Why landlord advice is critical during challenging times

Why landlord advice is critical during challenging times

Fran Mulhall, explains the key challenges faced by UK landlords and why it's vital that they seek support from an informed agent who knows what they're talking about.

Fran, who is the Regional Operations Manager at GFW Letting, had this to say: “2016 and beyond will bring a number of key legislative changes that landlords across the country must know about and understand the implications they bring. Here I briefly explain what they are and how landlords can be guided through the changing market.

First off, the three percent increase in stamp duty tax on buy-to-let (BTL) properties in April will have a big impact. It will cost more to purchase a BTL property which could make it harder for new landlords to enter BTL market and for existing landlords to add to their stock. Then there’s the abolition of the wear and tear allowance and the removal of loan interest relief.

Wear and tear allowance can be claimed to cover the cost of replacing furnishings and this is calculated at 10 percent of net rents. From April however, landlords will only be able to claim on actual amount spent, not the 10 percent as a standard claim. April 2017 sees the end of deductions on mortgage loan interest rates so you can understand what the potential losses could be for landlords.


The changes will turn up the heat on landlords across the UK so it is vital that they use respected property agents that are informed and up-to-date with key legislation and realise how they impact their assets not just now but in the long-term. Indeed, the role of the letting agent is even more pivotal than before - we need to guide, advise and support landlords as part of our offering and continually provide a quality and transparent service. Anything less will only serve to create a black hole of misunderstanding in an increasingly challenging market.

As an agent I know first-hand how crucial our role is to ensuring landlords are advised and supported appropriately. I would advise any landlord to ensure that they feel 100 percent confident that their current agent will inform them of any new law or change in law and how this will affect them and the steps they should take to protect their assets. An educated, responsible and engaged agent makes a huge difference and landlords should not accept anything less when it comes to the care of their often lifelong investments."

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Latest Comments

MBM Homelets
MBM Homelets 23 Mar 2017

Although this is a very positive step, there is little or no guarantee of the standard of workmanship employed by the tenants. We have had experience of a professionally decorated property being ' painted'...

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ajay
ajay 21 Mar 2017

How is the "robust evidence" looking now?

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NathanG
NathanG 20 Mar 2017

I've been watching the series so far and am completely baffled by the cases that were presented. Though, I don't think that we can protect ourselves from every scam possible - it will just make the scammers...

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Landlady14
Landlady14 01 Mar 2017

You would think so Niraj Shah! My experience only proves that there are varying qualitiers of professional in all aspects of property letting. None of the ones I have dealt with, from letting agents to...

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Mark
Mark 01 Mar 2017

Thanks for this article. Hopefully one day everybody's lifestyle will be eco-sustainable.

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Ben Taylor
Ben Taylor 28 Feb 2017

I was convinced that London was the most expensive!

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Alan Read
Alan Read 28 Feb 2017

Australia are leading the way in this I think. The trouble with Britain is we don't get enough sun to make use of solar power.

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James Powell
James Powell 27 Feb 2017

This is a very good news.

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DanHumphreys
DanHumphreys 27 Feb 2017

It sounds like a good idea. Anything to help the younger generation get a foothold.

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Matt
Matt 20 Feb 2017

Is this fake news?

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Matthew Hollywood
Matthew Hollywood 07 Feb 2017

Matthew Hollywood - Director Mishon Mackay Land & New Homes - Brighton The shortage of New Homes is in part effected by the lack of land sales. Land sales are held back because there is a disparity between...

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CommercialTrust
CommercialTrust 30 Jan 2017

Hi Graham, Would be interesting to see the above figure calculated against an investment via a Lt Company /SPV structure and if the investor found themselves pushed in to the higher tax bracket. Mortgage...

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