Accidental Landlord, Do I pay tax?

Grumpy_chap

There will be as many tenants in a recession as otherwise.  Where will all the tenants go if not?

theartfullodger

Dear OP: Please keep digging, you're cheering me up on a dull Monday... 

(...or is this a windup..??)

Crashy_Time

Grumpy_chap said:

There will be as many tenants in a recession as otherwise.  Where will all the tenants go if not?

So there are a fixed number of tenants in the UK regardless of the economic climate in the UK? Excuse me if I just file that one alongside "not making any more land", "not enough houses to go round" etc. etc. Are you serious?

Grumpy_chap

So, apart from trashing my comment, you have not said, constructively, where the reduction in tenants will come from.

If there is a recession, there may be adjustments in the tenant-base, but I do not think this will be significant overall:

• some tenants see lower house prices, so buy
• some people move abroad for a brighter future
• some people move into the country as they can now afford to, or see an opportunity
• some current owners get repossessed so join the ranks of tenants
• some people will always want to be tenants (at that stage in life) because it suits them for the time being (students, new job in new town working out the area they want to settle, recent divorce, etc.)

So, lots of swings-and-roundabouts and lots of changes of the actual individuals that are tenants but, overall, likely a very similar number of tenants all together.  I welcome your sensible comment on why the actual number of tenants in total would be less.

[Deleted User]

Hi OP, haven't commented til now.., but can I give you an award for trying to be consistent with distraction techniques i.e. criticising others in an attempt to stop any more advice you don't accept? And when that fails, you fall down to sarcasm.    

You came on here asking advice.., if you already knew what that advice should be.., why come on an open forum asking for it? Did you stop for a moment and think maybe there is a point it would benefit me to take on board, or did you just say this isn't couched exactly how it should be, my feelings are hurt so I'm going to hit out?.  Of course, this would be a sure fire way to make things go in a better direction. Or maybe not.

IAMIAM

I accept the award, Thanks 

Crashy_Time

Grumpy_chap said:

So, apart from trashing my comment, you have not said, constructively, where the reduction in tenants will come from.

If there is a recession, there may be adjustments in the tenant-base, but I do not think this will be significant overall:

• some tenants see lower house prices, so buy
• some people move abroad for a brighter future
• some people move into the country as they can now afford to, or see an opportunity
• some current owners get repossessed so join the ranks of tenants
• some people will always want to be tenants (at that stage in life) because it suits them for the time being (students, new job in new town working out the area they want to settle, recent divorce, etc.)

So, lots of swings-and-roundabouts and lots of changes of the actual individuals that are tenants but, overall, likely a very similar number of tenants all together.  I welcome your sensible comment on why the actual number of tenants in total would be less.

Three quick ones off the top of my head - 
1) 50% target for school leavers going to Uni dropped, less pretend degrees = less tenants for BTL landlords in Uni/college towns, many kids will now train/work where they live and probably stay at home longer.
2) Many moving abroad will be returning to their country of origin for a cheaper future, maybe living with family, rather than a brighter one, this will apply especially if their job is retail/hospitality/travel.
3) As the UK enters recession and benefit laws are changed due to Brexit the UK becomes much less appealing unless you have a definite and lasting prospect of decently paid work, that will lead to an inevitable drop off in demand for rental.

Can you answer the question I asked -  Why do you think the tenant base can remain static, or nearly static, during one of the worst recessions in living memory?

onwards&upwards

IAMIAM said:

Great, so I am to be called absolutely clueless about my liabilities which is what a forum is for

This forum is very definitely NOT for would be landlords to find out about their legal responsibilities!

onwards&upwards

Grumpy_chap said:

There will be as many tenants in a recession as otherwise.  Where will all the tenants go if not?

Well homeless went up a lot after the last crash, combined with welfare cuts etc. 

https://www.insidehousing.co.uk/news/news/homelessness-up-65-since-2010-53598

So they go to the streets, or to sofa surfing, or to temporary accommodation. 

AdrianC

onwards&upwards said:

IAMIAM said:

Great, so I am to be called absolutely clueless about my liabilities which is what a forum is for

This forum is very definitely NOT for would be landlords to find out about their legal responsibilities!

There's a difference between would-be landlords asking what they might not be aware of...

...and people who are already landlords trying to avoid tax by pretending they never meant to be.