User Profile

[boletus]

'course it is mate....

[boletus]

Hello James,

For the avoidance of doubt, I'm not advocating betting the house on a couple of blue chips.
But I do think there is a place for them in an already substantial portfolio of broad based trackers (I'm talking < 5% of total holdings). It can help to balance a portfolio....

[boletus]

To a very limited extent that is sort of what I'm doing.
Instead of paying down my mortgages, with some of it, I'm buying shares.

Effectively 'borrowing' at 2.5% to buy large blue chips/indices held for the medium-long term.

Amongst other investments. From a low LTV, high ICR, high stress...

[boletus]

Appreciated, I agree with that. Points I'd make are;

1. By the time it gets as far as repossession stage, I think there usually is a significant shortfall. I bought quite a few repossessed flats in 08/09 for less than half their previous purchase price.
2. The ownership and shared...

[boletus]

I'm sure loanarranger is well aware but just to point out to others reading, UK BTL mortgages are not non-recourse lending.
i.e if you default on a BTL loan, it doesn't end with the lender repossessing the BTL property, they can still come after your main residence or other assets.

...

[boletus]

That is the cleanest solution but not the best financially once the new S24 tax rules are fully implemented.

There is quite a lot to this but the crux is that residential mortgages are cheaper than BTL.

e.g

interest on £100,000 BTL mortgage at 2.5% - 20% tax 'relief'

...

[boletus]

What is their source of income?

[boletus]

Tenant fee ban?

[boletus]

Assuming everything structural is in order I'd recommend fitting an envirovent/nuaire PIV type system. Worked every time for me.

[boletus]

I reckon they will be firing off an email to the next suitable applicant....

[boletus]

Not really.

It's hardly a revelation, landlords have been dealing with this for years....

[boletus]

https://www.gov.uk/guidance/paying-t...ndlords-abroad

Also see NRL1...

[boletus]

You can if you intend to live in the property or sell it.



Agreed....

[boletus]

There's quite a lot to that but one of the things I specifically discuss is repair reporting, urgency and timescales.

I had an uncannily similar conversation to your situation with new prospective tenants last month. I spelt it out that with an urgent repair such as a boiler

...

[boletus]

Never been in that position as I clearly explain reasonable repair times right from the beginnings and don’t let to unreasonable people but would not tolerate such an ultimatum.



Nor that.



You probably need to research that one quite a bit.
...

[boletus]

Care to expand?

[boletus]

They'd just have served a section 13 rent increase notice and a county court judgement if unpaid....

[boletus]

They do, or words to that effect.

Rightmove says- Date Available
Zoopla says- Available From
Estate Agent shop windows usually say something similar....

[boletus]

OK, I should have said don’t agree to let until ‘one’ has possession of the property!

I know you personally use a letting agent but for self managing landlords it makes a lot of sense to get the ducks lined up....

[boletus]

Then don't verbally (or otherwise) agree to let until you have possession of the property.

That doesn't stop you advertising, drawing up a works programme, booking trades, pre-vetting applicants, carrying out viewings and referencing tenants....