Buy To Let. Tories Deserve Some Credit Here

[oaksoft]

According to the BBC we have 5 MILLION UK homes which are Buy to Let.

That is a staggering amount.

We also apparently have a shortage of 2 million homes.

Well the maths looks good to me.

The BBC report talks about 1 million BTL homes now faced with a loss as a result of the Tories new rules so if they all sell up, prices will have to fall and half the problem is solved virtually at a stroke.

BTL is a national disgrace and those involved should be ashamed of contributing directly to a situation which has seen an entire generation either having to abandon owning their own home or mortgaging themselves to the tits.

The Tories have called this right and they deserve some credit for it IMO.

[buddiecat]

According to the BBC we have 5 MILLION UK homes which are Buy to Let.

That is a staggering amount.

We also apparently have a shortage of 2 million homes.

Well the maths looks good to me.

The BBC report talks about 1 million BTL homes now faced with a loss as a result of the Tories new rules so if they all sell up, prices will have to fall and half the problem is solved virtually at a stroke.

BTL is a national disgrace and those involved should be ashamed of contributing directly to a situation which has seen an entire generation either having to abandon owning their own home or mortgaging themselves to the tits.

The Tories have called this right and they deserve some credit for it IMO.

Interesting points, i was involved in debate about this and a group of what i would call rogue landlords dismissed the idea it would mean them having to sell up and stated they would simply raise their rents to make up their losses.

[oaksoft]

Interesting points, i was involved in debate about this and a group of what i would call rogue landlords dismissed the idea it would mean them having to sell up and stated they would simply raise their rents to make up their losses.

If it's only a handful of them trying that then they will probably fail.

If it's across the board then further legislation would probably be needed such as rental price controls such as they have on Germany.

One way or another this housing scandal needs to be sorted out.

Building more homes won't do it because it will simply boost BTL.

[Isle Of Bute Saint]

If it's only a handful of them trying that then they will probably fail.

If it's across the board then further legislation would probably be needed such as rental price controls such as they have on Germany.

One way or another this housing scandal needs to be sorted out.

Building more homes won't do it because it will simply boost BTL.

Only the very wealthy landlords will be untouched through these new rules they will be able to carry on as they have done.

There are plenty genuine people out there who have kept their old property for rental when moving onto new property running there old property the way it should by making sure the property is safe and sound for rental. This market was created by the Tory's it should not be forgot under the banner SAVE AND INVEST FOR YOU PENSION. that's not to say there are some really dodgy landlords we all know there are.

Now the genuine people making investment encouraged by the Tory's are having the carpet taken from under their feet. Of course the true genuine Tory wealthy landlord will not be effected because they do not have the debt. In true Tory form the wealthy get more wealthy.

This is not about fixing greedy landlords this is about underinvestment in housing by governments and their councils.

While I am all for fixing problem areas in the housing market it is absolutely nonsense to say the Tory's should get a pat on the back for this. They gave and now they take that's the bottom line.

[Stuart Dickson]

According to the BBC we have 5 MILLION UK homes which are Buy to Let.

That is a staggering amount.

We also apparently have a shortage of 2 million homes.

Well the maths looks good to me.

The BBC report talks about 1 million BTL homes now faced with a loss as a result of the Tories new rules so if they all sell up, prices will have to fall and half the problem is solved virtually at a stroke.

BTL is a national disgrace and those involved should be ashamed of contributing directly to a situation which has seen an entire generation either having to abandon owning their own home or mortgaging themselves to the tits.

The Tories have called this right and they deserve some credit for it IMO.

I must be truly thick cause the maths don't look good to me at all. Let's say all 5m buy to let houses are sold - we'll still need 2m extra houses cause everyone renting a buy to let will still need housed.

The other thing that looks blindingly obvious to me is that to avoid the tax liability you simply need to become a company.

[TopCat]

The only real effect this will have is raising rents for those renting.

[Ayrshire Saints]

If landlords are letting to those on HB then they don't have any say on the rent they receive. LHA rates are set monthly and that dictates the maximum HB that can be paid to a private landlord based on number of bedrooms and geaographic area. Those figures are updated monthly. If a landlord advertises a property to rent at above those levels the onus is on the renter to make up any shortfall and hence this in effect keeps rents in that sector pegged.

It will push up rents in already good areas but will not for those renting to the HB market.

[shull]

If landlords are letting to those on HB then they don't have any say on the rent they receive. LHA rates are set monthly and that dictates the maximum HB that can be paid to a private landlord based on number of bedrooms and geaographic area. Those figures are updated monthly. If a landlord advertises a property to rent at above those levels the onus is on the renter to make up any shortfall and hence this in effect keeps rents in that sector pegged.

It will push up rents in already good areas but will not for those renting to the HB market.

I dinnae do abbreviations so I huvnae a clue what you're on about, ffs.

[uhura]

I dinnae do abbreviations so I huvnae a clue what you're on about, ffs.

Haha I see what you did there.

[Ayrshire Saints]

Fair point

HB = Housing Benefit and LHA = Local Housing Allowance

[shull]

Fair point

HB = Housing Benefit and LHA = Local Housing Allowance

Ta

[faraway saint]

Ta = Territorial Army

Cheers.

[saintnextlifetime]

You can rent Germany?

I rented it once but I think I got away with it. .

[Lord Pityme]

According to the BBC we have 5 MILLION UK homes which are Buy to Let.

That is a staggering amount.

We also apparently have a shortage of 2 million homes.

Well the maths looks good to me.

The BBC report talks about 1 million BTL homes now faced with a loss as a result of the Tories new rules so if they all sell up, prices will have to fall and half the problem is solved virtually at a stroke.

BTL is a national disgrace and those involved should be ashamed of contributing directly to a situation which has seen an entire generation either having to abandon owning their own home or mortgaging themselves to the tits.

The Tories have called this right and they deserve some credit for it IMO.

Sorry perhaps i missed it but where do the 5 million families, couples children etc currently living in BTL rented homes go to? What the tories have done is made it even easier for unscruplous tory voting landlords to con higher and higher rents from the people who can least afford it.

Its just another Tory Tax on the poor, and those in desperate poverty, if anyone cant see this will end up in more families with children being made homeless then they need to take their head out of their ass. The tories have cut so many housing benefits already... this policy has been copied from Greece...Ffs. You'll never get a Tory to big that up though!

[saintnextlifetime]

Was it in the 1930s to 1940s by any chance?

Of course it was , it was you I rented it to ! Of course back then , you prefered the monicker - SS Grupenfurher Slartibartenmeister . .

Ffs

[oaksoft]

I must be truly thick cause the maths don't look good to me at all. Let's say all 5m buy to let houses are sold - we'll still need 2m extra houses cause everyone renting a buy to let will still need housed.

Sorry perhaps i missed it but where do the 5 million families, couples children etc currently living in BTL rented homes go to?

You two are on the wind up here aren't you?

Surely!

[magnus]

You two are on the wind up here aren't you?

Surely!

Is it not you that's on the wind up? What is the Tory agenda here? Please share. It was Margaret Thatcher's government that created the modern private sector rental market that you seem to so irrationally despise.The private rented sector was created by the Tories in the mid 1980's through the introduction of short term assured tenancies and tax efficient business expansion schemes. Share your wisdom with those of us more intellectually challenged than your goodself. What exactly have the Tories got right?

[buddiecat]

If it's only a handful of them trying that then they will probably fail.

If it's across the board then further legislation would probably be needed such as rental price controls such as they have on Germany.

One way or another this housing scandal needs to be sorted out.

Building more homes won't do it because it will simply boost BTL.

So who would buy the 5 million empty homes that landlords might have to sell and where do you house the people who have been made homeless by the sale of their rented homes. I would suggest that given the biggest problem facing BTL landlords is, if they have taken out large mortgages and it is the tax relief on interest being lowered that forces them to sell, then bigger outfits will hoover up those properties because they do not take out mortgages and they will then rent them out again.

I speak as a landlord with a very small portfolio and yes i will have to pay a bit more tax, it will not force me to sell up as it is not that much extra to pay, so i will be paying more tax into the national purse, bigger outfits with cash in hand will not be paying any more tax than they already do and will carry out less maintenance because the tax relief on wear and tear on properties is also being phased out. Personally i do not claim for wear and tear as i see it as expected to happen and don't feel it is right to claim it, and i do most of the work myself when something needs fixed so i am also not claiming relief on repair costs.

[oaksoft]

So who would buy the 5 million empty homes that landlords might have to sell and where do you house the people who have been made homeless by the sale of their rented homes. I would suggest that given the biggest problem facing BTL landlords is, if they have taken out large mortgages and it is the tax relief on interest being lowered that forces them to sell, then bigger outfits will hoover up those properties because they do not take out mortgages and they will then rent them out again.

I speak as a landlord with a very small portfolio and yes i will have to pay a bit more tax, it will not force me to sell up as it is not that much extra to pay, so i will be paying more tax into the national purse, bigger outfits with cash in hand will not be paying any more tax than they already do and will carry out less maintenance because the tax relief on wear and tear on properties is also being phased out. Personally i do not claim for wear and tear as i see it as expected to happen and don't feel it is right to claim it, and i do most of the work myself when something needs fixed so i am also not claiming relief on repair costs.

Who would buy the homes?

The people who are only renting because they cant afford to buy for a start.

The generation of young people priced out of the market right now due to the price bubble directly caused by the BTL scandal.

I would have thought that was so obvious it didnt need pointing out.

Edited February 29, 2016 by oaksoft

[oaksoft]

Is it not you that's on the wind up? What is the Tory agenda here? Please share. It was Margaret Thatcher's government that created the modern private sector rental market that you seem to so irrationally despise.The private rented sector was created by the Tories in the mid 1980's through the introduction of short term assured tenancies and tax efficient business expansion schemes. Share your wisdom with those of us more intellectually challenged than your goodself. What exactly have the Tories got right?

This is 2016 not 1980. I am only interested in talking about what is happening now.

[nosferatu]

You two are on the wind up here aren't you?

Surely!

In other words, you have totally fcuked up! Edited March 1, 2016 by nosferatu

[salmonbuddie]

In other words, you have totally fcuked up!

#thichasfcuk

[oaksoft]

It beggars belief really.

4 or 5 posters are actually suggesting that clamping down on BTL will result in 5 million people living on the streets.

Absolutely no surprise to see thichasfcuk joining the party.

Honestly there isn't a functioning brain cell anywhere.

It is probable that some landlords will try to brazen it out by increasing rents but most will not succeed in that and will be forced into a sale. The only landlords able to do increase prices will largely be those who actually used their own money to fund their businesses.

The rest are playing at being businesses and are using banks to fund the lot.

Most won't be capable of covering their huge mortgages for more than a few months without needing to sell.

It could be carnage with house prices dropping through the floor. Will be interesting to see.

[oaksoft]

The other thing that looks blindingly obvious to me is that to avoid the tax liability you simply need to become a company.

It looks blindingly obvious to you because you can't do basic arithmetic and you can't think through basic consequences.

You would gain almost nothing (if anything at all) by doing this and you'd create a whole load of hassle for yourself.

BTL people are not businessmen or entrepeneurs. They are chancers taking advantage of the fact that banks are prepared to lend money to chancers because they know it will (and clearly has) caused a massive spike in house prices making it the single most risk-free investment the bank can make.......right up until the next housing market crash.

Edited March 1, 2016 by oaksoft

[Stuart Dickson]

It beggars belief really.

4 or 5 posters are actually suggesting that clamping down on BTL will result in 5 million people living on the streets.

Absolutely no surprise to see thichasfcuk joining the party.

Honestly there isn't a functioning brain cell anywhere.

It is probable that some landlords will try to brazen it out by increasing rents but most will not succeed in that and will be forced into a sale. The only landlords able to do increase prices will largely be those who actually used their own money to fund their businesses.

The rest are playing at being businesses and are using banks to fund the lot.

Most won't be capable of covering their huge mortgages for more than a few months without needing to sell.

It could be carnage with house prices dropping through the floor. Will be interesting to see.

Who the f**k claimed that? You said - using your figures - that 5m were in BTL and 2 m new homes are needed. You claimed to you the sums added up. Its your rank stupidity that everyone is pointing to particularly because no one else seems to believe that the tax is going to have any other effect than pushing rent up. Your grasp of reality is awful too. Many people renting are doing so because they cannot get a mortgage either because they can't save the deposit or because their credit history isn't as clean as it needs to be.