10,000 signatures – Government to respond

10,000 signatures – Government to respond

9:54 AM, 21st May 2018, About 4 years ago 16

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Mark Homer’s online petition has attracted over 10,000 signatures, which is the point where the government must respond top the point raised.

If over 100,000 signatures are achieved before November 14 it must then be considered for a debate in Parliament.

Petition:

Reintroduce full mortgage interest relief and drop the 3% stamp duty surcharge

Created by Mark Homer –

We call on the Government to reintroduce full mortgage interest relief and to drop the 3% stamp duty surcharge which is increasing homelessness by driving many landlords out of the sector, meaning tenants have less choice and higher rents.

There will still be a continuing growth in demand for housing and a significant part of this will have to be available through private landlords. It is time to review the tax changes on buy-to-let landlords. It’s clear that the availability of rental property has decreased and rents have risen markedly. We call for policy change to end these disastrous tax policies which cause such profound suffering.

PLEASE CLICK HERE TO SIGN THE PETITION



Comments

by H B

16:13 PM, 28th May 2018, About 4 years ago

Reply to the comment left by James at 28/05/2018 - 14:14
James, apologies if I have called this wrong, but it sounds a bit unlikely to me. Given the rises there have been over the past two years, you should not still have a LTV of only 75%. Yes, prices may be a bit shaky in London but you should be able to get out at at above the purchase price.

That is even if you could have got 75% 2 years ago - most underwriting was being done with s24 taken into account back then. Perhaps your income is below the 40% rate, but if so s24 should not matter.

I think a 25% crash is far more likely than your story as, is just about any scenario. It sounds too fishy.

Why are you here James?

by Michael Barnes

18:53 PM, 28th May 2018, About 4 years ago

Government response is just trotting out the same ideological arguments as they did when introducing S24, ignoring reality and what it means. e.g.:
- Levelling the playing field bc home owners cannot claim interest against tax (ignoring the reasons why and the history of imputed rent).
- will not cause rents to rise (it has already).
- only affects 20% of landlords (but they are the ones with most properties, so affects more that 20% of tenants).
- making it so that everyone gets the same tax relief on finance charges (it doesn't: it redefines profit and then give a tax refund. If it were the same rate, then profit would be calculated as usual and an adjustment to tax made on resulting total income).
- They haven't considered increased homelessness and burden on LAs as LLs either sell (unlikely to be to the poorer tenants), or evict those who cannot afford increased rents to take in those that can.

For the record:
It does not affect me as property income is shared with my spouse and we are both below the higher rate threshold and will still be when it is 100% (unless rents rise significantly and I piggy-back).

It is a shame that stamp duty was on the same petition as S24 because the arguments against that are far less compelling imo.

by James

19:22 PM, 28th May 2018, About 4 years ago

Reply to the comment left by H B at 28/05/2018 - 16:13
Ah, I hadn't taken into account the capital gains in those numbers. I thought you asked for the initial loan. I need to get them formally reappraised. My income is well above the 40% rate, so definitely applies. I'm saddened by all the hostility :-/. I am just hoping to share my concerns about my potential downsides.

by James

19:25 PM, 28th May 2018, About 4 years ago

Reply to the comment left by Monty Bodkin at 28/05/2018 - 15:38
I'm worried that a 25% crash might end up looking like a "good" scenario :-/. It seems like BTL and foreign investment has deserted the London market, and while Help To Buy is keeping (some) demand up, prices really aren't at the level for the average house buyer anymore - so the market needs investors to keep prices where they are.

by James

19:30 PM, 28th May 2018, About 4 years ago

Reply to the comment left by Michael Barnes at 28/05/2018 - 18:53
Interesting points. Some questions:

What's the "history of imputed rent"? I am unfamiliar with that.

How many properties are owned by BTL landlords in the UK? I guess you are right that it's more than the number of owners.

by Monty Bodkin

20:57 PM, 28th May 2018, About 4 years ago

Reply to the comment left by James at 28/05/2018 - 19:22"I'm saddened by all the hostility :-/. "
Hardly hostile, more laughably obvious you're making it up.


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