Allow Landlords to evict tenants where there are 14 days rent arrears14:34 PM, 1st October 2020
About 3 weeks ago 97
Research by The House Crowd shows that buy-to-let investors are predicting a stormy ride in 2016, with nearly three quarters (72%) reporting that legal changes to the sector this year will have a negative effect on their investments. A fifth of investors plan to sell their buy-to-let properties in 2016.
Previously viewing their investments as a solid base for sensible financial plans for the future, property investors are concerned that they are being increasingly targeted by legal changes like the Mortgage Credit Directive and increase in stamp duty on buy-to-let properties, coming into force this March and April respectively.
The survey of property investors reveals:
It appears to be investors with a smaller number of properties that are feeling the pinch. Nearly half (43%) feel that the government is trying to squeeze out smaller landlords, protecting wealthy landlords with many properties.
Frazer Fearnhead, founder and CEO of The House Crowd, said: “Property investment has long been viewed as a sensible way for the shrewd small investor to save for the future, making life a bit more comfortable and paving the way for a financially secure retirement. However, these new regulations are putting increasing pressure on those who own perhaps two or three properties, making it very difficult for smaller landlords to remain in the buy-to-let sector. I’d encourage investors to look at newer options to help them remain in the game, like property crowdfunding – there is another way.”
The House Crowd is a property crowdfunding platform that solves some of the common problems often faced when investing in a property as an individual. With investment from just £1,000, individuals can invest in property companies (SPVs) to share in any income and capital uplift. Crowdfunding allows investors to pool resources with those other like-minded investors, spreading risk and earning great returns.
The House Crowd was launched in 2012, and has recently received investment at a valuation of £20m. The company has set a target to receive £100m from investors in the next financial year.
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