GoLdFInGeR Posted April 7, 2013 Share Posted April 7, 2013 Why can't they rent to the homeless and unemployed and why would they have to stop if rent control was enforced. Because most private landlords acquire the funding for their rental properties by using buy to let mortgage products. Most lenders of these products do not allow their landlords to let their properties to unemployed tenants because they deem it to be high risk which is why you see so many adverts saying "NO DSS". If the landlord ignores the lenders rules and rents the property to the unemployed he will be in breach of the terms of his buy to let mortgage and the bank can call in the entire amount of the loan. Also, if the unemployed tenant damages the property the insurance will be invalid as the landlord shouldn't have been letting to the unemployed tenant in the first place. Link to comment Share on other sites More sharing options...
MrSmith Posted April 7, 2013 Author Share Posted April 7, 2013 Because most private landlords acquire the funding for their rental properties by using buy to let mortgage products. Most lenders of these products do not allow their landlords to let their properties to unemployed tenants because they deem it to be high risk which is why you see so many adverts saying "NO DSS". If the landlord ignores the lenders rules and rents the property to the unemployed he will be in breach of the terms of his buy to let mortgage and the bank can call in the entire amount of the loan. Also, if the unemployed tenant damages the property the insurance will be invalid as the landlord shouldn't have been letting to the unemployed tenant in the first place. Thanks for that, it was something I was unaware of, I imagine the landlords that do rent to DSS will have paid cash for their properties then. Link to comment Share on other sites More sharing options...
GoLdFInGeR Posted April 7, 2013 Share Posted April 7, 2013 Thanks for that, it was something I was unaware of, I imagine the landlords that do rent to DSS will have paid cash for their properties then. Many buy to let mortgage companies won't lend less than £50,000. So where properties are let to those who are unemployed, in a lot of cases those properties will have been paid for in cash. However, there are some buy to let mortgage products that will allow unemployed tenants and insurers who will insure for it but the interest rates may not be as favourable on those mortgages so many landlords steer clear of it. Link to comment Share on other sites More sharing options...
londomollari Posted April 8, 2013 Share Posted April 8, 2013 I just walked past an house I tried to buy in January and its got a to let sign up, looks like I was out bid by a buy to let landlord, the oldies could get a council house, and we can't, then they could buy their council house on the cheap, and we can't, and now they are buying all the cheap houses, and we can’t compete, life sucks. Link to comment Share on other sites More sharing options...
GoLdFInGeR Posted April 8, 2013 Share Posted April 8, 2013 I just walked past an house I tried to buy in January and its got a to let sign up, looks like I was out bid by a buy to let landlord, the oldies could get a council house, and we can't, then they could buy their council house on the cheap, and we can't, and now they are buying all the cheap houses, and we can’t compete, life sucks. Are you sure the house was actually sold? Maybe the owners decided to remove it from sale and rent it out instead. Those who work hard at school and go on to further education or leave school and learn a trade can still afford a mortgage as half of a young couple. Single people or couples on minimum wage are always going to struggle to get anywhere. Link to comment Share on other sites More sharing options...
ricgem2002 Posted April 8, 2013 Share Posted April 8, 2013 Because most private landlords acquire the funding for their rental properties by using buy to let mortgage products. Most lenders of these products do not allow their landlords to let their properties to unemployed tenants because they deem it to be high risk which is why you see so many adverts saying "NO DSS". If the landlord ignores the lenders rules and rents the property to the unemployed he will be in breach of the terms of his buy to let mortgage and the bank can call in the entire amount of the loan. Also, if the unemployed tenant damages the property the insurance will be invalid as the landlord shouldn't have been letting to the unemployed tenant in the first place. maybe the banks shouldnt dictate to people how they spend the money they have borrowed. they obviously dont take the same advice when dealing with its customers money Link to comment Share on other sites More sharing options...
GoLdFInGeR Posted April 8, 2013 Share Posted April 8, 2013 maybe the banks shouldnt dictate to people how they spend the money they have borrowed. they obviously dont take the same advice when dealing with its customers money I'm sure I can't comment on that. Link to comment Share on other sites More sharing options...
MrSmith Posted April 9, 2013 Author Share Posted April 9, 2013 I just walked past an house I tried to buy in January and its got a to let sign up, looks like I was out bid by a buy to let landlord, the oldies could get a council house, and we can't, then they could buy their council house on the cheap, and we can't, and now they are buying all the cheap houses, and we can’t compete, life sucks. I know a couple of buy to let landlords and they think they are doing you a favour when they buy the house you want to buy and then rent it to you. Sadly the only thing they are thinking about is themselves and how you can contribute to their retirement. Keep trying and good luck finding something the parasites don’t want. Link to comment Share on other sites More sharing options...
GoLdFInGeR Posted April 9, 2013 Share Posted April 9, 2013 I know a couple of buy to let landlords and they think they are doing you a favour when they buy the house you want to buy and then rent it to you. Sadly the only thing they are thinking about is themselves and how you can contribute to their retirement. Keep trying and good luck finding something the parasites don’t want. That's a bit extreme MrSmith. There's nothing wrong with investing in property. One persons loss is another persons gain. That's how it works, that's how it should work. That way all the money flows to the clever savvy people who know best how to use it. Link to comment Share on other sites More sharing options...
MrSmith Posted April 9, 2013 Author Share Posted April 9, 2013 That's a bit extreme MrSmith. There's nothing wrong with investing in property. One persons loss is another persons gain. That's how it works, that's how it should work. That way all the money flows to the clever savvy people who know best how to use it. There’s nothing clever or savvy about depriving young people of home ownership just for your own personal gain, immoral maybe, but not clever or savvy. Why do you think it’s right to deprive the next generation of that which we enjoyed. Link to comment Share on other sites More sharing options...
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