I wonder how many times this thread has gone around in a circle now. A healthy housing market has room for buyers and renters (and by extension landlords). The biggest reason the housing market is not healthy is supply. That's the problem that needs to be fixed. I wish people would focus on that instead of stereotyping and demonising BTL landlords. There may be some valid points about some of them, but going after them isn't the thing that's going to improve anything.
Soldato
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What about them? You asked me a direct question and I gave you a direct answer. You appear to not like facts and have gone off on a bit of a rant about something completely unrelated to either your original question or my response.
The answer to all the problems you're now raising is to increase supply on both housing stock generally and rental properties specifically. Current and future government policy is supporting neither of these however.
You seem not to understand that LL's are leaving the market in droves and want even more punitive measures against LL's, which will make the issue for renters and prices even worse.
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Well, there's been a lot of headlines in the media over the last couple of years talking about that potentially happening, especially with all the hysteria about what Labour were going to do in the budget, as reflected in here
, which didn't materialise, but has it actually happened? Does anyone actually know?Yes, there's been a smallish contraction in the number of rental properties, but that doesn't necessarily equate to a LL leaving the sector for good rather than managing their portfolio and focusing on their more profitable rentals while weathering the storm of the changing fiscal market which has now levelled out.
If you think about it the market is still strong, demand well outstrips supply and rents are still rising rapidly, doesn't actually seem like the basis of people not wanting to be in that type of business sector does it?
Are Landlords Really Exiting the Rental Market?
As the media continues to report on the ‘mass exodus’ of landlords, we take a look at how many landlords have truly left and whether they might return to the market.
www.mfbrokers.co.uk
Why Many Landlords Are Ignoring the Doomsayers and Staying in the Rental Market
Are landlords leaving the market in droves, as some experts claim? Or are reports of an exodus exaggerated? Let’s look beyond the hype to...
www.cleeve.co.uk
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Soldato
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Yes there are industry magazines, articles and data showing that the proportion of previously rented homes being sold is at an all time high. The article you posted mentions a single month, but other articles talking about different time periods show different data points. Your article even points out it's a 100% increase in the proportion of exrentals being sold. There have already been over 160,000 properties leave the rental sector, at a time when immigration is running at about 600,000 at last count, will be interesting what 2024 figures are.
As per my previous post, immigration is still sky high, outstripping the numbers of homes being sold to first time buyers, so the numbers of renter's is also increasing at a time where the housing stock of rentals is going down.
I know several LL's who are all saying the same thing, when current good tenants move on they'll be selling not re-renting, and have already started to do so, so I expect the numbers to continue dropping. None if these are BTL either, so wouldn't show up in the numbers your article quotes.
Demand is increasing, supply is dropping.
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Hardly an isolated case..
www.gbnews.com
Farnborough residents left fuming as luxury flats taken off market for asylum seekers - 'Left in the dark!'
A block of flats worth £1400PCM each have been removed from the market to make way for asylum seekers
www.gbnews.com
Soldato
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And asylum seekers are a tiny proportion of immigration - the bulk being work visas and then students. They all need to live somewhere though.Hardly an isolated case..
Farnborough residents left fuming as luxury flats taken off market for asylum seekers - 'Left in the dark!'
A block of flats worth £1400PCM each have been removed from the market to make way for asylum seekers
Soldato
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Rents dropped from September to october
One month as a data point may as well not be mentioned it's so useless. What's the trend over the last year?
Soldato
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4% increase yoy
Last year was 7%, so the rate of increase has dropped quite dramatically, and although 4% is above inflation predicted to be 2.5%, in previous 2 years rent increases have been below inflation.
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Yea, not disputing the decrease in rental numbers I was just putting up what seemed some counter interpretations as to the reason why, rather than the popular narratives we've been hearing for a while, which have seemed to me be saying 'there's a potential exodus' rather than an actual one. I may be wrong on that! Obviously these things are a continuously developing situation and as you say we'll know more as we get more data.
Are they more individual/hobbyist LLs, who are more influenced by personal circumstances because it seems odd to me as you say
That just seems an odd time for the long term, large scale portfolio LLs to be coming out of the market.
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Soldato
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One is in the construction industry and uses his company to renovate/develop as an additional income stream, he's going to be divesting of all his rentals and just selling any other renovations he does. Another sold their business a number of years ago and rentals was their primary income. So no I wouldn't call either of them hobbyists and they both had multiple rentals. Same with me, I have 4 properties altogether, one is retail and the other guy I just mentioned is interested in helping us convert it to flats with a ground floor retail to sell and the other two will be going hopefully soon. I'm keeping one as it was our family home but again if the tenants moved out anyway then i might not re-let.
The retail is shutting down as it's a salon and they can't afford the NIC and minimum wage increase as things have been really slow for them since COVID anyway.
I'm getting much better rate of return from non-property investments and with the new regulations getting new tenants in becomes a minefield of what you have to accept without question so I probably wouldn't bother.
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Soldato
Had my day in court regarding evicting a tenant.
The tenant and I had spoken before about my application to evict and that it would fail because I did not supply her with the "Required Information" regarding the deposit. In fairness to the tenant, she did say she may have a place lined up but she had had other places fall through before so I said we'd carry on and go to court anyway - wasn't sure if that would reflect poorly on me if we had to go to court again.
Arrived at court and tenant is there along with representative of Shelter Cymru. Had a good chat, made it clear the tenant was the priority as I am in no rush for the property. Turns out the tenant has been given the keys to a new property and will be leaving on the 17th and wants to spend next week cleaning the place up. I said fine, no problem and yes, it's OK I know I'll get fined 1X deposit for not providing the required information. We'd agreed a plan before going into the court room so the actual process was fairly painless.
Lady from Shelter said it was very rare for tenant and landlord to still be friendly at this point. Also that good landlords are being driven out because of the rules (necessary rules) trying to curb bad landlords. Shelter lady said majority of landlords when they get to court are awful, and had been awful prior to getting to court.
The tenant and I had spoken before about my application to evict and that it would fail because I did not supply her with the "Required Information" regarding the deposit. In fairness to the tenant, she did say she may have a place lined up but she had had other places fall through before so I said we'd carry on and go to court anyway - wasn't sure if that would reflect poorly on me if we had to go to court again.
Arrived at court and tenant is there along with representative of Shelter Cymru. Had a good chat, made it clear the tenant was the priority as I am in no rush for the property. Turns out the tenant has been given the keys to a new property and will be leaving on the 17th and wants to spend next week cleaning the place up. I said fine, no problem and yes, it's OK I know I'll get fined 1X deposit for not providing the required information. We'd agreed a plan before going into the court room so the actual process was fairly painless.
Lady from Shelter said it was very rare for tenant and landlord to still be friendly at this point. Also that good landlords are being driven out because of the rules (necessary rules) trying to curb bad landlords. Shelter lady said majority of landlords when they get to court are awful, and had been awful prior to getting to court.
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