Debate House Prices


In order to help keep the Forum a useful, safe and friendly place for our users, discussions around non MoneySaving matters are no longer permitted. This includes wider debates about general house prices, the economy and politics. As a result, we have taken the decision to keep this board permanently closed, but it remains viewable for users who may find some useful information in it. Thank you for your understanding.
We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

BTL crisis as rent arrears rocket

macaque_2
macaque_2 Posts: 2,439 Forumite
in Debate House Prices & the Economy
This particular thread attracted much joy from the bulls recently.

The Buy-to-let boom is back
https://forums.moneysavingexpert.com/discussion/3305760=


Behind the headlines however lies an epidemic of bad debts in the rental sector. This is a growing crisis for both renters and landlords alike. Renters being asked to handover more than they can afford to keep a roof over their heads. The inevitable result is this:
.....more than half of landlords in the UK have had to deal with rent arrears in the past month........
http://www.guardian.co.uk/housing-network/2011/may/31/new-tenants-rise-rent-arrears

Over 50% of landlords with arrears problems!!!! What a mess.
«1

Comments

  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 25 June 2011 at 11:38PM
    macaque wrote: »
    Over 50% of landlords with arrears problems!!!! What a mess.

    Ahhhh, Macaque......, caught out by sloppy journalism.

    Still, makes a refreshing change from being deliberately deceptive.

    OK, from the start....

    The Guardian article you quote references the National Association of Landlords survey of 600 landlords, which found that 52% of landlords had experienced rent arrears at some point in the last 12 months.

    NOT that 50% of landlords were in arrears. :)

    But it also gets better...... Because as it turns out, the average rent arrears is just £750, which also happens to be right around the average monthly rent payment.

    So technically, only half of landlords have experienced rent late by even a day in the last year.

    Now why would the National Landlords Association be highlighting such an issue in the press release the Guardian managed to screw up so badly?

    I think the last line in the original may have something to do with it..... ;)
    Landlords can also take out NLA Rent Guarantee Insurance which covers up to £2,500 per month for unpaid rental income (up to a maximum £15,000 or six months rent).
    http://www.landlords.org.uk/news-campaigns/news/housing-benefit-cuts-could-add-rent-arrears
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”
    -- President John F. Kennedy”
  • Wookster
    Wookster Posts: 3,795 Forumite
    Hamish, look around:

    enviromental-head-in-the-sand.jpg
  • AndyGuil
    AndyGuil Posts: 1,668 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Rent prices will struggle to increase if this persists.
  • Generali
    Generali Posts: 36,411 Forumite
    10,000 Posts Combo Breaker
    The survey is an advertisement for insurance:

    http://www.landlords.org.uk/news-campaigns/news/housing-benefit-cuts-could-add-rent-arrears
    More than half of landlords have experienced late rent payments in the past year, with housing benefit cuts expected to put further pressure on tenants.

    Research by the National Landlords Association has found 52 per cent of landlords have reported rent arrears in the past 12 months.

    snip!

    Landlords can also take out NLA Rent Guarantee Insurance which covers up to £2,500 per month for unpaid rental income (up to a maximum £15,000 or six months rent).
  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Well this thread didn't quite go to plan for the simian one.... :)
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”
    -- President John F. Kennedy”
  • Pimperne1
    Pimperne1 Posts: 2,177 Forumite
    macaque wrote: »
    This particular thread attracted much joy from the bulls recently.



    Behind the headlines however lies an epidemic of bad debts in the rental sector. This is a growing crisis for both renters and landlords alike. Renters being asked to handover more than they can afford to keep a roof over their heads. The inevitable result is this:



    Over 50% of landlords with arrears problems!!!! What a mess.

    I was tempted to thank you because threads like this play right into the BtL Landlords/bulls hands. ;)
  • geneer
    geneer Posts: 4,220 Forumite
    HAMISH_MCTAVISH wrote: »
    Well this thread didn't quite go to plan for the simian one.... :)


    I don't know.
    If the plan was to light a fire under the forums grumpy uberbull, id say job done.
  • macaque_2
    macaque_2 Posts: 2,439 Forumite
    Pimperne1 wrote: »
    I was tempted to thank you because threads like this play right into the BtL Landlords/bulls hands.
    HAMISH_MCTAVISH wrote: »
    Well this thread didn't quite go to plan for the simian one....

    I don't in any way dissapprove of young people contributing to this forum. Quite the opposite in fact; debate amongst young people is all too rare and should always be encouraged. However, can I prevail on you to get your parents to check your posts before you put them on the website.
  • Herbie_Hancock_I_wish
    Herbie_Hancock_I_wish Posts: 316 Forumite
    http://www.thisismoney.co.uk/money/article-1089473/New-danger-buy-let-tenants-landlords-fall-mortgage-payments.html

    Not saying a word .
  • HAMISH_MCTAVISH
    HAMISH_MCTAVISH Posts: 28,592 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Herbie_Hancock_I_wish wrote: »

    Not saying a word .

    Probably wise, given you just quoted a 3 years out of date article. ;)
    “The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.

    Belief in myths allows the comfort of opinion without the discomfort of thought.”
    -- President John F. Kennedy”
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

Categories

  • All Categories
  • 347.8K Banking & Borrowing
  • 251.9K Reduce Debt & Boost Income
  • 452.2K Spending & Discounts
  • 240.1K Work, Benefits & Business
  • 616.3K Mortgages, Homes & Bills
  • 175.4K Life & Family
  • 253.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 15.1K Coronavirus Support Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.
Update Your Picture