Safe as Houses
Safe as houses is a phrase representing the popularity in properties as a place of investment. Government regulation has arguably made it difficult in recent years for landlords to gain more investment properties. Rising taxes and additional stamp duty liabilities have contributed to a reduction in buy-to-let mortgage applications.
A Silver Lining for Buy-to-Let Investors
Lockdown has imposed a great strain on many landlords, from late rent payments to a ban on evictions. It is fair to say that landlords have been left looking for a light at the end of the tunnel. Finally, the once doomed news section has started to show some positives for the industry. With demand returning to rates seen prior to lockdown, rents rising across the country its hopeful that mortgage holidays and tenant unemployment will not cause long term damage.
Looking to the Future
Looking forward, now may be the prime opportunity for landlords to expand their property portfolio. The governments announcement of the stamp duty holiday extends its benefits to buy-to-let mortgages. Prior to the announcement the 3% stamp duty charge bracket was for properties up to the value of £150,000. However from now until March 2021, investors will only pay 3% stamp duty on properties up to the value of £500,000. This lower percentage can save landlords up to £15,000. Freeing up more cash for a larger deposit and thus improving the chances of being accepted for a mortgage.
Many home owners are attempting to sell their properties in the fear that lockdown’s effects on the economy may hit the housing market value. Therefore landlords are being urged to snap up under priced houses on the market before these buyers get to them first, who may not have the ability to acquire them as quickly. Many buy-to-let investors are looking at acquiring larger properties, to take full advantage of the stamp duty cap. These properties either make great family homes or could even be converted to student or shared properties to produce a larger rental yield.
How Landlord Broadband can Help
Landlord Broadband would love to help you make your property stand out in the concentrated market. Our bespoke Wi-Fi solutions are a dream for tenants, and our tenant based support makes being a landlord that bit easier! We provide full equipment guarantees and ensure there are no dead zones in the property with our bespoke Wi-Fi solutions. Furthermore, we offer a 24/7/365 tenant support desk so landlords no longer have to act as intermediaries. We receive any complaints from tenants directly and fix them immediately, so you can sit back and relax.
Follow the link to our free assessment page or contact us at our email customer.services@landlordbroadband.com or call 0333 577 0600.
Jacqueline Nixon
Landlord Specialist Marketing Assistant