No Rent For Buy To Let Landlords
6:54 PM, 18th March 2020, 6 years ago
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Its a distressing time for Buy To Let (BTL) Landlords with tenants affected by Coronavirus (COVID-19). Now if tenants don’t pay their rent, landlords won’t be able to evict them for non rent payment using a Section 21 notice.
This poses a problem if tenants start to demand rent payment holidays of their landlords. In this video below Ranjan addresses the problem faced by residential buy to let landlords and the array of other costs and overheads they now face.
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Will I now have to postpone S8 eviction?
Member Since August 2014 - Comments: 336
9:28 AM, 21st March 2020, About 6 years ago
Reply to the comment left by Chris Bradley at 19/03/2020 – 18:11
Chris, you won’t be able to claim benefits as they take into account your savings, of which additional property is included. They assume that you get a return of 10% on the property value, which is totally unachievable even in normal times. So a small portfolio, worth say 200k, they assume an income of 20k per year, which will put you well out of range of any benefits claim.
Member Since March 2017 - Comments: 317
9:31 AM, 21st March 2020, About 6 years ago
Reply to the comment left by Dancinglandlord at 21/03/2020 – 08:41
The only rates I see coming down are savings interest rates!!!!
Member Since October 2011 - Comments: 140
9:58 AM, 21st March 2020, About 6 years ago
Reply to the comment left by Mark Alexander at 19/03/2020 – 17:41Have you mentioned the PayPal option via LettingSupermarket.com
Am I missing something? We use LettingSupermarket but I don’t know what this is (unless it’s a witicism I’m not ‘getting’ and I’m just being a DB?)
Member Since December 2019 - Comments: 241
10:51 AM, 21st March 2020, About 6 years ago
Reply to the comment left by Jessie Jones at 21/03/2020 – 09:28
Thankyou, interesting information.
Member Since September 2015 - Comments: 1013
10:55 AM, 21st March 2020, About 6 years ago
Reply to the comment left by Dancinglandlord at 21/03/2020 – 08:41
I think you mean the BoE Base Rate is 0.1%
The difference is academic as lenders charge whatever they can get away with be that 1, 2, 5 10, 20, 40%
Member Since January 2011 - Comments: 12212 - Articles: 1408
12:12 PM, 21st March 2020, About 6 years ago
Reply to the comment left by Denise G at 21/03/2020 – 09:58
PayPal deal with LSM is in our weekly Newsletter
Member Since March 2020 - Comments: 2
1:17 PM, 21st March 2020, About 6 years ago
I had a buyer for my London flat, had issued a section 21 and tenants were due to leave on 31st March 2020. Tenants now saying I can’t evict and they can’t pay rent. Does new rules re eviction cover them.? Will I have to sell with sitting tenants and what impact will this have on value
Member Since January 2019 - Comments: 30
2:33 PM, 21st March 2020, About 6 years ago
The ironical thing is many tenants will qualify for 80% of income but won’t be wanting to pay the rent.
Plus, as they cannot go to the pub or restaurant or travel to work, in theory they should have more money available!
If I get a request for a so called holiday I will ask about the Government scheme and how much they get. In theory if they get 80% that is what they should pay of the rent.
Member Since January 2015 - Comments: 1450 - Articles: 1
3:50 PM, 21st March 2020, About 6 years ago
Reply to the comment left by Eileen Bradley at 21/03/2020 – 13:17
Can’t or won’t pay their rent? What employment are they in? I though s21 evictions were if because they are suffering the effect of Corona Virus not that CV exists. They have to be suffering a financial loss. If they were leaving at the end of this month won’t they have sorted a new rental place to live and paid a deposit/month up front etc.
If they were going to live with parents then there’s no reason they cannot still move out in law I would have thought.
Member Since August 2014 - Comments: 336
3:57 PM, 21st March 2020, About 6 years ago
Reply to the comment left by Eileen Bradley at 21/03/2020 – 13:17
Eileen
These tenants sound like they are not going to co-operate anyway in which case it was unlikely that they would have vacated on 31st March and you would have had to apply for a possession order from the Courts and probably proceed to Bailiffs.
The chances of you selling the property with non-paying tenats that cannot be evicted is very low, unless you take a massive loss.
You will find it a lot cheaper in the long run to make sure that you do everything properly from the outset. Use a solicitor who specialises in evictions to make sure that your paperwork is in order, and they will be able to get straight back on the case the moment any restrictions on evictions are lifted.
I’m not one to use solicitors if I don’t have to, but the whole eviction process is full of pitfalls for the unwary.