- January 8, 2018
The Sword of Damocles is hanging over landlords
It is said that fear produces two responses: flight or fight. We beg to differ.
Successive governments have been running scared over how to deal with the housing crisis that dogs the UK. But, after years of burying their heads in the sand (flight) we are not now seeing firm policies that will tackle it (fight).
Instead we are seeing a raft of consultations that are more like sit tight, than either fight or flight!
And it’s landlords who are being hit the hardest by this atmosphere of uncertainty.
Threatened measures hang like the Sword of Damocles over us. An air of indecision looms above the private rental sector – and, as we all know, uncertainty is the worst possible environment for investment.
These unresolved threats clouding the horizon could radically alter landlords’ income – and the recent Budget did nothing to resolve them.
In fact, it simply added yet another consultation to the burgeoning list that already dangles over our heads.
Still not budging after the Budget
Phillip Hammond’s promise to set up a consultation into what incentives could be given to landlords who offer longer-term tenancies incensed David Smith, of the Residential Landlords Association.
“Today’s Budget could have acted on proposals to provide tax relief for landlords prepared to offer longer tenancies. Instead we have yet another consultation, adding to the 15 already ongoing which relate to the private rented sector. Tenants cannot live in consultations.”
Let’s add to this that landlords are also struggling to live under so many consultations.
On top of major changes to tax relief already taking place and landlord licensing schemes being extended, there are consultations promising changes to Building Regulation and Fire Safety, Universal Credit, Right to Rent, Electrical Checks, Client Money Protection and Dispute Resolution.
And these are just the tip of the consultation iceberg.
Can landlords be sure of anything anymore?
Managing any investment is hard in times of change and uncertainty. Yet, it is still possible for landlords to guarantee an essential part of their plans for profit.
Khalil’s Rent Guarantee Scheme pays landlords an agreed rent every single month. It doesn’t matter what happens to the economy, or what hoops are introduced for the private rental sector to jump through.
With no void periods and a guaranteed rent, you can be sure of at least one thing: your income.
And we also take on maintaining your property, dealing with your tenants and making sure that everything is administered according to those changing sets of demands that we have thrust upon us.
All you need do is sit back and enjoy the proceeds.
There may, indeed, be trouble ahead – but, with our Rent Guarantee Scheme, you can shelter safely from the storm.