Within the first quarter of 2016, Investors and landlords have already seen many significant changes to legislation regarding the property market. For those new to the industry, here’s a quick update on what’s been happening this year.
Right to Rent
Back in February, the Government introduced Right to Rent. Under the new legislations, landlords and agents have to check the immigration status of any adult who wishes to move in to a new property to ensure they have the Right to Rent. Checks must be carried out in the 28 days leading up to the start of a new tenancy, bearing in mind it is likely to take time for necessary documents to be produced, verified and copied.
Further details on Right to Rent can be found here.
April 1st saw an increase in stamp duty for landlords and investors who wished to buy a second home. The Chancellor, George Osbourne intends for this 3% increase in surcharge to raise £1bn extra for the treasury by 2021.
Buy to let purchases below £125,000 previously meant no stamp duty was paid by the landlord. However, the new change will see these rates rise by 3%.
Further details of stamp duty can be found here.
Buying a second home or a buy to let is a costly decision but with the right expertise and advice, it could be the start to your financial freedom.
Silks Investments aim to help our landlords and investors to achieve financial freedom by helping them build they own property portfolio. For further details, contact us for a free consultation.