Ireland moves to control rent rises

westernpromise

padington wrote: »

It's a bad tax because it hits generation rent hard. Rent in Ireland has gone up terribly. It will do the same here. That will pull spending money out of the economy and be doubly bad for all.

Rents went up because house prices went down, I would think. As has been pointed out, rent is house price crash insurance. If a crash materialises the risk premiums go up, in the same way that getting flood insurance for a house that is flooded is usually quite expensive.

For this reason, landlords did rather well out of 1988-1992 in the UK. This is why, if you want to know who'll own property after a crash, you need to look at who owned it before, as it's the same people.

CLAPTON

Heng_Leng wrote: »

BTL landlords got off lightly IMO.

I would have restricted them to new build properties and increased LTV as starters.

and you would do that because
-you think it will encourage more new property building
-you hate landlords
-you think it will cause house price will to fall

Conrad

Marktheshark wrote: »

Landlords do not put rent up because of their tax bill,

.

Mark I absolutely am increasing my rents to take account of higher taxes (it's no good suddenly trying to go for one big rise when the full tax rise comes in in 2020, one has to start now in increments).


Talking to other Landlords and Accountants, it seems others are doing the same.


Just as someone investing in a pension (effectively rent on workers that produce profits), has to do what's best for themselves, so do those of us with a property pension.

Conrad

Heng_Leng wrote: »

BTL landlords got off lightly IMO.

I would have restricted them to new build properties and increased LTV as starters.

Through the years when property was considerably cheaper, huge numbers of people could not access the mortgage market, and that remains the same.


So you have one lot of regulation stopping capable people obtaining a mortgage, and now another (tax regulation) putting up their rent.


That's the problem with regulation, those doing the regulating are the last to spot the 'unforeseen' effects.

Out,_Vile_Jelly

So LLs are effectively exempt from any taxation or regulation, as otherwise they'll punish tenants with high rents?

How exactly is that different from striking workers being accused of punishing the innocent general public?

cells

Out,_Vile_Jelly wrote: »

So LLs are effectively exempt from any taxation or regulation, as otherwise they'll punish tenants with high rents?

How exactly is that different from striking workers being accused of punishing the innocent general public?

Landlords are not exempt from taxes or regulations they follow all the taxes any other sole trader business pays however the rules have changed so that human landlords (not corporates) have to pay more this will in time lead to higher rents.

In the same way that the new bedroom regulations banning rooms under 6.5sqm will lead to higher rents. Effectively it removes those rooms from the supply and less supply equals what? Higher prices. It's all in the name of helping tenants by banning tenants from renting cheaper rooms.

Also landlords don't set rents tenants do. Tenants are themselves going to bid higher rents as fewer rental properties will be available (as landlords sell). A HMO with 6 people on it night be sold to two of the sitting tenants that get together the other 4 are kicked out and need to find somewhere to live

Out,_Vile_Jelly

In my 12 years of renting the best experience was with a property run by a professional lettings company; 24 hr phone number, warehouse from which you could request full or part furnishings, proper paperwork etc. I think it's positive that this approach to letting is being encouraged. Why does the UK need more amateur LLs with no long term business plan and no knowledge of housing law?

cells

Out,_Vile_Jelly wrote: »

In my 12 years of renting the best experience was with a property run by a professional lettings company; 24 hr phone number, warehouse from which you could request full or part furnishings, proper paperwork etc. I think it's positive that this approach to letting is being encouraged. Why does the UK need more amateur LLs with no long term business plan and no knowledge of housing law?

The amature landlords charge less and don't put up rents sometimes for a decade or more.

The amature landlords don't account for their time nor do they have an expensive office to cover nor do they need to pay a top two accountancy company to value their holdings each quarter nor do they have other overheads like a HR department or someone sitting on a phone line for 24 hours a day. All of those things will have to be paid for and the tooth fairy is all out of money so those costs will come out of tenants pocket's

If you want a higher quality letting then they already exist. I have low end mid end and high end rentals. Don't look at the high end and expect to pay low prices. Don't look at the low end and expect high end space and fittings.


Where institutional landlords make sense is in big blocks of flats where a full time caretaker can be employed.

Oh and some good service contracts are starting to aoear. Eg you pay British gas x per month and they cover most things the tenants can call them directly and it is covered by the service contract

Conrad

Out,_Vile_Jelly wrote: »

In my 12 years of renting the best experience was with a property run by a professional lettings company; 24 hr phone number, warehouse from which you could request full or part furnishings, proper paperwork etc. I think it's positive that this approach to letting is being encouraged. Why does the UK need more amateur LLs with no long term business plan and no knowledge of housing law?

Just as some folk like dealing with a big package tour holiday provider such as Thompson, whereas others prefer the more intimate hand-made approach by way of Owners Direct.


Horses for courses.

Conrad

Out,_Vile_Jelly wrote: »

So LLs are effectively exempt from any taxation or regulation, as otherwise they'll punish tenants with high rents?

Just as you might use WHICH magazine to identify the best performing Pension or ISA, so Landlords (doing their own investment dirty work) must also aim to achieve best returns.


Why on earth should you as a consumer of an ISA or pension get to take action to obtain best returns, but Landlords sit idly by and take whatever new costs are thrown at them?



Pension buyers shop around for best investment returns (meaning owning shares in order to take a cut of workers production of profit - ergo pension consumers are just as self interested as property investors);



http://www.comparing-pensions.co.uk/?gclid=CjwKEAjw1qHABRDU9qaXs4rtiS0SJADNzJis4OfZECaALRXSTzldN5dE3vBgMzZRBh65zIPPwd_H7BoCsBDw_wcB