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Posts posted by SoldTooSoon

  1. I've been renting my house from my landlord for 9 years.  I think the house is worth about £400K.  I can't afford to pay that much and landlord probably doesn't want to sell and take the CGT hit anyway.  Landlord has owned the property since 2000 and probably paid no more than £150K, so if he sells at that price he would be looking at £100K CGT bill.  Under this new proposal, if I paid him £325K (about the limit of my affordability) he could dispose of a potentially decreasing asset, save £25K, be relieved of all the management headaches etc. and the sale would be recorded at Land Registry at £325K not £400k, potentially adversely affecting the value of all similar properties in the area

    Looks like Win Win Win to me!


  2. On 22/05/2018 at 14:40, kibuc said:

    As I recently had to remind my EA during the renewal process, they provide absolutely no service to me.

    They prepare the property for listing so the LL doesn't have to.

    They list it so the LL doesn't have to.

    They deal with queries and viewings so the LL doesn't have to.

    They verify prospective tenants so the LL doesn't have to.

    They produce and negotiate the agreement so the LL doesn't have to.

    Finally, they handle closing the deal (signing, handing out keys, inventory) so the LL doesn't have to.

    Then, during the tenancy, they handle all the business (deposit protection & property maintenance) so the LL doesn't have to.

    On the other hand, I still have to go through the process, regardless of who's on the other end. I need to search for a suitable property, dedicate my time to view it, prove my income and residency status, negotiate the deal and then read it cover to cover. I need to turn up in person to sign it and collect the keys. I need to report issues as soon as they occur. What exact burden is EA taking off me that would justify any fees or charges?

    Exactly, they are the landlord's agents not yours, so the landlord should pay all agency fees.

    If they are acting on your behalf, what instructions do they receive from you then act upon?


  3. 3 hours ago, Millaise said:

    I think I might have seen this before, but it disturbing. Adam Curtis's All watched over by loving machines has a view that many ills flowed from her.

    Alan Greenspan and Ayn Rand were never lovers.  You're thinking of Nathaniel Branden, another member of her coterie of younger admirers known as "The Collective".

    Greenspan was one of the more indendent thinking members of the group and nowhere near as in thrall to Rand's influence as the others.

  4. 11 minutes ago, Social Justice League said:

    100% agree with this.

    Allowing idiots to use a basic human need (shelter) as a cash machine should not and should never be allowed. 

    It is really disgusting.

    In that case, do you think we shouldn't be allowed to buy shares (speculate) in farming, food processing and food retailing businesses?  After all you'll die a lot sooner from lack of food than lack of owning\renting a house.

  5. I bought a flat in Haringey North London in July 1988 for £82.5K.  Seven years later in 1995 I could only get £50k for it, so that concurs with your memory of 40% drops.

    Also in 1995 I looked at some small 1 bed starter homes built on former BR land in Biggleswade.  They were pathetic! the size of a shoebox, crammed in God knows how many to an acre.  they were selling for around £25K.  I got talking to some of the youngish couples who had bought them when they were built in 1988/9 and they had paid £49,995 with 100% mortgages so had massive negative equity but were still desperate to take it on the chin and move up.  some of them had already started having families and were using the one (small) bedroom for the child whilst the adults slept on a sofa bed in the lounge (tiny room with front door opening straight to the street).

  6. Article by Iain Duncan Smith quoted on Property Tribes website: https://www.propertytribes.com/iain-duncan-smith-writes-on-btl-issues-t-127631706-post-309155.html#pid309155

    Choice quotes:

      " I see that the total amount of rent paid to private landlords in Britain is now more than double the amount of mortgage interest paid to banks by homeowners"

      " I see also that HMRC are now saying that some 40% of private landlords are not now dealing with their tax requirements correctly"

    Seems he is a bit of a cheerleader for the BTL "industry"

  7. As I understand it, the Governor and Deputy Governors of the BOE are appointed by the Chancellor of the Exchequer.  The 4 external members of the MPC are also appointed by the Chancellor.  So by my arithmetic, 7 of the 9 members of the MPC owe their positions to the Chancellor.

    The creation of the MPC to set interest rates with the very narrow remit of controlling inflation was always just a bit of smoke and mirrors by the Scottish one eyed idiot. They are there to do the Chancellors bidding and provide a convenient expendable scapegoat when it all goes t1ts up!

  8. Just did my daily Rightmove search to see what has come on to the market in my area (North Herts\South Beds) in the last 24 hours to find 2 properties that I consider desireable re-listed at discounted prices.

    1.  Town Centre apartment asking price reduced from £330,000 to £300,000

    2.  Maisonette on private estate asking price reduced from £279,995 to £259,995

    Not so long ago these would have sold in no time with potential purchasers bidding above asking price!

    It seems to be happening.  Now the dilemma, do I go in now with a low ball offer, say £250K for number 1 or £225K for number 2 or wait and see if there is going to be a proper correction and possibly pick up something like these in 12-18 months time for under £200K?




  9. It's high time our elected representatives acknowledge the elephant in the room and begin the evolutionary process of adapting our economies to the new paradigm.

    My mini manifesto:

    1. Citizens income - there's not enough meaningful work to go around everyone that needs a proper income to get by. End the stigmatisation of unemployment, free up all the resource committed to administering welfare, which would create more unemployment and yet more need for CI. This can only be introduced once immigration is properly controlled.
    2. Stop taxing work and start taxing land and perhaps the electromagnetic spectrum (seeing as so many new enterprises now exist mostly in the ether)
    3. Monetary reform - our monetary\economic system is predicated on the assumption or need for constant growth(of GDP and the human population), which is impossible in a finite world. The world's resources may have seemed infinite 100 years ago but not now and we are still labouring under a system that would have been familiar to Karl Marx.

    Imagine a world where we all get just enough to get by without resentment for being the recipient of somebody elses hard work, and if you aspire to more you can work just enough hours per week without being penalised by excessive taxation.

    I've never been particularly ambitious career wise, but I've always had to work farly hard in jobs I've disliked to achieve financial security. I'd be more than happy to make do with slightly less and maybe work 2 or 3 days a week at something I enjoy and have more time to pursue my hobbies. This would leave my stressful managerial position open to somebody more aspirational.

    I believe this slightly utopian world is easily achievable, and the main obsticals are vested interests in the over financialisation of the economy, the FIRE economy in general and the coopting of the political class by these vested interests.

  10. Although the proposal was overwhelmingly rejected by the swiss people, their main objection seemed to be introducing CI whilst allowing free movement of people from other EU countries as part of their agreement to trade in the single market. They felt it would be a giant magnet for immigration. If they didn't have the free movement of people agreement the result may have been quite different.

  11. "Golf is a game of wealthy elites" ....... Hahaha. Don't make me scream with laughter! I am a keen golfer and I'm a working wage slave like most on here. Annual golf club membership is £1200 pa paid monthly by DD. I know dozens of other golfers too and they range from taxi drivers, builders etc to accountants, doctors etc. It's a great hobby, very healthy for a middle age bloke like me and a good way to stay in touch with my old mates now we're all a bit passed it to play football or go out on the pull on a Fri\Sat night.

    Please don't try and demonise golfers

  12. I've been looking at property in Bristol recently, and have been coming across more and more ridiculously priced properties.

    This for example, just under a million for a three bed flat (not the best location either!)


    I don't understand what sort of person is buying property like this at these prices!

    Have a listen to the Radio 4 Monebox Buy to Let episode from last Saturday: http://www.bbc.co.uk/programmes/b0631nq3 TBH I'm suprised I haven't seen anything on the forum about it

    This will give you an idea of who is paying these ridiculous prices. E.g. late middle aged couple payed £490,000 for a one bedroom flat, with stamp duty and furnishings that must be at least £510,000 outlay. They receive £1300 pcm rent, net after service charge etc. That's 3% yield gross! they seem to be happy about probably losing money month to month on the rent because they are in it for the long haul and the massive capital appreciation that will unboubtedly materialise over the next couple of decades. After all, the lady being interviewed bought her own flat in the area for £107,000 which is now worth £650,000!

    There will be no price correction until these types of people have been well and truly scared away from BTL

  13. So if you earn £43000 and you own a buy to let and you pay £12000 a year in interest on that buy to let, you will only be able to offset £2400 against your tax bill rather than the £4800 that you can today.

    In other words, your cost of ownership just rose by £2400 per year. Which of course you think you can charge to your tenant.

    The room rental relief is something different. That's if you have a lodger. If you do, you can basically charge him £625 a month without paying any tax. It won't apply to BTL landlords since it has to be a room in your home. I don't see this as pushing rents up - it might actually be deflationary, since you could reduce what you charge in order to attract a tenant without being out of pocket.

    Thanks jammin35!

    Looks like this will not affect the BLT'er with just the one property too badly, but will make a serious dent in the profits of serial offenders!

  14. Just announced in Budget:

    "Mortgage interest payments can be offset against income for buy-to-let landlords, an unfair advantage over people buying homes to live in, he says. This has fuelled buy-to-let mortgages, which are now 15% of the market. Mortgage interest relief will be restricted to the basic rate of interest, he says. Room rental tax relief will be raised to £7,500"

    Any accountants out there who can explain exactly what this means?

  15. Exactly right. The only sane housing policy at the moment is from the Greens. End RTB, let councils borrow to build and repurpose land as they see fit, and make it a matter of policy that everyone currently receiving HB gets moved to new council housing as it becomes available (i.e. if we're funding your rent, you can live where we tell you to - not unreasonable IMO).

    This would save councils a ton of money in the long term and take the heat out of BTL, ending the sort of taxpayer funded nonsense shown in this program. Instead, manifesto promises are for precisely the opposite - it's insane.

    I have to say, the more I read about Green Party economic policy the more impressed I am with them. Citizens Income, Monetary Reform etc.. If only I could get over the fact that I don't believe in anthropogenic climate change, and could ignore all their other dippy hippy nonsense policies I might conider voting for them. Also Natalie Bennet came across as totally out of her depth and not in possession of all the facts when being interviewed about the budgeting of their economic policies, which is a shame because they are affordable and make absolute economic sense in the long run.

    If only UKIP would adopt the Green Party's economic policy! I can always dream......

  16. Spyguy wrote:

    "Maybe scrapping the rich EU farmers subsidy and letting agriculture develop in Africa would be cheaper than the tax payers subbing farmers, and then having to sub the people who pick the crops??"

    I would not like us to become reliant for our food supply on a continent as unstable as Africa. If I were in Prime Minister my 2 biggest priorities would be to achieve 100% food and energy self suffiency for the UK, even if we had to make painful sacrifices to achieve it.

  17. I wonder when the penny will drop and there will be a consensus in understanding that there just isn't enough meaningful productive work to go around for every able bodied working age adult.

    Citizens Dividend and Land Value Tax?

    Just imagine how many parasitical jobs in the welfare\benefits and accounting\finance sector will be destroyed if these two innovations were introduced.

    3 day working week anyone?

  18. A friend of mine's dad is thinking about buying next door for his unemployed son.......the housing benefit enquiry has been agreed should he decide to proceed.

    The usual story....... boomer looking for yield. God knows what is going to happen after 6th April next year literally billions available to boomers for house purchase. As much as I welcome the new pension arrangements with mega lump sums on tap from 55...I just know that boomers will do the wrong thing and buy property.

    Put up interest rates you f%%king idiots.

    Er, correct me if I'm wrong, but isn't it against the rules to have housing benefit paid to a relative? Even to a company where a relative is a Director? or so I was told..

  19. Even though I believe Gordon Brown was a total tax junkie who inherited a fairly sound (by today's political standards) financial state of affairs in 1997, and he squandered hundreds of billions of £'s in his misguided crusade for social justice and to eradicate child poverty in Britain, I don't buy this argument about pensions.

    Britain's demographics were always going to render the old gold plated final salary pensions unsustainable, and isn't there already a big enough concentration of wealth in the older generation?

    Whilst we're on the subject of demographics, does anybody else think that was probably the biggest motivation for the open door immigration policy that seemed to gather momentum around the turn of the millenium?

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