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  • Buy-to-Let

    HB/UC landlords becoming endangered species?

    I am kind of getting the impression every day I research this, the government are green lighting legalised social genocide, by making things especially difficult for both landlords and those with a disadvantage, what is going to happen in the future, the thought, outside of my own problems, scares the hell out of me.

    Yes indeed . About 4 years ago they froze the LHA rates and London suffered the most as no LL would take HB tenants as the LHA rates  fell right behind the market rates . A form of social cleansing did take place which pushed the disadvantaged north of the capital where the rates were just about comparable still with market rents . I`m in MK about an hour north of the capital and the London capitals were bribing me 4K to take their evictees as their homelessness problem was overwhelming them . The councils in fact clubbed together and appointed a coordinator for their problem . I was headhunted . They came up to see me  and tried to sweet talk me with their sales patter.

    It was unseemly to see what should have been a public service being provided in their own locality being reduced to this kind of begging bowl mentality. Families were being split up and moved away from their home environment . Depression, drugs, alcohol kicked in. Health deteriorated and people turned to crime to feed their families. Its a crazy shortsighted policy. My places cost around £25 per night but tenants forced onto the streets were getting arrested ending up in police cells or prison . Drugs, alcohol and mental health problems meant many ended up in hospital . It costs the taxpayer about £300 per person per night in prison, cells or hospital. So rather than pay the extra 3% pa to keep the LHA rate up ( £1 per night ) with the market rate they forced this social cleansing policy . £1 per night extra LHA rate or £300 per night in hospital / police cell . So just one person in 300 needs to get into trouble for 1 night and their figures are blown .

    Take all the unintended and largely unseen knock on effects from that one night in hospital and the sums mount up even more . Ongoing treatment , rehab, probation , social services budgets are all under pressure because the government refuses to house its own people . So the streets become full and  people are displaced 100/ 200 miles away form family and friends .. And the great unseen is where families who umbilical chord should have and was cut some years ago are now forced back in with each other creating overcrowding and more social upheaval  where grandad is fighting with son who is fighting with his son to get to the bathroom . One 3 storey i looked at buying had a generation on each floor crowded and stuffed together like animals in a zoo.

    Its disgraceful and its getting worse and worse


    Jonathan Clarke. http://www.buytoletmk.com

    Jesus, this is actually making me feel ill, so speaking as a tenant to a Landlord, What do us as tenants do about wanting to relocate to the Capital/Brighton and Hove, I mean what options do I have now, I have been fighting this battle for 3 years now, and now I am only beginning to learn how both landlords and tenants are getting stitched up and sucker punched?

    The government aims to divide us and pitch us against each other so its not going to be easy.

    The council and DWP always say their relationship is with the tenant not the landlord

    But of course it should be  an open 3 way  transparent dialogue as its taxpayers money .

    So I have long thought there should be a a much better alliance between tenants and LL`s 

    We have very different perspectives yes but so much in common

    You want security and a safe home . I want to provide that security and that safe home

    The government holds the purse strings but cannot manage the movement of money effectively

    So who can help and bring about change

    Traditionally the big players like Shelter have a perceived anti LL stance

    They dont help house LHA tenants they just tell them how to frustrate LL`s

    They are adversarial by nature  not collaborative .

    The problems stem at their  top layer of management

    They have / could have an important role but their ethos is all wrong in my view

    So you have to look elsewhere

    The LL`s have their own reps like RLA and NLA . But their focus is much broader than LHA 

    And they are good but not great and simply not proactive in certain areas such as this

    So we need someone new on the scene in my view

    If LHA tenants and LHA LL`s joined forces to challenge councils/ DWP / Gov thats a start 

    My council has rejected me setting up working parties for the past 20 years

    They often pay lip service to ` working better with LL`s` . They have limited resources and interest

    Tenants just don`t seem to have the collective will power to form a strong self interest group

    So you will need vision strength motivation and determination to change the world

    But to get noticed you also need money and influence and power

    Money can buy the latter two

    The good news is ...That`s far far  easier to raise  these days through crowdfunding

    2 million LL`s and 2 million tenants give the fund just £1

    That`s 4 million quid in your starting pot fund

    You will then get a lot of expert assistance and motivation to change the culture within

    It can be done . We see it every day in other fields . Moulds are broken all the time 




    Best of luck

    PS if thats all too overwhelming to set up then to do it alone ... I suggest get yourself a placard and a facebook page and walk up and down the front entrance at your local council. Tell the local press. Get noticed . Get  local people of influence to take note and support your plight. Someone will jump on your bandwagon and sympathise with your vision and offer to help you out. They may do it out of love or maybe to help advertise their own cause and vision . It doesn't matter let yourself be used but dont sell your soul .  If it gets you ahead of the game you will find peace and then you can set about helping  others


    Jonathan Clarke. http://www.buytoletmk.com

    JC’s replies are far more detailed and better put than i can do plus he has far more experience in the sector. From my viewpoint vast majority of the legislation and changes is being produced by those with no real skin in the game , ie not the tenants or landlords. The changes are driven by ideology and political opportunism. Its only when tenants can’t find a home that they start to take an interest in whats happened in the sector by which time its too late. 
    All people want to hear is that they will be better off and that landlords will have to pay more and do better for less. Amazingly enough that’s not a task governements have ever managed to achieve in their own dealings so dumping it on the private sector is a lazy solution that is going to cause problems for a great number of people.
    Yesterday i turned down an applicant, who were unable to find a suitable guarantor, they just can’t understand why landlords are so wary and careful in the tenat selection process and why rents have increased as they have or why their previous landlord had decided to sell up. 
    Its all a terrible mess and likely to get worse.