Added protection for tenants against unstable landlords
Tenants may be eligible for added protection against dodgy landlords who cannot repay their property mortgages as new laws are proposed to the House of Commons.
Currently many landlords purchase buy-to-let properties with an inappropriate mortgage, one designed for residential property rather than the actual commercial purpose of the building.
This means for tenants that they can be evicted immediately, if the bank has to repossess the house because the landlord cannot afford his monthly payments. Through no fault of their own, entire families can be thrown out onto the street with no warning whatsoever. Under a proper buy-to-let mortgage tenants have the opportunity to directly pay the bank monthly rent when it is repossessed. In the current economic clime, lenders can receive better income from leasing the property rather than selling the building at rock-bottom price in order to recuperate the loss of the landlords mortgage.
However, many property owners sidestep the difficulties caused to tenants or their potential eviction, in favour for choosing a cheaper residential mortgage rate. Due to this growing trend, new laws propose further protection of tenants who can have a minimum of 2 months to relocate after their home is repossessed.
Insure My Let property provides buildings insurance and contents insurance for landlords and the comprehensive let property insurance packages guarantee competitive insurance premiums.
August 07th 2009
- To tweet or not to tweet
- Aviva enters into buy-to-let market
- Buy-to-let Bovey meets bailiffs
- Risk-free leases
- Rent dodger lives here!
- Landlords blamed for rubbish tumbleweed
- Landlords could claim thousands for unfair letting commission
- Channel 4 presenters advise on best buy-to- let areas
- Landlord names and shames tenants
- Gas safety checks are refused by landlord
- Recognition of Female landlords
- Landlord fined for failing to apply for licence
- Landlord found guilty over state of let property
- Goldmine for landlords