What would you do? Newbie landlord looking for advice!

I am selling up so I can retire from the constant stress and uncertainty that the new legislation will impose.
Other than a capital return you can get good incomr returns on financial products without the worry that a rental will give you.
It's not a retirement occupation as its not really passive income

BTL is dead unless you can buy without a mortgage
Plus the punitive tax and legislation is a PITA
If I were you I'd avoid it - simply not worth the hassle now ( LL of 22 years)

I have been a Landlord for 30 years and would advise you to look for a different revenue stream. As Chris said it can be very stressful and not a passive income for retirement.

I would echo other comments and do not see BTL as a good retirement venture.It is risky and stressful in the current environment and becoming more so with the abolition of fixed term tenancies and other legislation coming down the line. Now I am of retirement age it is a plain fact that I will not see the financial returns on investments I could make in buying and refurbing properties to rent and upgrading properties I own to meet upcoming legislation. The payback is not there in my case. Think long and hard before you progress with this idea and speak to landlords for their perspectives (not companies that charge for advice and property sourcing). If your plan is to pass on your property business then you need to be confident that your children are interested in property and consider the tax implications now and any potential changes.

Steven, as a landlord of nearly 25 years, I would say, don't go all in on property.

Maybe buy two and diversify in to other assets (stocks, ETF's, Bonds).

I still feel property can be a good investment, with low LTV mortgages (leverage returns), but no doubt the risks are increasing. Get a good tenant in a well bought, well maintained house (not flat) and it should provide a good return.

Best of luck to you.

Private LL of 30 years, I agree it is not an easy time, bad tenants are everywhere, even good ones can turn bad very easily, sadly.
You might have to get a company in to manage the properties, but you are still legally liable, so it is no get out of jail free.
I would never buy modern prior, but I would not buy a property below EPC B / C as they will raise the bar, while ignoring all social and council housing that are not fit for purpose, nor would they hit an reasonable EPC rating.
Not to mention if they bring in the National licensing scheme / fees

Honestly, I'd look else where. It isn't passive and it isn't easy.

Depending where you are in the country an actual yield of roughly 5 percent net is what you'll achieve. I can't speak for every area but from my research it is pretty uniform through out. You can achieve this stress and hassle free with a bank account.

OK, there's the capital growth too to look at but how long before you realise that gain? If ever, as you said you'd be passing them down to your children so this exercise should be based purely on yield.

Let's say 4 houses at 100k each. Theres 5k each in stamp duty, 1000 each for solicitors costs (probably a little bit more now), brokers fees, mortgage product fees, valuation fees - depending on product... realistically There's over 30k there and you haven't bought a penny of equity.

That 400k would earn you £1600 a month in a plain, vanilla bank account without the hassle of a broken boiler or a leaking roof, or a difficult tenant. Or the cost of agent management fees. There's also the extra 30k plus you've not thrown down the toilet on stamp duty etc.

Still plenty of people pushing property investment on the internet though but, look why, they are selling a related product.

With all the above said, there are still returns to be made but for a passive, easy income stream that beats interest - you won't find it in property. Especially as a new entrant. There's advanced strategies that can net you some fair return but forget retirement, it would be a full time occupation.

I'd also recommend reading other posts on this forum and see just how many are jumping ship. Also, take a look on the property sales websites and see how many are for sale with "tenant in situ", ask yourself why that is? That should give you all the information you need.

All the best in what ever you chose to do.

Reply to the comment left by Liam at 30/01/2025 - 10:46
Thank you all for your comments so far, I just want to make something absolutely clear as it doesn't appear to have come across as so in my original post. I would be purchasing these properties with no mortgages, so purchasing outright. Does that make a difference to everyone's opinions as the rental revenue would be all coming to myself and not paying off any mortgages.

Donnnnn't do it , from a lanlord of 40 years

You already have several responses but I'll throw my hat in... Yours is a very far reaching question but some brief points you might find useful:
- Inheritance is probably as big a consideration next to income for you. Consider a Family Investment Company (FIC) route before you buy anything. Will give you access to commercial mortgages instead of personal (you retired = tricky); you can make other non-property investments; and get the kids in as shareholders now with an eye to inheritance.
- I would leverage any investment property and not own all-cash.
- Diversify your investments: precious metals; solid dividend paying commodity stocks and businesses in real assets. You can do this through a FIC too.
-Start with what you want for income each month, then shape a portfolio that will support this. And plan smart; you've worked hard for this. Remember: when your time eventually comes the Gov is poised to pounce on your estate to fund their vanity projects.