apparently there are 614 listed (I don't know how they calculate proximity).  Our population is only 6,000.

A house equivalent to mine will rent for £250 a night in the summer, compared to £1,200 a month that I pay.

These things need taxing out of existence, with the tax going directly to build affordable house for locals.

[AlfredTheLittle]

46 minutes ago, Wight Flight said:

 

These things need taxing out of existence, with the tax going directly to build affordable house for locals.

Our wonderfully competent government, while raising taxes pretty much across the board and presiding over a massive housing crisis, are still offering huge tax incentives for houses to be converted from residential use to holiday lets, including full deduction of interest and capital gains tax relief (now even more valuable).

[Wight Flight]

1 hour ago, AlfredTheLittle said:

Our wonderfully competent government, while raising taxes pretty much across the board and presiding over a massive housing crisis, are still offering huge tax incentives for houses to be converted from residential use to holiday lets, including full deduction of interest and capital gains tax relief (now even more valuable).

It's going to get worse.

this is from last year...

https://www.bbc.co.uk/news/uk-politics-61966359

And that is just the ones they know about. I estimate over 2,500 here so they are missing half of them.

@Frank Hovis @One percent

[One percent]

31 minutes ago, Wight Flight said:

It's going to get worse.

this is from last year...

https://www.bbc.co.uk/news/uk-politics-61966359

And that is just the ones they know about. I estimate over 2,500 here so they are missing half of them.

@Frank Hovis @One percent

Yes. Scabby council put the figure here at 19 percent (above 20 and it is deemed to be a problem). The local pressure group put it at almost 30 percent. 
 

https://www.whitbycommunitynetwork.org/housing/

 

wandering around the town and just observing all the properties that clearly don’t seem to be occupied, i would put the figure even higher than that.  

[Wight Flight]

Just now, One percent said:

Yes. Scabby council put the figure here at 19 percent (above 20 and it is deemed to be a problem). The local pressure group put it at almost 30 percent. 
 

https://www.whitbycommunitynetwork.org/housing/

 

wandering around the town and just observing all the properties that clearly don’t seem to be occupied, i would put the figure even higher than that.  

They are going to be hard to beat though.

Looking further, they charge customers 17% and owners 3%  (clever) 

so just for the Island, in the summer the average price seems to be about £200 a night. With 2500 properties, 20% of that is £100,000. Per day. 

All extracted from the local economy.

No wonder they can afford to employ high powered lobbyists.

 

 

[UmBongo]

Just had an offer accepted on a flat. This one is the last of 7 flats of a rental portfolio. Not sure if BTL but EA informed me that vendor is under pressure to sell. I wonder if there is a tax bill involved? 

[roundhouse]

Depressing to read... houses given a £20K uplift before being sold for not far off double the original price. Hope it fails on the landlord's further houses-for-sale because affordability innit. 

https://www.property118.com/landlord-sales-agency-pays-to-refurb-properties-for-landlord-so-she-gets-extra-200k-selling-portfolio/

At Landlord Sales Agency we are extremely confident in being able to get the highest prices possible for landlords. Because of that, we did a deal: initially she was selling two properties for £125K and another for £160K that had become recently vacant and in poor condition after the tenants left– we funded the £40K required for her refurbs and also provided the building teams and she sold for much higher prices of £240K and £300K respectively (making her an additional profit of £200K after costs).

 

Article/advertorial then goes on to say they carry out "quality fast sales" of portfolios, within 28 days, for a financially savvy 85% of value. So another indication of landlords needing a fast stressfree exit. But slightly at odds with the aforementioned excessive uplift in pricing?

Because we focus on a quality fast sale, rather than a cheap fast sale, we ensure that our buy-to-let portfolios are sold not just fast, in less than 28 days, but also for a financially savvy 85% of the value (in some cases even higher) – which makes sense when we handle every single part of the sale for you, including liaising with all tenants, ensuring all certificates and licenses are in place, and allowing you to simply make the call to us then sit back and relax knowing we’re on it to get the whole portfolio sold, fast.

[spygirl]

Letters: The Government’s war on private landlords will drive them into the arms of Labour

Plus: Britain's energy security; pain-free dentistry; under the counter library books; and redundant rolling-stock

https://www.telegraph.co.uk/opinion/2023/04/02/letters-war-on-private-landlords-will-drive-them-to-labour/

[spygirl]

SIR – I strongly disagree with Michael Gove (Letters, March 30), the Levelling Up Secretary, about abolishing Section 21 of the Housing Act. As private landlords, we continue to feel attacked by this Conservative Government.

The new legislation would apparently no longer recognise our rights as the owner to reclaim our property from tenants, should we want or need to sell. But if mortgage rates continue to rise, many of us will be unable to afford our payments as the rents will not cover them.

We have worked hard to purchase properties, run our small rental businesses and provide good-quality homes for our tenants. They signed a tenancy agreement, and were happy to do , but this Government’s new legislation would effectively dismantle this as legal documentation. How can it be right or fair that the Government can alter the terms of a legal agreement between two parties?

We also own a small, one-bedroom flat in a block blighted by the cladding issue. This Government has created a situation where if you own more than three properties – including your own home – under the Building Safety Act 2022, you are liable to pay all cladding repair costs on a secondary property.

Our building is undergoing a £6.5 million repair, split between 68 flats. While the developer or freeholder is liable for the costs of most leaseholders – including second-home owners – this legislation means that we are liable for the full proportional cost of our repair. Why should this be?

Our present thoughts are that a Labour government could not target private landlords any more than this Conservative Government has.

Wendy Ballard
Portishead, Somerset

---

SIR – My buy-to-let mortgage is increasing from £400 a month to £1,200 a month. My tenants can’t afford such a steep rent increase, but I can no longer afford to subsidise them living there. What do I do?

Michael Gove says he is tackling “revenge evictions” and “rogue landlords”, but I do not fit either category. Service charges and insurance have also increased, and if I can’t serve notice on my tenants, I will be forced to sell. If it were council housing, it would be subsidised by the local council.

Landlords are being penalised when the private rental market should be allowed to operate in a free market. If interest rates increase, so will rents. Abolishing no-fault evictions will not address the problem of rogue landlords, but it will contribute to the further demise of the private rental sector.

Deborah Pridmore
Greenway, Devon

[spygirl]

If interest rates increase ..... so should rents.

Ah.

If interest rates increase... so should wages....

If house prices increase ... so should wages.

 

[Wight Flight]

9 hours ago, spygirl said:

If interest rates increase ..... so should rents.

Ah.

If interest rates increase... so should wages....

If house prices increase ... so should wages.

 

Remind we about that wonderful time when everyone's rent halved when interest rates took a dive.

[Herby]

One council has revealed that it’s going to buy 300 homes, worth up to £600,000 each, in a bid to provide emergency accommodation for those being made homeless.

Councillors at Lewisham Council have been alarmed by the rapid rise in the number of families who are reporting as being homeless – or say they are at immediate risk of losing their home.

[spygirl]

2 minutes ago, Herby said:

One council has revealed that it’s going to buy 300 homes, worth up to £600,000 each, in a bid to provide emergency accommodation for those being made homeless.

Councillors at Lewisham Council have been alarmed by the rapid rise in the number of families who are reporting as being homeless – or say they are at immediate risk of losing their home.

You sure on the maths?

I know you say up to.

But ....

300 x 600k = 180m.

 

[Boon]

Won't be paid all at one hit.

I don't think it'll be homes either.

One thing London boroughs like this are short on is family homes, but conversely they have an excess of overpriced flats that nobody wants, primarily because they are priced too high.

Wouldn't it be some massive marriage of convenience if the council could just buy loads of these unwanted shits.

I can imagine this being a seriously bent deal with lots of sweeteners on both sides and for the banks and lawyers, however none accruing to the taxpayer. Flats that were initiailly 'executive', 'luxury' 10 years ago will go seriously downmarket with the type of people going into them. That's been happening already.

[Wight Flight]

They just don't get irony.

Quote

If you went on Dragons Den and pitched a BTL business model as a private landlord, they would piss themselves laughing at you.

https://www.property118.com/sadiq-khan-calls-again-for-a-rent-freeze-in-london/#comments

[Option5]

1 minute ago, Wight Flight said:

They just don't get irony.

https://www.property118.com/sadiq-khan-calls-again-for-a-rent-freeze-in-london/#comments

He's ensuring people who rent can pay ULEZ

[Ash4781b]

4 minutes ago, Option5 said:

He's ensuring people who rent can pay ULEZ

I went to London by road and there were quite a few ULEZ protest banners. Then the signs you are approaching the ULEZ zone. 

[Wight Flight]

8 minutes ago, Ash4781b said:

I went to London by road and there were quite a few ULEZ protest banners. Then the signs you are approaching the ULEZ zone. 

I don't understand this ULEZ thing. My cars are ancient gas guzzlers but seem to be compliant.

But I am unlikely to ever visit London again so I can safely ignore it.

[Funn3r]

13 minutes ago, Wight Flight said:

I don't understand this ULEZ thing. My cars are ancient gas guzzlers but seem to be compliant.

But I am unlikely to ever visit London again so I can safely ignore it.

Yes my 2004 very high mileage car is fine for ULEZ. Like you I don't ever plan driving in London. Well except that London has got a lot nearer than it used to be - have to pay ULEZ to go to Heathrow soon. London will be getting on your ferry next.

[Wight Flight]

2 minutes ago, Funn3r said:

Yes my 2004 very high mileage car is fine for ULEZ. Like you I don't ever plan driving in London. Well except that London has got a lot nearer than it used to be - have to pay ULEZ to go to Heathrow soon. London will be getting on your ferry next.

London already has most of Cowes and Seaview. Kensington and Chelsea parking permit are almost essential.

[Ash4781b]

7 minutes ago, Funn3r said:

Yes my 2004 very high mileage car is fine for ULEZ. Like you I don't ever plan driving in London. Well except that London has got a lot nearer than it used to be - have to pay ULEZ to go to Heathrow soon. London will be getting on your ferry next.

Ulez zone to Heathrow. Wtf. Don’t you have to pay to pickup too?

[Wight Flight]

10 minutes ago, Ash4781b said:

Ulez zone to Heathrow. Wtf. Don’t you have to pay to pickup too?

Coach from Woking is the way to go.

[JoeDavola]

3 hours ago, Wight Flight said:

They just don't get irony.

https://www.property118.com/sadiq-khan-calls-again-for-a-rent-freeze-in-london/#comments

Check this landlord with a heart of gold giving off about the hmo rules:

"I have a 2 bedroom mansion flat in Maida Vale, London W9 which has for years been rented to various different single families or two separate sharers. Last year after the flat became vacant I looked into walling off the dining area to make a third bedroom and hence rent it to 3 sharers. The alterations would have been fairly straightforward. This would not have given a huge boost to rent, perhaps another £400pm but worth having to cover extra costs and the overall rent per tenant would have been lower per tenant when shared by 3 instead of 2. It would also of course have provided a home to another person."

How dare the government deny some lucky renter a corner of this prick's dining room home.

[One percent]

2 hours ago, Wight Flight said:

I don't understand this ULEZ thing. My cars are ancient gas guzzlers but seem to be compliant.

But I am unlikely to ever visit London again so I can safely ignore it.

You do realise that london is the testing ground for this. It’ll be rolled out everywhere. 

[Wight Flight]

3 minutes ago, One percent said:

You do realise that london is the testing ground for this. It’ll be rolled out everywhere. 

I don't think it will.

you can't have a zone with no edge.