to think the new rules on no fault eviction - means people won't want to be landlords?

[DragonMama3]

What do you think?

Well pre2008 100% mortgage where common. It led to
Disaster. There is no easy answer

Agreed but not everyone can find a lender willing to give them a mortgage due to poor credit history. Not every tenant wants to buy due to risk of losing a job if they were to fail professional exams that are required post secondary or tertiary education. Some people only want to rent whilst going through a break up etc etc.

The naievity of one or two posters is laughable.

Private LL's are selling up in droves - its not driving down house prices so everyone who rented can buy!!

It's just driving UP the rental market making it much harder for the poorest to get somewhere they can rent!

And if course a LL will 99% of the time prefer a tenant who is not on benefits. They want a tenant who can pay the rent after all.
It's Business, not Philanthropy.

WHy do you think its going to be beneficial?

Actually it didn't I worked with many lenders providing both prime and sub prime mortgages including Lehman brothers.
It lead to an increase in house prices, but the lenders learnt from the early 90s shit show where they foreclosed on mortgages without even talking to customers. In the 08 problems which stemed from investors no longer providing money to lenders and lenders being able to lend more then they could afford (new Labour deregulation) , lender's spoke to customers...allowed the small number who defaulted to extend their loans, pay a bit less etc.
The real problem was allowing lenders to lend more than they could ever raise in assets. The money market panicked. The Labour government conned Lloyds into buying halifax....and the pack of cards almost crumbled.

My partner worked for Lloyds and about a year before we bought shares at £10 each...just look at the price today...thank you Gordon Brown

Im a good landlord and Im selling up all my houses when the tenants move out rather than reletting .... apart from the one I bought for my son to live in.

Too much grief, no financial incentives anymore. Im not a charity.

Good luck to all the renters needing a place with an ever decreasing pool of landlords, you wont be able to rely on social housing

I can 100% confirm that all the people bleating 'LL's are parasites' don't rent. Either sat pretty in social housing or their own homes.
As a very recent buyer .. people bidding on rents. Insane.

I've seen a lot of discussion along the lines of "These rules won't mean more houses come onto the market for sale - people will just leave them empty or put relatives inside them!"

But when my grandmother's house came to us a couple of years ago, we (my family) literally made the decision to sell it rather than try renting it out, because my father knew the way the wind was blowing, and had this long talk with us (me and my sister) about how the picture is gradually shifting in favor of tenants and this will make renting out properties very stressful and just not worth it in terms of time, money and energy.

So we sold it, and someone else owns it now.

I would be really surprised if the new rules did not at least increase the number of properties for sale to an extent. Yes, there will be some cases where people will leave properties empty rather than sell or lease them, but a lot of people will choose to sell and keep their lives simple.

I don’t get why it a bad thing at all? Landlords would still be able to evict people for not paying rent, damaging property etc. in fact as I understood it the reforms would make that easier? And also if they want to sell. So why would it force decent landlords to sell up?

@thefallen. & how do you propose that would work?

how do you propose it would be monitored?

...and think hard before you would support the government knowing where you spend every night of the year?

It’s a good rule because it will force out some of the cowboys and amateurs. Renting a property in the UK needs to be a more stable way to live, as it is in many mainland European countries.

As we are starting to see more and more companies are becoming landlords..this will have an impact on those renting becuasr those companies will be u likely to tske on tenants who are high risk in others on benefits.

So whilst its good renters are being more protected the long term future might not be so great.

People rent for a reason. Because they can’t afford to buy, or their credit ratings are so crap that no bank will touch them. Or just prefer to rent because their jobs mean they can’t settle in one place. We need landlords, but they are leaving because there are too many rules introduced which tip too far in the tenants’ favour. I rented privately because I couldn’t raise a deposit to buy a house. I would have been absolutely screwed if there were no private landlords.

The one addition to the reform that I think is the most unreasonable is that landlords will no longer be able to refuse pets without reasonable grounds, and mentions the tenants would need pet damage insurance.

If you ring the insurer after the tenants leave, saying your house and all your furnishings now stinks of dog you’re hardly going to get anything. Or the tenants dog destroys your mint condition four year old expensive sofa, insurer will likely devalue the asset yearly making the payout value next to nothing. Then when you take into account inflation when buying the even more expensive like for like replacement you’ll be thinking where ministers can stick this particular aspect of the bill.

Additionally freeholders are still allowed to ban leasehold owners from having pets with no justification needed.

I don't see it makes much difference to be honest, because a LL can still evict if wanting to sell up. Renters are really no better protected than before, sadly.

Yes, tough ones, companies and big corporations.

what happens if an individual landlord wants to sell for any reason? Will that be considered acceptable reason to give notice under new rules?

I can see prices going up as the only willing landlords will be those I've mentioned.

People who advocate for these kind of things always make it worse for renters. Like the idiotic Scottish government. Rent controls in Edinburgh have meant that rental prices there have gone up faster than UK average.

The stupidity of socialist zealotry will never seize to amaze.

Maybe HA could buy from the landlords who are selling up.

This .

I'm a very good landlord , same tenants for 10 yrs , no rent rises , always do repairs quickly , don't interfere , all safety checks done .

I'm leaving the BTL market . Only have the one property but don't want to run the risk of not getting the property back when I retire .

I'm a landlord. In Scotland, where all these things have already been implemented. They don't bother me.

I am currently working and living overseas, where I'm renting an apartment. I have the benefit of renting in a country where there are strong tenant rights, where landlords cannot reasonably refuse pets, and where tenancies are of an indefinite length, and I'm happy to provide a home to my tenants in Scotland on the same basis.

Doesn’t supply come into it and if you limit that in any way as some pp are keen on rental prices go up

‘The Scottish Government introduced a rent cap in autumn 2022 which remains in place, but a lack of supply relative to demand has put pressure on the cost of renting property in Scotland, meaning that the nation has the biggest gap proportionately between owning and renting costs of anywhere in the UK.’

It's not the regulatory changes in themselves that are the issue. It's the regulatory changes plus the tax changes (which have changed gradually over time and were known about) plus the increased mortgage costs (interest rate increases were expected at some point but the Truss/Kwarteng debacle wasn't). Plus the knock on effect of Covid where some landlords were stuck with bad tenants for years due to temporary suspension of the existing laws on evictions in 2020-2 plus huge backlogs in the court system.

So three different expected factors driving up costs (it would have been four but the government seem to have stepped back on making all properties reach EPC of C) plus two one-off shocks.

I did actually discuss some of this with my tenant (wanting to prepare her for a likely rent rise well in advance) and she was entirely unaware of any of it apart from the interest rate rises and didn't understand what connection those had with mortgage rates.

One benefit of being a tenant is not having to risk bear on this.

And before anyone jumps on my head, I am a good landlord and rent to her at a loss. Because she's a great tenant!

https://www.simplybusiness.co.uk/knowledge/articles/landlord-report-2023/

Article says that a quarter of landlords plan to sell in the next year, citing the reasons why.

Together with fewer new landlords due to the same pressures paints a grim picture.

@Phineyj lists the same pressures.

That's wishful thinking. It won't happen. Still too much demand and properties will likely increase.