Generation Rent claims renting harms a tenant’s mental health

Reply to the comment left by NewYorkie at 15/10/2024 - 14:04
Hi New Yorkie, I am not disputing that, but it is always the case that those with an axe to grind seize on anything that helps support their case, even where that is a miniscule minority. What the sector needs is clear demarcation to show the different form of landlords. There is room for what I term accidental landlords but those tenants renting from them need to be in no doubt about this and be aware that they need to look elsewhere if they are seeking a secure long term let. Remember landlords start from a poor position as 'mean landlords' have been disparaged in the media, literature and entertainment throughout the ages. We need to fight back and present things to demonstrate the worthwhile (and often difficult) work we do.

Reply to the comment left by REB at 15/10/2024 - 15:00
You appear to be saying tenants need to be aware that 'small' landlords are not professional, and they have no security unless they rent from a large portfolio landlord.

Reply to the comment left by REB at 15/10/2024 - 13:59
I'm a small portfolio landlord: My 'profession' is something else. I look after my property, seek long term tenants and comply with all the rules and requirements. That's what most small portfolio landlords do and small portfolio landlords make up the majority of the sector.

What we all want from tenants is (1) get on with the neighbours (2) look after the property (3) pay the rent on time and in full.

The advantage that the larger 'professional' (mostly these days probably incorporated landlords) have is that they have systems to regularly raise rents and the knowledge, experience and access to legal advice to evict problem tenants. A large incorporated landlord can offset finance costs against rents, thereby experiencing less of the impact of interest rises, can gain better terms from contractors required for maintenance, or for EPC upgrades, and can more easily absorb the impacts of void periods. Overall 'professional' landlords are better placed to maximise both rents and margins and it is understandable that as 'professional' businesses this is what they will do.

Keir Starmer just gave a speech to the International Investment Summit:

https://www.youtube.com/watch?v=pAz_DzxZ6P0

Keir Starmer knows that the UK needs outside investment.

UK housing stock needs investment. Pursuing policies that only favour larger 'professional' landlords will change the housing sector. But one of the effects is that it will drive out competition by penalising small portfolio landlords. The reason we had no fault evictions is because there was no other effective route of avoiding spending a year in the courts to get rid of the minority of problem tenants, whose costs are in effect borne by the majority of decent tenants.

But even larger 'professional' landlords experience stress from those tenants who bend and break the rules, but cannot be effectively dealt with. For any system to work it has to be fair not only to tenants but also to landlords.

Reply to the comment left by Beaver at 15/10/2024 - 15:47
Perfectly put.

I am no longer a small portfolio landlord as I've sold all but one BTL, which will go next year if mortgage rates remain high.

However, I will not exit the PRS entirely because it has a strong future, just not for the little guy. Instead, I have already put some money in the PRS REIT. Yes, I'm joining the oft disparaged 'large corporates', and who can blame me. Catering to the upper end of the family rental market with new, energy-efficient homes. They are fully let and keen to build/acquire more. Minimal voids and arrears. Already paid a 4% dividend and my initial investment is up 20.2% in just a few months... and no mental health problems. If the dalek hits CGT on the 30th, I'll sell a chunk of shares and put the proceeds into the REIT and sit and wait until we get a grown-up government again.

I keep saying landlords have a choice where they invest 'their' money, and if traditional BTL becomes intolerable for them, they can take their money elsewhere.

Reply to the comment left by REB at 15/10/2024 - 15:00
I kind of agree to a point.
As far as I am concerned there are large corporate landlords, portfolio landlords and small scale landlords.

Small landlords may be excellent or they may be clueless. They may love being a landlord or they may hate it. Some will provide long term housing far cheaper than it should be while others will be incredibly precious about the slightest thing.

Tenants should certainly ask about how many properties a landlord owns, how long they have been a landlord, what their future plan is with their properties. Then make their own decision. As long as the tenant and landlord have similar ideas about time-frames there shouldn't be a problem.

They making it worse for tenants.
Every time they call for a change, good Landlords think u know what, I've had enough, I'm selling.

I'll put this below I'm gonna' post the same on a few relevant articles & hope someone gets this to some boffin in power somewhere:

What if tenant was living in warm, no damp at all, 30% cheaper than market rent property?
And she already had latest boiler, windows, doors, kitchen etc.?
That was EPC D?
And she was perfectly happy?
And she's just decorated her living room gorgeous?
And Govt comes along & says we got to rip out all your nice decoration u just done.
Gonna' tread over all your new carpets.
5 builders in your home of 20 years for 2 weeks.
Make your house smaller.
But you will save £10pm gas bill.
And u will then be EPC C.
But it's gonna' cost your Landlord £10,000.
And that cheap rent you got, he not be able to afford you that any more, it's gonna' cost you £3000 per year more to bring in line with market rents.
Ooh & you gonna' get mould & condenstion next year cause this 1920's house wasn't made to be sweated up with all this internal insulation.
But we the Govt will look good to the voters as can say We are making loads of houses EPC C.
Ooh sorry we din't realise your Landlord din't want the house anyway, only keeping for you, and this last straw has pushed him over the edge & he's now gonna' sell to make u homeless-Look on bright side, Council will put u & 5 kids in one room in hotel that will be EPC C & Council (well Taxpayer) will pay the £3000pm to the hotel group.
Am I Einstein or are Govt & Council's thick? Has anyone been to ask the tenants who HAVEN'T GOT A PROBLEM what they would like?

Reply to the comment left by Jo Westlake at 15/10/2024 - 16:21
I'm a small portfolio landlord and I originally joined this site in an attempt to stay up to date i.e. to avoid being clueless.

I have friends who are small landlords who have the same problems that I have with getting tenants to pay and maintain their properties, or who have had difficulty getting rid of tenants who did neither. None of these friends was clueless....they were just faced with dishonest tenants and a court system they weren't familiar with, was biased against them, and not performing effectively.

I have one friend who is a large portfolio landlord. He also has difficulty getting rid of problem tenants because the law is also biased against him but he doesn't have a big problem because he just dumps the cost of managing the problem tenants on his other tenants.

Problem tenants affect everybody (including good tenants) but they disproportionately affect small landlords. I cannot see what good the government will possibly achieve by pursuing policies that attack small portfolio landlords. All that it does is drive out choice and drive up rents for tenants.

I do totally get investing in companies that are invested in the higher end of the family rental market with new energy efficient homes. Although this of course will drive up rents. I wouldn't invest in a company providing social housing....can't really see that giving me a 4% dividend.

Can anyone tell me about other ways to make money before ‘I’ go insane!

Reply to the comment left by Jo Westlake at 15/10/2024 - 16:21
The only problem I can see with this approach is... when there are 20 applicants for every rental property, the tenant's #1 priority is not the size of the landlord. Not that an agent would say or even know.

I would point out, the size of the landlord in the social housing sector would suggest they don't care much about their tenants, are incredibly incompetent and inefficient, and are too big to easily challenge.

Reply to the comment left by NewYorkie at 15/10/2024 - 17:44
And when there are 20 applicants for every rental property, how do policies that have the effect of driving competition out of the market benefit tenants? Surely, any competent government must realise that this will drive rents up?