clubberdude Posted June 19, 2009 Share Posted June 19, 2009 Rental prices are falling nicely in exeter at the minute, there are still some overpriced properties, but looks like rents have fallen by £100+ per month in the last few months. Finally looks like things are turning here. Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted June 19, 2009 Share Posted June 19, 2009 And the EU tax grab continues. No doubt EU revenues are falling off a cliff as well as govt ones. He's a nice little earner for the both the EU and govt. National govt's get to blame the EU for the extra tax whilst pocketing the money. Excellent. Quote Link to comment Share on other sites More sharing options...
judas Posted June 19, 2009 Share Posted June 19, 2009 If it has been tenanted over the last 12 months you won't realise that rents have dropped until you come to relet.Of course, on the other hand, if you are not bothered about the condition of your property and if you rent out without references then some tenants are happy to pay a premium for this. Yes, I know what you mean. But if you read my post again, you will see that the property has been relet within the past 12 months. Quote Link to comment Share on other sites More sharing options...
Timm Posted June 19, 2009 Share Posted June 19, 2009 (...)rents rarely seem to go down. They seem to be tied closely to general inflation indexes. No. Rents are tied closely to the Housing Market. Rents extract the tenant's surplus income. Surplus income goes up, rent goes up. Surplus income goes down, rents go down. Quote Link to comment Share on other sites More sharing options...
thedebtisreal Posted June 19, 2009 Share Posted June 19, 2009 You might be right there, debt.Perhaps the size of the market at any time is related to the state of the Housing Market. But I would have thought that House Prices and Rents did correlate ? If that was the case then rents would have tripled since 2001. They moved mostly upwards following the modest wage inflation of the time. Now wage inflation is falling (most dramatically in London of course) rents inevitably follow. Quote Link to comment Share on other sites More sharing options...
judas Posted June 19, 2009 Share Posted June 19, 2009 (edited) You're doing a pretty good job so far. Oh well. I'll leave you guys to talk about it all day. Thanks for the chat fellows. Edited June 19, 2009 by judas Quote Link to comment Share on other sites More sharing options...
Deckard Posted June 19, 2009 Share Posted June 19, 2009 Oh well.I'll leave you guys to talk about it all day. I've got work to do. Thanks for the chat fellows. Thanks, and come back soon Quote Link to comment Share on other sites More sharing options...
Little Professor Posted June 19, 2009 Share Posted June 19, 2009 How many people have serviced apartments anyway? This is going to affect only a tiny proportion of tenants. Quote Link to comment Share on other sites More sharing options...
tim123 Posted June 19, 2009 Share Posted June 19, 2009 A - it's not a "big" impact at all - 15% of a service charge. It's not even that When I last paid a service charge the "cleaning bill" was a tiny proportion of the whole. THis change is going to be about 20 pounds a year for most peol tim Quote Link to comment Share on other sites More sharing options...
Timm Posted June 19, 2009 Share Posted June 19, 2009 Nope. Wage inflation. Yes, but that is just one variable. All variables that affect the tenant affect how much he has left over at the end of the month. It would be nice to think he could save this against future need. In fact, much is extracted by Rent. This is why the Bulls are right most of the time, and also why they are painfully wrong some of the time. (Those that got in early enough no longer have to be right). Quote Link to comment Share on other sites More sharing options...
thedebtisreal Posted June 19, 2009 Share Posted June 19, 2009 Thanks for the chat fellows. Yes, your comments have been most helpful. Quote Link to comment Share on other sites More sharing options...
thedebtisreal Posted June 19, 2009 Share Posted June 19, 2009 This is why the Bulls are right most of the time, and also why they are painfully wrong some of the time. (Those that got in early enough no longer have to be right). In depends on the economic health of a country. Since WW2, economic growth in this country has been nigh on continuous (except for a few short recessions), a prolonged downturn can leave property prices in the dump for lifetimes, as in the case of Japan. Quote Link to comment Share on other sites More sharing options...
Timm Posted June 19, 2009 Share Posted June 19, 2009 In depends on the economic health of a country. Since WW2, economic growth in this country has been nigh on continuous (except for a few short recessions), a prolonged downturn can leave property prices in the dump for lifetimes, as in the case of Japan. That's true. But if the BTLing LL can service his mortgage for 25 years, he has aquaired an income generating assett. The tenant on the other hand has aquired nothing save an ongoing need to pay Rent (unless of course prices fall faster than his wages to a point where he can buy). Quote Link to comment Share on other sites More sharing options...
jonb Posted June 19, 2009 Share Posted June 19, 2009 Buy to let landlords face new VAT laws after European Court rulingMore woes for Britons as the cash strapped citizens are at breaking point. This only applies if their service charge income is more than £67,000 per year. I think most landlords are below that limit. Quote Link to comment Share on other sites More sharing options...
jonb Posted June 19, 2009 Share Posted June 19, 2009 No.Rents are tied closely to the Housing Market. Don't think so. My rent has not increased in the last 11 years. House prices have increased considerably in that time. Quote Link to comment Share on other sites More sharing options...
tomwatkins Posted June 19, 2009 Share Posted June 19, 2009 I am a buy to let landlord.I bought a place in Edinburgh in 1997 for £46k. In 2007 it was valued at £165k. I increased the rent about 7 months ago by £30 per month. The tenant accepted the rise. When his lease ended he passed it straight on to his companion, who took out another 6 month lease. In the entire 10 years of having this property, I have a total of 6 weeks in gaps. The quality of the place has diminished but the rent has creeped up. I am yet to see any signs that rents are coming down but I'm not saying they wont or can't. As for the value? If you told me in '97 that the value would climb to £165k in ten years, i would have peed myself laughing. I expect the place will setlle at a value of £85-£95k by the time this is over. What do I care? Someone else pays for it anyway. Judas So you always get your pieces of silver eh? The only thing that has "creeped up" is you. It's crept BTW. Quote Link to comment Share on other sites More sharing options...
PotNoodle Posted June 19, 2009 Share Posted June 19, 2009 If that was the case then rents would have tripled since 2001. They moved mostly upwards following the modest wage inflation of the time. Now wage inflation is falling (most dramatically in London of course) rents inevitably follow. Point taken about triple rent. It surprises me that the flood of "reluctant landlords" hasn't had more effect on driving down rents. Is it because of tenant inertia ? Quote Link to comment Share on other sites More sharing options...
PotNoodle Posted June 19, 2009 Share Posted June 19, 2009 Oh well.I'll leave you guys to talk about it all day. Thanks for the chat fellows. It's been emotional. Quote Link to comment Share on other sites More sharing options...
I want a house! Posted June 19, 2009 Share Posted June 19, 2009 We'll be especially looking out for his posts. Even Jesus loved Judas... Yet Judas survived past Jesus... And was rich, if you believe that nonsense... Could it be the same Judas? Quote Link to comment Share on other sites More sharing options...
LettingsLady Posted June 19, 2009 Share Posted June 19, 2009 Point taken about triple rent.It surprises me that the flood of "reluctant landlords" hasn't had more effect on driving down rents. Is it because of tenant inertia ? I believe it has had a big effect on driving down rents. That's the main factor IMO. The supply has been significantly higher and demand about the same. Quote Link to comment Share on other sites More sharing options...
jonb Posted June 19, 2009 Share Posted June 19, 2009 I believe it has had a big effect on driving down rents. That's the main factor IMO. The supply has been significantly higher and demand about the same. I've read in the mainstream media that demand is up 20% and supply is up 33%. Those figures are from about a year ago. Quote Link to comment Share on other sites More sharing options...
porca misèria Posted June 20, 2009 Share Posted June 20, 2009 Buy to let landlords face new VAT laws after European Court rulingMore woes for Britons as the cash strapped citizens are at breaking point. Hardly. But it could be a competitive advantage for the one-man-band contractor who is not VAT-registered over the BigCo. Quote Link to comment Share on other sites More sharing options...
threetimesdead Posted June 20, 2009 Share Posted June 20, 2009 My tenants seem happy enough.I respond to their needs, when required. I have never had any disputes or word that the tenant is unhappy. I do not believe anything I have said is arrogant. But "the place has declined" Your tenants must be British Quote Link to comment Share on other sites More sharing options...
threetimesdead Posted June 20, 2009 Share Posted June 20, 2009 (edited) Yes.But you know what us satanic buy to let landlords are like. We just do what we want to. Anyway, the point I was making in a round about way, is that rents rarely seem to go down. They seem to be tied closely to general inflation indexes. No, you don't do what YOU want to do You do what the system wants you to do A very common mistake on this site made equally by both - bears and bulls, BTLs and tenants Edited June 20, 2009 by threetimesdead Quote Link to comment Share on other sites More sharing options...
a+b+c+d Posted June 20, 2009 Share Posted June 20, 2009 I am a buy to let landlord......... What do I care? Someone else pays for it anyway. That sounds like success. But, before I congratulate you, can you give us some idea of the 'trading' loss or profit you've made over the years? That will, of course, need to reflect the opportunity cost. Whether you should charge the 'business' for your personal time is another matter. Because, if you could have used the time that you spent on managing the BTL on your normal trade or profession, could you have made more money? Is the 'overtime' rate for your own work higher than the BTL 'business' reward per hour. I imagine it is - unless you're on some very low pay. There are lots of costs involved in BTL and, it seems, most amateur landlords are unaware of them in advance. Many landlords aren't aware of them even after being in the trade for decades! Are you one of them, Judas? Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.