Is the ban on letting agents’ fees bad news for landlords?

In his Autumn Statement Chancellor Phillip Hammond announced that letting agents’ fees can no longer be charged to tenants.

As it stands tenants can be charged fees for administrative work that includes taking up references and making credit or immigration checks.

The unspoken assumption that these fees should be passed on to landlords instead makes this another piece of bad news for the letting sector.

David Cox, the managing director of the Association of Residential Letting Agents, referred to the ban as yet another “draconian measure” that represents “the fourth assault on the sector in just over a year.”

Yet amidst all the bad news I’d like to bring some good.

There is a way you can be a landlord and not have to suffer the slings and arrows of outrageous policy changes.

There is a scheme that offers you guaranteed rent, ongoing maintenance and charges you no fees at all.

I’ll tell you more about exactly how you can let with confidence and without risk in a moment. But, first, let’s just take a look at those “draconian measures”.

Bad news for landlords

Phillip Hammond introduced his crowd-pleasing gesture of a ban on letting agents’ fees levied on tenants in England as one that would help 4.3 million people save, on average, £337 each.

Yet landlords fear that the cost of these savings will simply be passed on to them. And this is not the only threat to the profit they can make from their properties.

It is no wonder that landlords are already feeling bruised by recent changes.

• In April 2016 an extra three per cent stamp duty for second home buyers was introduced.
• From 2017 tax perks for landlords are being scaled back, with mortgage interest relief on rental properties reduced to the basic rate of income tax.
• The Autumn Statement promised a review into incorporation and the tax paid as a result, which many commentators suggest is directed at landlords who have set up companies for their buy to let properties as a way of avoiding some of the forthcoming restrictions on mortgage interest tax relief.
• The Bank of England is set to make it harder for buy-to-let-investors to take out a mortgage.

Is there any good news at all for landlords?

Good news for landlords

Many landlords have found that there is a way to rent their properties without paying any fees, suffering from void periods and without having to worry about maintenance.

Let me introduce you to my Rent Guarantee Scheme.

It takes the stress, uncertainty and hassle out of letting. And it guarantees you a great income from your properties.

How does it work?

It’s simple: you lease your property to me and I start paying you a guaranteed rent immediately, regardless of whether it has tenants in or not.

I carry on doing this month after month, so you never have to face a rent drop, find a tenant, collect a deposit or suffer the consequences of rent arrears. What’s more I even handle all the day-to-day maintenance and tenant relationships for you.

There are no fees. There are no hassles. There is no uncertainty.

There’s just guaranteed rent every single month.

And that is good news indeed.

Want to find out more about my Rent Guarantee Scheme?

For more information about taking control of your rental income call Ahmed Khalil on 01273 573960, visit Khalil Properties at 124 Lewes Road, Brighton BN2 3LG or find us online at www.khalilproperties.co.uk.