Rents Frozen In Scotland From Today

k12479

MisterMotivated said:

...compete with all the other tenants being evicted when the ban is lifted next year, driving up rents further...

ProDave said:

And probably more evictions early next year...

Given the precedents set for intervention, the Scottish government describing its rent freeze/eviction moratorium as "until at least 31 March 2023" and that the current issues at play (rising rates, high inflation, Russia/energy costs, recession risk) are unlikely to have fully subsided, assuming it'll be back to business as usual after 6 months might be optimistic.

ProDave

k12479 said:

MisterMotivated said:

...compete with all the other tenants being evicted when the ban is lifted next year, driving up rents further...

ProDave said:

And probably more evictions early next year...

Given the precedents set for intervention, the Scottish government describing its rent freeze/eviction moratorium as "until at least 31 March 2023" and that the current issues at play (rising rates, high inflation, Russia/energy costs, recession risk) are unlikely to have fully subsided, assuming it'll be back to business as usual after 6 months might be optimistic.

And if this interference continues after March then by the time it ends there will be an even greater number of landlords waiting for the freedom to operate their business as they wish which for even more of them will be to close the rental business and sell the property.

Sarah1Mitty2

MobileSaver said:

Sarah1Mitty2 said:

MisterMotivated said:

Sarah1Mitty2 said:

MisterMotivated said:

Even a short term, half-year "emergency" period of unpaid rent is going to run into several thousand pounds per household.  The vast majority of landlords (ideally all) should be able to withstand that sort of loss, but my point is that they shouldn't be forced into having to withstand it due to the government's half-baked ideas.  There are no proposals for a ban on having to pay their mortgages or carry out any necessary repairs/regulatory checks.

Similar happened during Covid, most landlords should have been alert for things like this.

 along with many others when some landlords decide property letting is no longer a worthwhile endeavour due to these hare-brained policies

The properties don`t disappear, they get sold to someone meaning less tenants,

I'm not sure if there's a typo there or just a naive and/or misguided understanding of the property market.

The property doesn't disappear but in many cases the rental property will disappear, either because it is sold to an owner-occupier or the current owner simply keeps it as a second home or switches to AirBnb or similar. Either way it is no longer available to long term renters.

Similarly, except in the limited cases where the renter becomes the buyer, the number of tenants looking for a property stays the same.

What this means, as pointed out by @MisterMotivated, is that this knee-jerk vote-winning policy pretty much guarantees that a year from now renters will find it even harder and more expensive to find a home unless the government steps in to incentivise landlords so that they don't get out of the private rental market.

If the government can freeze rents and evictions, and this is the second time in a short space of time for evictions, do you really want to be holding on to "2nd homes" and AirBnB with all the drama and cost that entails?  Lord knows what tax extraction plans they will be lining up for them. When was the last time you rented out a property by the way?

Sarah1Mitty2

ProDave said:

k12479 said:

MisterMotivated said:

...compete with all the other tenants being evicted when the ban is lifted next year, driving up rents further...

ProDave said:

And probably more evictions early next year...

Given the precedents set for intervention, the Scottish government describing its rent freeze/eviction moratorium as "until at least 31 March 2023" and that the current issues at play (rising rates, high inflation, Russia/energy costs, recession risk) are unlikely to have fully subsided, assuming it'll be back to business as usual after 6 months might be optimistic.

And if this interference continues after March then by the time it ends there will be an even greater number of landlords waiting for the freedom to operate their business as they wish which for even more of them will be to close the rental business and sell the property.

Maybe maybe not, your own experience was that you became a landlord because you couldn`t sell the property, and that was years ago before mortgage rates jumped? I can`t really see a scenario to be honest where people are lining up to take ex-BTL properties off landlords hands, cash buyers and auctions maybe but that route would be rife with bargain hunters and serious hagglers.

MobileSaver

Sarah1Mitty2 said:

MobileSaver said:

Sarah1Mitty2 said:

MisterMotivated said:

Sarah1Mitty2 said:

MisterMotivated said:

Even a short term, half-year "emergency" period of unpaid rent is going to run into several thousand pounds per household.  The vast majority of landlords (ideally all) should be able to withstand that sort of loss, but my point is that they shouldn't be forced into having to withstand it due to the government's half-baked ideas.  There are no proposals for a ban on having to pay their mortgages or carry out any necessary repairs/regulatory checks.

Similar happened during Covid, most landlords should have been alert for things like this.

 along with many others when some landlords decide property letting is no longer a worthwhile endeavour due to these hare-brained policies

The properties don`t disappear, they get sold to someone meaning less tenants,

What this means, as pointed out by @MisterMotivated, is that this knee-jerk vote-winning policy pretty much guarantees that a year from now renters will find it even harder and more expensive to find a home unless the government steps in to incentivise landlords so that they don't get out of the private rental market.

do you really want to be holding on to "2nd homes" and AirBnB with all the drama and cost that entails?  Lord knows what tax extraction plans they will be lining up for them. When was the last time you rented out a property by the way?

People hold on to second homes because they can afford to do it and so they can use their second home when they want for what they want. What they don't want is being told they can't evict their tenant even though fixed term tenancies have come to an end and/or even though their tenants have stopped paying rent.

AirBnB is much higher rewards and much lower risk for those willing to do much more work. For some the switch from long term rental to AirBnB had already started happening because of government meddling; the Scottish policy changes will only accelerate the switch.

All of this just means that a year from now renters will find it even harder and more expensive to find a home.

I own several properties but have never been a landlord or rented the properties out.

Sarah1Mitty2

MobileSaver said:

Sarah1Mitty2 said:

MobileSaver said:

Sarah1Mitty2 said:

MisterMotivated said:

Sarah1Mitty2 said:

MisterMotivated said:

Even a short term, half-year "emergency" period of unpaid rent is going to run into several thousand pounds per household.  The vast majority of landlords (ideally all) should be able to withstand that sort of loss, but my point is that they shouldn't be forced into having to withstand it due to the government's half-baked ideas.  There are no proposals for a ban on having to pay their mortgages or carry out any necessary repairs/regulatory checks.

Similar happened during Covid, most landlords should have been alert for things like this.

 along with many others when some landlords decide property letting is no longer a worthwhile endeavour due to these hare-brained policies

The properties don`t disappear, they get sold to someone meaning less tenants,

What this means, as pointed out by @MisterMotivated, is that this knee-jerk vote-winning policy pretty much guarantees that a year from now renters will find it even harder and more expensive to find a home unless the government steps in to incentivise landlords so that they don't get out of the private rental market.

do you really want to be holding on to "2nd homes" and AirBnB with all the drama and cost that entails?  Lord knows what tax extraction plans they will be lining up for them. When was the last time you rented out a property by the way?

People hold on to second homes because they can afford to do it and so they can use their second home when they want for what they want. What they don't want is being told they can't evict their tenant even though fixed term tenancies have come to an end and/or even though their tenants have stopped paying rent.

AirBnB is much higher rewards and much lower risk for those willing to do much more work. For some the switch from long term rental to AirBnB had already started happening because of government meddling; the Scottish policy changes will only accelerate the switch.

All of this just means that a year from now renters will find it even harder and more expensive to find a home.

I own several properties but have never been a landlord or rented the properties out.

But someone making that prediction a year ago would have been completely wrong! Scottish renters are finding it easier than ever to keep their rent the same and stay in their homes, what information do you have about a year from now that allows you to make that prediction?

Retireby40

If there were no landlords more people would be living at home with their parents until they were about 40.

If there were no rental properties those new couples wouldn't realise if they could live together or not before buying their own pad.

If there were no rental properties students would have to study in their home town or city and forego the opportunities at other Universities. It may mean doing a course they don't want to do.

If there were nor rental properties people looking for new experiences or to learn a new language or whatever would never be able to.

Without landlords and rental properties the world would be a much worse place. What would the other option be for the above people?

Please someone tell me what the above people would do?

MobileSaver

Sarah1Mitty2 said:

MobileSaver said:

Sarah1Mitty2 said:

MobileSaver said:

Sarah1Mitty2 said:

MisterMotivated said:

Sarah1Mitty2 said:

MisterMotivated said:

Even a short term, half-year "emergency" period of unpaid rent is going to run into several thousand pounds per household.  The vast majority of landlords (ideally all) should be able to withstand that sort of loss, but my point is that they shouldn't be forced into having to withstand it due to the government's half-baked ideas.  There are no proposals for a ban on having to pay their mortgages or carry out any necessary repairs/regulatory checks.

Similar happened during Covid, most landlords should have been alert for things like this.

 along with many others when some landlords decide property letting is no longer a worthwhile endeavour due to these hare-brained policies

The properties don`t disappear, they get sold to someone meaning less tenants,

What this means, as pointed out by @MisterMotivated, is that this knee-jerk vote-winning policy pretty much guarantees that a year from now renters will find it even harder and more expensive to find a home unless the government steps in to incentivise landlords so that they don't get out of the private rental market.

do you really want to be holding on to "2nd homes" and AirBnB with all the drama and cost that entails?  Lord knows what tax extraction plans they will be lining up for them. When was the last time you rented out a property by the way?

All of this just means that a year from now renters will find it even harder and more expensive to find a home.

But someone making that prediction a year ago would have been completely wrong! Scottish renters are finding it easier than ever to keep their rent the same and stay in their homes

Talk about the classic HPC desperation of moving the goalposts, I specifically said finding a home not staying in the home they are already in.

Even then though, what utter nonsense! The average rent in Scotland has increased by 13% from a year ago, please explain how that is not more expensive?

Sarah1Mitty2

Retireby40 said:

If there were no landlords more people would be living at home with their parents until they were about 40.

If there were no rental properties those new couples wouldn't realise if they could live together or not before buying their own pad.

If there were no rental properties students would have to study in their home town or city and forego the opportunities at other Universities. It may mean doing a course they don't want to do.

If there were nor rental properties people looking for new experiences or to learn a new language or whatever would never be able to.

Without landlords and rental properties the world would be a much worse place. What would the other option be for the above people?

Please someone tell me what the above people would do?

Well that sums up nicely why there will always be landlords! Not sure when you last went to Uni but there are Uni rentals (run by the Uni) being thrown up everywhere, students won`t be staying at home any time soon.

Sarah1Mitty2

MobileSaver said:

Sarah1Mitty2 said:

MobileSaver said:

Sarah1Mitty2 said:

MobileSaver said:

Sarah1Mitty2 said:

MisterMotivated said:

Sarah1Mitty2 said:

MisterMotivated said:

Even a short term, half-year "emergency" period of unpaid rent is going to run into several thousand pounds per household.  The vast majority of landlords (ideally all) should be able to withstand that sort of loss, but my point is that they shouldn't be forced into having to withstand it due to the government's half-baked ideas.  There are no proposals for a ban on having to pay their mortgages or carry out any necessary repairs/regulatory checks.

Similar happened during Covid, most landlords should have been alert for things like this.

 along with many others when some landlords decide property letting is no longer a worthwhile endeavour due to these hare-brained policies

The properties don`t disappear, they get sold to someone meaning less tenants,

What this means, as pointed out by @MisterMotivated, is that this knee-jerk vote-winning policy pretty much guarantees that a year from now renters will find it even harder and more expensive to find a home unless the government steps in to incentivise landlords so that they don't get out of the private rental market.

do you really want to be holding on to "2nd homes" and AirBnB with all the drama and cost that entails?  Lord knows what tax extraction plans they will be lining up for them. When was the last time you rented out a property by the way?

All of this just means that a year from now renters will find it even harder and more expensive to find a home.

But someone making that prediction a year ago would have been completely wrong! Scottish renters are finding it easier than ever to keep their rent the same and stay in their homes

Talk about the classic HPC desperation of moving the goalposts, I specifically said finding a home not staying in the home they are already in.

Even then though, what utter nonsense! The average rent in Scotland has increased by 13% from a year ago, please explain how that is not more expensive?

That is great news then, the big sell off by landlords that some people seem to fear won`t happen (the pool of buyers for 1 and 2 bed ex-BTL gets smaller each time mortgage rates rise anyway) Looks like most landlords will be well cushioned against this government intervention and will stay in the business!