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The Knimbies who say No

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Everything posted by The Knimbies who say No

  1. A lot of this stuff hangs on people generally not wanting to get stuffed with fines or worse. The slumlords will get their dues, one way or another, and having another front to go at 'em with is no bad thing either. The deposit protection scheme ought to provide a good start for a property database, and I think that media campaigns etc could put the screws on many of the delinquents. Shitty LLs maybe have several disgruntled ex tenants, so encouraging them to divulge their ex LL details could be fruitful The stakes get higher for pisspoor landlords: DPS EPC Gas safety, eleccy in the offing too? Move towards compulsory registration schemes.. S24 + knock on effect eg forcing hands on rent income declaration for tax purposes. CGT for 'accidental' types who get rid after letting it out ie no longer primary residence? Quite a charge sheet for the worst offenders.
  2. Yo! Not pushing the rental scene as it is today, far from it. I was more, I guess badly, saying that I doubt I'd have considered buying recently if eg the rental reform I want, (and continue to press for) was in place. I was bitterly disappointed by the recent white paper on housing, kicking rental reform into the long grass, more or less. Give people who are enduring security of tenure issues a welcome respite and aside from bettering PRS lives immediately, the reduction in buying pressure may have a welcome effect on prices. Give renters the stable base from which they can face down sellers, safe in the knowledge that they won't be turfed out during the process if it doesn't work out, seems like a good idea. I don't regard renting as 'good enough' for other people at present. It's not at all. I'm not trying to put myself up as St Al of Wirral but the simple fact of the matter is that I regard housing as the most important policy area for Governments of any stripe. PS One of the larger bills I have to deal with at present is a replacement wall which separates my gaff from a neighbouring house which is split into a couple of flats and rented out. The property owner, who owns both flats, is adamant that they want the cheapest rebuild possible, with no mention or consultation of their tenants wishes. I thought, sod that and have asked the tenants what they want and have aligned my own wishes with theirs. I pay half anyway but I'm happy to do it. Of course, the way the UK works, the LL will scoop any perceived improvement when they sell, but fook em, I'm not in a race to the bottom and the tenants are are very nice people to boot. Young, friendly, capable, ambitious. I (almost) remember when I had potential. Bedtime!
  3. It's a dismal calculation in my view, I found it was more a case of weighing up the least negative rather than the most positive. Depends on your situation but I found the security of tenure issue, from the perspective of having an unhinged LL, a really demanding job for the main wage earner and a small child, with more to follow shortly(children not LLs), to be a difficult situation. We bought last year, although the improvement in tenure aside it is largely a PITA, not unexpectedly I might add. There is a price to pay for owning, and that's, um, owning. All the crap bits of a house are yours to keep. You'll learn new skills but some may not be of any interest, or grow old quite quickly, and it takes a long time to do much. Painting is fun for a while, but cleaning a roller for the Nth time is annoying. And this is all on the basis that you don't live in it at the same time! Nightmare. And I've been very fortunate with workmen contacts via some super neighbours too. Dunno what to advise. I feel very lucky, in lots of ways. Can't help but feel that with proper reform, the private rental sector could be very attractive on an enduring basis. Not from the perspective of trying to get something for nothing, more that most of the mundane aspects of owning and maintaining a pile of stuff with lots of foibles is better hived off onto someone who enjoys that. Good luck.
  4. Yes, the table is garbage without knowing the basics eg gross rent and number of properties. Given the income before taxation but after other expenses, notably the interest expenses that they are getting stroppy about, appears to be based off £50,000, I think the gross rent received must be in the region of £150,000 with interest charge of circa £80,000. Might be wildly incorrect. I'd say that, subject to accuracy, does not represent any sort of 'normal' landlord. Fancy that. The 118 lobby's dirty secret/sleight of hand is that they are desperate to try and convince other landlords that they are just like them, when the largest LLs on 118 specifically embarked on a very aggressive model of hoovering up properties with IO loans, which was entirely facilitated by an environment of idiotic credit advancement leading to strong HPI. There are plenty of landlords, eg so called 'accidental' landlords, who didn't subscribe to this business 'model'. They are not above criticism either in my view but for (some) different reasons. Also unleveraged types who must be laughing their **** off.
  5. Nothing, in principle. In fact it is a way that councils can print their own money, assuming they own the land. They are in charge of a near flawless money printing machine, if they decide to use it. But, strangely, they seem happy to allow developers to buy up land instead and give the printed money away without any guarantee of getting the houses or whatever was in the planning application built. I think this is separate from concerns about the merits or otherwise of a particular development; the Local Plan tells the council how much stuff is needed; they ought to be granting themselves permission on land they own or have acquired at rock bottom rates to fulfill this need and sending the construction out to tender, even if there is no intention of holding on to the houses as social stock. It is crackers to continue to grant planning to companies with a track record in not honouring previous understandings about completion timescales. Can sort that with sunset clauses on planning permission too.
  6. I'd say backing away from any reform of the PRS counts as a price prop by ensuring that those who require medium-long term stability will be keeping one eye on a purchase.
  7. Great idea. Still no excuse for not covering every roof in them though, think about the prize of demolishing many of the power plants in the country.
  8. I think it is as much to do with the fact that the median earnings of the self employed are under £11,000 per annum. There's not much to tax, although that has not stopped the Chancellor having a go (albeit only for those earning in excess of a whopping £16,000 per annum). I'm sure it's a bit more complicated than that but as a cohort their pay seems very low. The "jobs miracle" is most definitely not translated into tax receipts.
  9. Indeed. What about the straightforward practical arguments- stuff needs funding, so (in the absence of sufficient donations), taxes must be raised somehow. What should or should not be taxed? How does one view income or assets whose values or existence have been derived or influenced to varying degrees from the state via eg monetary policy? (in relation to vastly increased asset prices, say houses or stock market valuations of private businesses). I hope people don't delude themselves that the nominal worth is solely about any hard work employed, in the absence of a functional environment to work in.
  10. C24 is interesting when viewed in the context of a BTL property where the rent is being paid via housing benefit. The State is sort of demanding it's own rent discount without having to take the political heat of cutting housing benefit levels. Quite smart really.
  11. So-called "accidental"* LLs will still be easily findable via DPS and Land Reg, I'd expect. Wouldn't surprise me if some of the relatively larger tax liabilities lie with this cohort. If they are in work then all their tax allowance might be completely used up there and any extra income could push many into the next band up. * I tripped over a kerb and as I fell I moved out my home, having arranged alternative accommodation, called a letting agent, signed a tenancy agreement with the vetted tenants, got some keys cut and arranged a gas safety certificate, then grazed my knee. Accidental innit.
  12. If I was smarter and funnier I could firm up a parallel with incarcerate and incarcerated.
  13. Yes, it's as if they think all that Thatcherite stuff about opportunities will be forgotten about with a few fat cheques. If anything it's oldies who need reminding about that sort of basic stuff.
  14. Cheers, and apologies for missing this a few months ago. The LL is a delusional newbie, not really on board with the professional aspects of providing a service. ie don't be a interfering micromanager, and accept that your own personal expectations of certain behaviour may have no basis in the legal framework of your chosen vocation. Their delusion also clearly extended to the idea that my wife and I were being given some sort of great deal on the rent it seems, hence the place reappeared with a £50/month hike. It remains empty, and available on Rightmove, nearly 100 days after our contract ran out. They should clearly sell it, but for whatever reason that would be crazy. 5% gross yield on the rental approximately, nuts. There's just no telling some people though.
  15. Wonder if mortgage lenders could be compelled to detail their interest income on an account-by-account or property-by-property basis. Lots of data available, suspect it wouldn't be difficult to get stuck in.
  16. Yes, I've wondered if this has been partly the issue- slim pickings in many instances. However, now that the nation's leveraged landlords are going to see a real upswing in their fortunes, from a taxable income perspective, courtesy of S24, well, it's only fair that they pay their dues.
  17. Bit of a gamble given there may be housing benefit (paid direct in some instances), and current or archived listings on Zoopla which may also make a subsequent sale look interesting from a CGT perspective if it is claimed to be a primary residence. The deposit protection scheme also is a snapshot of current tenancies. We know there is a huge discrepancy between numbers declaring rental income and the number of BTL mortgages in existence; I really don't think it would be a huge job to legislate for the identities of properties subject to BTL mortgage charges to be handed over to HMRC, or indeed for a trawl of the Land Reg title database to look for owners who are not in residence. For those more under the radar, it could be as simple as local housing types calling private ad numbers to view, then take it from there- land Reg.
  18. Some valid points, and worth pointing out the Govt already makes massive interventions in the housing market in a very unhelpful manner. Glad to see him spell it out- unless their parents die, they have no hope of ever owning. And for many that won't be enough either.
  19. Depends if businesses are interested in employing permanent employees. Some of the poorest employment behaviour has been from firms actively punting risks and costs onto those who are in all but name permanent employees. I find it questionable that the basic motivation to continue doing this is undermined by today's announcement. Working against that is the extent to which being self employed unlocks the welfare system in a way which would be unavailable to a permanent employee on similar money or in a similar role. Might be partly about control of hours worked in addition to any means testing which determines the path of least resistance for those who might be entitled to substantial payouts, for now at least. Over to durhamborn..... Edit just to add the median self employed wage in the UK is circa £10,500 , basically poverty on wheels on the face of it. But I suspect that is not the whole story, and if not then the benefit system slash and burn Osborne baulked at is to happen in the face of a (growing) cohort of self employed people nominally earning very little. Is there the available work to enable all the part time workers among the self employed to just magically up their hours if tax credits are substantially reduced..?
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