What value do landlords add/provide?

antrobus

MatthewAinsworth wrote: »

Antrobus - oxfam have kitted me out and can do so again! Lol

Really though my position is a bit because I live with a hoarder and I'm reluctant to even pay for a removals van when we move out (but have to), I've already thrown out most of my stuff to make it better. In our case it was all cheaply sourced "homeware" which in my opinion doesn't pay its rent. Can't burn it, can't chuck it. Its part of the pressure I've been feeling to upsize - which is why I've been cutting corners on contents and life insurance, to desperately beat the rise in prices.

Cars - I suppose it could bankrupt, but I suppose they could kill anyway, it is a risk - a risk insurers deem worthwhile taking, even after business costs. I am insured, not worth losing licence over

Life insurance - I'm gambling, and it is a big gamble admitedly, but im less likely to die than most - avoid motorways, foreign travel, etc - need every penny I can get to make up for the fact I can't borrow much

Anecdote is not a synonym for evidence. Your personal idiosyncracies does not consitute economics

P.S. Why would you "avoid motorways". They are the safest roads in the country, statistically speaking. The most dangerous roads are those classified A roads that you would have to use to, err, avoid the motorway. Thus your foolish idea is actually leading you to make the wrong decision, and increase your risk.

http://www.telegraph.co.uk/news/uknews/road-and-rail-transport/10400682/Single-carriageway-roads-seven-times-more-dangerous-than-motorways.html

System

Its fear that I won't be able to merge in, or I might be trapped in the left lane unable to make space for someone who is merging in, its dependence on other drivers, And how quickly a problem can happen - at 30 round town its easier to do something about incidents (that I've seen plenty of, like people pulling out, etc). I'm not really a fan of driving and find it draining, not really a fan of travel of any kind really

MEM62

MatthewAinsworth wrote: »

And the government will cough up almost any housing benefit asked of it, or at least historically that was the case - if it didn't and rents couldn't rise then house prices could stall and negative equity could cause banks to collapse. Also a lot of politicians are landlords

It's not only what the Government will pay in housing benefit that is the issue - it's also the level of taxation.

I am about to move in with my girlfriend and, for a number of reasons that are not just financial, I am keeping my flat for while and need to rent it out to cover the costs. I have to pay 40% tax on the income so I have to achieve the highest rent I can to keep my losses at a minimum. I use the word losses in the loosest possible way but the reality is, after tax, I am not covering the mortgage, insurance and maintenance etc so I am still having to put money into the property. I am neither a wealthy man or property tycoon. I am just an every day guy that does not want to sell up and wants to hang onto his property.

If it was taxed like any other business where tax is assessed on the profit and not the turnover the situation would be very different.

System

Mem62 - in the old days I think the tax will only be on profits (although I think they're ending the ability to deduct mortgage interest so it could push you into loss). Anyway as you say BTL is less attractive to higher rate taxpayers (or those on tax credits) - it really depends how you weigh up your financial reasons against your non financial ones, or if you'd face bigger losses selling & buying. Anyway long term you'd be more likely to gain, with capital gains in particular. Housing benefit applies mostly to depreessed towns I believe, if that's the only source of income must affect prices

Crashy_Time

wotsthat wrote: »

How many voids did your last landlord have in the 7 years you lived there? £34k cash on the hush hush - he must have been gutted when you left for the next rung down.

Voids are in the same category as boilers being replaced and the roof being blown off - yes it happens but the frequency is probably over estimated.

WOW...3..4..k.....CASH......on the HUSH HUSH........only spread over seven years....:rotfl: He could have made much much more busking! You will have to do better than that if you want to persuade me that I should have joined the debt Ponzi that is so dear to your heart.

wotsthat

Crashy_Time wrote: »

WOW...3..4..k.....CASH......on the HUSH HUSH........only spread over seven years....:rotfl: He could have made much much more busking! You will have to do better than that if you want to persuade me that I should have joined the debt Ponzi that is so dear to your heart.

So no voids and let's not kid ourselves you live in something special. You know the price of everything and the value of nowt - what's your landlords yield? 8 - 10% I'd guess so it's all relative.

Crashy_Time

wotsthat wrote: »

So no voids and let's not kid ourselves you live in something special. You know the price of everything and the value of nowt - what's your landlords yield? 8 - 10% I'd guess so it's all relative.

I know the value of living cheaply, saving and being debt free, which is obviously more than you know judging by the stream of muppetry you post on here.

wotsthat

Crashy_Time wrote: »

I know the value of living cheaply, saving and being debt free, which is obviously more than you know judging by the stream of muppetry you post on here.

Bit coy about your landlord's yield mate. Wonder why.

How come you've not posted any pictures of your £400 palace? Did you get an electric shock after walking over the nylon carpet and touching your camera?

ukcarper

Crashy_Time wrote: »

I know the value of living cheaply, saving and being debt free, which is obviously more than you know judging by the stream of muppetry you post on here.

Your obsessed with being debt free, debt can be a very useful thing and can save you money in the long term.

Crashy_Time

wotsthat wrote: »

Bit coy about your landlord's yield mate. Wonder why.

How come you've not posted any pictures of your £400 palace? Did you get an electric shock after walking over the nylon carpet and touching your camera?

:rotfl: As I say, you will need to up your game if you are hoping to convince me that joining the debt Ponzi was worth it. Depends when you joined and made your exit of course, I won`t deny that, but there are many people who "bought" in the last 7 or 8 years that will have totally financially screwed themselves by the time this is over. Aberdeen punters are going to get a short sharp lesson, London and some other parts of the UK will take longer to catch on.