Friday, November 27, 2015

George is wrong with B T L

I am a Landlord but I have kept my rents at what the local council recommend as I have 4 Tenants on Housing Benefit and charging extra would make them homeless as I make reasonable money on my properties I see no reason to force people on the street.
I know of a person who is on Housing Benefit and has had a rent increase she rents a two bedroom flat, which now costs £700 p.c.m, and she has been told there will be a further rise next year to £750. She is disabled so relies on Housing Benefit, which is £595, and rightly so the Local Council say they will not increase her housing benefit just because the Landlord wants a bigger profit. So she has been looking for another flat for her and her daughter but all rents are about the same and most Landlords will not take on tenants on benefit. I have spoken to people who are landlords they tell me they prefer to rent to working people who can pay more, they also prefer foreign workers who pay considerable more for a House share. It seems profit is there only concern and not the caring Conservatism I believe in. I rent one bedroom flats and the rent is in line with what the Council recommendation, I was recently offered a great deal of money to sell my property in East Street BUT refused as it would have made 10 people homeless plus I make reasonable money on the rents. I am trying to buy a house to add to my portfolio so she can rent from my business. There comes another problem trying to buy a reasonable priced 2 bed property so far I have looked at properties advertised from £145,00 and then told there is a sealed bidding process and sometimes they go for £30,000 above list price

So you would think I would welcome George Osborne’s attack on Buy to Let Landlords, the attack that many on social media are making as well. NO I am not for it is a mistake why?

1)     Although a lot of people do not like the Private rental sector the simple fact is if was not for them there would be no rental sector and building massive Council estates is inefficient
2)     Because the changes do not come into April the price of Houses will explode before then. Yes House prices will stagnate in April but they will still be high and will not fall
3)     The idea that the house prices are because of  B.T.L. is also a fallacy as I mentioned I have looked at Houses which have been offered for one price but eventually sell for many thousands above price and they are being purchased by Individuals not B.T.L one must ask the question what are the Mortgage companies doing giving mortgages for properties well above Market Value
4)     Until we can have enough houses for our people and I mean our people not the Tens of Thousands flocking to this country and expecting accommodation, George Osborne should have brought in Rent Control. Rent Control is needed to prevent profiteering it will also keep the price of Housing at reasonable level until such time there is a housing surplus

I know you will tell me it is supply and demand but this country is heading for civil unrest when people cannot be housed at reasonable rents and they see Refugees being housed and fed while Brits suffer

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