Melboy Posted June 25 Report Share Posted June 25 As good a place as any to mention this: I spoke to a landlord that I know this past weekend who is selling up and getting out of the business for all the reasons we are probably aware of. He has been renting out 2 properties over a 20 year period but has decided to call it a day due to the up and coming uncertainty of a future Labour government and for other reasons. Like the many he regrets not doing this 3 years ago when the annual Capital Gains tax allowance was £12,300 per person and not the £3,000 it is now. Will Labour do away with the CG tax allowance completely I wonder? He will invest the sale proceeds into the high interest rates on offer right now and before they go down, probably in August, which is what a lot of selling up landlords have done. It would be interesting to know if anybody is actually buying BtL property right now. With the high property prices in the Southern area of the UK is it worthwhile anymore? Quote Link to comment Share on other sites More sharing options...
Richlist Posted June 26 Report Share Posted June 26 In spite of all my critical comments over the past few years I have to say if the right property, in the right place, at the right price were to present itself I would most likely buy it. But I'm not expecting that to happen. Quote Link to comment Share on other sites More sharing options...
Melboy Posted June 26 Report Share Posted June 26 I was dipping in and out of the London based Barnard Marcus live viewing property auctions yesterday. The first thing that became apparent to me was that the Southern area property on offer were just not really selling and way off the auction reserve prices whereas the Northern area were but that's not surprising as most of the Northern properties were selling at well below the 100 thousand pounds and the properties looked to be very good value as well. So I would imagine there is still a market for BtL in the North of the UK. Quote Link to comment Share on other sites More sharing options...
Richlist Posted June 26 Report Share Posted June 26 Yes I think you're right. I was watching the 'Homes Under the Hammer' tv program a few days ago. A couple of guys bought a property quite close to where I live in Essex, which caught my attention. They had gone to the auction to buy something else but had got out bid so, they bid and won this other property without seeing it. It was a wreck, needed a lot of work and they paid over the top for it. They spent £30K+ refurbishing it to a good standard and expected to do well. It got valued and pretty much what they had spent. The reason ?.......they didn't know the area, didn't know what properties there sold for, had unrealistic expectations, hadn't done their homework etc......and that's the issue. Everywhere has good and not so good areas. As locals we all know where is good or not so good or to avoid where we live. But up North, with no knowledge of the areas I wouldn't feel comfortable buying anywhere. Quote Link to comment Share on other sites More sharing options...
Grampa Posted June 27 Report Share Posted June 27 I've had the opportunity to buy cheap properties up north a few times but I am just not comfortable buying in a area I'm familiar with and not within a 30 min drive away. Quote Link to comment Share on other sites More sharing options...
The Baron Posted September 26 Report Share Posted September 26 Good afternoon one and all. I am brand new to this area and wondered if there were any sage words of advice on this subject. I have been trawling through the wonderful posts on this forum but haven't yet found a thread on this subject. My Father sadly passed away in March and has kindly left me his house. Whilst this is not a BTL property, I'm wondering what the pitfalls of renting the property are. It is mortgage free but in need of minor upgrades plus whatever needs to be done to meet the rental requirements. My quandry is this and I really have no idea what to do. Do I keep the house and rent it out or do I sell the house and invest the proceeds elsewhere? I live in in the south-east and the property is in Newcastle so an agent would need to be used. Any advice would be gratefuly received Quote Link to comment Share on other sites More sharing options...
Grampa Posted September 26 Report Share Posted September 26 As a starting point first get 2/3 LOCAL agents to visit the property at no cost to: 1. Give a sales valulation 2. Give a lettings valulation 3. Get their opinion on what would be required to be done to the property to get it to a rental condition and get it costed. DO NOT BE RUSHED INTO SIGNING UP TO ANYTHING. If you choose to rent the property an agent is a must without expirence. NEVER rush into picking an agent or chose one based on fee alone. Do plenty of research and check agent reviews on google, trustpilot, yell, and facebook. Then nail down the fees and specifically ask for a list of the extras they charge. Many will offer a low headline % rate and gloss over all the extra charges. Follow up all conversations by email so there is a record. The above is start a starting point I'm others will add their opinions Quote Link to comment Share on other sites More sharing options...
Richlist Posted September 26 Report Share Posted September 26 I think I'd add that we have a budget about to decend on us in just 1 months time. It's possible, perhaps highly probable that there will be bad news for landlords AND sellers of 2nd homes. It's to late to do anything or take avoiding action so I'm afraid we will all just have to wait & see. I'd suggest revisiting this thread after October 30th when we will have a clearer idea of how bad it is ! Quote Link to comment Share on other sites More sharing options...
Melboy Posted September 27 Report Share Posted September 27 I agree. We are all waiting for the budget which is almost a certainty a lot of bad news for landlords unless the awful Rachel Reeves has been told to drop some of her proposals which is unlikely. To go back to the OP question follow everything that Grampa and Richlist have advised you to do. My only point is that personally long distance property rental doesn't always work out too well but that is only my opinion. Perhaps sell up and invest the cash in a high interest account etc. Keep the forum updated on how you proceed please. Quote Link to comment Share on other sites More sharing options...
The Baron Posted September 27 Report Share Posted September 27 Many thanks for your advice. I really appreciate it. I'll certainly keep you posted on what's happening. Nothing till November!! Quote Link to comment Share on other sites More sharing options...
kanrent Posted September 30 Report Share Posted September 30 "Would you invest in BTLs now?" NO Quote Link to comment Share on other sites More sharing options...
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