Simon Williams

Registered with Property118.com
Monday 11th July 2016


Latest Comments

Total Number of Property118 Comments: 64

Simon Williams

21:10 PM, 7th May 2019
About 2 weeks ago

IEA paper - Tax measures that discriminate against private rented housing

It's also crucial to remember that the ability of a landlord to deduct all interest costs against tax is very standard in other countries. It's not some whacky idea dreamt up in the UK and now abandoned. In most other European countries it's just standard practice.... Read More

Simon Williams

12:40 PM, 15th April 2019
About a month ago

Theresa May announces she will ban section 21

Reply to the comment left by Rod at 15/04/2019 - 12:13
As I understand it, fixed terms are going to be abolished entirely as they have been in Scotland. Tenancies will be open-ended from the very start. This change is therefore far more radical than what the government originally talked about in its consultation (3 year fixed tenancies with a 6 month each-way break clause).

Of course, it's possible there may be a partial climb-down by the time legislation gets on the statute book, but I somehow doubt it, since no-one gives a s###t about what landlords think.... Read More

Simon Williams

11:20 AM, 15th April 2019
About a month ago

Theresa May announces she will ban section 21

Where open ended tenancies are the norm, for example in Germany, landlords are much more demanding about requiring references from a prospective tenant. I'm told many tenants keep a detailed rental life history profile to prove their credentials.
In the UK, landlords will need to get much better at weeding out potential problem tenants during the selection process and be much more choosy about who they let in. This will be burdensome, but it must be done.
The good news is that if investment falters further, many landlords will have plenty of choice as to who they take on because of under-supply.
And let's remind ourselves that in Germany and pretty much every other major European country, landlords can fully deduct mortgage interest against tax and in Germany, they can sell up after 10 years free of CGT. So you can keep supply levels up even in the teeth of changes like ending section 21, if continental style incentives were on offer to landlords. Trouble is they won't be.
It's worth having a look at the 18 grounds for possession under the Scottish system. It may be a clue to how things might shape up here. Most things are covered, but what is most striking is that where a tenant raises arrears issues being due to benefit delays, the judge must take that into consideration. Put simply, if you have benefit tenants and they can raise even a vague case that the arrears aren't "their fault", then you won't be able to evict.
Under the proposed open ended tenancy system, I cannot see how I can rent either to families or benefits claimants as the risks would be just too high. Judges virtually never evict families and benefits claimants will always have a higher arrears rate and then a cast iron legal defence if the arrears is due to delay by the paying authority.... Read More

Simon Williams

10:30 AM, 11th April 2019
About a month ago

Rents rise as tenant fees ban looms

If rents rise fast over the next few years, it will largely be down to George Osborne screwing up the market leading to cuts in landlord investment. But it will be "greedy" landlords who will get the blame and for sure it will be used as an excuse for rent controls.

The only question is whether these will be soft controls where landlords are still free to set a market rent but restricted on rises during the tenancy or hard controls favoured by Corbyn where there will be an absolute cap on what can be charged.

The one ace in the pack that landlords will always hold and which no politician can ever remove is that there will always be demand for what we supply - and once political rhetoric gives way to the hard reality of under-supply, there is a glimmer of hope that changes will be manageable.... Read More

Simon Williams

11:52 AM, 1st April 2019
About 2 months ago

Am I in HMO territory?

You will have 3 sharers and at least 2 households (probably 3 if the couple are not married or in a civil partnership). So it's an HMO I think.
BUT, in most areas only HMO's with 5 or more occupants need to be licensed. If so, you are OK and can proceed as normal. But check your local authority doesn't have (or isn't actively proposing) so-called "additional" licensing whereby ALL HMO's are going to be covered.... Read More