Extra tax for landlords

All taxes on businesses cut into profit and fall back on salaries
Im afraid

But ultimately that extra money that goes to the tax man is just passed to the tenant

I think it’s fare everyone pays tax and national insurance from income from whatever source

If people are living off renting out then yes, they should pay tax and national insurance on it
man’s also on the lump sum gain when they sell

I speak as a former landlady

LL's already pay tax on their income. Now they are being charged NI too, on top of the tax and NI they pay on their salary from their jobs.

I don't understand these double taxation claims.

If I have a PAYE job and pay income tax, and use my pay after tax to buy a 20 quid bottle of whisky, I still have to pay the tax on duty on the whisky.

If I were to claim that is double taxation I would be laughed at surely ?

In area I buy my btl houses there are about 300 for sale. Plenty for people to buy if they have a deposit and pass affordability multiplyers. Some have been on the market for 6 months or more like last house I bought. Loads of time for locals to buy if they so wished but not in aa area of outstanding natural beauty, just a northern city.

My hear bleeds too.
Poor them, having to pay the tax that is due on the profits arising from investments.
Just like anyone else has to pay tax pay the tax that is due on the profits arising from investments.

I have some houses in my name, a couple between DH and me and some bought through ltd company. I also charge a little below market value to keep good tenants I like. Once the additional NI comes in I shall simply increase the rents of houses in my name to cover the additional costs. I am sure tenants will be happy with RR.

No it wouldn’t @schoolfriend. We are a rural community whose main industry is farming. All the landlords, tourists and Airbnb bring is congestion - it is not a significant contributor to the local economy and it just forces local families away because there is no housing stock left for us to buy.

There’s little economic justification for second homes but Airbnbs are a bit different of they bring in tourists who spends money and support the local economy. I appreciate you might be ‘local’ but if you live in a tourist area (which it sounds like you do) then it’s not really as simple as stopping Airbnbs because that would be quite impactful for your local economy.

YABU I’m afraid. I say that as someone who has multiple properties and has been massively disadvantaged but his and other changes the government has made to property income. The government is, quite reasonably, trying to make property cheaper for residents to buy. That’s fine. I get that. As it happens, we didn’t buy our properties as ‘investments’ and if he had some extra cash we wouldn’t buy another one, so I guess the policy is working…. Obviously what will really fix the problem is supply, but they don’t seem tk be doing a great job there.

Agree, we've just kindly been told our rent is going up £40 a month from Jan 😪😪

There is a housing crisis. There are homeless families in temporary accommodation. There are not enough homes. And people cant buy an affordable home, because all the affordable homes were bought up by landlords through buy to let. I say this as someone who previously let a house - things have to change, and anything that helps to right this unbalance is good. If you cant afford it, put the house on the market and let a family buy it.

My heart bleeds for all those hard pressed landlords.

Tell you what, I’ll put you out of your misery. I’ll buy it from you. I’ve been trying to buy for ages in my local area (of outstanding natural beauty) but I keep getting priced out by all the second home owners and air BnB entrepreneurs who are seeking to profit from homes in my area.

I am ready, funded and willing to buy, and as a would be local owner occupier I would love all the 2nd home owners and air BnB peeps to piss off and stop hogging all the properties that locals need and are willing to buy.

So do sell up please. There are tonnes of renters who are being blocked from owning homes by you avaricious vultures.

But those things are then passed onto the tenant in rent increases.

Any other business whether it was hotel accommodation, food, water or the cost of a biro passes on increases needed to maintain the business.

There is real value for a LL in aving a good long term tenant. If they relet every 2 years or so they would have the expense of refurbishing the property. You have a reliable long term tenant who rarely bothrs you unless there is an urgent repair and you are quids in. Many tenants will do minor repairs like unblocking the loo and fixing a cupboard hinge or a door handle..So you dont have the expense of calling a plumber or a tradesman. If the LL tries to push the rent too high its worth the tenant negotiating with the old rent as a starting point. Or demanding something for themselves like a new bathroom or kitchen if the old one is outdated. You cant expect someone who has lived there for 10 years without refurbishmant to pay a market rent because the place will be like a time warp. And if they cant find anywhere else to rent in their price range then you could be really stuck. Evicting tenants is expensive, stressful and a very lengthy process. And not so easy under the new legislation which is coming in.

They don't seem to want to in my home town. It's really sad and I would hate to live on my old street now.

Most landlords are professional landlords these days. The annual landlord report showed that ‘amateur’ landlords and those with small portfolios are selling up.

rates are already higher for landlords as I’m sure you know. Do you want to be in a 5yr fix on a large rate or go for a 2 year where you might not pass serviceability now. It’s difficult

Not necessarily. For a higher rate tax payer mortgage interest is not fully deductible (it is taxable and then given a 20% credit back) so someone paying mortgage interest can be taxed on a loss.

It’s called Article 4 and removes permitted development rights for someone to turn a house into an HMO without planning permission.

The council can stop this. There’s a section something notice which prevents hmo. Dd is an architect and specialises in converting houses to hmos. They’ve been run out of numerous cities

There aren’t any controls over the rate private rent can increase. It’s a free market.

They’re just fly by night slum landlords. Not corporate landlords

Wow, okay.

Here's the rub;

Not everyone wants to own and people looking for a short term lease aren't going to buy.

People move for a job, university, to be with someone they've met etc. People being forced to move because the landlord wants to move a new tenant in.

There are so many different situations that require rentals to exist. If you get rid of landlords, the amount of housing available to rent will evaporate very fast.

Renting is also a stepping stone to owning as it teaches you how to manage your finances well enough to service a mortgage.

If you want the state to be THE landlord, which it sounds like you do, just say it. In plain English. Otherwise you come off as incredibly jealous.

Is there a max % landlords can increase rent each year

One of our DS has been told his rent will increase from £570pcm to £670pcm

??? anyone know if this sort of uplift is allowed ( rent to increase next September )