Landlord News

What You Need to Know About Your Landlord Deposit & Landlord Action

Landlords have to handle a good deal of challenges throughout their business. From problem tenants to securing deposits for legal purposes, the challenges are aplenty. This means that you might need help if you’re a landlord. For example, landlord action enables you to remove problem tenants, while landlord deposit ensures that you have a legal business where your funds are held legally. Additionally, all landlords are required to buy to let insurance to protect their property and their tenants. Of course, not knowing where to find the best insurers is complicated and can cause confusion. So, where can you turn to for help? First of all, don’t underestimate that accidents can happen. Whether your tenants leave the taps running or fall victim to a burglar who trashes your house, ultimately you are responsible. Buy to let insurance is important for protecting your property. If you forget to tell your insurer that you rented your property, you’ll be in a world of financial hurt, as they will not cover the damages. The reality is, as a landlord you need financial and legal assistance. Landlord Action and Landlord Deposit provide that protection. They will work with you to understand your needs and […]

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Serious rent arrears in decline

Landlords around the UK are seeing the number of tenants who are in serious rent arrears beginning to fall, according to a tenant arrears tracker. The data from estate agents Your Move and Reeds Rains reveals that in the fourth quarter of last year, around 1,500 tenants moved out of serious rent arrears compared to the third quarter. The tracker reveals that this is a 1.5% improvement over the quarter and is a reverse of the worst arrears trend seen in early 2015. When all private rented households are taken into account, just 1.6% are considered to be in serious rent arrears. In comparison, in the first quarter of 2008 there were 2.9% of tenants in serious rental arrears which was a record high. ‘Unlikely an individual tenant will fall into serious rent arrears’   Adrian Gill, a director of Your Move, said: “It’s extremely unlikely an individual tenant will fall into serious rental arrears and the proportion of those renting who get behind on rent payments has dropped considerably. “The numbers are going the right way too and there are fewer people at risk from the consequences of not paying their rent which is great news.” Alongside this, the […]

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Extent of Subletting Without Permission Revealed

The level of subletting by tenants in private rented property without the landlord’s permission has been revealed and it will come as a surprise for many. Research has revealed that one in six tenants have rented out all, or part, of their rented property to someone who was not named on the lease. Of those who did, one in four tenants said they had not checked the terms of the tenancy to see if subletting was permitted. Another 34% of tenants said they had not told their landlord of their decision to sublet. The research was carried out by Direct Line for Business and the firm’s Nick Breton said: “With the average rent standing at £739, a third of a tenant’s income is paying for their accommodation. “Rents grew by 5% on average last year and it seems that a growing number of tenants are looking to offset this by subletting.” Big increase in the number of tenants looking to sublet their homes   Now Direct Line for Business is warning that 2016 could see a big increase in the number of tenants looking to sublet their homes. Their research has revealed that 15% of those questioned said they were […]

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Best Landlord Insurance Advice for New Landlords

It is essential that new landlords know precisely what they need to be financially and professionally secure. Total landlord insurance has long since provided expert advice to assist individuals in their newfound work as a landlord. Providing landlord insurance advice is what we do, but we also like to answer some common landlord questions to help steer the way towards successful ownership. Consider the following bits of landlord insurance advice to discover a better way to manage your property. Calculate the Costs   The costs of buying a property is not the only factor to consider. Another important factor is calculating the costs of insuring the unit. Whether you’re purchasing a duplex, a commercial property, or an apartment, it is critical that you calculate the cost of insuring the property before you begin listing it for sale. This is the single best piece of landlord insurance advice anyone will offer you. Start with the costs, and then move forward. Use Contracts   The internet is full of sample contracts that are available for you to download and use to keep your property safe. Some of the most common landlord questions relate back to contracts, which ones are necessary and which […]

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Surge in landlords forming limited company to beat tax hike

A growing number of landlords in the UK are considering forming a limited company to run their business and offset tax costs, according to a survey. The National Landlords’ Association (NLA) says that more than 40% of landlords questioned are considering forming a limited company and just 1% of landlords had already done so. The NLA says that this low take-up is down to the complicated process of transferring property into a company. From their survey, 31% of landlords said they had no plans of moving their properties into a limited company while 29% said they were unsure about whether to form a limited company or not. The question of incorporation has come into focus since buy to let landlords are not able to claim mortgage interest relief when it is phased out from April next year. Landlords will not be able to reclaim their mortgage interest costs   Under the new tax regime, landlords will not be able to reclaim their mortgage interest costs before declaring their taxable profits. The NLA says the switch is ‘The Turnover Tax’ with landlords being taxed on their rental income rather than on their profits. This move will move many landlords who pay […]

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Buy to let mortgage approvals soar

The latest figures for buy to let mortgage approvals have revealed that numbers rocketed in January as buyers rushed to beat the upcoming stamp duty changes. In research from esurv, January saw 85,400 house purchase approvals – a rise of 20.6% on December’s figure. However, this is the highest number recorded since October 2007 when 87,594 approvals were registered. Over the past year, house purchase lending has risen in the UK by nearly 40%. Rush to obtain buy to let loans   A director of the chartered surveyors esurv, Richard Sexton, said: “Buy to let mortgage approvals have contributed to January’s home lending growth with a rush to obtain buy to let loans before duty changes begin in April. “Many predicted that the buy to let sector would narrow but we’ve seen lending appearing to do the opposite. “The rise in buy to let has not been at the expense of first-time buyers since the number of small deposit loans granted in January has risen and it’s a sign that lenders are giving first-timers a chance.” He added that the surge in buy to let buying has helped to conceal the strength of small deposit lending and the picture for […]

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Where to Find Legal Advice for Landlords in the UK

The confidence to professionally navigate the world of being a landlord is something many people struggle with. At Landlord Syndicate, we provide a vast array of legal advice for landlords, but fully understand that you may have questions we have yet to answer in our Landlord forum. To help steer you in the right direction, we’ve listed a few of the best websites to find sound legal advice quickly and easily. 1. The Citizens Advice Bureau (CAB)   The vast majority of cities in the UK have a CAB office. These offices provide free information regarding housing laws and debt and financial regulations. Their goal it to help individuals like you attain the information they need to handle their business successfully. They are an excellent resource for landlords looking for financial advice. 2. Insurance Companies   At Landlord Syndicate, we often refer our customers to insurance companies to answer their most basic questions. If you’re struggling to figure out which insurance policy is right for you, then consider contacting several insurance companies to determine what they offer, what their rates are, and which one is best suited for your needs. 3. Law Works   Law Works is an orgainsation that […]

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Landlord confidence tumbles in the UK

Up to 500,000 buy to let properties could be sold as investors’ confidence tumbles and they leave the market this year. That’s the prediction from the National Landlords’ Association (NLA) who say that confidence among the UK’s landlords is at its lowest since the banking crisis. The NLA points out that the number of landlords wanting to sell-up has doubled since July last year. That’s when the Chancellor George Osborne announced his double whammy of tax hikes – removing mortgage interest tax relief for landlords and adding a 3% stamp duty surcharge on buy to let purchases. The Chancellor said his policies were aimed at ‘creating a level playing field’ but landlords with 15 properties and more are set to avoid the penalties. Landlords say they are not creating the problem   Now smaller landlords say they are not creating the problem that the government’s policies have been designed to tackle. The NLA is predicting that after 500,000 properties leave the buy to let sector, there will be another 100,000 properties sold every year afterwards. This prediction has been underlined by research from a national newspaper which found that 20% of buy to let investors are looking to sell their […]

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Landlords say buy to let sector will be damaged

Landlords around the UK say that the government’s continued assault on buy to let will end up causing serious damage to the market, according to one survey. Property management firm Orchard and Shipman says that 90% of the 500 landlords they questioned, said that the coming tax hikes will lead to higher rents for tenants. In addition, one in four landlords are planning to sell their buy to let properties because of the tax changes. Worryingly, one in five landlords also say they are planning to leave the buy to let sector altogether. Landlords are passionately committed   The firm’s chief executive, Shane Speirs, said: “Many property investors and landlords are passionately committed and will do what it takes to protect tenants but our research shows landlords are looking at ways of recovering a potential drop in revenue.” He added: “The buy to let market will, I believe, pull together to continue to provide accommodation for growing tenant demand.” The survey also reveals that 90% of landlords believe they should be able to deduct their legitimate expenses from tax bills. This is in response to the government’s plan to limit mortgage interest tax relief on a landlord’s income. Landlords are […]

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Landlords stump up £4.5 billion in property damage repairs

Thousands of landlords in the UK are left out of pocket when a tenancy comes to an end with figures suggesting that the total repair bill for private rented homes is a shocking £4.5 billion a year. That’s the result of research by the Tenancy Deposit Scheme (TDS) who say the most common damage includes having to pay for broken appliances, ruined carpets and unauthorised decoration. In a report, TDS suggests that when it comes to deposit disputes damage to property accounts for 56% of all claims. In addition, around 19% of disputes saw tenants receiving 100% of their claim. Nearly 20% of deposit disputes saw agents and landlords being paid in full. For the balance of 61%, the deposit was shared out between the parties. ‘Landlords have a poor record’ $nbsp; Jax Kneppers, the founder of Imfuna Let, said: “Landlords feel their tenants are not held to account for damage caused and there’s little that can be done to protect their property. Landlords also have a poor record in winning their tenant dispute cases.” He points out that the situation could be changed dramatically with a few simple changes including a new and fairer tenancy agreement which incorporates a […]

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