If somebody pushed you into a well, would you be grateful to that person if he subsequently lowered a rope down for you to climb out?
The only renters who will be "grateful" to pay off a BTL landlord's mortgage are those who don't understand how BTL landlords are making home ownership (more) unaffordable for all.
It's not exactly the right analogy though, is it? BTL makes up less than 20% of the market and that's predicted to fall significantly with the new government changes. The issue of rising house prices is down to a monumental lack of supply; even if there were no landlords there still wouldn't be enough housing to dramatically decrease house prices. The simple fact is we need to build more. There are also plenty of people who don't want to own property and are quite happy to rent.
I hate to resort to using argumentum ad hominem, but based on some of your previous threads/posts you seem to have a real chip on your shoulder about your circumstances and you don't seem to accept much of the responsibility.
You're earning about the average income for Cornwall with relatively few qualifications; you're applying for new jobs with (presumably) better pay; you must have around £65k in savings (based on your comments in the 'Are earnings too low / living costs getting too high?' thread) and you don't have any major debt. You're in a significantly better position to get on the housing ladder than a lot of people. Admitedly you'd find it easier to get a mortgage if you had a second income from a partner or spouse, but even by yourself it's not impossible — you could find someone else in a similar position to yourself and combine forces to house or flat share, or you could use a Help to Buy Equity Loan. A friend of mine recently bought one of the new developments at Grampound Road and he was in a similar position to you without a second income.
But no, it's much easier to blame BTL landlords for some perceived moral crime and make more excuses as to why you can't get a house.
If it's cornwall, it's not BTL, more people in London buying seasonal homes that they use as holiday places and make some cash during the tourist season. The gap between London and the rest of the country is getting ever wider, especially in the smaller coastal towns. I'd be eating my hat too if some smugs from richsville holiday in my village twice a year and use it as a holiday let, and meanwhile price out the locals who live there through the winter months when none of the London set will be seen.
Very true, I grew up in one of those Cornish coastal towns, but it's not the second-home Londoners that seem to be drawing FoxEye's ire…
Got a loan from family at 5%, bought a decent sized house which was being let out to local students and continued letting it out to students.
Rent is about 10% of the value of the property. It's paying off the loan with enough left over to run the place. Bills, repairs, furniture, agent, cleaning, certificates, licence etc.
I guess I also have a spot booked in hell for doing this
Buy it using an LTD, or setup an LTD to do the purchase, then you can continue to claim tax relief on the mortgage interest rate.
It was only self investors who got the new nerf tax, the companies got away scott free.
I wish we had an enabled like system on here.It's not exactly the right analogy though, is it? BTL makes up less than 20% of the market and that's predicted to fall significantly with the new government changes. The issue of rising house prices is down to a monumental lack of supply; even if there were no landlords there still wouldn't be enough housing to dramatically decrease house prices. The simple fact is we need to build more. There are also plenty of people who don't want to own property and are quite happy to rent.
I hate to resort to using argumentum ad hominem, but based on some of your previous threads/posts you seem to have a real chip on your shoulder about your circumstances and you don't seem to accept much of the responsibility.
You're earning about the average income for Cornwall with relatively few qualifications; you're applying for new jobs with (presumably) better pay; you must have around £65k in savings (based on your comments in the 'Are earnings too low / living costs getting too high?' thread) and you don't have any major debt. You're in a significantly better position to get on the housing ladder than a lot of people. Admitedly you'd find it easier to get a mortgage if you had a second income from a partner or spouse, but even by yourself it's not impossible — you could find someone else in a similar position to yourself and combine forces to house or flat share, or you could use a Help to Buy Equity Loan. A friend of mine recently bought one of the new developments at Grampound Road and he was in a similar position to you without a second income.
But no, it's much easier to blame BTL landlords for some perceived moral crime and make more excuses as to why you can't get a house.
lol at the hate.
Anyway I was thinking of doing the same but buying a house or two that are sub £40k so you avoid the SDLT.
Can you do this with any Ltd company, such as one registered as an IT services company/PSC?
I think I need to ask my accountant about this, as I have enough for a deposit in savings.If a bank will give it the mortgage, I don't see why not.
What deposit are you looking at for a BTL?
I have just bought a terrace house with a mortgage of £420 a month on a 2 year fix. planning on overpaying to £500. Im hoping by the end of the 2 years to have about 30k saved, poss more.
i would be looking at buying another property to move into and rent the terrace house, to cover the bills really so i have it paid off at the end.
Is it a feasable thing for me to do?
Yes.Can you do this with any Ltd company, such as one registered as an IT services company/PSC?
Mortgages are easy on BTL. Just need rent to be 125% of mortgage interest at 4% or 5% (depending on term usually).
Niiiiice.Yes.
Though I guess it would no longer be classed as a PSC. Bummer