Regulatory issues the biggest reason for landlords wanting to sell
Nearly a million landlords plan to review their buy to let portfolios over the next two years, with the number planning to sell outnumbering those planning to buy more properties. This is according to new research from the Nottingham Building Society.
Its study found nearly two out of five landlords surveyed will be reviewing their portfolios with 20% selling all or some of their portfolio.
Regulatory issues are the biggest reason for landlords wanting to sell, with more than half of would-be sellers interviewed blaming increasing regulation in the sector, while 24% say the end of tax relief on buy to let mortgages is driving them to sell.
Meanwhile, the survey found that millions of people are planning to become landlords in the coming five years.
It is concerning that with regulations for landlords becoming ever more complex and with councils becoming so aggressive in housing enforcement (because it’s a massive revenue generator for their budgets), so many inexperienced people are planning to become landlords.
We are called upon every day to assist non-rogue but, shall we say amateur, landlords whom the councils target as ‘low-hanging fruit’ and issue £10,000s to £100,00s of civil penalty fines – often whilst leaving tenants in danger while bullying enforcement officers simply pursue the revenue.
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Misled about floor area and now can't sell?
Member Since June 2013 - Comments: 3248 - Articles: 81
11:02 AM, 2nd July 2021, About 5 years ago
And the new ones buying who don’t know what they letting theirselves in for certainly won’t be taking the Benefit tenants.
Amazes me the amount of people who are gonna’ cash in their pension to buy a house or two to rent out. Needs to be the opposite, sell the ruddy houses to get rid of loads of work & potential going to prison cause the tenant took the battery out the smoke alarm, & put the house money into the pension to then slow down.
I did some accreditation inspections 2 weeks ago on just 3 of my houses, still took over 3 hours though. And telling me I’ve got to change bathroom carpet to Lino, whereas tenant there saying Excuse me, this has been my home since 2012, I’ll have what I like in my bathroom. Also she took off kitchen door, I was told to put one on, again she said My Mum has got open plan & no one tells her what she can & can’t have. This is victimisation against Private Renters. If I don’t want kitchen door, I’m not having one. It’s not a hotel where we have to abide by their rules. It’s my home & I was here long before Licensing.
Member Since July 2013 - Comments: 648
11:30 AM, 2nd July 2021, About 5 years ago
Reply to the comment left by Mick Roberts at 02/07/2021 – 11:02
Ah Mick.
It’s a truly tragic mess that this country is in and I can only see it getting worse.
I feel your pain.
Member Since May 2015 - Comments: 2203 - Articles: 2
4:20 PM, 2nd July 2021, About 5 years ago
Reply to the comment left by Mick Roberts at 02/07/2021 – 11:02
The situation is so bad that it is only a matter of time before a landlord goes to jail for something his tenant has done.
Member Since June 2013 - Comments: 3248 - Articles: 81
5:01 PM, 2nd July 2021, About 5 years ago
Reply to the comment left by David Price at 02/07/2021 – 16:20
I can see that person being me with my demographic of Benefit tenants & my loyalty to not selling on them, no matter how bad it has got. Could come to bite me.
Member Since February 2016 - Comments: 1056
9:33 AM, 3rd July 2021, About 5 years ago
Reply to the comment left by Mick Roberts at 02/07/2021 – 11:02Mick I remember your battles when licensing first came in and the council insisted on thumb-turn locks on front doors opening directly onto the street. Tenants with young children were understandably terrified that their toddlers could just run straight out in front of a car before they were even aware the child was anywhere near the front door. What next, I wonder, will it be compulsory for all tenants to keep pets? It’s rapidly becoming that ridiculous. This paternalistic, “nanny state” attitude that treats tenants as incapable of making any decisions about their living conditions could not contrast more with the DWP stance that all housing element must be paid direct to the tenants to encourage them to take responsibility for money management – a cruel social experiment at landlords’ expense.
Member Since June 2013 - Comments: 3248 - Articles: 81
9:40 AM, 3rd July 2021, About 5 years ago
Reply to the comment left by Old Mrs Landlord at 03/07/2021 – 09:33
Yes, U say the thumb turn bit far better than I.
They will be insisting we take pets I guess, they on that path now.
The Govt & Council say they incapable of checking their own smoke alarms, yet the same Govt & Council say they responsible enough to be paid £1600 Universal Credit rent to theirselves. They can’t have it both ways.
Ha ha I see you’ve already said it as I’m typing along. Brilliant.
Member Since July 2013 - Comments: 648
9:44 AM, 3rd July 2021, About 5 years ago
Life’s really not that complicated is the mantra. Just dumb it down with a process and everyone will be happy. The most important thing is to totally eliminate all possibility of conscious judgement. We could use “The division of labour” as an excuse.
Member Since February 2016 - Comments: 1056
2:56 PM, 3rd July 2021, About 5 years ago
Reply to the comment left by Paul Shears at 03/07/2021 – 09:44I’m beginning to think they’ll use any excuse to reduce our whole lives to one big tick-box exercise. There is no place for personal judgment, responsibility, or conscience, nothing is nuanced any more. In fact I’m beginning to think the only thing we seem to have any choice over these days is what sex – sorry, gender – we identify as. (I could have had such a different life if only I’d had that opportunity 70-odd years ago but my school let me down badly by only teaching me the three Rs plus some history, geography, science and other useful general knowledge.)
Member Since June 2013 - Comments: 3248 - Articles: 81
4:09 PM, 3rd July 2021, About 5 years ago
Reply to the comment left by Old Mrs Landlord at 03/07/2021 – 14:56
These Councillors & MP’s come out college & Eton Uni with degrees. But we need ’em to have a degree in common sense.
Member Since February 2019 - Comments: 5
11:59 AM, 20th July 2021, About 5 years ago
It’s not a surprise
Increased taxes like stamp duty, interest element and cost for landlords in additional compliance and charges like check out and check in once partially offset by charging tenants.
We can see very few new landlords coming to the market to offset those leaving. The result is without some encouragement for private landlords tenants are going to be paying more rent. We have already seen rent increase as much as 15% this year.
Good news for those landlords still hanging in there with a good agent to take away the stress.