Extra tax for landlords

In my home town landlords are buying every terraced victorian house and making 3 bed house into 5 room hmo's. Every house on my old street is a HMO so someone is buying 120 year old houses and making lots of money in the process.

Exactly. They are not buying up 100+ year old housing stock, with all the associated liabilities. Also, if the government bring in the minimum EPC rating of ‘C’ by 2030, those solid wall houses are going to difficult to shift, unless priced accordingly.

I increase rent every other year. Last time I increased it by 6%, tenant was not happy but I stuck by it.
Kept rent the same this year but will
increase it next year.

Thanks for clarifying.

Charging below market rent isn't benevolent. If you have a good Tennant your better off keeping them. Say you put up your £1000 pm rent up by 10% but you have a churn of Tennants, one months void is your 10% gone. But you also need to paint, maybe replace carpets, deep clean. It's never a month, it's more void than that. Staying under market rate is good business overall where everyone wins.

New tenancies absolutely never go on under market value. It's if they stay, I dont put the rent up every year. But I was also doing this direct not via a agent so that's another saving to both landlord and Tennant.

If I was absolutely mad and did decide to rent my house out again I'd go for the top rent I could possibly get after all the recent changes. But long term tennants change things a lot. It's very different res letting every 12-24 months than for every 5 years plus.

Well hopefully they’ll be bought by people for a family home and long term maybe house prices will fall which will benefit ftb. Because landlords won’t be hoovering up properties.

However there’s a risk they’ll be snapped up my professional landlords who have a company set up and don’t pay income tax?

but I think there are two main issues. Firstly most landlords will just put rent up so it’s the tenant who suffers. But also if there will ultimately be less rental properties available Let’s remember not all renters are people saving to get on the property ladder. Renting suits a large amount of people such as those knowing they won’t stay in a specific location long term. Then there are people who no matter how much property prices fall are never going to get a mortgage of any amount due to not working, etc. what are they going to do?

While there is a future threat from these players (a threat that has been active and up and down for over a decade) they are small players currently.

your link says Lloyd’s owns 7,000 units- a recent google puts this at 5,000z

none the less, a large housing association has >100,000 units.

it’s not a particularly attractive market for them to be honest, and profit making corporate landlords are starting to realise it’s a lot of work for little return. I wouldn’t be surprised if they start to withdraw rather than grow.

You can check what properties Lloyds and Grainger are renting out on their websites.

They are all whole developments or parts of developments.

https://www.lloydsliving.co.uk/

https://www.graingerplc.co.uk/

Like I said some are. A relative sold there’s to one.

the big companies …I don’t know
I wouldn’t bother checking them as it’s £7 per LReg checks so why would I 😂

HMO solves that problem and allows councils to impose additional costs and burdens to landlords.

Oh the winners are the banks all the way. Lloyds have a wing that has been buying up street after street of rental properties.
This envy of landlords has been played on by the govt.
Now Lloyds will be the countries biggest landlord.. and hell will freeze over before they start worrying about their tenants.

Edited to add link - https://www.theguardian.com/business/2025/nov/10/lloyds-the-landlord-how-the-bank-quietly-became-a-big-rental-property-player

Oh and my property would make an excellent HMO, well located for commuting, ample parking, so likely a company will buy it and move 6 people in, that will piss the neighbors off. I’m making a loss due to BTL mortgage rates, I pay all taxes due on rent payments and I will have to pay 26% capital gains tax.

No idea where the family that rent the property will live because there’s very few rentals in the area and they have DC in schools here.

The winners will either be the banks through mortgage interest if people buy to live in or the corporations. The corporations will have email address for reporting issues and every thing will be basic.

I'm selling up. It's just not worth it anymore. My BtL mortgage is double what it was. Regulations are incredibly onerous. I've had bad luck with tenants not paying or trashing the place. As soon as this tenant leaves I'll sell, at auction if need be.

There is a reason I sold up my BTL* a few years back. The writing has been on the wall for about a decade in my view. I am in Scotland, so we already had much tighter rules about lettings.

I know a good few landlords, including one with 10 student properties in a city, who have over the last few years when it was clear Labour were going to win, have slowly been selling up and investing elsewhere.

This budget was the final nail in the coffin for the BTL business. You are better off investing in shares through a SIPP and ISA now.

Yes - mine goes on at the market rate every time a tenant leaves. But once the tenant is in, I don’t raise the rent. So the longer they stay the better value it is.

This means I hope my tenant leaves when this AST is up next year as otherwise I’ll have to break my rule and increase it and it pisses me off.

The license (that our genius Chancellor “forgot”), the increased buildings insurance plus various other fees (the other fees I don’t mind), new floor because she (tenant not Rachel Reeves) left the bath running on a phone call, the ceiling for the downstairs flat being repainted etc etc.

I keep the flat in case I divorce. But it’s not the money spinner people think.

Rents will go up, that is the one certainty in all this. Lots will be evicted before then though, before they introduce an end to ‘no fault’ evictions. Well done, Labour.

I am making a loss on my rental but still pay tax on the rental payments. Mortgage payments don’t count towards costs that are deducted. I’m selling and also paying capital gains tax. It’s not a wise investment anymore

Now let’s all watch rents get even higher. And the Turkeys who voted for this Xmas complaining even more profusely without realising what they’ve done to themselves.

This government has taxed us into lack of productivity. A friend who rents out a property is now going from five days a week to 4 days a week in her job because she makes more money with her job and the rental property that way.

What loophole? Section 24 introduced in 2016 disallows mortgage interest to be claimed as a business expense.

It’s mad because for all other purposes, landlords are treated as if they run a business.

For some small landlords, it means 100% plus of their profits are paid in tax. So they sell and rents go up.

If people want homelessness while the government sits in its arse not building social housing then fine. Because that’s what we’ve got.

But it will be worse and more expensive for the renter!

You’ll have to post some evidence that Grainger, Lloyd’s or Blackstone own Victorian terraces in Hartlepool or Stockton or Derby.

Yep. Big miss from the government on this one. No idea why this loophole wasn’t closed.

This