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TODAY'S OTHER NEWS

Anger at shock rise in stamp duty on buy to lets and holiday homes

There’s been a howl of disgust from the UK’s major landlord group following the Welsh Government’s shock increase in stamp duty.

Landlord Transaction Tax - the Welsh equivalent of SDLT - will be increased by one per cent after today for all additional homes.

A statement from the Welsh Government says: “If you complete on buying a property before 22 December you pay the previous rates of tax - on or after 22 December you pay the new rates of tax. In most cases where you have already exchanged contracts, but not completed you will be able to use the previous higher rates.”

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But the National Residential Landlords Association says the move – introduced with no notice, just  before Christmas - is unacceptable.

NRLA deputy policy director John Stewart comments: “It is simply unacceptable to increase the rate of Land Transaction Tax in this fashion.

“This increase will destabilise the private rental market in Wales, increasing costs on buying homes with immediate effect.

“Anyone buying a new home, before they can sell their current principle residence, will have to find this extra money up front.

“This may also cause some transactions to collapse and cause further hold-ups for anyone caught in a chain.

“The start of a national lockdown is not the time to put additional burdens on a sector already facing some of the longest and most severe Coronavirus restrictions and will deter investment in rental properties that we so badly need.”

The Welsh Government has also confirmed that its LTT holiday - roughly similar to the England stamp duty holiday - will end on April 1.

This means the LTT rates will revert to the original rates and starting threshold of £180,000. Purchases must be completed before this date to use the temporary reduction rates.

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    The SNP did this a while ago and rents went up. Perhaps the rabble rousers in the adjoining thread need to look at the source of increasing rents and shortage of properties!

    More hassle and costs just mean fewer properties for rent and higher rents. Simple market forces!

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    I love the idea of higher rents.
    The higher the rent is good.

    When does it start?

     
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    Higher rents = GOOD, VERY GOOD

     
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    Trouble is that you can't pass the costs on to tenants in Wales, as they just won't pay.
    You will end up with no tenants, as there is always someone willing to undercut you.

     
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    All of these moves must be viewed as a profit opportunity for a LL best way to stick it to these people who are just being vindictive.

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    More the profit, the happier I am.

    Get on with it Councils, DSS, Governments, Shelter and all the rest of you others.....Please keep on giving me more profit.

    You have all made me very happy.

     
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    Increased costs = increased rent, market forces as in any other business

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    The higher the rent, the better for me.
    Keep it up please....

     
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    "Anger"? (in heading). "Howl of Disgust"? (first words of article). Can we leave emotions out of it please? Emotions don't strengthen the case for or against. Just keep to the facts. (Actually there's no evidence of either of these emotions in the article. Who specifically displayed anger? Who in fact howled in disgust? Just the author's imagination, that's who.)

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    I do agree with you there David, bad and unnecessary headline .

     
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    The politics of envy strikes again.
    Drakeford was a Corbyn supporter, so this was to be expected.
    Welcome to the WUSSR!!!

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    Simply proves the point of that "MANY OF THESE WASTERS ARE NOT FIT FOR PURPOSE / GOVERN".

    All this sadly should have been curbed with less Local Authorities and less coolie Councillors and council clerks

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    Mr Hughes, I agree this is the reality of the business especially in L'don, buy to let is not viable as a stand alone business. Buy 2 Let cannot work in the capital without the LL having other business or income from alternative source to subsidize the purchase, the figures don't stack up try it and see. The Authorities seem to think if the property is expensive then the sky is the limit to what they can load on regardless. As John says how can you charge more rent to people who can't afford, some rents are very high but those appear to be paid by digital Academics on high salaries £60 / £70k pa and cherry picked by the New Big Institutional LL's muscling-in and favored by Government to take over. LL's in other towns are much better off compared to L'don. They can buy at least 3 properties for the price of one in the Capital and their letting income is £ for £ is 100% better and not hounded nearly as much by Authorities as us. Please do the figures & prove me wrong, but traditionally what happens in London spreads to rest of Country like a virus.

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    Never had much to do with ''the smoke'' and have no wish to visit, I'm just a simple Norfolk boy at heart, I started in BTL more than 30 yrs ago, as a pension scheme, it's been my maim sourse of income for the past 13 yrs, I do my owm repairs, clean ups and decorating, I enjoy what I do and I earn more money out of it than I need, will London ways spread up to Norfolk, I hope not, but I expect you are right they will over time.

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    The most worrying part is the Licensing Schemes loading ever more responsibilities on the LL's while making sure he is powerless to do anything. The LL hasn't been given any instrument to address any of the problems bestowed on him, whether overcrowding wrecking the property or anything else, also he is effectively banned from the property by taking away right to access from him, which used not be the case when we could visit in reasonable day light hours which we seldom did but the Tenant knew it was a possibility and that was enough to stop them overcrowding at least, forget about 24 / 48 hrs rubbish the Tenants are in Control but its the LL is responsible square that circle if you can. There is no such thing as Responsibility in any other Business on Earth without Authority it doesn't work.

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