No Rent For Buy To Let Landlords

No Rent For Buy To Let Landlords

18:54 PM, 18th March 2020, About 2 years ago 124

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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.



Comments

by Lin Law

2:39 AM, 29th March 2020, About 2 years ago

My husband and I took early retirement due to health issues. We ran a takeaway business for over 30 years.  We have no benefits whatsoever from the government. We did tried to sign-on but was told that we are not eligible for anything as we are not ill enough. And because we have a rental property (the shop with accommodations above, which we ran for 30 years) which we use the income to  live on. We will be 60 this year.
With all these Covid19 issues.What helps will I get now that my tenant is not paying rent. We are left with NO income at all. Seems like everyone is getting helps except landlords who depend on rental income to survive. Really appreciated if you enlighten me. Thanks.

by Jessie Jones

12:59 PM, 29th March 2020, About 2 years ago

Reply to the comment left by Lin Law at 29/03/2020 - 02:39
Hi Lin,
It sounds like you are in a dreadful position if you have no income at all.
It is worth remembering that the government haven't said that rent does not need to be paid, only that tenants cannot be evicted at this time. The rent still has to be paid at some point and it's worth reminding your tenants of this fact. If any of your tenants are residential, then they will be entitled to Universal Credit at the very least, which should cover their rent, so there is really no excuse for them not paying it. They might have to wait 5 weeks or so for their payment, so I hope that you can hold out until then.
If the shop is still a takeaway then they can continue to trade.
I don't think that many landlords will be eligible for Universal Credit, if any, as they assume a 10% return against the value of your portfolio, irrespective of how unrealistic that is, or whether or not you actually get paid.
You might have to wait a while before you get your rent, but your tenants should realise that non-payment can result in eviction in the longer term and that they will then still need to pay, or face a CCJ and all the difficulties that will cause them in the future when looking to rent.
Hopefully, a chat with your tenants will result in at least some of the rent being paid on time, and the remainder at a later date.

by Lin Law

13:26 PM, 29th March 2020, About 2 years ago

Reply to the comment left by Jessie Jones at 29/03/2020 - 12:59
Thanks for that, Jessie. They are offering to pay £300 in April. But my council tax alone is £187. So that left us £103 for the month to live on. Tried to ring the council to defer the council tax on Friday, but can’t get through. Might need to take out a temporary loan.

by Phil Barker

13:10 PM, 30th March 2020, About 2 years ago

I use a agent on my properties ,who has just informed me that the tenant is not paying his rent as he has been laid off, but the agent has done nothing with regard to informing him as to what he should do? AND HAS PASSED IT ON TO US TO DEAL WITH.

by Mark Alexander

14:13 PM, 30th March 2020, About 2 years ago

Reply to the comment left by Phil Barker at 30/03/2020 - 13:10
Hi Phil

I am sorry to read about your predicament.

This is going to be the biggest ever of the competence and integrity of Agents.

Please take a look at this >>> https://www.property118.com/certainty-amidst-chaos-lettingsupermarket-com-covid-19-update/

by Annie Landlord

15:34 PM, 30th March 2020, About 2 years ago

Reply to the comment left by Mark Alexander at 30/03/2020 - 14:13
Mark, I would be grateful if you could give LettingSupermarket a nudge for me. I have engaged them to manage two properties and tenant find and manage a third (at some stage when viewings etc are possible) I have found communication with them frustrating. I have signed contracts but still don't know if they are taking over management in April. I accept they are busy helping existing clients but I never get anything more than a one line email from them

by Beaver

15:56 PM, 30th March 2020, About 2 years ago

Reply to the comment left by Phil Barker at 30/03/2020 - 13:10
Is the tenant employed, self-employed or something else?

by Mark Alexander

16:04 PM, 30th March 2020, About 2 years ago

Reply to the comment left by Annie Landlord at 30/03/2020 - 15:34
Done! 🙂

by Annie Landlord

16:10 PM, 30th March 2020, About 2 years ago

Reply to the comment left by Mark Alexander at 30/03/2020 - 16:04
Thanks Mark:) First time I've used an agent in several years so just trying to keep everything on track

by Phil Barker

16:10 PM, 30th March 2020, About 2 years ago

Reply to the comment left by JJ at 30/03/2020 - 15:56
He Was working in a restaurant , just spent 6 months abroad returning in February. rent has always been paid on time


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