The past year has not been filled with the best news for UK Landlords; there have been an abundance of hurdles thrown in the direction of the buy-to-let Landlord and costs only seem to be rising.
Let’s begin with the tax changes; Buy-to-let landlords were hit with the announcement last year that their tax relief was being ‘phased out’ to mean now paying tax on their ‘turnover, rather than the difference between rental income and mortgage interest’ and this was expected to slow the buy-to-let market. April 2016 then saw landlords suffer a 3% increase on stamp duty. And earlier this year the Autumn Statement landed some great news for tenants and potential renters; there will be no more estate agent fees charged to tenants. This was, however, bad news for Landlords as it meant a high likelihood of them now footing the bill for these fees. But landlords are finding certain ways to deal with these changes, registering as a LTD company to lower taxes is one solution being utilised.
There is a need for change in the way buy-to-let landlords are able approach letting their properties. Cutting out any unnecessary fees and costs is becoming vital to ensure profits. Letproof.com has been built on this premise; to improve the experience for landlords and tenants, because while all of this signifies hard times, the market is still there for buy-to-let landlords. The demand for rental properties is high, partially as a result of a slight decrease in those investing in buy-to-let. However it is also largely due to the fact that renting is proving to be increasingly popular. Populations are rising and the trends and attitudes toward renting have changed. Renting has become a popular lifestyle choice, and popularity is predicted to continue.
The market is also looking up for buy-to-let investors, the build-to-let scheme offers fresh encouragement to rent and a whole new area of investment opportunities. London Rental yields are predicted to rise in the New Year. Despite seeing a significant decrease over the past 2 years, 2017 will experience the benefit of fewer buy-to-let landlords entering the arena this year and a high demand for rental properties continuing.
A change is needed in attitude and practice. Letproof.com is offering an alternative to the traditional practice of letting properties via an agent. Letproof.com is a platform enabling landlords and tenants to connect directly, without the middlemen. A new concept that gives both parties more control over their letting experience, fewer costs and offers support and flexibility. The platform is free for tenants and starts from only 10p a day for landlords. By signing up, tenants are free to search for their perfect home, and via the direct messaging feature, can contact landlords about their favourite properties.
In changing times in the rental market, Letproof.com may be one way to ensure lower costs and more control over your buy-to-let investments.
For more information on Letproof visit their website http://www.letproof.com