New Landlord Deposit Rules

peter999

It has become routine to misuse & abuse Tenant's Deposits, which often are considerable sums of money.

This legislation is long overdue.

In a short period any problem with the new system will be forgotten as everyone gets used to it.

peter999

roses

Perhaps I have been lucky but in all of the houses I have rented, I have always had my full deposit returned.

Also my friends have always had most of their deposit returned & any deductions were fair (eg my friends girlfriend was ironing on the floor & left the iron on for a bit too long in a new carpet).

I really can't see the benefit of this scheme. Most landlords are decent people and this scheme just complicates and adds unnecessary fees.

Most of the landlords who withhold deposits will find a way around this whilst the good ones will end up paying the price as usual.

Gorgeous_George

RLA advice to landlords (taken from landlordzone)

Do Not Take Deposits - if the value is less than £600 it simply isn't worth it.

The bigger the deposit, the GREATER YOUR RISK of loss. If you normally have minimal deposits with tenants, the cost, bureacracy AND RISK make the insured schemes very unattractive.

Find alternative methods to control your tenants behaviour.

If a deposit is essential - use the Custodial Scheme. It costs you nothing. But remember, your administration must be faultless.



GG
(I'll never take a deposit again)

clutton_2

i have just had a look at the free scheme, and it is astonishingly easy to use - very straightforward and simple - AND - both landlord and tenant get a tiny amount of interest back.

The company has been running the Australian deposit scheme for 8 years, so i suspect they have an administrative system already in place.

thesaint

meanmachine wrote: »

Enjoying seeing all the landlords get uppity over this and repeatedly insist "oh well I'll just stick up the rent then".
Read again, I will not be sticking up the rent.
Be my guest, but explain to me why yields have collapsed from 30% 10 years ago to sub 4% today if you could just "stick up the rent" whenever you felt like it.
Lots of things were different 10 years ago.
"the market in my area will support an extra £15!" Doh. Then why aren't you already charging this extra money?
For the same reason that I don't charge a front door tax.
I like how this legislation is all about the landlord and how it's such a nuisance for them. Yeah yeah, EVERYTHING's about landlords isn't it?
???
For once a tiny piece of legislation in the tenant's favour and the LLs start moaning.
The British love a good moan. I'm British.
Jeez. You're providing a service to the public. You're a business. Business today comes loaded down with red tape. Welcome to New Labour.
Red tape= Higher cost for the end user.
Now you know what it's like for the rest of us.
Please don't compare me to you.
Welcome to the 20th century. Maybe, after another 10 years of New Labour you'll be forced into the 21st century along with the rest of us. Is that an insult?

Yawn..............

thesaint

donna1987 wrote: »

in that case why should tennants take the time or expense to protect their landlords money???? would you like it if your tennant left their rent money on your doorstep in an envelope marked 'rent money'???? i think not. you expect them to take a little time to pay you your rent in a secure manner, so you should give them the same courtousy when it comes to their deposit money!

Ask a friend to read the thread to you slowly. You don't get it.

thesaint

roses wrote: »

Perhaps I have been lucky but in all of the houses I have rented, I have always had my full deposit returned.

Also my friends have always had most of their deposit returned & any deductions were fair (eg my friends girlfriend was ironing on the floor & left the iron on for a bit too long in a new carpet).

I really can't see the benefit of this scheme. Most landlords are decent people and this scheme just complicates and adds unnecessary fees.

Most of the landlords who withhold deposits will find a way around this whilst the good ones will end up paying the price as usual.

Most landlords do return the money on time.

There is a benefit to the scheme, but it will be circumvented very shortly.

realwildone

The only reason half the landlords are landlords is they are not clever enough to do anything else with their borrowed money.

The clever landlords have been and gone. Here is another piece of legislation that explains why.

The others...well...??????

You work out why?

You see IR will probably rise another twice this year. Economists are predicting a downturn at the end of this year and a fall next year. But these landlords on here. 'I'm too thick to do anything else',, 'I'm in it for the long term'...'Property can only ever go up'

Jesus... My prediction is that mosts of you won't be landlords in two years time. Either forced or johnny leave lately's.

Your late to leave the market like you were late to enter it.. BAAAAHHHHHH

thesaint

realwildone wrote: »

The only reason half the landlords are landlords is they are not clever enough to do anything else with their borrowed money.

The clever landlords have been and gone. Here is another piece of legislation that explains why.

The others...well...??????

You work out why?

You see IR will probably rise another twice this year. Economists are predicting a downturn at the end of this year and a fall next year. But these landlords on here. 'I'm too thick to do anything else',, 'I'm in it for the long term'...'Property can only ever go up'

Jesus... My prediction is that mosts of you won't be landlords in two years time. Either forced or johnny leave lately's.

Your late to leave the market like you were late to enter it.. BAAAAHHHHHH

I predict that you still live with your mum. Predictions.

realwildone

:rotfl: :rotfl: :rotfl:

Oh and don't think it won't happen to you

'King of Belgravia' in mortgages struggle, Sunday Telegraph, 08-04-07

"One of Britain's biggest buy-to-let property investors is struggling to hold together his £100m London property empire under pressure from several household mortgage lenders. ...

Guy de Havillande - once dubbed the King of Belgravia - has been in dispute with several of his lenders since last December. At least two building societies have now taken steps to repossess properties owned by his company de Havillande Holdings, on which they have mortgages...

A source at Cobalt Capital, a broker who helped to arrange de Havillande's mortgages said: "All we heard when we came back from Christmas or New Year break - and this was through his solicitors - was that Guy had put all his properties up for sale. As far as we knew he had left the country."