Originally Posted by Donald Trump
Why should there be an incentive for speculative amateur landlords.
Do you think that you should be somehow given a risk-free guaranteed return to own an asset in 30 years which will be paid back by some tenant? There are too many people out there thinking that they should be entitled to go into the bank, spend a few hours filling out a few forms, buy a house, forget about it for 30 years and then come back to sell it and keep the proceeds after some gobshite paid off their mortgage for them.
Become a landlord by all means if you have the skills, time, effort and risk management ability to make it work.
I'll agree that tenant have too many protections - in the case of those that won't pay or overhold or damage the property. But those are the rules of the game. If you can't manage by those rules in worst case scenario, then put your money elsewhere
Simple really, without a financial incentive to invest, there is no investment in rental property. REITS may be interested in investing in large cities, they certainly are not outside them.
I must admit, I now get a kick when I see posts like yours decrying “amateur landlords” in derogatory tones, you get what you deserve when large investment funds buy out complete developments before they are finished so they can rent at the highest market price, and automatically increase year on year. Then take their profits out of the country. That’ll show those pesky small time amateur landlords, oh hold on, that means you pay higher rents. Nice.
But you are correct in one sense, the incentives like high yields and capital appreciation should not be guaranteed, but they need to be a good possibility if you want to encourage investment and increase availability. Strange how at a time when rents are at an all time high, property values have increased, yet investors are leaving, go figure.