Petition to reinstate mortgage interest tax relief?

admin    Uncategorized     agents

Since I reposted the petition link this morning, only 500 or so people have signed it!

I appreciate not everyone would have read the post, but why are Property 118 not sending this out daily to all their subscribers?

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Certificate of lawful use as a HMO period required query?

admin    Uncategorized     agents

Hi Everyone, I hope you all are looking forward to as good a Christmas as you can.

I was curious of the definite answer, if possible, of getting a certificate of lawful use (for planning) for a HMO’s use immunity period and thus the application evidence period that is required for this?

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Is yours one of them? 64% of PRS properties ‘will not reach minimum EPC in time’

admin    Uncategorized     agents

Nearly two-thirds of private rental properties won’t reach proposed minimum EPC levels, according to new research.

Data compiled for property data platform LandTech shows that 64% of private rental properties would fail to reach an EPC rating of C or above in advance of government rules covering new contracts likely to come in by the end of 2025.

Wales takes the dubious honour of having the highest number of non-compliant D-G rated properties (70%), followed by the West Midlands (69%) and Yorkshire Humber (68%) and East Midlands (68%).

Properties in London came out top with 60%. Overall, the number of private rented properties with the lowest G rating was 45,378 – probably because rental stock is typically older.

LandTech co-founder Jonny Britton (pictured,below) is hopeful that landlords will upgrade their properties to comply with new legislation, particularly in the current economic climate where house prices are forecast to fall over the next year and with demand for rental properties set to increase as potential buyers hold off buying a property until interest rates and house prices settle.

He tells LandlordZONE: “Some upgrades may not be that expensive, for example, upgrading from a D to a C and there’s also the argument that a better rated property could command a higher rent, therefore offsetting the cost of the EPC upgrade to the landlord over time.”

Earlier this month, research from Shawbrook Bank found that while 78% of landlords have now heard about government proposals, many confess to not knowing much about them and 31% cite the lack of information as a barrier to improving their properties’ EPC rating.

More information about MEES and EPC regulations.

View Full Article: Is yours one of them? 64% of PRS properties ‘will not reach minimum EPC in time’

Replacement windows in a leasehold flat?

admin    Uncategorized     agents

Hello, The old uPVC windows in the leasehold flat I rent out need replacing but I am not clear if this is the responsibility of the Lessor or Lessee.
If it is my responsibility do I need the permission of the freeholder &

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Pay it off, half or not?

admin    Uncategorized     agents

I have a £100k interest-only mortgage outstanding on a tenanted property with a value of £150K. I have the money to repay the mortgage outright – it expires in 14 days. Should I repay it all? Repay half? or remortgage the entire amount with TMW @ min 3.5% + arrangement fees?

The post Pay it off, half or not? appeared first on Property118.

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Short term let business rates?

admin    Uncategorized     agents

Hello, I have recently switched a 1 bed property that I rented out long term rental into a short term rental. Early next year I will have to apply to pay business rates instead of council tax (which my previous tenant used to pay direct to the council).

The post Short term let business rates? appeared first on Property118.

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Surge in landlords chasing higher yields outside London, says big agency

admin    Uncategorized     agents

The search for higher yields to cover rising costs led to nearly two-thirds (62%) of London-based investors buying property in the regions this year, up from 26% a decade ago.

Hamptons’ research reveals that landlords made up a record 21% of Londoners choosing to buy in the regions, up from 16% in 2021 and 9% a decade ago.

But the overall share of those buying property outside the capital slowed in 2022, back towards pre-Covid norms; Londoners bought 7.3% of homes, down from a 14-year high of 7.8% in 2021. Driven by rising prices, first-time buyers made up a record 28% of these buyers.

Strong house price growth has also meant that buyers had to look further afield to find the space they need. 

The average was 34 miles away, one mile further than last year which itself was a record, although BTL investors bought properties the furthest away, at an average of 109 miles, a figure which has doubled since 2013. 

Midlands or North

Hamptons says 54% of London-based investors bought a buy-to-let in the Midlands or North, up from 20% a decade ago.

Several of the local authorities that have seen the biggest increase in the proportion of prospective buyers coming from London are outside traditional commuter belt hotspots.

In 2019, just 1% of applicants registering to buy in Wiltshire came from London but by this year, 16% of prospective buyers were looking to relocate from the capital.

Aneisha Beveridge, Hamptons’ head of research, says it expects the pace of London outmigration to cool further next year as pent-up demand from the Covid-related trend wanes. 

She adds: “But affordability pressures, and in particular the cost of higher interest rates, may mean that more Londoners are forced to move further afield to buy a home.”

Read more: Landlords face 'double whammy'.

View Full Article: Surge in landlords chasing higher yields outside London, says big agency

Landlord launches petition to bring back mortgage interest tax relief for BTL

admin    Uncategorized     agents

A landlord in the Midlands has launched a parliamentary petition calling on the Government to reverse its Section 24 tax changes for landlords, which since 2017 has gradually removed their ability to claim mortgage interest rate against their tax liability.

Announced by George Osborne in 2015, the tax relief was replaced by a basic rate reduction from their income tax liability for their finance costs of 20%.

Simon Foster, who is the petition’s sponsors, says: “We want the Government to reinstate the ability of landlords to set the full amount of mortgage interest against rental income, before tax is calculated.

Sign the petition here.

“Like many self-employed business people I am a small, well-established private landlord that is now struggling to make any money from letting properties.

“Unless the ability to offset mortgage interest against rental income is reinstated I will like many be forced to sell my properties. This could reduce the number of properties available on the private rental market.”

His petition has reached 9,811 signatures so far and will run for six months, but needs to reach 10,000 to prompt a Government response, and 100,000 signatures to force MPs to debate the topic in parliament.

Leading letting agent and former Propertymark President Maxine Fothergill (pictured) is urging both letting agents and landlords to sign the petition to persuade ministers that removing the tax break is both unfair and reducing stock within the PRS.

She says: “With a serious housing shortage, we can’t afford to lose any more rental housing stock and we need the Government to sit up and listen to our sector to stop this daily erosion.”

In the early days of the Truss premiership she told a meeting of landlords that she would consider reinstating the Section 24 tax reliefs and was sympathetic to the cause of landlords – but didn’t last long enough in power to deliver on her promises.

View Full Article: Landlord launches petition to bring back mortgage interest tax relief for BTL

Landlord launches official petition to re-instate mortgage interest tax relief rules

admin    Uncategorized     agents

A landlord in the Midlands has launched a parliamentary petition calling on the Government to reverse its Section 24 tax changes for landlords, which since 2017 has gradually removed their ability to claim mortgage interest rate against their tax liability.

Announced by George Osborne in 2015, the tax relief was replaced by a basic rate reduction from their income tax liability for their finance costs of 20%.

Simon Foster, who is the petition’s sponsors, says: “We want the Government to reinstate the ability of landlords to set the full amount of mortgage interest against rental income, before tax is calculated.

Sign the petition here.

“Like many self-employed business people I am a small, well-established private landlord that is now struggling to make any money from letting properties.

“Unless the ability to offset mortgage interest against rental income is reinstated I will like many be forced to sell my properties. This could reduce the number of properties available on the private rental market.”

His petition has reached 9,811 signatures so far and will run for six months, but needs to reach 10,000 to prompt a Government response, and 100,000 signatures to force MPs to debate the topic in parliament.

Leading letting agent and former Propertymark President Maxine Fothergill (pictured) is urging both letting agents and landlords to sign the petition to persuade ministers that removing the tax break is both unfair and reducing stock within the PRS.

She says: “With a serious housing shortage, we can’t afford to lose any more rental housing stock and we need the Government to sit up and listen to our sector to stop this daily erosion.”

In the early days of the Truss premiership she told a meeting of landlords that she would consider reinstating the Section 24 tax reliefs and was sympathetic to the cause of landlords – but didn’t last long enough in power to deliver on her promises.

View Full Article: Landlord launches official petition to re-instate mortgage interest tax relief rules

Making Tax Digital for landlords is delayed by two years

admin    Uncategorized     agents

The Government has announced that the introduction of its flagship ‘Making Tax Digital’ (MTD) scheme for Income Tax Self Assessment has been shelved for two years

The scheme was a crucial part of the government’s strategy for tax administration and would mean individuals and businesses keeping digital records and using a software program that is compliant with Making Tax Digital.

The post Making Tax Digital for landlords is delayed by two years appeared first on Property118.

View Full Article: Making Tax Digital for landlords is delayed by two years