Summer Budget 2015 – Landlords Reactions

Reply to the comment left by “David Price” at “15/09/2015 – 19:19“:

David, holding your portfolio half in your own name (or childrens names) and half in a company was a sensible move. In fact I would be amazed if the Wilsons did not hold a large proportion of their 1000 or so properties in a company, but looking at some of Mr Wilson’s recent comments in the media re rising their rents, is he suggesting that they are not incorporated?

Reply to the comment left by “Mark Shine” at “15/09/2015 – 20:41“:

Whilst I realise that you are not leveraged David or affected by the Clause 24 (so many thanks for your support) I still think any campaigns should heavily focus on or include the non-incorp vs incorp point. If the proposals become legislation, then a <50% LTV 'private' landlord could be made bankrupt particularly if low yield, whilst a 75% LTV incorporated/LTD LL will get a bonus via corporation tax reductions.

Please can others let me know if they do not agree? And please specify why.

Reply to the comment left by “Neil Robb” at “15/09/2015 – 20:29“:

Hi Neil

You have to divide those figures by 2 to work out the tax on each person’s share. If they had no other income their tax would go up by £4,023 each from £380 to £4,403.

The only way they would pay tax of £43,000 would be if they each had other income of £40,995. Then their individual amounts of tax would go up from £10,801 each today to £21,500 each in 2020/21, making £43,000 in total tax.

Assuming this other income, the tax due on the rental profit is £4,722 each today, but will be £15,421 each in 2020/21. This will exceed their share of the profit by £2,921 each. This would have to come out of their other income after tax. A poor return indeed.

Labour’s only MP in Scotland has raised our issue in Parliament.

http://www.theyworkforyou.com/wrans/?id=2015-09-09.9770.h&s=landlord#g9770.r0

Coverage of the issue on 24dash.com

http://www.24dash.com/news/housing/2015-09-14-Opinion-Tax-relief-cuts-will-see-landlords-passing-the-buck

Reply to the comment left by “adam prospect” at “15/09/2015 – 18:58“:

Adam.

I have submitted to the Public Bills Committee and I have suggested that the right way to progress is too legislate so that un-mortgaged landlords have to reduce their rents by the average mortgaged amount in their area at the 80th percentile. These landlorsc are parasitical and should be bought to book for their greed.

I believe the 4 in 5 or 72% of individual landlords who are unaffected by the change have been living off the coat-tails of mortgaged progressive landlords and innocent tenants for too long. Un-mortgaged landlords should be showing the way and should be forced, by simple affordability models, to put downward pressure in market rents by reducing their rents not capitalising as they have in the past. They should also pay 45% on all rents received before costs as of course they can afford it and have been capitalising and extorting for too long – man they probably think that they are above the rest of landlords.

To be honest, the wanton extortion of innocent tenants, charging market rents when you don’t even have a mortgage disgusts me. For too long You have been the parasite, charing top rents when you don’t need the money as you don’t have a mortgage. Your greed has allowed and even forced rents to rise and you should be ashamed of yourself. I have to assume you personally, as a decent chap, have overpaid your taxes to compensate for your greed and personal disgust?

Oh yea…we don’t need your or opinion or vote.

And a really UNHELPFUL article in the telegraph this morning, giving the impression landlords are fatcats, driving up house prices… supported with stats on lending… Woe is me…

http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/11866207/Buy-to-let-boom-to-push-house-prices-up-as-landlords-take-advantage-of-low-rates.html

Petition has passed the 29,000 mark.

Reply to the comment left by “Barry Fitzpatrick” at “16/09/2015 – 06:58“:

Barry, you are clearly keeping an eye on petition numbers…so am I..however there is no cast iron guarantee that, it will be debated in parliament, although it will be considered for debate.

Reply to the comment left by “Barry Fitzpatrick” at “16/09/2015 – 06:58“:

Barry, you are clearly keeping an eye on petition numbers…so am I..however there is no cast iron guarantee that, it will be debated in parliament, although it will be considered for debate.