Armageddon for flat owners - PAS 9980 even worse than EWS1 fiasco?!

Crashy_Time

svejed123 said:

Crashy_Time said:

svejed123 said:

This government seems to really really hate leaseholders (flat "owners"). 
Seems like they just want to restrict the supply in buyers market even more, pushing up house prices even more.

Do you really think this won't be watered down or remediations might be so watered down (for smaller flats) that it's not a risk to lenders...

If people can`t sell their flat to move on to a house there will be downward pressure on house prices.

Hmm but there are plenty of FTBs to buy the lower rung houses, even in London and especially outside London

I think a lot of the lower rung stuff was being snapped up by BTL investors, Brexit has probably changed that dynamic IMO, and of course the sort of legislation being discussed in this thread will put BTL off as well?

safvoxi

Someone on Twitter has found a job advert for a role at Homes England to manage leasehold loans for buildings less than 18m.

https://www.homesenglandcareers.co.uk/search/657/Head, Leaseholder Loans, Mid-Rise Remediation

safvoxi

Can't post the Twitter link but it's bad news

Crashy_Time

Who do they expect to pay for it though?

safvoxi

Crashy_Time said:

Who do they expect to pay for it though?

Well not the teacher im trying to buy a flat from......

Crashy_Time

safvoxi said:

Crashy_Time said:

Who do they expect to pay for it though?

Well not the teacher im trying to buy a flat from......

So you are happy to pay for the surveys or whatever in the future?

[Deleted User]

Crashy_Time said:

Who do they expect to pay for it though?

The builders where it's their fault, and the government where it's their fault.

7sefton

I'm terrified by what I'm reading in this flat, as someone who owns two flats (one where I live, and one where I used to live which I'm renting out before selling). I hate leasehold/flats, but live in expensive cities so they've been my only choice other than wasting thousands of pounds in rent over the last ten years. 

I don't understand how this story - if the dreadful implications are true - isn't getting more coverage... even from Martin, as a way to warn people.

Should I just sell my two flats in a quickfire sale now and move into rented? I can't stomach them becoming worthless like the poor cladding victims' ones.

Crashy_Time

7sefton said:

I'm terrified by what I'm reading in this flat, as someone who owns two flats (one where I live, and one where I used to live which I'm renting out before selling). I hate leasehold/flats, but live in expensive cities so they've been my only choice other than wasting thousands of pounds in rent over the last ten years. 

I don't understand how this story - if the dreadful implications are true - isn't getting more coverage... even from Martin, as a way to warn people.

Should I just sell my two flats in a quickfire sale now and move into rented? I can't stomach them becoming worthless like the poor cladding victims' ones.

 Sorry, but you are possibly about to "waste" thousands of pounds on not being able to sell and having to bring two flats up to regulation? I wish people would stop with the "renting is dead money" thing, it isn`t if for example you are saving/investing more than your rent each month and letting the landlord pick up the tab for this kind of mess.

Tokmon

Crashy_Time said:

7sefton said:

I'm terrified by what I'm reading in this flat, as someone who owns two flats (one where I live, and one where I used to live which I'm renting out before selling). I hate leasehold/flats, but live in expensive cities so they've been my only choice other than wasting thousands of pounds in rent over the last ten years. 

I don't understand how this story - if the dreadful implications are true - isn't getting more coverage... even from Martin, as a way to warn people.

Should I just sell my two flats in a quickfire sale now and move into rented? I can't stomach them becoming worthless like the poor cladding victims' ones.

 Sorry, but you are possibly about to "waste" thousands of pounds on not being able to sell and having to bring two flats up to regulation? I wish people would stop with the "renting is dead money" thing, it isn`t if for example you are saving/investing more than your rent each month and letting the landlord pick up the tab for this kind of mess.

How much you save/invest each month compared to your rent is irrelevant as you would still be able to save/invest that money if you bought a house and were paying a mortgage instead of rent.

The real way to show how much of the rent is dead money is to work out:

(House Value) - (total payments made in house maintenance/repair + total interest paid on mortgage) 

If this number works out to be zero or above then every penny someone might have paid in rent instead is dead money. This is the situation for the vast majority of people who have bought. If this wasn't the case then landlords would be losing money and there would quickly stop being landlords if that was the case.


The benefits of renting are being able to quickly and easily move to new locations and stay places for relatively short periods of time. If your planning on staying in one place for a while then your almost always much better off buying.