Property collspse

[slackjawedyokel]

Some terrible landlords out there. This shows what happens when a greedy so-and-so buys property which has good tenants, but wants to cash in on location and, at a guess, airb&b profiteering ~

Devon families face eviction after rent surge

Residents say they have been priced out of their local area, with one family seeing a rent increase of over £300

www.devonlive.com

To be honest, there isn’t enough in that article to form any real conclusions; it’s just written from the tenants POV. It could well be the case that the previous owner/landlord pitched the rents low and then did not increase them over a period of many years so they have fallen well behind the local market rates (so the tenants have in effect been benefiting from a reduced rent). If the new owner/landlord wishes to put the rent up to the going rate locally, then that’d tough on the tenant. If the landlord is trying to force an eviction by underhand means; by increasing the rent to well over the local market rate then the tenants are free to take the landlord to a tribunal about it, as outlined here:

Challenging a rent increase

Find out if you can challenge your section 13 rent increase for free at a tribunal and check what evidence you need to send with your application.

www.citizensadvice.org.uk

 

[AJ123]

My worry is we’re not in a housing bubble anymore, we are in a massive asset bubble. Commercial property yields no longer in anyway reflect the true risk of ownership. Gilts are crazy low and the ftse 100 is at 7100 on the brink of ww3 versus 7400 in 2017 before anyone had even heard of covid- there can’t truly be any risk priced in that.
The problem is there is so much wealth out there looking for a home, it is just pushing things ever higher, so the govt does all it knows how to do- pump residential property prices by attempting to help those at the bottom with whatever the next scheme they come up with is.

Things are getting weird…I really don’t know where I should be putting cash at the moment. I don’t know what’s going to happen or when, but it will be big when it comes.

As for the impact of Russians leaving on property prices , I think unlikely- super prime London stuff is an asset class of its own - but you never know.

 

[little_p]

Russian money only really supports the London money laundering bubble - will hit that market but London prices have nothing to do with the rest of the uk whatsoever

I'm not sure if that was said tongue in cheek?
The rest of the UK property market has everything to do with the London property market. The trickle down is felt everywhere. Sell your 3 bed house in London, buy a hill farm in Mid Wales.

 

[Hooby Farmer]

Aw man @slackjawedyokel 20months sounds like a nightmare. I hope these guys aren't that bad. Before covid was even heard of we forgave a 3month rent deficit with them. I'll not be walked over now however. The idea of paying someone to vacate the property makes my blood boil, I would never consider it because they keep trying it on with someone else. You can't let them win not even once.

 

[slackjawedyokel]

Aw man @slackjawedyokel 20months sounds like a nightmare. I hope these guys aren't that bad. Before covid was even heard of we forgave a 3month rent deficit with them. I'll not be walked over now however. The idea of paying someone to vacate the property makes my blood boil, I would never consider it because they keep trying it on with someone else. You can't let them win not even once.

Just keep everything above board and do not lose your cool. You can *think* about how you’d like to get them out, but then keep those thoughts in your head- if enacted they’d come back to haunt you tenfold.
I got my solicitor to write them a conditional letter offering them cash to go by a certain date to ensure it was all nice and legal.

 

[serf]

Just keep everything above board and do not lose your cool. You can *think* about how you’d like to get them out, but then keep those thoughts in your head- if enacted they’d come back to haunt you tenfold.
I got my solicitor to write them a conditional letter offering them cash to go by a certain date to ensure it was all nice and legal.

Wont be any private landlords soon , unless someone likes grief for a living , the gov and institutions will have to take up the slack sharpish , esp now there's God knows how many more heading this way now

 

[spin cycle]

Russian money only really supports the London money laundering bubble - will hit that market but London prices have nothing to do with the rest of the uk whatsoever

i rather think it does.....londoners cash in then move up here with large 'pots of money' chasing fewer properties

 

[beardface]

Unless putin starts reducing our population aswell then I highly doubt it. Demand ( especially in rural situations) is what's driving house prices at the moment.

 

[serf]

It's certainly crazy days and trying to predict what will happen next market wise is difficult, who would have thought with the virus looming couple years ago that property across the board would fly up to another level!
Logic would have said the opposite at the time ....

But the gov payed the masses furlough and the merry-go-round ramped up again !

 

[primmiemoo]

To be honest, there isn’t enough in that article to form any real conclusions; it’s just written from the tenants POV. It could well be the case that the previous owner/landlord pitched the rents low and then did not increase them over a period of many years so they have fallen well behind the local market rates (so the tenants have in effect been benefiting from a reduced rent). If the new owner/landlord wishes to put the rent up to the going rate locally, then that’d tough on the tenant. If the landlord is trying to force an eviction by underhand means; by increasing the rent to well over the local market rate then the tenants are free to take the landlord to a tribunal about it, as outlined here:

Challenging a rent increase

Find out if you can challenge your section 13 rent increase for free at a tribunal and check what evidence you need to send with your application.

www.citizensadvice.org.uk

It's sad, though, that the S21s were served in cold blood on tenants who had been good tenants. The new landlord was on local TV recently, saying pretty much to the effect he's got to find tenants who can pay higher rents, or his buying model fails. He's bought with sitting tenants without factoring the human element into his model.

 

[Farfrae]

Could the Russian exit from property crash it like lloyds did 30 yrs ago?

What makes you think there won't be total economic collapse with the trillions that have been printed to keep the party going for the last 30 years or so?

The Russians will of course make a nice scapegoat to blame for the fallout though. (Despite the fact that they have warned for many years that they would take action if NATO expanded into Ukraine and that it did not remain neutral - but most of the population with their blue and yellow virtue signalling do not want to hear the facts that fly in the face of the mainstream media propaganda)

 

[Clive]

i rather think it does.....londoners cash in then move up here with large 'pots of money' chasing fewer properties

not the Russian money laundering type buyer

london has been stupidity overpriced and due a big correction for a long time now

 

[Clive]

but remember the vast majority of Uk residing Russians are not sanctioned or connected to Putin or dirty cash

 

[glasshouse]

but remember the vast majority of Uk residing Russians are not sanctioned or connected to Putin or dirty cash

Yes they are

 

[toquark]

Who knows what’ll happen. I’m not an economist, but I really can’t understand how a country like ours manages to maintain its place as the 5th biggest economy, when national production seems to centre around coffee shops, hair dressers and kebab houses.

I’m an optimist by nature but I can’t help feeling something nasty is just around the corner, we in the west have been living far too well for far too long and when we see the calibre of individual running all the major economies it doesn’t instil much confidence.

 

[serf]

Who knows what’ll happen. I’m not an economist, but I really can’t understand how a country like ours manages to maintain its place as the 5th biggest economy, when national production seems to centre around coffee shops, hair dressers and kebab houses.

Paper shuffling in the smoke !

 

[slackjawedyokel]

It's sad, though, that the S21s were served in cold blood on tenants who had been good tenants. The new landlord was on local TV recently, saying pretty much to the effect he's got to find tenants who can pay higher rents, or his buying model fails. He's bought with sitting tenants without factoring the human element into his model.

I do see your point!

 

[BrianV]

It's sad, though, that the S21s were served in cold blood on tenants who had been good tenants. The new landlord was on local TV recently, saying pretty much to the effect he's got to find tenants who can pay higher rents, or his buying model fails. He's bought with sitting tenants without factoring the human element into his model.

The government should say that when a property is let provided the tenant pays his rent & looks after the property then the rent & tenancy is fixed for say a 5 year term whoever owns the property, if they fail to pay the agreed rent then they have to leave the property.
If the 5 years are up & the rent is up to date & the owner doesn't require the property for a good reason an independent assessor reviews a fair new rent for the next 5 year period.
We have farm business tenancies for fixed terms so it should be similar for residential property.
The biggest mistake a stupid government made was when the housing benefit rules were changed & they paid the rent to tenants rather than to the landlord as now they often spend the money rather than pay the rent!

 

[Flatlander]

It's sad, though, that the S21s were served in cold blood on tenants who had been good tenants. The new landlord was on local TV recently, saying pretty much to the effect he's got to find tenants who can pay higher rents, or his buying model fails. He's bought with sitting tenants without factoring the human element into his model.

That attitude to tenants and money is common world wide. We sold our last rental house a month ago to a family. A lawyer came to look at it and wanted to make a conditional off that boiled down to him finding a tenant that would pay a high enough rent to cover his mortgage and property tax. Cake and eat it springs to mind. The tenant we had eventually bough it but was in a poor position regarding the deposit so with some creative accounting the previous years rent became the deposit. They now hold have a mortgage slightly less than monthly rent. Seen our share of bad tenants too and that’s a real blood boiler.

 

[Clive]

Yes they are

not true and actually quite a racist and uneducated thing to say !

the vast majority are very decent people just as discusted with what Putin is doing as anyone