In the first three months of this year 1,700 landlords had buy to let properties repossessed by lenders. Repossession is bad news for both the landlord and the tenant but there is an alternative; a receiver may be appointed to collect the rent so the tenant can stay in the property. Receivers of rent were appointed in 2,400 cases in the first quarter of 2009. If a receiver is appointed the tenant can stay in the home and the rent is offset against the mortgage interest. Receivers are usually chartered surveyors or insolvency practitioners. If a tenant is threatened with eviction because the landlord has defaulted then the tenant can make representations in the possession proceedings. Has anyone had any experience of this procedure?
The picture in the market as a whole seems to have been improving recently and the total number of repossessions, including both buy to let landlords and owner occupiers fell in the second quarter. Land Registry data shows that prices increased by 1.7% in England and Wales in July- the biggest rise since May 2004.
It still seems difficult to obtain finance for buy to let projects – does anyone have any recent experience?