Tenant defaults predicted to soar
According to online letting agents, Upad, tenant arrears could increase significantly over the next year amid reports that many buy-to-let landlords plan to increase rents to offset tax hikes which are scheduled to be phased in from April 2017.
The tax changes relate to the restriction on the amount of mortgage interest landlords can offset against tax on their property investments.
By April 2020 it is likely than higher-rate tax payers will only receive 50% of the relief that they currently get. As a result of this, many experts are predicting that landlords will be left with little alternative but to pass higher costs on to tenants.
Full story available from LandlordTODAY: https://www.landlordtoday.co.uk/breaking-news/2016/11/tenant-arrears-set-to-soar