Summer Budget 2015 – Landlords Reactions

Reply to the comment left by "mark andrews" at "01/05/2016 - 01:40":

There are loads of info pages on this forum about Bict so read through that and it explains the process re mortgages much better than I can
http://www.property118.com/avoid-refinancing-landlord-incorporation/82791/

Reply to the comment left by "S H" at "01/05/2016 - 08:09":

Hi! Thanks for that. Seems you went down the transfer of beneficial interests route. I looked into this route and was told that more often than not, written into most mortgage contracts there is a clause to the effect that the bank already holds the beneficial interest, so it's not the borrowers to sign over.

Basically banks do this so that they can easily and quickly take receipt of rent payments should the borrower fall into trouble. See clip from a Coventry building society contract, and I've seen similar in mortgage works and Virgin money contracts:

Assignment of Payments and Powers of Attorney

Until the balance owing is fully paid off, you transfer to us (so far as you are able to do so) the right to receive any payment of money arising from any source in relation to the property. You will hold that right (and any money received by you as a result) on trust for us (that is, on our behalf).

Have you asked mark specifically about this issue?

Have just increased the rent for another property and have advised the tenant that the reason for the increase is Osborne's tenant tax. First rent increase for this tenant who moved in to the property in 2010.

Reply to the comment left by "BTL INVESTOR SCOTLAND" at "02/05/2016 - 11:19":

Is you're tag name really a sensible choice? We're opposing c24 on the basis that we are businesses and not investments, so should be treated as such, yet your name is "BTL INVESTOR"??

We have evicted our first tenant. They were difficult and unco operative not to mention agressive before we gave them notice.
We will offer it for rent at a higher priceand see how we go. All down to GO and a tenant who had no manners.

Reply to the comment left by "mark andrews" at "01/05/2016 - 10:07":

Mark reviewed our mortgage terms and conditions and he said there was no issue as we still hold the deeds. We are continuing to pay the mortgage ourselves with a contract between us and the Ltd company to do so.
There would have been an issue if we tried to pay the mortgages out of the ltd company but we got around it with the contract.

So you as the deed holder collect the rent and pay the mortgage, then transfer the balance into the limited company?

Sounds like your mortgages don't state anywhere that the bank holds the beneficial interest on your properties which is good! Out of interest, do your mortgage providers know that you have moved the beneficial interest into your limited company?

This may have been covered before (sorry if it has! ).
Has anyone with a portfolio that will be severely affected by Clause 24 actually been to see George Osborne or David Gauke in one of their local MP surgeries and shown them the devastating effects?

The commercial boys and their marketing for new high rise blocks .....
http://thetab.com/uk/brands/2016/04/20/every-problem-youll-have-living-in-your-second-year-cardiff-house-5853?utm_source=sponsoredxpost&utm_medium=facebook&utm_campaign=pages

What an idiotic and pathetic piece of propaganda. Students won't be stupid enough to fall for it. All they'll need to know is that the institutions charge up to £250 a week for rent including bills and private landlords often do it for closer to £80 a week. Curiously, they missed out that fact. For a 3-year course they could be saddled with an extra £25,000 debt. Doesn't sound so attractive when you look at it like that...

I actually think the institutional builders are going to come a cropper as they are pricing themselves out of the market. I can't see it working and I think they're living in cloud cuckoo land.

As for the photo of the seagulls ripping up black bags - and assuming that this wouldn't happen outside institutional lets as the students would be paying an extortionate premium for a more secure bin presumably - I have seen a bag ripped open like that once at one of my student houses in the area over a period of 20 years. And the students didn't give a damn if they had to walk over it - many people don't even notice that sort of thing - they're too busy fretting over studies, friends and whether the person they fancy also fancies them.

On another subject, take a look at the shape of things to come for LHA tenants:

http://www.propertyindustryeye.com/plight-of-family-where-landlords-refuse-point-blank-to-consider-tenants-on-benefits/

Landlords get accused of effectively 'stealing' taxpayers money when they accept LHA, in addition to having to deal with all the problems with Universal Credit etc. - and now with Clause 24 meaning LLs have to maximise rents to survive, and with Right to Buy, the social sector of housing could be decimated and then people will see what a real 'housing crisis' looks like.