New regulations for house share renting on the way

clutton_2

"I'm not sure where you got £500 fee from"

Manchester charged £495 for a Seletive License (which, despite its name, is a compulsory bit of admininstrative buffonery) last time i looked and the awful Prescott "Two Jags" (when he was in charge of developing this legislation) refused to put a cap on the License Fee so it can only go uppppppppp


""additionally they can be barred from owning investment property"" - this would be utterly unworkable....

The current Selective License is bought by the MANAGER of the property - not the owner (at least in manchester) - so the same scroat of a LL can own it, refuse to provide the manager with funds to maintain the property and we are back where we were years ago.....

""Also I suspect that the mortgage lenders would insist on checking the LL held a license before granting a BTL mortgage.""


a Selective License is awarded to a person for a named and Particular property - so i dont think this suggestion is workable either.....

the only thing lenders care about is whether the rent is 130% of the mortage and that they are going to get repaid.... i think they would challenge such an idea fiercely as they get a huge amount of funds from BTL mortages which are generally 2-3-4% higher than residential mortgages....

chucknorris

clutton wrote: »

"I'm not sure where you got £500 fee from"

Manchester charged £495 for a Seletive License (which, despite its name, is a compulsory bit of admininstrative buffonery) last time i looked and the awful Prescott "Two Jags" (when he was in charge of developing this legislation) refused to put a cap on the License Fee so it can only go uppppppppp


""additionally they can be barred from owning investment property"" - this would be utterly unworkable....

The current Selective License is bought by the MANAGER of the property - not the owner (at least in manchester) - so the same scroat of a LL can own it, refuse to provide the manager with funds to maintain the property and we are back where we were years ago.....

""Also I suspect that the mortgage lenders would insist on checking the LL held a license before granting a BTL mortgage.""


a Selective License is awarded to a person for a named and Particular property - so i dont think this suggestion is workable either.....

the only thing lenders care about is whether the rent is 130% of the mortage and that they are going to get repaid.... i think they would challenge such an idea fiercely as they get a huge amount of funds from BTL mortages which are generally 2-3-4% higher than residential mortgages....

Well you are entitled to your opinion, I suggest if they introduce licensing not to enter or get out of the market if you are already a LL.

clutton_2

i personally can see some merit in a LL register.... its just the amount and type of information on there that there is a lot of disagreement about....

i am a LL - but would never buy HMOs - way too much hard work for smallish return.....

chucknorris

clutton wrote: »

i personally can see some merit in a LL register.... its just the amount and type of information on there that there is a lot of disagreement about....

i am a LL - but would never buy HMOs - way too much hard work for smallish return.....

I totally agree, I once had a 5 bed house in Clapham (in addition to my other properties let out as an entity) that I rented out as rooms (years before HMO's were introduced), never again, as you say too much hassle, although the returns were ok though.

I am getting out in a few years anyway, so I can afford to be relaxed about what seems to be the ever increasing intervention and regulation. I can understand how a decent LL who wants to stay in the markets for some years to come might become frustrated at what seems to be ever increasing regulations.