Moomintroll Posted April 27, 2021 Share Posted April 27, 2021 3 hours ago, Aufc said: I dont really understand this. Yes bad landlords need to be stopped but it doesnt mean all landlords are arseholes. Some people want to rent so it falls to reason that some people need to be their landlords. That is what LHAs can be there to service, all we are seeing at the moment is a vicious circle of a lot of available housing stock being bought at prices higher than FTB can afford. This is being done by empire builders who then push rents ever higher to cover the Mortgages caused by them driving the supply & demand inequities. Something has to be done to stop this, you can be a nice landord but if you are charging 700 quid pcm for a house that would be 400 odd via an LHA then you are screwing the arse out the market. 1 Quote Link to comment Share on other sites More sharing options...
Shandon Par Posted April 27, 2021 Share Posted April 27, 2021 Gash by name, gash by nature.. 0 Quote Link to comment Share on other sites More sharing options...
Aufc Posted April 28, 2021 Share Posted April 28, 2021 That is what LHAs can be there to service, all we are seeing at the moment is a vicious circle of a lot of available housing stock being bought at prices higher than FTB can afford. This is being done by empire builders who then push rents ever higher to cover the Mortgages caused by them driving the supply & demand inequities. Something has to be done to stop this, you can be a nice landord but if you are charging 700 quid pcm for a house that would be 400 odd via an LHA then you are screwing the arse out the market.Personally that falls into arsehole landlord. There are many landlords out there that charge nominal rents and use the properties as a way of helping their retirement. I dont think they can be grouped in with the landlords you mention above. Regarding the lending criteria, that is an issue to take up with the bank/government. Not the guy with a couple of rental properties to aid his retirement. 0 Quote Link to comment Share on other sites More sharing options...
Sweet Pete Posted April 28, 2021 Share Posted April 28, 2021 2 minutes ago, Pato said: Why do so many people opt for property as an income source for retirement? When I rented I was forever hassling my landlord about broken stuff, it'd drive me nuts to be on the opposite end of that when I could have all that cash in distributing funds instead. Is it just the psychological aspect of getting money every month like when you were working, versus different schedules for dividends etc? As far as I know it's a lot harder to make money from BTL in many circumstances now anyway, I don't really get the appeal. Remember that you can also sell or borrow against the properties in the future. It's not just about monthly rental income. 0 Quote Link to comment Share on other sites More sharing options...
ICTChris Posted April 28, 2021 Share Posted April 28, 2021 I have a relative who bought a lot of property in central Edinburgh when it was dirty cheap in the 1970s and has now been renting them out for decades. He'll pass them on to his children probably. You can look at it as both a source of monthly income and an investment for the future. It does seem like a lot of hassle though, my manager at work has a number of rental properties and he frequently has to take time off to go and sort issues with them. I just looked up flats in a street we briefly lived in - cost of buying a one bed flat is £150,000, rent PCM for similar flats is £700/month. Put that into a BTL mortgage calculator and you can make £600 a month from that if you can put 50% down. Even if you put the minimum down (20%) then you are making £450 a month, less other costs of course. 0 Quote Link to comment Share on other sites More sharing options...
SANTAN Posted April 28, 2021 Share Posted April 28, 2021 I used to work in a small accountancy firm doing profit and loss accounts and the amount of small business owners that had property but just used property management firms to deal with everything was pretty high. These were all people that weren't overly bright so it made sense, they might have been paying a bit more a month than those that don't but they wouldn't have to deal with anything that would cause a hassle. 0 Quote Link to comment Share on other sites More sharing options...
ICTChris Posted April 28, 2021 Share Posted April 28, 2021 2 minutes ago, Stormzy said: I used to work in a small accountancy firm doing profit and loss accounts and the amount of small business owners that had property but just used property management firms to deal with everything was pretty high. These were all people that weren't overly bright so it made sense, they might have been paying a bit more a month than those that don't but they wouldn't have to deal with anything that would cause a hassle. I think it really depends on the circumstances. I know people who have properties they rent out who use them as they are happy to eat into their profits but I also know other people who don't because they are on tight margins and want to maximise what they get from them. One person I know buys the cheapest places possible and if you are in that market then using a letting agency or property company is going to eat away quite a bit of your margin. The last rented place I was in used a letting agency as the owner lived abroad so clearly we couldn't phone him up if we needed the washing machine fixed. 1 Quote Link to comment Share on other sites More sharing options...
Melanius Mullarkey Posted April 28, 2021 Share Posted April 28, 2021 22 hours ago, Bairnardo said: Lets weed out the open deviants first eh.... 0 Quote Link to comment Share on other sites More sharing options...
Melanius Mullarkey Posted April 28, 2021 Share Posted April 28, 2021 29 minutes ago, Pato said: Aye the deid auld lady that used to live in my house still gets piles of equity release letters through the door. Not sure this balances out the social damage being done mind you. If you've got the equivalent of two houses invested in financial instruments I'm sure the bank would be happy to talk to you about borrowing in any case. Equity release companies are vultures. My folks did a bit of this when they had retired. Took about £50k. The interest rate was phenomenal when we came to get the house back. Might have just been the company they went with. Made a significant dent in my future drinking funds I can tell you. 1 Quote Link to comment Share on other sites More sharing options...
Granny Danger Posted April 28, 2021 Share Posted April 28, 2021 43 minutes ago, Pato said: Why do so many people opt for property as an income source for retirement? When I rented I was forever hassling my landlord about broken stuff, it'd drive me nuts to be on the opposite end of that when I could have all that cash in distributing funds instead. Is it just the psychological aspect of getting money every month like when you were working, versus different schedules for dividends etc? As far as I know it's a lot harder to make money from BTL in many circumstances now anyway, I don't really get the appeal. I looked at property rental a few years back. Decided I didn’t want to touch it with a 10 foot pole for a myriad of reasons. In the intervening period I’ve been getting 14% annualised return on a SIPP the contributions to which attract tax relief. It’s a no- brainer. 1 Quote Link to comment Share on other sites More sharing options...
DiegoDiego Posted April 28, 2021 Share Posted April 28, 2021 Why do so many people opt for property as an income source for retirement? When I rented I was forever hassling my landlord about broken stuff, it'd drive me nuts to be on the opposite end of that when I could have all that cash in distributing funds instead. Is it just the psychological aspect of getting money every month like when you were working, versus different schedules for dividends etc? As far as I know it's a lot harder to make money from BTL in many circumstances now anyway, I don't really get the appeal.Aye, you could invest in mutual funds or actual property companies rather than putting all your eggs in a very expensive and needy basket, but then you couldn't casually drop "oh, I need to check up on one of my properties in the West End" into conversation, could you? 0 Quote Link to comment Share on other sites More sharing options...
Aufc Posted April 28, 2021 Share Posted April 28, 2021 If you have spare cash throughout your life then property is a decent investment. Plus you can then take money out etc and leverage against others etc. Depends on your wants and desires. I just dont really understand the view point of people who have no interest in doing something but will happily slate people who wish to do said something without being an arsehole 0 Quote Link to comment Share on other sites More sharing options...
Hedgecutter Posted April 28, 2021 Share Posted April 28, 2021 Beat this for a coat of arms: https://en.wikipedia.org/wiki/Dalziel?wprov=sfla1 1 Quote Link to comment Share on other sites More sharing options...
pandarilla Posted April 28, 2021 Share Posted April 28, 2021 If you have spare cash throughout your life then property is a decent investment. Plus you can then take money out etc and leverage against others etc. Depends on your wants and desires. I just dont really understand the view point of people who have no interest in doing something but will happily slate people who wish to do said something without being an arseholePeople take issue with it because in many cases it impacts negatively on those who are less well off.I'm sure there are many good landlords out there but ultimately the system is allowing the wealthy to profit out of the misfortune of others. 2 Quote Link to comment Share on other sites More sharing options...
Sweet Pete Posted April 28, 2021 Share Posted April 28, 2021 1 hour ago, pandarilla said: People take issue with it because in many cases it impacts negatively on those who are less well off. I'm sure there are many good landlords out there but ultimately the system is allowing the wealthy to profit out of the misfortune of others. That's just capitalism in a microcosm. Not singularly affecting rental properties. 0 Quote Link to comment Share on other sites More sharing options...
Aufc Posted April 28, 2021 Share Posted April 28, 2021 People take issue with it because in many cases it impacts negatively on those who are less well off.I'm sure there are many good landlords out there but ultimately the system is allowing the wealthy to profit out of the misfortune of others. Is is like that in all cases though? As i say, some people want to rent so are happy to pay someones second mortgage. 0 Quote Link to comment Share on other sites More sharing options...
Jacksgranda Posted April 28, 2021 Share Posted April 28, 2021 4 hours ago, Aufc said: Personally that falls into arsehole landlord. There are many landlords out there that charge nominal rents and use the properties as a way of helping their retirement. I dont think they can be grouped in with the landlords you mention above. Regarding the lending criteria, that is an issue to take up with the bank/government. Not the guy with a couple of rental properties to aid his retirement. ^^^Has-a-couple-of-rental-properties-to-aid-his-retirement type post 1 Quote Link to comment Share on other sites More sharing options...
G51 Posted April 28, 2021 Share Posted April 28, 2021 1 hour ago, Aufc said: Is is like that in all cases though? As i say, some people want to rent so are happy to pay someones second mortgage. this has to be a troll. ALAB. 0 Quote Link to comment Share on other sites More sharing options...
Bairnardo Posted April 28, 2021 Share Posted April 28, 2021 I was on Ruel St today. No square go was had. 0 Quote Link to comment Share on other sites More sharing options...
Derry Alli Posted April 28, 2021 Share Posted April 28, 2021 28 minutes ago, Bairnardo said: I was on Ruel St today. No square go was had. Bottled it, IMO. 1 Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.