Quote:
Originally Posted by Taf
And HMG is very aware of this, hence all the changes to Housing Benefit to try to curb the inflationary increases in rents in the B2L sector. And perhaps to make it less and less attractive to "investors" who aren't "investing" anything apart from their own self interests.
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Apart from their hard earned money?
On top of that,
after the process of finding a property, which can take a lot of time and effort (losing properties when you are out-bid or finding that there is a insurmountable defect), we have to pay stamp duty, solicitors fees, estate agents fees (in many cases), mortgage set up fees and surveyors fees. Thats to 'simply' buy the property. Then we have to refurbish (or gut and re-do) the property in order to bring it up to a decent, livable standard. That involves negotiating with builders, plumbers, electricians, getting quotes, overseeing building work and paying for it. Then we have lettings agents fees, landlords insurance, yearly electrical & gas certificate costs. Ongoing refurb costs.....etc. This assumes that I get a decent tenant who doesn't damage the property which would mean more hassle and cost.
You think this is easy? It's a job. It's simply another way of earning a living and might, if I'm lucky, contribute to my pension when I retire. But in order to realise that profit (which is pretty negligable whilst I'm actually being a landlord) I have to sell the properties at a profit at some point in the future. Selling costs money in fees and of course the govt will take capital gains tax from my profit as well.
So explain to me again how I'm investing nothing other than my self interest?
