Summer Budget 2015 – Landlords Reactions

Reply to the comment left by “Sean Graveney” at “05/12/2016 – 18:04“:

Which is why rent will always be higher than a mortgage

My sister rented in Germany for years and they had to purchase and install their own kitchen upon moving in. That gives an idea of how different it is to the UK. Incidentally, she also found the rent very high and quite comparable to rents in many parts of the UK. A friend in Paris also pays very high rent and had to do similar things. They don’t get to call the landlord in every two minutes to fix something and they would be deemed to be in breach of their contract if they allowed condensation to build in their homes, for example. They wouldn’t be able to call it ‘damp’ and blame the results of their lifestyle choices on the landlord.

More generally, 118 did publish an article on the theme of international comparison of the tax treatment of landlords – and this information is also in my report into Section 24. In sum, it shows that UK landlords already were treated far worse than landlords in other countries before the outrageously unjust Section 24 was announced. For ease of reference here is the link to the report again and you can easily navigate to this section using the contents page.

https://media.property118.com/wp-content/uploads/2016/10/6G0YKMd1Wf.pdf

The Labour Party are getting halfway towards grasping the implications of Section 24:

http://www.propertytribes.com/parliamentary-questions-affecting-landlords-t-127627593.html

Though they are responding to it in a very Labour-like way.

Reply to the comment left by “Gareth Wilson” at “06/12/2016 – 11:02“:

In a labour like way? You can hardly tell them and the tories apart in their constant attacks on and scapegoating of landlords.

I was listening to Radio 4 last week, to one of the MPs pushing the survey of MPs and depression. One of the things he discussed, which I have not been able to find in writing, is that the constant verbal and written attacks on MPs by constituents and the press and other MPs – painting them as crooked, self-interested bogeymen etc.. – had a real impact on their mental well being and their ability to do their jobs properly.

And it occurred to me that I have a good idea about just how they feel.

“A separate report from Savills last month said that rents across the UK are set to rise considerably faster than house prices over the next five years.

It forecast that rents will rise by 19% between now and 2021, while house prices will increase at a lower rate of 13%.

The gap will be even more pronounced in London, where it said rents will rise by 24.5% and house prices by 10.9%.”

https://www.landlordtoday.co.uk/breaking-news/2016/12/rents-in-london-set-to-rise-as-demand-for-homes-outstrips-supply

Sammy Saville clearly hasnt been listening to Harry Price Crash ……which bookie is offering the best odds on Sammy ?!

Hmmmm… Sellers to pay stamp duty maybe …?!

Another possible plot twist ?

https://www.landlordtoday.co.uk/breaking-news/2016/12/mps-call-for-stamp-duty-to-be-payable-by-the-seller-not-the-buyer-gains-support

So the seller pays the stamp duty. They increase their selling price as a result. The MP says this is ok because the FTB can get this covered by their mortgage rather than have to save for it. Might be true but is this the right way to be going about ‘helping’ FTB ? Again more tinkering rather than focussing on the real solution of building more houses to rent and more houses to buy. That is the only proper solution but it will be hard work and take a long time – hence MPs of any persuasion continue to fail to grasp this nettle.

Reply to the comment left by “Simon Griffith” at “07/12/2016 – 07:55“:

It’s an example again where the Government just doesn’t “get it”; the Customer always pays! If the Government increases costs either with taxes, regulation or even risk there is a price to be paid and it will have to be met by the buyer eventually.

The housing market cannot keep being treated as the Governments own cash machine which it can endlessly tap when it’s short of a few billion quid.

Got this email from a build to rent company saying buy to let is dead and the future is build to rent and this is the only way private investors can get involved by investing with them ??? That seems to be their sales pitch what a load of twaddle just put a three bed semi up for rent in southport had 28 calls in one day just BEFORE xmas and got offered three months up front to secure it ‘dead’ don’t make me laugh and I reckon the investors who get sucked in will be the ones who go to seminars with little experience not everyone wants to live in the city in a rabbit hutch with a gym they are catering for a niche market

http://www.selectproperty.com/emx/3rd-parties/affinity-living/riverview/angels-media-np/landlord-today/pt-np2-261016/lp-np2-261016-pt/#contact

From BBC website: http://www.bbc.com/news/business-38219881
“A recent report by property agent Savills forecast that rents across the UK would rise considerably faster than house prices over the next five years. It predicted that rents will go up by 19% between now and 2021, while house prices will only rise by 13%. The charity, Joseph Rowntree Foundation (JRF),called for more affordable housing to be built, alongside the reversal of various cuts to welfare and the end of the freeze on working-age benefits…”
They still do not understand that the massive government attack on PRS is a part of a problem, not a solution…