Letter – why S24 loan interest relief restrictions force sale

by Readers Question

2:18 PM, 21st June 2017, 9 years ago 9

Categories:

Landlord News Landlords Questions

I need to give my tenant notice to quit and sell my property so that I am not affected by the S24 loan interest relief restrictions.

Does anyone have a letter they would be willing to share which they’ve used to explain to a tenant why selling his home has become necessary (especially one which mentions the implications for a pensioner)?

Many thanks

Denise

Share This Article

Neil Patterson Read Full Bio

Member Since February 2011 - Comments: 3462 - Articles: 286

2:22 PM, 21st June 2017, About 9 years ago

Hi Denise,

We have a few examples and articles on this that you might like to piece together 🙂

See:

https://www.property118.com/92521-2/92521/

https://www.property118.com/clause-24-rent-increase-letter-copying-local-mp/94578/

https://www.property118.com/comment-please-rent-increase-letter/94909/

https://www.property118.com/clause-24-rent-increase-letter-tenants-template/83369/

Report Comment Reply
Gary Dully

Member Since September 2013 - Comments: 534 - Articles: 2

4:01 PM, 21st June 2017, About 9 years ago

I have had the mortgage works call me today asking if S24 will cause me to sell the properties attached to their mortgages.

I asked how many landlords had said they were selling?

His response was quite a few, but what was more alarming was how many landlords didn’t know how they would be personally affected.

They were advising landlords to seek independent financial advice.

Report Comment Reply
Annie Landlord

Member Since April 2014 - Comments: 460 - Articles: 1

4:49 PM, 21st June 2017, About 9 years ago

All of my lenders have written to me in recent months asking if I am aware of recent changes in taxation and whether I have considered the need to take action.

Report Comment Reply
Gary Dully

Member Since September 2013 - Comments: 534 - Articles: 2

10:33 PM, 21st June 2017, About 9 years ago

I also had mortgage express call today as well, they must all be singing from the same hymn sheet.

3 Report Comment Reply
The_Maluka Read Full Bio

Member Since May 2015 - Comments: 2321 - Articles: 2

10:15 AM, 22nd June 2017, About 9 years ago

The fan is turning and very soon something significant will hit the blades. Won’t worry politicians (with the notable exceptions of Lord Flight and IDS) as they have their heads buried firmly in the sand.

Perhaps the banks will be our biggest allies as they have more clout to lobby the politicians.

1 Report Comment Reply
Heather G.

Member Since March 2016 - Comments: 164 - Articles: 1

12:46 PM, 22nd June 2017, About 9 years ago

Hi Denise, would you be willing to write to Ian Duncan Smith about having to evict tenants due to S24, as discussed in another thread on P118 today?

Report Comment Reply
JB

Member Since May 2017 - Comments: 827

10:33 AM, 23rd June 2017, About 9 years ago

I have a flat in a block of 7. All 7 flats are rented out and none have been bought or sold in the last 15 or so years. Now 3 are up for sale.

Report Comment Reply
The_Maluka Read Full Bio

Member Since May 2015 - Comments: 2321 - Articles: 2

10:37 AM, 23rd June 2017, About 9 years ago

Reply to the comment left by “May Day” at “23/06/2017 – 10:33“:

No doubt the will be snapped up by first time buyers, possibly even the incumbent tenant – or not!

Report Comment Reply
Gary Dully

Member Since September 2013 - Comments: 534 - Articles: 2

4:31 PM, 25th June 2017, About 9 years ago

The landlords I met at a Liverpool PIN meeting last Thursday evening seem to fall into 2 categories.

1. Group wanting to do commercial to HMO
2. BTL Landlords that are pondering on whether to sell up or incorporate.

Nobody mentioned BTL as the way forward for them.

Report Comment Reply

9 comments on this article

Learn from your peers’ experience

A different perspective could help you spot an issue, avoid a mistake or find a better way forward. Read the comments and add your own views if you wish.