Melboy

My Daughter has also said that demand in her office(s) is quite unprecedented at the moment but also a lot of properties are coming onto the market which is well above the season normal. Interest rates for mortgages of course have dropped substantially which does help buyers. Some landlords are selling up but as reported a lot of landlords are sticking due to the fact a pile of cash in the bank is not making any money for them. I would buy again if something tasty was to come my way. I also think October is going to be the testing time as unemployment figures will no doubt rocket once this furlough business comes to an end.

Properties in England must have an Electrical Installation Condition Report (EICR) Before new tenancies are started from the 1st July 2020.For You. From 1st April 2021 The new requirements will apply to ongoing tenancies that started before 1st July 2020.

It is an electrical safety inspection of the property and the requirement is not to bring it up to 18th edition standards 2020/1 but to ensure that items like incorrect or damaged/dangerous electrical circuits/sockets etc. are picked up on inspection and replaced or repaired. My long time electrician I use is all geared up to do my properties early next year and he knows it is a 5 year certificate and not the normal annual one. As Grampa has said watch out for the Sharks who will inform you of all sorts of things need replacing like your fuse box doesn't meet 18th edition regs. It doesn't have to, it only has to be inspected and safe to use.

Just bringing this back to the top of the discussion. I wonder how many landlords are prepared for this or even worse are not aware of the new legistlation? Properties in England must have an Electrical Installation Condition Report (EICR) before new tenancies are started from 1st July 2020. The checks ensure the property’s electrical fixtures, such as light fixtures and electrical sockets, are safe before the tenant moves in. The EICR must be performed at least every five years for each property. Landlords creating a tenancy without an EICR face fines of up to £30,000. From 1st April 2021, the new requirements will apply to ongoing tenancies that started before 1st July 2020. Similar requirements were approved in Scotland in 2015. Wales has no such requirements to date.

I was going to say with your budget it must be purchases in the 'oop North area. 😀 Sadly down here in the South West 'ish area of the UK £130k only buys you a 1 bed flat.

😄 @ COR..........No problems encountered so far but I do have one where I am completely mystified how he is managing to pay his rent AND manage all the other household bills as he has not had a job since last Christmas when he was laid off due to redundancy but I have not approached the subject. His Wife works so that must be where the bulk of bill paying etc comes from with his irregular income from the one or two days he does work. Oh Well doesn't pay to think too deeply about it. Their rent was duly paid yesterday and that is all that matters to me. I would like to offer 1 or 2 of my long term tenants something nice like Richlist does but I do not have a Spanish villa. I do give out wine and beer and chocolates at Christmas to two of them. Must be going soft in my old age. 😀

Nothing wrong in your thinking or actions Grampa as I see it. I have never really been a flat purchase landlord even though I do have a garden flat purchased 13 years ago but that has no service charges and a 999 year lease which makes it virtually freehold. I do prefer 2/3 bed houses in good locations. The flat achieves a very good rent rate and I have an elderly tenant in that one who just loves being there..........yet again location is always the key to purchasing BTL property My Daughter is an EA and she has reported a huge unexpected demand from buyer's and sellers this past week or so. A large property near to me has just sold yesterday for near asking price and a 2 person bidding war to get it as well. BTL? I think it will continue but not as strong as it was pre Covid19. Interest rates being what they are may well drive investors with a pile of cash back into the property market. I did this 2 years ago exactly because of what I was receiving back in interest from accounts and have absolutely no regrets in doing what I did and have certainly achieved a rate of 5% even taking into account repair/ maintenance expendenture over the past 2 years. I have just had installed a whole new long run of close board fencing as well on my properties by one of my lovely tenants who in the past was a fence erector........very handy! I would buy another property again but age is catching up sadly....... but the fire stills burns brightly. 😀

Duplicated

Maash you have just learnt one of life's big lessons as a landlord and most landlords have experienced the same or very similiar circumstances that you are having right now. Some landlords give up and get out totally disallusioned with what they have experienced as a landlord. I have known many, whilst others, like me and many of the contributers on this forum carry on, but oh! so much wiser in the fact that you are not a branch of social services when you are a business landlord offering a service. You have broken ALL the rules of a novice landlord and sadly you are paying the price for it but you will learn from this episode and toughen up if you decide to carry on in the business of being a landlord. I can only wish you good luck in the result but as you have already been advised your best course of action now is to hand over to the professionals to get this ignorant tenant out of your rental property asap. https://www.landlordaction.co.uk/ I have no connection whatsoever with this company but I do know they do a professional job from a recommendation.

I'm in the same boat as COR. Not classified as self employed even though I pay a very large amount of tax to HMG as a "retired" person. Not a lot one can do about it really but to grin and bear it for a while longer. Fortunately I have not had any tenant try it on with me but I am expecting a possible default with one through no fault of their own in this current situation. Not sure how I will deal with it when the time comes.......if it comes.

Your story does not surprise me one bit. 10 years ago I let a flat through an agency who placed a single Man in it through the local authority. He was nothing but trouble and it all culminated in the end with my perfectably serviceable front door was damaged beyond repair by a visitor of his who decided this front door was going to be the target for his violence. I put in a claim for a new door replacement and the reaction was, like you, they wanted to halve the replacement cost. I said no but in the end after waiting 6 weeks and getting nowhere I got rid of this troublesome tenant and took the money on offer just to get the matter resolved. I vowed then never to let to the local authority again. Shame really because I am sure there are decent people out there on the LA housing lists but my experience of dealing with local government officials was more stressful than dealing with a problem tenant.

No, I don't really expect it to be free. He has a business to run and all that entails with running it plus of course a mortgage, 2 Kids and a Wife to support. Over the years past he has done an awful lot of work for me from boiler changes to full central heating installations and the prices have always been very acceptable and comparibly cheap for me.

That's right Grampa..........My Son has Government permission to move around the area and carry on with his work and he has done so this week on boiler breakdowns etc.

In a word...... Yes.......but this doesn't mean to say that many DIY's don't do it for themselves. &&&&&&&&&&&&&&&&&&&&&&&&&&&&&& "Domestic properties, schools etc. In domestic properties and workplaces such as shops, restaurants, schools and hospitals, this must be carried out by someone on the Gas Safe Register who is qualified to work on gas appliances. It is illegal for an unregistered person to carry out work on any domestic gas appliance. You can check this by contacting the Gas Safe Register online or by calling them on 0800 408 5500. All those who are registered carry a Gas Safe ID card, which shows the type of work they are qualified to do and whether their qualifications are up to date". &&&&&&&&&&&&&&&&&&&&&&&&&&& You often see the results of DIY attempts at gas fitting with a picture of a big pile of bricks in the daily newspaper and an urgent hospital appointment for the homeowner, assuming that they havn't blown themselves to bits that is. Yes, I'm talking about illegal gas meter by-pass hoses. The HSE will investigate incidents such as this and after the investigation if it rules that dodgy gas fitting was the cause then expect the worse......and that includes the registered gas fitter/technician as well........ as well as the amatuer DIY'er. Oh! and your property insurance company will not pay up either but there again if you are trying to save a few quid with false economy by not having a professional do the certified gas work for you the chances are you won't have your property insured either as you regard it as an unecessary expense. .............and on a more cheerful note I would like to say my rental property today has had a full boiler inspection (and the kitchen gas hob) and service and a clean bill of health and a nice shiny landlord's certificate is now in my hand. I can sleep soundly tonight.

The rules on dealing with any gas appliances including disruption of gas supply to any appliances are clear and laid down in UK.Gov. Gas Law as to who can carry actually carry out this work. The answer is simple really: Only gas registered engineers. Sure there are many people who will carry out this work themselves believing that they have sufficient knowledge in what they are doing. This kind of approach is OK until anything goes wrong and that individual could face prison or a really heavy fine if anything should go wrong. This has been the case for many years and it is well reported if you search it out. One of the latest incidents that I am aware of was a Landlord in Reading (I think it was) was fined £5,000 for knowingly allowing a non registered heating engineer ( Plumber) to install a gas fired boiler. There are many such cases that I have read about over the past years. Any landlord would be a fool not to follow the rules on gas safety certificates for their tenants as the HSE and the law courts would come down very heavily on those persons who break the strict rules on gas safety. I have put this link up for any person viewing this topic to read and digest. https://www.hse.gov.uk/gas/landlords/gassaferecord.htm# Facts that perhaps most people are not aware of. All gas registered heating engineers have to be re-certified every five years and it means a week off paid work and back into the classroom and a cost of around £1,000 to be re-certified on the UK gas register. Gas inspection electronic print-out analysers have to be re-calibrated every year at a cost of £150. The anylisers have a life of around 5 years and cost approximately £800 to buy. Not in London area...... but the average price of a Landlords gas certificate is £80-£85 for peace of mind and tax deductable. My Son charges £70 inc VAT....... and a charge of £50 to me 😀 *I am having a gas safety boiler service carried out this morning*

I believe you need to put them straight on that statement fionaf as they are quite incorrect in their assumption and have been advised incorrectly assuming the advice they received was actually genuine. Perhaps they could look forward to eviction notice at the end of 3 months? Your "holiday" mortgage payments are only tacked onto your mortgage year term and it is at the landlords discretion regarding the rental payments which also would added onto a final settlement bill for any tenant. Finally as a working NHS person he is receiving his monthly salary unless he can prove he has been furloughed by the NHS and even then this does not mean he can stop paying you rent because he would be receiving 80% of his salary anyway.

Me too. My present 6 year old car is low mileage for the year and in near immaculate condition as I tend to look after my car as best as I can. When I look at a replacement model I will have to shell out around 12 grand plus my car in part ex. I really don't want to spend that sort of money right now even though I can well afford to do so. I can imagine many many people are thinking the same as me (and you) as well for no doubt new or nearly new cars are an outrageous price to buy these days imo.

I could have done with one of those 3 weeks ago. I had to attend a booked hospital appointment for an urgent eye check. The hospital for me is about 5 miles away up the M4 so Wifey and myself jumped into the car and off we went. My eye appointment lasted well over 2 hours and when I got back to the car the battery was flat. Surprising really as I would have thought a 5 mile run would put a bit of charge into it. I wasn't allowed to drive due to eye drops etc giving me distorted vision. Never gave it a thought when we set off to the hospital about battery power levels. Anyway I called out the recovery service for a jump start and 45 minutes later we were on our way home. I now recharge my battery every 5 days! Lesson learnt. In the last 6 weeks I have driven around 12 miles. Saving a lot of money on having no petrol bills as well.

Week 5 of Covid 19 lock down for me. I have been, well, nowhere. I don't count the 10 minute exercise walk to my Daughter's house in the same village 3 times a week as a day trip out either. All our food has been delivered on Tuesday with most of what we ordered substituted by the store. 😀 Can't afford to be too fussy though. The one thing that has made this lock down very bearable has been the glorious weather and the prospect of at least another week of it ahead. Cabin fever has not set in just yet as I have completed a huge amount of back logged jobs on the house and the garden which I had planned to do anyway this year but to have them all finished by October 31st so I have completed them 6 months early but in fairness I did have planned works to be done on the rentals like new fences to be erected and other planned upgrade work which of course is now on hold but I really do need to have the rental properties work completed before November of this year. All my tenants appear to be happy and coping very well but no doubt this could change in a flash.

And my crystal ball on the future of the property world post Corona virus is somewhat cloudy......... if not a little cracked. However risk takers will take a punt on property purchases if they smell a bargain to be had and are prepared to hold onto that property as a rental property. I did take that risk some years ago and was buying property in the two recessions we had but my business plan (in my head) failed somewhat by not holding onto those properties. How I wish I had but hey! ho! there is nothing like 20/20 hindsight vision.

As some of you may know my Daughter is an EA and this Corona virus has certainly changed the way that she will operate in the future. She is currently on furlough at home with not a lot to do really as it has all gone rather quiet which is fully understandable but her company are looking at more home working operations for their staff where this can be done and are looking to shut one or two of their 7 offices in a cost saving drive if the business shutdown rolls into a 4 month Corona lock down. As far as property sales go here in my location nothing seems to be holding people back. I learnt only yesterday that a prestige property not too far from me sold in just one day of coming onto the market to a buyer registered with my Daughters agency. Also I can see no evidence of anybody pulling out of pre Corona arranged deals from the properties I have been watching on Rightmove either. Is this a good sign? I don't really know, perhaps things will be different 2 or 3 months ahead. I am still of the opinion that many people will put their money into BTL due to the interest rates on their banked money being appalling. We shall see if that happens in the next 6 months or so. No problems with my rentals either which has surprised me as I did expect one on two of my tenants to ask for a payment or reduced payment holiday. Plenty of time for that to happen I guess.

If it's obvious to me..... it must be obvious to everyone else. Almost a Shakespearean quote from me. I can see the housing market plummeting after this Corona virus has passed through with very high unemployment figures coming through. This is going to last for a few years as a recession bites into the economy. For those with a stock of cash earning cock-all in a savings account perhaps it would be a good time to buy a property or two as the property prices slide in a downwards projection. This is what happened in 1989 and a further back in 1979/80 when property prices tumbled and property was a good investment to hold long term. I have had several letters through in the past 2 weeks telling me that my savings account money has been slashed to 0.005% (worse one) and 0.5% ( best one). 😀 Clearly these financial institutions don't want my money anymore so perhaps at my tender old age I should come out of my enforced relaxed semi retirement and look to invest in some more property.........about next October I would say would be a good time to grab a bargain and not forgetting the 3 D's of course.........Death, Destitution, Divorce. I do think the rental market will still stand OK but perhaps with rental prices at a lower price that can be achieved right now. Anyway what do you think?

Sadly 120k doesn't buy you a lot these days in my location of Wiltshire. For your money here you would be looking at a 1bed flat in a good area /location. In your locations I would think it is similar as well. Many London area type landlords have bought in my location over the past 3 years but that has dried up a bit now according to my sources. Distance buying in a cheaper location has many drawbacks as COR would confirm plus of course his clientele leave a lot to be desired from the accounts he brings to the forum. 😃 A few years ago I did look at buying in Wales but fortunately I didn't as Wales, for landlords, has become a bit of a nightmare with the Welsh Assembly issuing new rulings etc. etc.

Tricky question that is. Depends where you are located and what you are expecting to purchase with your £120k cash. So more details please if you can. I did exactly this 2 years ago due to the low interest rates. Coughed up the wicked extra SDLT which was a bitter pill to swallow at the time but I have got over it now. 😁 Wifey wasn't exactly overjoyed with what I planned to do but realised she was on a loser trying to stop me but it couldn't have been too bad a decision on my part as she mucked in with the painting etc. before we let it out. Nice property in a nice location and to my simple mind on economics I could always re mortgage it or even sell it on if I ever had to. 2 years on and no regrets so far I have to say with what I did. I would buy again and may do so if something nice came my way. You are never too old in this game.........fortunately. 😄

This is week 3 for me in total isolated lock down but I have to confess that I did attend an urgent eye appointment at our local hospital for a problem with my right eye which had been booked for some while and the very nice lady who phoned me more or less stated that although it was up to me whether I went for the appointment or not it could be months before a new appointment could me made. So I attended for tests etc. Age related macular condition and the forming of cataracts in case you are wondering but it has been caught early and the doctor stated that they will monitor the condition carefully over the next 6 months and take all the necessary actions that will be required so I toodled off back home happy that I did attend. All my ( long overdue ) home jobs have been coming along nicely and kept me very busy so time for me has passed very quickly but I do feel for those people who are trapped in flats with young children and how they manage with the situation. No adverse reports from my tenants as yet but I have kept in contact with all of them. My Son is now entering a difficult phase as ALL his work has stopped which means no income as clients cancel future work and quite understandably they don't want him in their property during this epidemic. Being a Ltd. company he is entitled to nothing by way of any state aid from the DWP. We, as a family, will make sure he doesn't suffer in the long term and we will close ranks to support him as he, like many others in his difficult situation has a Wife, mortgage and 2 young children and business expenses going out daily from his account. Well, that's an update for me so stay safe and I have noticed in the press that there is a leaning to the fact that the Corona virus was possibly man-made and escaped into the community, remember what I said about this possibility. I was around in 1968 when the Hong Kong flu hit the World and killed many more people that this Corona virus (so far) and there was nothing like the shutdown you see now and the economic repercussions are going to be absolutely dire if this lock-down continues past August or even July but interestingly enough it was announced yesterday that ALL builders merchants can now open up. The light at the end of a very long tunnel perhaps?