Shortage of rental properties so extreme tenants are refusing to leave?

Reply to the comment left by CYRIL STALEY at 23/04/2022 - 16:53
Here's a link that you may find useful.
https://www.ashburnham-insurance.co.uk/blog/2017/12/landlords-should-rent-be-paid-by-direct-debit/
Regards
Paul

A significant part of the motive to encourage Landlords to exit, is surely the Capital Gains wedge the Government receives from each sale?

Just gone through the long winded, unfair and dysfunctional Section 21 procedure, but at least it is in place. I have no confidence that a replacement procedure will be more functional, fairer or more user friendly. All the recent changes including the impending unrealistic EPC requirements give no confidence for the future.

Hi Jane and thanks
You mention UK law that agent should provide sufficient information sbout a prospective tenant to enable LL to judge the person's suitability.

Can you kindly direct me to where I may study the text please.

Can anybody else do so?

I`ve got lots of tenants who want to leave but cant. The list also grows from new enquiries. I cant fulfil any of them. Its just stagnates . Sec 24 means I raise rents.
I had a family of 5 ring me up . They were stuck in a Premier Inn 50 miles from their home town having been placed there by my council and pleaded with me and said they would take anything including a studio flat. I said sorry no can do. I used to take HB but because they messed up UC I don't now.
One tenant transferred from LHA (which was paid to me) to UC . It had worked well for both her and me . Now the £650 went to her and i wasn't even told . She was a recovering alcoholic though . She went on a bender when the cash hit her account and had to have her stomach pumped and almost died . No one at the Job Centre thought of asking me for a reference for her though. That would be common sense to ask for a reference surely . I had known her 2 years and knew her vulnerabilities . They had known her 2 minutes. They set her up to fail. Its criminal neglect in my view.
I had a client selling his house and the council refused to rehouse without a possession order so held the seller to ransom in effect . It makes a mockery of the Homelessness Reduction Act and the 56 days time scales . The council person said they were overwhelmed and would let it run to bailiff stage just to buy them some time. It gets worse every day

Not a surprise really.
I lady rented a property had 43 applications instead of an average 10.
Osborne S24 has killed the PRS with 10s thousands of forced sales due to loss making taxation, then add in legislation and the PRS become high risk and minor profits with abolition of S21 coming and EPCs . We're looking at a vastly shrinking sector, and a cause of rapid homelessness, welcome too poor an I'll thought through legislation making things self imposed

The shortage of property is because successive conservative (yes I know!) governments have added extra costs and bureaucracy to being a landlord.

The landlord then has some simple choices to remain profitable: raise costs, reduce quality or sell up & invest in something else.

The silent majority of private landlords take pride in providing decent housing so won't reduce quality. So they sell up or have to raise prices to maintain profitability or in extreme cases, to remain solvent.

While bad landlords are a minority, they will make up a larger percentage of the whole as the good landlords quit. So while the supply of good homes will decrease, the supply of horror stories will not.

If property were not the long-term investment that it is, many more landlords would have already sold up.
For example, having just fitted a kitchen, bathroom and/or taken out a mortgage with early redemption charges, landlords are probably reluctantly remaining until some of that investment is recouped, via capital appreciation, or the ERC period ends or until their pension kicks in. Some on here are actually 'clinging on' because they want to keep a roof over people's heads who will not be picked up by the system.

Perhaps the better question is,

"Why haven't all the private landlords quit yet?"

Another facet to quitting landlords is the populist view that landlords are rentier parasites who provide nothing to the economy. At some point even the most thick skinned landlord thinks,

'you know what, the lefties have all the answers, I've seen the error of my ways and and so I'll bow out and the geniuses like Sadiq Khan and Generation Rent can show us the way. From what I've heard so far, 'the way' seems to be more of the same. Ie to make it even less profitable and more unpleasant for the remaining landlords. Can't see any flaws in that ideology.

Reply to the comment left by Paul Shears at 20/04/2022 - 11:02
Those rent-a-coffins are being built everywhere. That is where everyone will live when the globalists get their way and we all have a vaccine passport which will include our bank account and they will determine what we can and cannot buy and where we can and cannot live. People will just be told where to go and live/work and it won't be in their area it will be some random place.

Reply to the comment left by Darren Peters at 25/04/2022 - 12:28
If you want it to get scarier, Google the following. Labour's plans for the private rented sector.
Here's a little taster.
The Conservatives have turned a blind
eye to the pressures England’s rapidly
growing number of private renters
are facing. They voted against Labour
plans for longer tenancies and secure
rents, scrapped Labour’s plan for
a register of landlords, watered
down legislation for councils to
license private landlords in their area
and rejected Labour amendments
to their legislation to bring in legal
minimum standards for private
rented properties.
If Labour ever get voted in, we're in bigger trouble than we could ever imagine. Look back in history.

Reply to the comment left by Coastal at 20/04/2022 - 09:55
Cannot trust this government , lazy corrupt lot with policy to bash the small landlord and pretend this is helping tenants. .Small landlords like me have even lost our chance to sell up in UK and buy abroad because Brexit was screwed up. Your article needs to point out the whole housing market is a massive mess. And the only movement cannot just be big house builders bribing ministers to help them then using taxpayers money to fund subsidized mortgages s that drive prices up even more.

Reply to the comment left by CYRIL STALEY at 24/04/2022 - 11:53
Apologies Cyril, for some unknown reason my PC has junked your comment. The document you are looking for is called Guidance for Lettings Professionals on Consumer Protection Law - you can google that title. It is written by the Competition and Markets Authority and puts in simple terms what a lettings agent should do to comply with the law and which laws they are breaching if they don't do it correctly. It is a long document but worth the read. Good luck.