NRAM's Consent to Let Fee increase

Thrugelmir

sawebs wrote: »

BTW what gives Thrugelmir the divine right to decide that CTL is only ever a short term arrangement?

Only stating the bleeding obvious.

sawebs

wolfplayer wrote: »

I'm a renter with a fat deposit. Watched people outbid me for houses for years. When they're now renting them out under Consent To Let, it doesn't seem like 3 years grace, followed by a fee of £750 to £1,250 per year is that harsh a charge for a long-term professional landlord vs the higher rates and conditions you'd have to satisfy under a BTL mortgage.

I am not a professional landlord. The rent doesn't cover the mortgage and associated costs. I subsidise my tenants by about £1000 a year. I have never made a profit on it. That doesn't include the costs from the previous tenant who got paint on all the carpets, put hideous wallpaper up without permission and kicked in the back door amongst other damage, then disappeared owing 2 months rent and leaving me with a £2000 bill for decorating, carpets etc. The current tenant has also just left owing 3 month's rent, although fortunately I was insured this time. So, yes, a fee of £750 a year is not very welcome.

You don't know the facts about being a landlord, so please don't rush to judgement.

I moved to keep my job and could not afford to take the huge loss if I sold the house, due to economic conditions caused by the banks - the ones that are now charging me for the pleasure of renting it out at a loss.

sawebs

Thrugelmir wrote: »

Only stating the bleeding obvious.

Thrugelmir - what is obvious? Why is it obvious? Obvious to whom? You don't know what you are talking about.....Obviously.

mrginge

sawebs wrote: »

Thrugelmir - what is obvious? Why is it obvious? Obvious to whom? You don't know what you are talking about.....Obviously.

Just because you disagree with the comment doesn't make it wrong.

CTL is a temporary get out, not a method of financing a rental business (even one that makes a loss).
Your personal circumstances don't change that fact and are i'm afraid, irrelevant.

I've had a look at the petition, unfortunately there is an error in it. The analogy with credit card fees is inappropriate since you have a contractual agreement with a cc provider where their fees are set out.
Mortgage agreements do not set out that you have a right to CTL or any associated fees. Obviously if yours does then you do have grounds for complaint.

wolfplayer

sawebs wrote: »

I am not a professional landlord. The rent doesn't cover the mortgage and associated costs. I subsidise my tenants by about £1000 a year. I have never made a profit on it. That doesn't include the costs from the previous tenant who got paint on all the carpets, put hideous wallpaper up without permission and kicked in the back door amongst other damage, then disappeared owing 2 months rent and leaving me with a £2000 bill for decorating, carpets etc. The current tenant has also just left owing 3 month's rent, although fortunately I was insured this time. So, yes, a fee of £750 a year is not very welcome.

You don't know the facts about being a landlord, so please don't rush to judgement.

I moved to keep my job and could not afford to take the huge loss if I sold the house, due to economic conditions caused by the banks - the ones that are now charging me for the pleasure of renting it out at a loss.

Given my brother who also rents, is a solicitor who frequently acts for landlords with difficult tenant and property matters, I know enough. It seems reasonable enough to me. It wasn't the banks alone who allowed others to outbid me and price property beyond others. It was the buyers themselves. I'm looking for lower house prices, and it seems to me such a fee for Consent To Let is reasonable for a professional landlord.

Thrugelmir

sawebs wrote: »

Thrugelmir - what is obvious? Why is it obvious? Obvious to whom? You don't know what you are talking about.....Obviously.

CTL isn't anything new. Been around for a very long time.

Why not ask sensible questions before spouting off and sounding like a pratt.

sawebs

Thrugelmir wrote: »

CTL isn't anything new. Been around for a very long time.

Why not ask sensible questions before spouting off and sounding like a pratt.

Are you talking about me? If so, what a strange person you are...
what questions should I have asked, and why am I sounding like a pratt?

sawebs

wolfplayer wrote: »

Given my brother who also rents, is a solicitor who frequently acts for landlords with difficult tenant and property matters, I know enough. It seems reasonable enough to me. It wasn't the banks alone who allowed others to outbid me and price property beyond others. It was the buyers themselves. I'm looking for lower house prices, and it seems to me such a fee for Consent To Let is reasonable for a professional landlord.

Well, we all have our own agendas and gripes and worries. I do sympathise with those like yourself who cannot afford to get on the property ladder.

I guess you must be in London - in the rest of the country, prices are still close to rock bottom. Hence owners like me refuse or cannot afford to sell, which isn't helping anyone.

You say £750 a year for CTL is reasonable. What makes you say that? When I started renting it out, it was £100 a year. Do they think I am now going to move back because they have put up the CTL fee by 750%? What if they put it up to £10,000 a year. Would that be reasonable? Why not £1m a year? At what level does it become unreasonable? It is not a fair situation, because they know I cannot get out of the situation and they can set the fee at whatever they like. In what other area of life/business would that be thought of as fair? This is why I would like to get enough people together to take them to court under the Unfair Contracts legislation or similar. I'm not a solicitor and haven't yet taken legal advice but I'm sure there is something we can get them on.

mrginge

sawebs wrote: »

...This is why I would like to get enough people together to take them to court under the Unfair Contracts legislation or similar. I'm not a solicitor and haven't yet taken legal advice but I'm sure there is something we can get them on.

Well you're wrong.

Good luck anyway.

sawebs

mrginge wrote: »

Just because you disagree with the comment doesn't make it wrong.

CTL is a temporary get out, not a method of financing a rental business (even one that makes a loss).
Your personal circumstances don't change that fact and are i'm afraid, irrelevant.

I've had a look at the petition, unfortunately there is an error in it. The analogy with credit card fees is inappropriate since you have a contractual agreement with a cc provider where their fees are set out.
Mortgage agreements do not set out that you have a right to CTL or any associated fees. Obviously if yours does then you do have grounds for complaint.

I was asking them to justify their comment that it is obvious. It annoys me when people just say "it's obvious". It is not obvious. It is merely one person's interpretation or "feeling" about the subject.

Also, where does it say that CTL is a temporary get out? And me financing a business? What a joke. If I ran my business like that....etc.etc.

Where do these people pluck these ideas out of the air, that they take as "facts" when they are not, they are just their view?

Yes, from memory I believe my mortgage contract says that I have the right to apply to rent out my property and such permission shall not be "unreasonably withheld".

I can think of no other area of life where a company is apparently within its rights to ask you to bend over...etc.etc